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IT Savings Report - Benchmarks 'Mark to Market' and CSIP 

Benchmarking of KPIs, unit costs, service level targets, day rates etc is a standard business tool, used in countries around the world to assess internal and external IT service functions.  These KPIs are also used to create IT Savings Reports and effective Continuous Service Improvement Plans (CSIP).


Reducing the cost of IT is one of the top measurements of CIO performance, according to 62% of CIOs in a 2019 Logicalis report.  To assist CIOs and IT managers identify cost savings, IT Per4mance offers a free IT Savings Report of your IT operation and 'Mark to Market' assessment of major supplier contracts.  Your report will be in your preferred currency; it will be between 30 and 70 pages and contain detailed benchmark analysis of unit costs, productivity, SLAs and contract price book data.  A Board Room Executive Summary is included.  We compare your KPIs against an average of best practice peers in order to identify cost saving potential, by service tower, by contract and in total.  If there are no savings identified then there is NO CHARGE.  Where savings are identified we will charge just 5% of the total savings uncovered, unless our standard price list is used, see our Service Catalogue. 

IT Per4mance has one of the largest IT Benchmarking databases with over 1.7 million data points, across all service towers (see the first figure below), rate cards and service level targets.  Best practice peer data can be converted to any currency. 

Clients with an internal function use IT Benchmarking as a periodic health check (for continuous improvement), based on comparison against best practice peers.  This study typically has five stages (see the second figure below) and includes a Total Cost of Ownership (TCO) analysis to identify strengths and opportunities against the benchmark average.  We may also be able to provide comparisons against peers within a particular industry vertical as a second benchmark. 


We find that many organisations decide to outsource all or part of their IT function (service towers) without a defined financial business case or identification of the required skills and resources for the retained organisation.  Our Mark to Market services provides an potential contract costs or an assessment of existing contracts to identify improvement and savings potential.   


Informed clients undertake a 'size of the prize' benchmark study across the service, towers to be potentially outsourced, in order to identify current (in-house) and target (outsourced) costs using peer data in terms of volumes, SLAs and real contract Price Books. 


The outcome of such a study is typically part of a business case / financial model within the Sourcing Strategy, often requiring senior level approval.  


There are many uses for our our benchmarking tool for example; We use our benchmarking database to assess an organisation's overall IT spend, relative to their industry vertical.  We can also focus on service tower benchmarks for internal teams to identify improvements to productivity, service quality and unit costs.  The recommendations from the benchmark may be input to a CSIP report which includes; improvement opportunities, risks that required mitigation, savings potential and areas that may require further investment. 


The minimum number measurements to undertake a typical TCO study is 131 for your organisation and a further 131 for similar sized best practice peers. From the comparative analysis of your and peer measurements, your strengths and improvement opportunities are evident for all stakeholders to see. This enables clear action plans to be created, executed and outcomes to be re-measured.


The 131 measures are allocated across Service Towers, as follows:

The stages involved in developing a CSI Plan are shown below:

An extract of a CSI / IT Efficiency Benchmark report (with illustrative data) is shown below, for just one service tower. 

The following illustration shows our proven 5Cs approach contract Mark to Market assessments

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