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TBM Council and Bain & Company with the support of Apptio are conducting a brief, forward-looking study to understand how IT budgets, planning and processes are adapting to the economic uncertainty. As an IT leader and member of the TBM Council, we need your input! Complete the survey here to receive exclusive access to initial results, the full database of anonymous raw data, 50% off any pass to TBM Conference 2020, and an invitation to a Bain & Company led session at the TBM Conference, delving deep into the survey results and insights.

The metrics in our TBM Awards nomination form (see question #8) are designed to help you perform an exhaustive analysis of the results you’ve achieved with TBM. It is not necessary that your answers are precise. Instead, use these to examine your TBM program and capture the results in which you are confident.


You should be comfortable in talking about the benefits you claim, even if you cannot be certain about their precise values and you have instead provided reasonable, informed estimates. We will not use your raw answers as the sole basis of evaluating your program; instead, they will help us view your program holistically.


Reduction of time to your benefit realization

In general, how much have you accelerated (as a percentage of overall time) the time it takes to begin realizing the benefits of your investment decisions or changes. For example, if IT investments that would normally take 9 months to begin paying off now take 6 months with TBM, your answer would be 33% (3 months off of 9 months). This reduction might be due to direct factors such as reduce planning timeframes or indirect factors such as TBM enabling an agile development model.


Overall IT cost reduction

How much have you reduced your overall IT spending? For example, if your total IT budget prior to TBM was $100 million and TBM has helped you reduce it to $90 million, your answer would be 10%. You may answer this based on what your expected costs would have been if your budget growth was linear in prior years. For example, if, without TBM, your budgeted spend would have been $110 million this year but was only $100 million (due to TBM), your answer would be 9% ($10M ÷ $110M).


Reduction of time taken to answer ad-hoc questions about overall costs

In general, how much have you sped up your answers to questions from internal customers or stakeholders about IT costs. For example, if it took 2 days on average to answer questions before TBM and it now takes only 3 hours, your reduction in time is 93% (45 hours / 48 hours).


Reduction in actual spend to plan variance

In general, how much have you been able to reduce variances in actual spending vs. plan (or budget), on a quarterly or annual basis. For example, if your annual variance was 3% of your annual budget and is now 1%, your reduction would be 66% (2% out of 3%).

Shift from Run-the-Business to Change-the-Business

In general, how much money have you been able to reduce in run-the-business (i.e., “keep the lights on,” “business as usual,” “maintain and operate the ongoing systems and environment” or “operations & maintenance”) to fund additional change-the-business programs (i.e., “grow the business,” “transform the business,” “development, modernization & enhancement”). You may use Gartner’s definitions of run-the-business and change-the-business or refer to the definitions in the glossary of the members version of the TBM book ( For example, if you reduce run-the-business spending from $250 million to $200 million and used the entire $50 million to fund additional change-the-business spending, your answer would be 20% ($50M ÷ $250M).


Coverage across Reserved Instances / Savings Plans / Committed Use Discounts

How much of your public cloud infrastructure-as-a-service (IaaS) servers do you have included under reserved instances (RI), savings plans, committed use discounts or similar mechanism to reduce compute rates (prices)? For example, if 800 of your servers are covered by reserved instances on AWS, out of an average total of approximately 1,000 servers, your coverage rate would be 80% (800 ÷ 1,000).


Cloud costs allocations (including untaggable spend such as support charges) back to cost centers

How much of your public cloud spending do you do you charge or allocate back to the cost (or budget) centers that are responsible for cloud consumption? For example, if you spend $1 million per month on public cloud services and you charge $750,000 out to the cost centers that are consuming those cloud services, your answer would be 75% ($750K ÷ $1,000K). Such charges or allocations could be made via a bill of IT or direct chargeback or via a TBM cost model whereby costs are allocated to the applications and services that are consuming them, so long as the end consumers are held accountable. To answer this question, ask yourself how much of your public cloud costs are being borne by those who consume them.


Annual public cloud costs savings

How much have you reduced your annual spending on public cloud services that you would attribute to the adoption of TBM OR how much has this adoption helped you reduce overall IT costs? For example, if your total public cloud spending prior to TBM was $10 million and TBM has helped you reduce it to $8 million, your answer would be 20%. OR, if your total IT costs prior to public cloud adoption was $200 million annually and you were able to cut those costs by $10 million annual by adopting public cloud services, your answer would be 10%. Your may answer this based on what your expected costs would have been if your budget growth was linear in prior years. For example, if, without TBM, your budgeted spend would have been $12 million this year but was only $10 million (due to TBM), your answer would be 17% ($2M ÷ $12M).


Reduction in actual public cloud spend to plan variance

In general, how much have you been able to reduce variances in public cloud spending vs. plan (or budget), on a quarterly or annual basis. For example, if your annual public cloud budget variance was 10% ($1M on a $10M budget) two years ago and was just 2% ($240K on a $12M budget) last year, your reduction would be 80% (8% out of 10%).


Reduction in time taken to answer ad-hoc questions about cloud costs

In general, how much have you sped up your answers to questions from internal customers or stakeholders about public cloud costs. For example, if it took 2 days on average to answer questions before TBM and it now takes only 3 hours, your reduction in time is 93% (45 hours / 48 hours).


Increase in on-premise to public cloud migration decision speed (Eg: 2x, 5x, 7x)

In general, how much faster are you able to make public cloud migration decisions? If it took 3 weeks before TBM and just 2 days now, your increase would be about 10X (21 days ÷ 2 days).


