Cost Management

What is Cost Management?

The introduction of Cost Management processes can support your organization whilst at the same time keeping costs, and the value that is added by cost drivers, in business focus.

This diagram shows the key components of Cost Management:

Why Cost Management?

The cost structure of a company is often complex and it can be difficult to obtain a complete overview of them. Planning, budgeting and cost allocation are therefore important cost management activities and are subject to certain requirements:

  • Cost effectiveness
  • Quantifiable benefits
  • Traceability of all costs

A significant portion of costs will be incurred for IT operations and infrastructure. Therefore, services and IT solutions should be regularly reviewed and new internal procedures and processing techniques should be sought and evaluated. Another way to improve cost structure and transparency is through the use of outsourcing or financial modeling.

Decisions can only be made with confidence if cost structures are sufficiently transparent and therefore if the corresponding base data exists. This assumes that operational performance and the IT infrastructure quality can be measured with reasonable accuracy.

Our Services

COREVA offers these Cost Management services:

  • Independent analysis and detailed examination of IT costs (e.g. ABC or ROI), and comparison with existing IT plans
  • Definition and implementation of cost indicators, measurements and evaluation procedures
  • Implementation of IT Control functions
  • Linking Cost Management with Service Level Management
  • Benchmarking IT costs and cost structures against those of competitors or similar IT environments
  • Identification of possible cost savings

COREVA will perform quality reviews of existing cost management practices and can assist in the implementation of new or improved cost management processes and procedures

Added Value

Good cost management can bring your company several qualitative and quantitative benefits:

  • Independent analysis of IT costs
  • Transparency of IT operations and associated costs
  • An informed basis for budgetary and investment decision-making
  • Identification of potential savings
  • Improvements in Service Level Management.

Fact Sheet

Download the most important facts about our Cost Management services here.