It is difficult to meet the real needs of both midsize to large enterprises when both telecom and IT products and services appear to be free or very expensive with no real proof to the business units.
These costs run into the trillions -yes, trillions- of dollars to operate, and this overall cost is increasing at a rapid rate as enterprises move from a Cap X to an Op X business model. This is exactly what is happing today because both telecom and IT costs are not charged back at all or even worst, charged back incorrectly or with no detail.
This is the intersection of IT financial management and TEM/WEM – today’s CIO’s need to fully embrace this for both telecom and IT and provide full cost transparency. This will allow telecom and IT to operate as a service provider with a catalog of products and services that are aligned to the business needs, provide a defined cost model for each service, and a process to track and chargeback the business units based on their real consumption of those services.
To solve this ever-growing need the CIO must adopt the correct technology and business processes allowing for full cost transparency.