Reduction on migration cost overruns

In general, how much have you reduced cost overruns when migrating on-prem workloads to public cloud. For example, if you experienced, on average, 10% cost overruns before and only 2% today, your reduction would be 80% (8% out of 10%).


Reduction in on-premises infrastructure TCO spend

How much have you been able to reduce your on-premises infrastructure and operations (I&O) spending on a total cost of ownership (TCO) basis (including all OpEx and CapEx for internal labor, external labor, outside services, hardware, software, facilities, network charges, etc.)? For example, if I&O spending was $400 million two years ago and just $320 million last year, your reduction would be 20% ($80M ÷ $400M).


Time saved in annual budgeting process

How much were you able to shorten the annual budgeting process, from start to finish? For example, if you normally began on August 1 and finished on December 15 (about 19 weeks) but you now begin on September 1 and finish on November 30 (about 13 weeks), your time saved is 32% (6 weeks ÷ 19 weeks).


Increase in forecasting cadence

How much have you increased the cadence by which your team forecasts its annual IT spending? Answers should be in the format “before cadence vs. after cadence” such as “monthly vs. quarterly” or “quarterly vs. semi-annually.”


Increase in discretionary spend

How much have you been able to increase the amount of discretionary spending (i.e., non-mandatory)? For example, if your discretionary spend was $200 million before TBM and is $250 million now, your answer would be 25% ($50M ÷ $200M). For the definition of discretionary spending, refer to its definition in the glossary of the members version of the TBM book (


Reduction in FTEs needed for Investment planning processes

How much have you reduced the number of full-time equivalent (FTE) employees dedicated or mostly dedicated to investment planning processes? For example, if your investment planning team went from 5 FTEs to 3 FTEs, your reduction is 40% (2 FTEs ÷ 5 FTEs).


Shift from grow-the-business to transform-the-Business spending

In general, how much money have you been able to reduce in grow-the-business (i.e., increased capacity) to fund additional transform-the-business programs (e.g., digital transformation, wholly new product spaces, business model changes). You may use Gartner’s definitions of grow-the-business and transform-the-business or refer to the definitions in the glossary of the members version of the TBM book ( For example, if you reduce grow-the-business spending from $150 million to $120 million and used the entire $30 million to fund additional transform-the-business spending, your answer would be 20% ($30M ÷ $150M).


Reduction on non-performing investments (projects/products)

As a factor of dollars invested, how much have you been able to reduce or eliminate investments that were no longer on-time/on-budget/on-scope or equivalent? For example, if $30 million of investments were non-performing (or underperforming) two years ago but only $5 million did the same last year, your answer would be about 83% ($25M ÷ $30M).


Reduction in IT spend on vendors

How much have you optimized your spending on IT vendors and suppliers, when considering like-for-like business demands? For example, if you spent $100 million on your major vendors and suppliers last year but only $80 million this year, your reduction would be 20% ($20M ÷ $100M). You may answer this based on what your expected costs would have been if your business demand was consistent with or linear from prior years. For example, if, without TBM, your vendor spend would have been $120 million this year but was only $105 million (due to TBM), your answer would be about 13% ($15M ÷ $120M).


Annual reduction in employee hours in billing (showback) and/or chargeback (also charge/recharge) activities

How much have you reduced the amount of employee time (total man-hours) dedicated or mostly dedicated to billing/showback/chargeback processes? For example, if your TBM team spent 120 hours per month before and is spending 40 hours per month today, your reduction is 67% (80 hours ÷ 120 hours).


Reduction in IT spend on apps

How much have you optimized your spending on business applications, when considering like-for-like business demands? For example, if you spent $200 million on your application portfolio last year but only $180 million this year, your reduction would be 10% ($20M ÷ $200M). You may answer this based on what your expected costs would have been if your business demand was consistent with or linear from prior years. For example, if, without TBM, your application spend would have been $220 million this year but was only $185 million (due to TBM), your answer would be about 16% ($35M ÷ $220M).


Annual reduction in employee hours in lean portfolio management (agile funding process) activities

How much have you reduced the amount of employee time (total man-hours) dedicated or mostly dedicated to lean portfolio management processes? For example, if your LPM team spent 80 hours per month before and is spending 55 hours per month today, your reduction is 31% (25 hours ÷ 80 hours).

TBM Connect Community:


We are conducting a survey to understand how is COVID-19 is impacting business priorities and IT spend and cost decisions. Your perspective matters to us as experts in the TBM community. Will you take 5 minutes to respond? Responses will remain anonymous and by participating, you'll get access to the results to see how you compare to your peers.


Please use this link to take the survey.


- TBM Council Team

The 5th annual TBM Council Awards ceremony this year in Las Vegas honored six outstanding companies and teams for their work with TBM. Over 1,300 IT leaders came together to celebrate 12 finalists, and hear their TBM stories (see the videos here). 

2017 TBM Council Awards 

The twelve TBM Council Award finalists represented a wide range of TBM practitioners. Some finalists are at the beginning stages of building their TBM practice, but are already seeing impactful results. Others have a more mature TBM program, which is influencing decision-making at the highest levels of their organization.


They are all change agents at their companies, and shaping the future of their businesses with TBM. Members of the 2017 Selection Committee, including past TBM Council award winners and other industry leaders, took the stage to announce this year’s incredible group of finalists, and be the first to celebrate the six 2017 winners.


