Financing IT services

A company with internal IT services, like one which has outsourced IT services, need to create charging model so that costs can be accounted for. How do you charge for a help desk call, for example,do you charge for each service request or just split the costs between the organisation's departments? How can you use costing and charging to ensure the wise and effective use of IT services?

Tasks

Question 1: Provide a review of the various approaches to IT charging, both as an internal process and as part of IT outsourcing.

Question 2: What is an IT chargeback model? How does it work and what are its benefits?

Question 3: Using an example, explain how the costs of IT are distributed and build up, particularly developing the concept of total cost of ownership.

Question 4: What is the best way of ensuring effective financing of IT systems and services?

Question 5: Explain some of the concepts and issues around charging for cloud services.