Search
Topics
  Create an account Home  ·  Topics  ·  Downloads  ·  Your Account  ·  Submit News  ·  Top 10  
Modules
· Home
· Content
· FAQ
· Feedback
· Forums
· Search
· Statistics
· Surveys
· Top
· Topics
· Web Links
· Your_Account

Current Membership

Latest: KBrierly
New Today: 47
New Yesterday: 49
Overall: 148391

People Online:
Visitors: 42
Members: 2
Total: 44 .

Languages
Select Interface Language:


Major ITIL Portals
For general information and resources, ITIL and ITSM World is the most well known for both ITIL and ITIL Books. A shorter snapshot approach can be found at ITIL Zone

Related Resources
Service related resources
Service Level Agreement
Outsourcing

Note: ITIL is a registered trademark of OGC. This portal is totally independent and is in no way related to them. See our Feedback Page for more information.


The Itil Community Forum: Forums

ITIL :: View topic - Using ITIL processes as cost center in accounting and budget
 Forum FAQForum FAQ   SearchSearch   UsergroupsUsergroups   ProfileProfile   Log in to check your private messagesLog in to check your private messages   Log inLog in 

Using ITIL processes as cost center in accounting and budget

 
Post new topic   Reply to topic    ITIL Forum Index -> ITIL Discussion
View previous topic :: View next topic  
Author Message
Eire
Newbie
Newbie


Joined: Jan 25, 2006
Posts: 4

PostPosted: Fri Mar 17, 2006 10:54 pm    Post subject: Using ITIL processes as cost center in accounting and budget Reply with quote

Hi,

Is there anyone with thoughts about the possibility to use each process as cost centers to use in accounting and budgeting work within a matrix organization?

The requirement for this will be that all resources (staff, aso.) will be allocated to a process.

So the idea will be that the budget for a process could be like below:

Incident Management

Saleries: $1500 000
Office rent: $2500 000
Service Agreements: $20 000
...

Problem Management

Saleries: $1200 000
Office rent: $2000 000
Service Agreements: $30 000
Hardware investments: $15 000
...


a.s.o

Is this possible or even suitable? And is it anyone with experience of allocate staff working within processes (totally replace the ICT process with Service Support and Service Delivery processes).

I guess the question is kind of philosophical, but it is of great interest for me if anyone have real experience of such approach.

/Cheers,

Patrick
Back to top
View user's profile
itilimp
Senior Itiler


Joined: Jan 20, 2006
Posts: 172
Location: England

PostPosted: Sat Mar 18, 2006 3:58 am    Post subject: Reply with quote

I don't have real world experience with this but I suspect it comes down to how large your organisation is.

In ours there is no way this would work because we all do a bit of everything. So you'd end up billing x% of someone's salary based on time spent working within one process, x% amount to another etc. Far more hassle than it is actually worth.

Where you have huge numbers of staff who only work on one process, this may work - though I remain doubtful personally.

What is it you would be hoping to achieve by taking this approach?
Back to top
View user's profile Visit poster's website
matrejekm
Itiler


Joined: May 11, 2006
Posts: 32

PostPosted: Wed May 17, 2006 6:44 pm    Post subject: many ways of doing this Reply with quote

I don't have real experience with accounting, but maybe better way is to make it by Services not processess?

You hire different sets of processes to deliver each service.
Back to top
View user's profile Send e-mail
itilimp
Senior Itiler


Joined: Jan 20, 2006
Posts: 172
Location: England

PostPosted: Thu May 18, 2006 3:33 am    Post subject: Reply with quote

I'd imagine that your end users are more interested in how much they are paying for services.

How you calculate what goes into that service charge is a whole other ball game Wink
Back to top
View user's profile Visit poster's website
matrejekm
Itiler


Joined: May 11, 2006
Posts: 32

PostPosted: Fri May 19, 2006 4:31 pm    Post subject: After some time... Reply with quote

After thinking a while I think neither processes nor services wouldn't be a good choice for Cost Centres.

Costs and budgets based on such division will be very flexible. It is really hard to say what is the cost of Incident Management. Easier is to connect costs to teams.

We use cost models of our services to count how much they cost. But it is anly use for offering - not budgeting or accounting.
Back to top
View user's profile Send e-mail
Display posts from previous:   
Post new topic   Reply to topic    ITIL Forum Index -> ITIL Discussion All times are GMT + 10 Hours
Page 1 of 1

 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum

Powered by phpBB 2.0.8 © 2001 phpBB Group
phpBB port v2.1 based on Tom Nitzschner's phpbb2.0.6 upgraded to phpBB 2.0.4 standalone was developed and tested by:
ArtificialIntel, ChatServ, mikem,
sixonetonoffun and Paul Laudanski (aka Zhen-Xjell).

Version 2.1 by Nuke Cops 2003 http://www.nukecops.com

Forums ©

 

Logos/trademarks property of respective owner. Comments property of poster. Rest 2004 Itil Community for Service Management & Foundation Certification. SV
Site source copyright (c)2003, and is Free Software under the GNU / GPL licence. All Rights Are Reserved.