Congratulations to the following 2017 TBM Council Award winners:


  • IT Financial Leadership: American Express
  • IT Optimization: Exelon
  • IT Services Transformation: Cisco
  • Business Innovation: SunTrust Bank
  • Strategy and Planning Excellence: Caesars Entertainment
  • TBM Pacesetter: Micron Technology


Each finalist had a story to tell and lucky for us, we can continue to learn from this impressive group of finalists well beyond TBM Conference 2017. Learn more about this year’s winners and finalists by downloading their TBM Council case studies and watching their full TBM Council Awards videos.


2017 has been a year of record growth for TBM Council. We’re excited to announce Mike Brown, VP of IT at ExxonMobil, has decided to sign on for a second term as the Chairman of the Board. Other highlights include the appointment of five new board members, advancements in the education mandate and record growth of the TBM Council’s membership base.


“This has been a monumental year for the TBM Council,” said Chris Pick, President of the TBM Council. “Between the commitments from our growing board to our momentum in the public sector and the exponential adoption of our executive certification, this year’s accomplishments have really cemented the power of the movement we started with TBM to make it an industry-wide discipline.”


Newly Appointed TBM Council Board Members

In the past year, we’ve appointed the following individuals to the board of directors:

  • Bhushan Ivaturi, Vice President and Global Chief Information Officer of Maersk Oil & Gas
  • Julia Davis, Chief Information Officer of Aflac
  • Rhonda Gass, Chief Information Officer of Stanley Black and Decker
  • Trevor Schulze, Chief Information Officer and Vice President of Information Technology at Micron Technology
  • Carman Wenkoff, Executive Vice President and Chief Information Officer at Dollar General


TBM Executive Certification Program

Since its inception at last year’s TBM Conference, the TBM Council has trained more than 540 executives from private companies such as AOL, Farmers Insurance, FedEx, HP Enterprise and Nike, and public sector agencies including the Department of State, Department of Commerce, Department of the Interior and United States Department of Agriculture through our first-ever TBM certification program.


The TBM Executive Foundation course is specifically tailored for senior IT, finance, or other business professionals who need to demonstrate a basic understanding of the TBM framework and how it can be used to improve business value, optimize IT spending, shape business demand for technology and better plan for the future. Learn more about the certification program and to register for an upcoming course here.


Public Sector Adoption

After speaking to more than 200 public sector IT leaders at the White House TBM Summit in late July, the Federal CIO Council, the General Services Administration (GSA) and the Office of the Federal CIO (OFCIO) have committed to guiding agency adoption of TBM. To learn more about public sector adoption of TBM, please visit:


Record Growth in TBM Council Membership

In the last year, the TBM Council has increased its membership base significantly, growing more than 45% to include more than 4,500 innovative individuals in IT and Finance who are all committed to managing IT with business discipline. TBM Council membership is open to IT, finance or business leader who meets the applicable membership qualifications. For more information on membership and how to join, please visit


Strategic Partnerships

The TBM Council recently entered into partnerships with Business Relationship Management (BRM) Institute and CxONExUS to bolster research and collaboration. The TBM Council and BRM Institute will pursue projects and events designed to uplift knowledge of both disciplines. The partnership with CxONExUS will allow the TBM Council to deliver a peer-based research platform for joint members.


The TBM Council will also be announcing worldwide premium and corporate memberships. For more information on how to become a member, please visit:

This blog was originally written by Ludvig Millfors, Partner, Strategisk IT Centigo. It was published on October 7, 2017 via the Centigo blog. You can read the original blog post here.


Three ingredients of the recipe for success
Most businesses and organizations we collaborate with or read about face an enormous pressure to upgrade and invest heavily in new technology. Going digital is shaping the narrative in all areas and industries including all external service providers such as consultants.
Although this ambition creates an at times unhealthy level of stress upon teams across the globe to deliver Digital, it also attracts a lot of new types of talent to the technology scene. By diving straight into the blue ocean and proposing fascinating ideas, the world of change leadership is flourishing. It offers fresh winds and excitement into organizations. Members or successful technology departments have gone from a support identity to a business critical and competitive advantage identity. 
We, at Centigo, embrace this like every other service provider. We would like to, however, take a moment of your time to highlight a few cautions and some advice that needs attention in order for your organization’s continued success in your digital endeavors. 
Management teams around the globe still have a long way to go in catching up with what really is happening in the technology space. There are still organizations out there with stated digital ambitions lacking proper technology representation in leadership meetings or at board level. This will likely change soon but one important action to lift technology on the agenda beyond ambition is to build a solid foundation for governing your technology. 
The technology governance scene is changing as rapidly as the evolution of the technology itself. This means you have to make sure you can find new paths to show and manage value. You have to seek and find a direction that allows you and your technology team to month over month connect multiple technology delivery chains to real value for the organization.
You have to converge your current services into understandable entities that alters the content of the dialogue with the rest of the leadership. You also have to provide flexibility and dynamics not just on the services themselves but, just as importantly, in the parts of your organization that are responsible for delivering technology. We like to refer to this as building a capability to governing the digital value chain.
Here are a three ingredients of the recipe for success:
1. Explore the power of Transparency
The most interesting way to move towards a modern digital governance model is to explore the power of transparency. Establishing a transparent value chain for technology is not as easy as you might think. In our experience, a move towards transparency will cause quite a bit of unease within a traditional IT department. We believe that it is an effect of historic difficulties in finding accurate data in a consistent way. This has led to a tradition of good enough and a continued decrease of expectation of insight into details of an IT department. 
Given that most organizations are looking to drive their digital transformation agenda, there will without doubt come a point where a transparent digital governance model will be inevitable. The capital expenditure levels will create anxiety. The move towards transparency will have to expose todays vulnerabilities. This can seem frightening. It will, however, also be an important step towards building the trust that a successful digitalization journey requires. 
2. Building leverage based on Trust
One foundational part of both building and maintaining funding for digital transformation is the capability to constantly optimize your technology value chains. Setting up an organization that constantly drive bad cost out of running your services to ensure that more funding is placed in evolving or growing the use of modern technology. It is not a one-time effort. To continually be able to show internall effectiveness in this area will build trust. Establishing this foundation and governing capability requires an investment. In times where most organizations want to just invest directly into game changing technology on the front end our advice is NOT to forget the less exiting grunt work of setting the stage. Building the solid base to enable continued growth etc.
3. Get the parties together in a common language
Complexity in governing technology is often directly related to the size of organizations. The more structural entrenchments one see, the more difficult it is to drive progress. When we implement modern governance capabilities to deliver on the first points above, we often find that the people we summon and  connect in workshops never have met before. If they have they hide behind the technical language and complexities that mandate their normal workday. Sometimes we find that within the same organization they will have very different definitions of practically the same objects. They account for similar things in complex variations that does not allow relativity. Even though we introduce very powerful tools to help the major progress is actually we manage to get parties to agree to definitions and paths forward. Sometimes this complicates the discussion but most of the time it creates a common, and often simpler, way to move forward to reach a unified agenda. 

