Charging Out: Managing IT Costs Within the Business

Download the Output Report from this Corporate IT Forum webinar. The report has been produced based on the experiences shared by delegates representing a number of different organisations from the financial services, pharmaceuticals, automotive and healthcare sectors.


Charging out is a complex and sometimes contentious model of accounting, whereby IT organisations 'charge' business users for the cost of the IT services, hardware and applications that are used.

The big advantage of this approach is that business units should pay a more realistic sum for IT services, with departments using highly complex, new applications or demanding very high levels of support and availability paying more than departments that are relying on simple legacy applications requiring little in the way of ongoing support and maintenance.

Charging out also provides the business with more visibility into the cost of IT services, by specifying exactly what is being paid for. This may be an effective tool in driving business behaviour (and change) by persuading business users to make better use of IT resources to reduce the cost of IT to their organisation.

However, charging out can be a challenge for many organisations, not least because it will almost certainly be unpopular if business units find charging out is considerably more expensive than the traditional model, where IT simply absorbed all IT costs and delivered services that were effectively 'free' to the business.

Key challenges identified in the webinar included:

  • Identifying all the costs involved in delivering IT services and products, to ensure charges to the business are fair and representative
  • Understanding what costs should be charged back to the business, and which should be paid from a central IT budget
  • Securing buy-in from business users, particularly where they see the new charges as being very expensive compared to market rates
Building charging models that include 'standard' packages that can be easily administered, while reflecting the flexibility needed by the business.
Log in to access the full resource or buy it for £295 +VAT   

Information request

I'd like to know if my organisation is already a member
Sign me up for the monthly newsletter
Job Title*
General enquiry or comment?
Sum the two numbers in white
and enter the total value below

Unparalleled Learning

Members Include

united biscuits
travis perkins
start stop bwd fwd

"Just wanted to say thanks; another great day where I have come out with more knowledge than I entered with"

"Many thanks; [the event was] very good and beneficial"

"I have never not found a day interesting"

"The Corporate IT Forum is a fantastic level check, free of vendor sell and consultancy hype. I like the open sharing of experience…"

"We get valuable knowledge and experience from members of The Corporate IT Forum. This helps us to make better and informed decisions to reach our business goals…"

"The knowledge from other people on what they are doing/have done is invaluable to my team"

"The workshop validated the marketplace for supplier apps; participants were of a uniformly high standard; personally, I value highly the ethos of the Forum in the fact that it is supplier independent"

Tel: +44 (0) 1442 866634


Output reports from Workshops, Webinars, Summits and Conferences