How Apptio Can Help

The Evolution of Software SpendingSoftware asset costs represent the single greatest growth area in most IT budgets. Along with this growth

in spend, the nature of software in the enterprise is changing as well. The increasing popularity of

emerging technologies, such as virtualization and cloud-based SaaS solutions, promise greater flexibility.

But this also generates increased complexity for management and governance. With this transition, the

role of the CIO is quickly changing from a provider to a strategic broker of services. This transition makes

it essential for the CIO to link business outcomes to IT spend on software and services.

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31%Employees

29%Software

26%Hardware

14%External Service

Providers

0%

2%

4%

6%

7%

5%

3%

1%

IT CATEGORY

SPEN

DIN

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%Why IT CostTransparency MattersMore Than Ever

IT spending is continually growing, yet maintaining visibility into this spending and its

ongoing business value is increasingly challenging. This is due in large part to the

massive growth in virtualization and cloud technologies, which promise greater flexibility

– but this promise comes with a management price tag. Learn why IT cost transparency

matters and how you can regain control of your IT spending.

Average IT Budget Breakdown

$285 Billion

$304 Billion

$324 Billion

2012

2013

2014

275 300 325

2013 Worldwide IT Forecast:Spending Growth

Sources:wsj.comomtco.eugartner.comcomputerworld.com

AutomatedSpend less time manipulating data and spreadsheets, more time driving value-added analysis. Accelerate financial review processes from hours to minutes. Deliver variance reports in hours not days.

EmpoweredEmpower accountability among project and tower owners to better manage their budgets. Report variance in context of projects and towers where source and corrective measures are easier to find.

CredibleImprove credibility with the business via fact-based conversations about cost drivers and units.

ActionableSee how budgets relate to services and projects before making adjustment decisions. Course correct budgets more quickly and precisely to avoid disruptions from dramatic cuts.

EnterpriseSoftware

IT Services Data CenterSystems

Devices TelecomServices

+6.4%

+2.8%+2.2% +2.1%

+0.9%

For more on how Apptio can help, please visit:www.apptio.com/transparency

Why Cost Transparency Matters Now More Than EverMany IT organizations and CIOs are struggling to communicate the correlation between IT spend, services

delivered and business value realized from these services. Business stakeholders can’t afford to ignore IT

because business outcomes and technology are increasingly interlinked. Consequently, finding a way to

reconcile IT with business is among the most pressing priorities for forward-looking CIOs and IT Finance

professionals.

Apptio Cost Transparency Foundation is a SaaS-based analytics solution for IT Finance professionals

and IT cost center owners. Apptio’s cost transparency solution automates monthly reporting and enables

analysis of GL costs translated into IT-relevant towers and projects. With Apptio Cost Transparency

Foundation, you are:

GL views of IT expenses are not understandable or actionable to IT and your business partners.

IT can’t demonstrate which rising costs are caused by inefficiency versus rising consumption.

Typical expense reporting doesn’t have sufficient detail to identify sources of variance. You can’t identify “real” variance from variance stemming from timing or categorization errors.

Manual approaches for calculating towers are labor intensive and require lots of offline detective work to get answers.

Consulting approaches (often part of benchmarking) take months for a static snapshot.

Slower, less frequent variance reports lead to more drastic, last-minute corrective measures like delaying projects.

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Issues with Conventional Cost Transparency Methods:

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Apptio

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