These three important ingredients will make your Digital Value Chains a pleasure to govern. Without it will be equal to making a spaghetti carbonara and missing the parmigiana, black pepper and egg yolk.
When writing this I realize, with some dread, that this message sounds a lot like me lecturing my kids on moments before they embarked the ferry for summer camp this year. I hear the words in my head when I explain the importance of not spending all the allowance on candy. I ask them to make sure that there are some left to buy a toothpaste.
If you are interested in more information on how Technology Business Management (TBM) enables an organization to bend the cost curve for technology services, we want to invite you to our seminar, Oct 26. See more about it below:


We hope to see you there. Visit our webpage for more information about TBM.

If you want more of this kind of content we recommend you to subscribe to our blog too.

Yours sincerely 


Ludvig Millfors | Email: 
Partner, Strategic IT

This blog was originally written by Jonathan Jones, Principal Consultant at DXC Technology on September 12, 2017. You can read the original blog post here.


Implemented effectively, with insight and deep understanding, Technology Business Management (TBM) is a powerful means for the CIO to change the perception of IT from serving the business to growing the business.

Although TBM is becoming widely accepted as a more effective way to run IT – and the tools make inefficiencies patently clear to both the CIO and other business leaders – it’s how the data is interpreted and subsequent actions taken that deliver the real value.

In a previous post, The CIO becomes CEO of your technology business, I covered some of the symptoms that indicate the need for a TBM approach – as well as the drivers for implementing it.

Here are some practical tips for the CIO to optimise beyond TBM tools, and enable transformative change.

Identify and prioritise your initiatives

Cost transparency reveals a plethora of opportunities for optimisation – but they all can’t happen at once. Identification of initiatives must be followed by prioritisation based on a number of factors.

Initiatives that would result in huge dollar savings may seem an obvious choice to be at the top of this list. However, there are other considerations when prioritising such as alignment with business strategy and reliance on organisational change. Business needs and your priorities for optimising IT will change over time – so you will need to remain flexible by regularly reassessing the order of your ‘to do’ list.

Align with your key strategic objectives

The most valuable optimisation initiatives will be those that are directly aligned with your organisation’s strategy. It is often more than just a dollar saving. For example, the saving of $1M in IT costs may seem boring to the business as a whole – but ‘freeing’ $1M by retiring a rarely used legacy system to create a new online presence, opening up new markets and boosting revenue will demonstrate solid business outcomes. This in turn creates new opportunities and secures a more favourable future for the organisation.

Communicating your plans in terms of contributions to the stated strategic directions of the organisation will go a long way to getting your employees on board, and to successful implementation. The ‘whys’ and ‘whats’ you propose must relate to specific business goals.

The more aligned your initiatives, the more recognition your subsequent success will get – easing the process of approval for others. Don’t talk about the underlying plumbing, talk about the house. Attention and visibility are key to gaining support and acceptance for current and future IT optimisation projects.

Make it possible to action change

While some initiatives may seem ‘no-brainers,’ they often can’t get off the ground due to valid reasons from functional managers – such as already committed budgets and responsibilities for other projects from which they can’t afford to divert their time or resources.

HPE Enterprise Services (which joined with CSC to become DXC in 2017)  implemented TBM very successfully across the organisation, by finding, identifying and eliminating redundant/underutilised systems. This activity amounted to cost savings of around US$330M over three years. This may seem like a big number, but it was comprised of many different, smaller projects such as a network rationalisation which cost US$1M, but led to a saving of US$6M.

One of the key reasons for success was empowerment of the TBM Office. The TBM Office had its own dedicated funding and the authority to proactively drive optimisation activities. While the optimisation programs would ultimately be delivered by IT, the TBM Office was unconstrained by the typical budget and resource limitations of the IT department. The end result was a reliable stream of optimisation savings.

For TBM to be successful in achieving concrete savings and better align IT with the rest of the business, consider how you can best remove all the little roadblocks to making a desirable change.

Cultural change is essential – on both sides

Changing IT from a cost centre to a true business partner is an exercise in cultural change. For members of the ITO, it’s about no longer seeing themselves as a separate silo. One of my clients recently said to me that, “You need to educate them to think about the business, not just IT.”

