Transforming a Company and the IT Operating Model

Jarod Greene
VP of Product Marketing

When Apptio started in 2007, cloud solutions were barely a category, let alone part of the IT operating model.

Early Apptio customers used our proprietary platform to optimize on-prem, heavily capitalized, IT spend with customized models and reports.
But the world changed.

Cloud solutions upended expectations of IT agility and responsiveness—the new IT operating model is nimble, scalable, and innovative. Apptio’s applications and solutions have evolved to help organizations reap the rewards while mitigating the risk of new delivery models.

Apptio’s voice in the market has evolved too. Seeing data from financial and operational sources in a unified view will always be the core of Apptio, but a general ledger of hundreds of rows isn’t the same as an AWS monthly cloud bill of millions of rows.

How does Apptio speak to the change in scale?

How does Apptio reflect the challenges of cost optimization and financial agility in a world of hybrid IT and Agile software development?

By making the Apptio brand speak to the reality of transforming the IT operating model.

Welcome to the new Apptio.

Over the weekend, we launched a brand-new digital home for Apptio designed to help our customers navigate this changing IT operating model and their role within it. Visitors can now easily find details, demos, and user testimonials on the six core solutions that define Apptio and the Technology Business Management discipline. We’ve got a fresh new look and feel to help our visitors quickly find the information they need through a report or even speaking to an Apptio team member.

The new not only represents a new home for us online but also the evolution of our brand over the past decade.

The new IT operating model

Competitive organizations have two choices: grow or die.

To grow, they need to change the way they create, deliver, and capture value. They cannot rely on an outdated IT operating model.
Growth and technology are symbiotic: technology boosts revenue, improves margins, and increases customer satisfaction. CIOs have transformed their IT operating model and are mastering product-centric delivery, leveraging cloud services, and Agile methodologies.

The new IT operating model shifts the role of IT from a provider of services to a creator of business value and exposes actionable levers to change the business. Today’s mantra: leverage financial agility to shift resources for value creation and optimize technology investments to fund innovation faster than competitors.

Apptio and the new IT operating model

Organizations trust Apptio to support the new delivery models of cloud and Agile, accelerate business value by optimizing tech spend to fund innovation, and boost financial agility for resourcing decisions at speed.

85% of Apptio customers cite the biggest benefit of Apptio has been their ability to connect technology investments to business outcomes.

Companies of all sizes across all geographies use Apptio, including 50% of the Fortune 100, to:

  • Analyze costs and investments irrespective of data source, provider, or delivery model
  • Plan IT spend to ensure effective deployment of capital.
  • Optimize to maximize efficiency
  • Control to mitigate unintended spend.
  • Collaborate across business, finance, and technology stakeholders to increase awareness and make informed decisions on spend across the organization.

Apptio’s patented platform ingests, aggregates and normalizes spend, cost, consumption, performance and attribute data from disparate systems including cloud vendors, and maps that data against a standardized cost model which can be benchmarked against peer organizations.

Apptio’s standard cost model includes IT-specific categories (such as infrastructure, end-user, and application services) and is developed and maintained by the world’s largest professional organization of CIOs dedicated to advancing the practice of Technology Business Management.

The average Apptio customer:

  • Cuts IT spend to plan variance from 11% to 2-5%
  • Shortens planning cycles by 80%
  • Shifts 3-5% of their IT budget from Run to Change.
  • Reduces cloud costs by 30% and cloud cost analysis time by 75%.
  • Answers ad-hoc questions about IT costs immediately
  • Surfaces under-utilized budgets and funds more critical initiatives.

Apptio’s approach has evolved to meet the embrace of agility and scale. Leveraging the knowledge gathered over 1000 deployments and applying our learnings through technology and 200+ engineers, Apptio has significantly changed the data, resource, and time to value around Apptio solutions.

57% of our customers say that they have changed the conversation with CFO and business stakeholders on IT spend from emotion-based to fact-based and increased IT credibility.

The new Apptio

Packaged Solutions and Applications. Apptio delivers quick time to value for discrete stakeholders throughout the organization while harnessing the power of an extensible platform. Learn more.

Days to Weeks to Value. Apptio customers get meaningful insights into technology spend—quickly. Through hundreds of deployments, we have seen thousands of general ledgers, and we use Machine Learning to automate data mapping to an industry-standard cost model. Learn more.

Actionable Insights. Leveraging the collective knowledge of hundreds of Apptio deployments, Actionable Insights surfaces opportunities to reduce costs, correct and reallocate spend, and reduce or eliminate risk to provide quick wins and rapid value realization. These insights via software are pervasive in all Apptio products. Learn more.

Fast onboarding. Apptio solutions ensure that current functional owners ascertain value quickly through the automation of key processes to accelerate planning cycles and the analytics to reduce cost reporting. As organizations get more value from Apptio, additional users and stakeholders onboard quickly and easily. Learn more.

Automated Data Ingestion. Apptio can quickly get organizations into 75 – 80% accuracy levels. Apptio now provides 30+ connectors to the most popular systems (Oracle, SAP, ServiceNow, Cloud connectors, HR, etc.) and customers can start with data sources they can easily access (i.e., like GL, Budgeting, Fixed Asset lists, Cloud Bills, etc.) and evolve their leverage of additional data sources (i.e., IT Service Desk tickets, CMDB, etc.) to surface deeper insights.

An Evolving Taxonomy. TBM continues to describe cost sources, technologies, IT resources (IT towers), applications, and services. Just as businesses rely on generally accepted accounting principles (or GAAP) to drive standard practices for financial reporting—and thus comparability between financial statements—the TBM taxonomy provides a generally accepted way of categorizing and reporting IT costs and other metrics. As technologies evolve, so does the taxonomy. It is governed and maintained by the TBM Council Board Committee on Standards, with voting members from all industries. Learn more.


Additional Resources