On-Demand Webcast:
Product Cost Allocations and Modeling:
From a Seller's Perspective

The goal of product costing is to align various cost components to individual product or service offerings. As the first step towards a consumption-based model, there are many benefits and considerations. The two methods of product cost alignment are:

• Expense Line Alignment
• Direct Cost Alignment

Corporate accounting policies can produce significant roadblocks to creating new cost centers and accounts on the general ledger. Avoid this by leveraging a translational database like Apptio's IT Service Costing application. Apptio's IT Service Costing identifies the layers that go into a Service Cost model, which are shown in this webinar.

Successful cost recovery models can originate from limited grassroots efforts all the way up to corporate funded, fully sponsored projects. A great case study at a North American retailer is shown as an example. This company went from relying on outdated spreadsheets to analyzing total cost of ownership across various platforms and applications. The outcome was the ability to make decisions based on true costs.

The second case study takes another look at St. Luke's Health System, where IT costs were realigned in order to determine the total cost of ownership of all technical services. The result was an 8% savings in IT spend in Year 1 of the implementation.

This is the fourth webinar in the 2011 series, "Understanding and Leveraging IT Financial Transparency to Improve Business Alignment." Join experts from SteelGlass Consulting, leaders in IT transparency professional services, for this complimentary educational webinar series brought to you by Apptio.