For the business, it can be the realisation that they actually control IT costs more than they know. HPE Enterprise Services issued personalised ‘bills of IT’ along with tips on how to reduce costs. This was based on the idea that a ‘free good’ is often over-consumed because the opportunity costs are not well understood. Seeing the consequences of their choices allows individuals to take responsibility for changing their behaviours.

In one example, a manager who was tethering his smartphone to his laptop when travelling was costing the organisation thousands of dollars a month. Once alerted to the actual costs, he started using hotel wifi services instead. While this seems obvious, understanding the dollar impact ultimately changed that manager’s behaviour.

Alter the mindsets

Organisational change must embed a mindset within the ITO that recognises the value of optimising IT. An excellent way to visualise IT savings, and increase their perceived value, is to measure them in terms of revenue. If your organisation’s margin is usually around 10%, then every dollar you save via IT optimisation is equivalent to $10 of earned revenue. The business can relate to this sort of tangible illustration, and applying such a multiplier will help the ITO team feel they’re positively contributing to the overall success of the business.

Once you are in the execution phase, you will find yourself having a feast of initiatives. Each initiative may see some quick wins but information and the situation will change over time – so your priorities must too. You will be responsible for a range of ‘moving parts,’ so a static spreadsheet is not sufficient. Ongoing stakeholder analysis and engagement will be necessary to keep on top of everything.

As you progress, collect robust evidence of your achievements and align them to the common goals of the organisation. This will maintain clarity and help avoid skepticism within the ITO and the organisation as a whole. Know exactly where you are throughout the journey: keep it real, in real time, to maintain the momentum.

TBM is more than just a tool

If there is one thing we have learned about TBM, it’s that getting value depends on what you put around the tool itself: strategy, effective cultural change and responsive agility.

The steps I have discussed above can get you moving in the right direction. Freeing up capital buried in ‘serving the business’ can make it available for investment in the new technologies for digital transformation that will improve your position against competitors.

Of course, the basis of your digital strategy is knowing where that investment should go and planning your journey. Here too, TBM becomes an enabler. By applying the economics of digital transformation to understanding its cost impact, you are going to be able to drive this transformation to deliver the expected return and benefits.

Jonathan Jones

Jonathan Jones is a principal consultant at DXC Technology and product manager for the Technology Business Management (TBM) offering. His 15 years of industry experience include consulting and developing new offerings in IT cost management. He has extensive experience in helping clients optimise and transform their businesses through the power of TBM and Telecommunications Expense Management.

Need a reason to attend TBM Conference? We have 5!


Here are five reasons not to miss the only conference dedicated to managing the business of IT


  1. Hear from industry leading keynotes – Technology and finance leaders share trailblazer and innovation stories. Speakers include, Ed McLaughlin, VP, Information Technology from Mastercard, Amy Absher, General Manager Technology, Strategy & Services with Chevron, Julia Davis, SVP & CIO from Aflac, and Ralph Loura, Global CTO from Rodan + Fields.


  1. Become certified in TBM – take the course and gain the essential knowledge needed to run a successful TBM program. Participants will leave the class with the essential tools of TBM including the framework, taxonomy, model, and metrics. Sign up to get TBM certified.


  1. Participate in sessions crafted for a variety of TBM levels – Each session is developed with a specific TBM maturity level in mind. Gain insights from your peers on ways to advance your TBM practice. View the session catalog here.


  1. Connect with TBM peers – Spend time with peers at the opening night welcome reception, networking breakfasts and lunches, TBM Awards Gala, community social event at the Encore Beach Club, and more.


  1. Learn from top TBM ecosystem partners – The partners are there to answer your questions and provide insight into the tools and tactics needed to support your TBM discipline.


Enjoy four days with elite IT and Finance leaders and learn how to master TBM in your organization. Gain practical knowledge on the latest version of the TBM Taxonomy, data and tools, operating model, and management capabilities to manage the discipline of TBM. Register today before the price bumps up to $2,495.

This blog was originally published on July 21, 2017.

Last week I was deeply humbled to attend a meeting at the White House to raise awareness for the Technology Business Management (TBM) discipline alongside the world’s leading public and private sector CIOs and CFOs. The purpose of the White House Summit on Technology Business Management was simple: federal IT and finance leaders wanted to learn how to effectively manage the more than $90 billion of our taxpayer technology spending by replicating the success of TBM adoption in the private sector.


As the TBM Council president, attending a meeting of more than 200 public sector IT and finance leaders helped cement the power of the movement we started with TBM. This discipline built on standards, education, and collaboration has become the universal standard to manage technology spending. The TBM standards, created in partnership with the TBM Council’s Founder and Technical Advisor, Apptio, have now been adopted by thousands of organizations around the world as technology has transformed in the age of hybrid IT. It’s for this reason that we received a very special invite a few weeks ago.


Led by Chris Liddell, Director of Special Initiatives at the Office of American Innovation, the Office of Management and Budget invited the TBM Council and several of its members to present on TBM best practices and learnings that could be applied to the US Federal Government. Public sector CIOs and CFOs were curious about how they could leverage the TBM discipline to ensure they were serving as responsible stewards of our taxpayer dollars.


During last week's White House Summit on Technology Business Management, I was joined by TBM Council chairman and ExxonMobil VP of IT, Mike Brown who presented to the group on how he’d leveraged technology business management to change the conversation on IT with his business partners. We also heard CIOs from the State of Washington, AIG, Newport News Shipbuilding and the University of Pennsylvania speak on a panel focused on how they enable value conversations within their business based on the transparency that TBM provides. And finally, we all witnessed a spirited discussion by CFOs of technology divisions at Key Bank, JPMorgan Chase and Stanley Black & Decker on the strategic value IT finance leaders can provide to their organization through smart governance of technology investments.


