Service Strategy - Financial Management

Front 1

Financial Management Purpose

Back 1

Secure the appropriate level of funding to design, develop, and deliver IT services that support business processes/strategy.

-Balance cost of service vs quality of service

Front 2

Financial Management Objectives

Back 2

1. Identify and manage the actual cost of service delivery

2. Secure funding

3. Ensure financial controls

4. Understand future financial requirements.

Front 3

Processes/Activities of Financial Management (3)

Back 3

1. Accounting: tracking how much money is actually spent

2. Budgeting: projecting how money will be spent

3. Charging: securing payment from customers. external (money); internal (notional accounting)

Front 4

Preparing a Business Case

Back 4

Justification for a significant item expenditure.

Includes the following information:

1. Introduction

2. Assumptions

3. Business Impact

3. Risks

4. Recommendations

Front 5

Business Impact

Back 5

1.Return on Investment (ROI): expected financial return.

2.Value on Investment (VOI): expected non-financial return