Every moment of the half-day long summit was thought-provoking, but there were a few standout takeaways from the event:


  • The Administration’s top three priorities relative to technology include: improving service delivery and experience, reducing cybersecurity risks and spending taxpayer dollars wisely. TBM is situated at the center of these priorities and drives them all forward.
  • Perfection is the enemy of progress. This sentiment was echoed throughout the day as many private sector CIOs advocated for the adoption of “minimum viable product" relative to TBM deployment with improvements and enhancements coming over time through use.
  • Financial leaders are equally responsible for driving customer satisfaction and shareholder value. Viewing technology investments through this lens is an essential element of serving successfully as an IT finance leader.
  • The goal of TBM adoption in the public sector is to gain deep transparency into technology spending, benchmark against industry peers and optimize the value of every taxpayer dollar spent on technology.


This event built upon the work many public and private sector Council members did last year to create a federal-specific TBM taxonomy and I was honored to witness and participate in the discussion. Knowing that the Federal Government sees value in the work that is being done at the TBM Council and Apptio is what drives us to continue innovating and spreading the word daily. The transformative role of TBM is clear and we are privileged to be a part of the emergence of TBM in the public sector.


We ended the day with a panel of federal IT executives from the General Services Administration, Department of Justice and the Office of Personnel Management sharing more about their experiences with TBM thus far. It was thrilling to hear how federal IT leaders have already found success with the TBM methodology and taxonomy and I look forward to continuing contributing to their future TBM initiatives.


To all of the hard working government officials who recognize the value of TBM and invited us to be a part of the White House Summit, thank you. I consider it a privilege and an honor to support the hard work you’re doing on our behalf. I am dedicated to continuing evangelizing and supporting the TBM discipline in the public and private sector and invite my fellow members of the TBM Council to join me.


To view the complete federal TBM taxonomy and learn how Technology Business Management can support public sector IT leaders, I invite you to visit and download the IT COST Commission report.


Interested in reading what others are saying about the White House Summit on Technology Business Management? Here are some of the top stories from last week's incredible event:



Make sure to follow the TBM Council on LinkedInTwitter, and Facebook for the latest Council updates, membership information, and upcoming events.

For the past five years, the TBM Council has put a call out to the community for members to share their TBM journey by submitting a nomination for the TBM Council Awards. Since 2013, we’ve heard incredible stories of growth, innovation, and increased business value all made possible through TBM. This year did not disappoint. The Council and the Awards Premier sponsor, KPMG, saw a record breaking number of submissions, all with unique TBM experiences and maturity levels. The nominees were narrowed down to 30 semifinalists, and participated in interviews with KPMG leaders. The interviews showcased incredible examples of increased transparency, improved communication with business stakeholders, and substantial shifts in the way IT impacts the business.


After tough deliberation, the Selection Committee narrowed the 30 semifinalists to the top 12 listed below. Congratulations to the 2017 TBM Council Awards Finalists!


2017 TBM Council Finalists

2017 TBM Council Awards Finalists

Business Innovation Award

This award recognizes finalists who demonstrate the ability to change the conversation with line-of-business stakeholders, the corporate C-suite, and/or the board of directors.

  • Huntington Ingalls Industries

  • SunTrust Bank


IT Optimization Award

This award recognizes finalists who demonstrate the ability to save money on IT spending and get more value per dollar invested.

  • Aetna

  • Exelon


IT Financial Leadership Award

This award recognizes finalists who have shifted IT finance from merely a controller and accounting function to delivering decision-making power to IT, finance, and business stakeholders.

  • Allstate
  • American Express


IT Services Transformation Award

This award recognizes finalists who have shifted IT from being an expense center to delivering services with greater flexibility (e.g., on demand) and transparency of cost, consumption, and quality.

  • Cisco
  • Maritz


Strategy and Planning Excellence Award

This award recognizes finalists who have shifted from static, cost center-based IT planning to a dynamic process that regularly links IT resources to business strategy, business demand for services and innovation, and IT-led initiatives.

  • AmerisourceBergen
  • Caesars Entertainment


TBM Pacesetter Award

This award recognizes finalists who have established a TBM program and have made demonstrable progress in transparency, data quality, decision making, and business results in less than 18 months.

  • Micron Technologies
  • Unilever


The winners of the 2017 TBM Council Awards will announced at TBM Conference 2017 during the November 7th Awards Gala. Attendees are invited to celebrate the finalists and winners at the black-tie dinner. Register today to reserve your seat.


Make sure to follow the TBM Council on LinkedInTwitter, and Facebook for the latest Council updates, membership information, and upcoming events.

On June 15, 2017, the TBM Council hosted the 4th annual European TBM Summit. This day-long Summit brought together 300+ leading IT and finance professionals from around Europe to learn from and collaborate with their peers. The day was filled with great conversations and inspiring presentations. Attendees left with a stronger understanding of the state of TBM throughout Europe and the insight needed to better communicate value to their business partners.


Imagination Technology - European TBM Summit 2017 


The European TBM Summit was one for the history books. Here are some of my top highlights from the ground-breaking day.


Imagination Technology and TBM

This year’s Summit was built around the theme of Imagination Technology. This concept could be felt throughout every aspect of the day, specifically in the diverse line-up of speakers and TBM experiences shared. The sessions highlighted the need for IT and finance leaders to be innovative and agile in a world where disruptive technology and evolving customer needs rule the day. Summit emcee and CIO of Nationwide Building Society, Debra Bailey, said it best when she explained how TBM helps her organization imagine and prepare for the future:


 “Our TBM journey helps us make future choices. We use the intel, the cost and the transparency to help us make those choices.” – Debra Bailey, CIO, Nationwide Building Society




The day consisted of 18 speakers, each with a unique viewpoint and TBM story to tell. Topics ranged from exploring how to simplify the Business of IT and Driving Performance, Agility and Strategic Business Change, to dealing with the often complicated and ever-changing world of hybrid IT. We heard from CIOs, CTOs, Heads of Finance and Controlling, and TBM Leaders from organizations across all industries including Uber, Deutsche Bank, Royal Bank of Scotland, Maersk Oil & Gas, Danske Bank, Shell, Unilever and Amadeus Data Processing. Each session proved the transformative impact of TBM, as well as how it is changing the way IT departments create and communicate value to their business partners.


Don’t worry if you were not able to attend the Summit or missed a particular session, all TBM Council members can access the presentations from the Summit via TBM Connect.


Creating a TBM Connection

I left the Summit with a significant appreciation for the TBM community in Europe. The Summit was launched in 2014 with 95 attendees. This year, the group grew to 300+ leaders from the top organizations and institutions around the region. There was a constant buzz of conversation throughout the day. Attendees were eager to collaborate and learn from their peers and Summit sponsors. The community is growing at a rapid rate and members are relying on one another to provide insight, share lessons learned, and advance the discipline of TBM. 




The conversation and collaboration does not have to stop at the Summit. IT and Finance professionals are invited to join the TBM Council as a way to grow the community and stay connected throughout the year.


Taking TBM Knowledge to the Next Level

Though this did not technically take place on the day of the Summit, the TBM Council hosted its first European TBM Executive Foundation Certification Course on June 13 and 14. This was the perfect way to kick-off Summit. Members of the community gathered for a two day class taught by Todd Tucker, VP and Research & Standards with the TBM Council and author of Technology Business Management: The Four Value Conversations CIOs Must Have With Their Businesses.



The certification course is designed for TBM program leaders (and aspiring program leaders!) and expands on how TBM is about more than just checking a box, and even more than transparency and compliance: TBM is about becoming a change agent that transforms your organization’s accountability model. The course covered TBM essentials including:


  • How to communicate the need for TBM
  • Identifying key tools of TBM
  • How to implement key TBM disciplines
  • How to drive continuous improvement


Attendees of the class ranged from TBM practitioners, to partners, to industry analysts. The variety of roles allowed for rich discussions and unique perspectives around TBM and the fact that it is a journey of continuous improvement. Don’t worry if you missed out on the June course. Additional courses will be held throughout the year. You can register for upcoming certification classes by visiting


The impact of European TBM Summit 2017 will continue to influence the way business is done in Europe and beyond for the foreseeable future. Members of the community are invited to further their TBM know-how by attending TBM Conference 2017 in Las Vegas, November 6 – 9. Register today for $1,995.


Do you have a favorite moment from the TBM European Summit? Let us know if the comment section below.


Make sure to follow the TBM Council on LinkedIn, Twitter, and Facebook for the latest Council updates, membership information, and upcoming events.

This blog was originally written and published by the TBM Council's Technical Advisor, Apptio.

Original published date: June 1, 2017


By: Mckenzie Wright, Apptio


How do you manage the business of IT? If you’ve asked yourself that more than once, it’s time to consider another career path… just kidding. The reality is this isn’t a new concern. In fact, every year over 1,000 IT and finance professionals meet to discuss this very topic.


On November 6th in Las Vegas, the TBM (Technology Business Management) Conference will kick off its fifth annual event as the world’s only gathering dedicated to managing the business of IT. With 1,350+ technology and finance leaders from around the globe, the atmosphere is prime for the exchange of ideas, strategy sharing, advancement of careers, and networking opportunities.


 Here are just a few of the things past conference attendees have said about the experience:


"It’s good to have the diversity of perspectives because I think you usually come out with the best solution." – Gboyega Adebayo, TBM Conference attendee


"This is such a cool event, what it really means is that the profession we represent is finally coming of age." – Rob Carter, EVP & CIO, FedEx Corporation


Watch the video below to hear why you should attend the 2017 TBM Conference, November 6th -9th in Las Vegas.


Why Attend the 2017 TBM Conference


5 reasons you should attend


1. Network with leading IT professionals across all industries

Thousands of CIOs and other IT leaders from around the world will be in attendance from companies such as Nike, KeyBank, FedEx, CHRISTUS Health, Cargill, and more. With all these innovative leaders, you can hear about the best practices for investment optimization and increased transparency, the challenges of cloud migration, as well as other trending topics in the industry.


2. Be a part of advancing the disciplines, standards, and strategies of IT

In every industry, there is a basic structure that’s been around for ages. What’s different about the TBM conference is that you get to be a part of the advancement of the IT industry. Technology is no longer a keep-the-lights-on function. Innovative CIOs like James LaPlaine, of AOL, believe, “IT can be a strategic weapon, and can be a catalyst for business transformation.”


3. Experience the new conference breakout

First two days: Leadership Summit designed for elite IT and Finance leaders who will share their TBM adoption stories and their unique paths to delivering value to their organizations. The agenda appeals to all levels of TBM maturity – from transparency and cost optimization to services provider to digital enterprise. You’ll learn the strategies to evolve your organization's TBM discipline.


Second two days: Practitioner summit that focuses on gaining practical knowledge around the TBM Taxonomy, tools to manage TBM, anatomy of the TBM office, adoption best practices, and more. 


4. Hear from amazing conference speakers

TBM Council brings together some of the brightest leaders in the industry to help share their stories. Here are just a few past conference speakers:




5. Attend the annual TBM Awards Gala

Hear some of the most inspirational stories exemplifying incredible achievements in the areas of business innovation, IT optimization, IT financial leadership, services transformation, and TBM adoption. The TBM Council Awards honor IT and Finance leaders for their ingenuity, creativity, and contribution to TBM. 



Join us

Over the last 5 years, Apptio has had the pleasure of watching the TBM Conference grow past its origins in Seattle and we’re excited to continue supporting as the TBM Council’s Technical Sponsor. We hope to see you at the event.

If the list above isn’t incentive enough, sign up now and receive a $1000 off the full price. See you in November! 

This article was contributed by Giuliano Caldo, VP, Head of IT Diagnostics, McKinsey & Company, Inc.


IT has traditionally been seen as a black box and a cost center that the business only thought about when servers went down. Today, that story is being rewritten.


IT has traditionally been seen as a black box and a cost center. Long ago, when I was an IT manager, the conventional wisdom had it that, if everything went well, nobody even knew IT existed; only when servers went down or in the budget season, did the business think about IT.


Nowadays, IT can be much more than that. Multiple initiatives have emerged to change the ‘old’ way of thinking and to put CIOs at the forefront of delivering business innovation. One of the most successful frameworks in this area is called Technology Business Management. Ultimately, TBM’s purpose is to help CIOs turn IT from a cost center to a driver of value, by managing IT like a business.


McKinsey has identified 5 different archetypes of increasing TBM maturity. For example, Archetype 1, “Transparency Driven” is a largely black-box IT department, trying to increase transparency but with few new cost savings. Moving up in TBM maturity, Archetype 3 is the “Portfolio Optimizer”, where IT interacts with the business based on an effective service portfolio. The most visionary Archetype 5 is called “Digital Enterprise”, where IT is one of the driving forces of business digitization.


However, despite the general agreement that technology-driven companies are the winners of tomorrow, many CIOs are still facing challenges that prevent them from moving up the TBM archetypes.

What are the reasons for this?


In my consulting job at McKinsey, I have diagnosed IT performance of hundreds of companies in multiple sectors and geographies, and have had the opportunity to talk with many CIOs about transparency and TBM. The two main issues I’ve observed IT leaders face are 1) the difficulty to successfully explain IT services to the business and 2) the complexity of IT performance-related data (costs, FTE, projects, asset inventories, etc.).


Because of these apparent difficulties, CIOs will often decide to indefinitely postpone the necessary TBM journey. In a survey run by McKinsey with over 100 IT organizations, it turned out that 62% of respondents are still at Archetype 1, and have neither been able to define a systematic cost-savings program based on additional IT transparency nor to have a service catalog covering most of its IT.


What can be done to change this? While each company is different, there are typically three things that can help jump start TBM:


  1. Build a vision, by describing your applications as business-oriented services
    Looking for an example? Just visit the website of, gsuite, or at any other cloud-based enterprise service. 
  2. Get the facts, by making a map of IT data sources
    What information is needed to understand the cost and service level of each of the above services? Where does the info lie? What is the data quality? 
  3. Be gradual
    Work in waves of 3-6 months to aggregate and analyze data about your IT; each wave should incrementally increase transparency of IT, and, especially, should bring specific benefits, in terms of cost savings, improved service levels, etc.


The opportunities are numerous, TBM can turn IT from a cost center to a source of value, and from a black box to a digital toolbox. It’s a journey; all it takes is the first step.


Please join Giuliano Caldo of McKinsey, and other IT leaders at Leading IT Like a Business in Frankfurt, Germany on November 24th, 2016

It is that time of year again, the nominations for the 2017 TBM Council Awards are open! This year marks the fifth year of the TBM Conference and the TBM Council Awards program. Throughout the past five years we have heard from a variety of leaders and change agents who have transformed their organizations with technology business management.


This year, it’s your turn!

Submit a TBM Council Awards Nomination


The TBM Council Awards honors all levels of TBM experience. Whether your organization has recently embraced TBM or you are implementing TBM throughout the enterprise, there is a category for you and your team.


Here are a few category considerations to keep in mind when submitting your nomination:


Business Innovation Award – The Selection Committee is looking for an organization that is changing the conversation with line-of-business stakeholders, the C-suite, and even the board of directors. Can you show how your team has shifted budget from maintenance costs to innovation?


IT Optimization Award – Finalists for this category will provide tangible examples of how they are saving money on IT spending and/or are getting more value per dollar invested.


IT Financial Leadership Award (formerly CFO of IT Leadership) – Finalists for this category have changed the role of IT finance at their organization. They are no longer looked at as merely a controller/accounting function. They are seen as drivers of decision-making power to IT, finance and business stakeholders.


IT Services Transformation Award –The Selection Committee is looking for leaders who can demonstrate how their team is shifting IT from being an expense center to delivering services with greater flexibility, transparency of cost, consumption and quality.


Strategy and Planning Excellence Award – Finalists for this category have embraced dynamic planning. They have shifted from a static, cost center-based IT planning process to one that regularly links IT resources to business strategy, business demand for services and innovation and IT-led initiatives.


TBM Pacesetter Award (formerly CIO Business Leadership) – Finalists for this category can demonstrate how their organization has made significant progress in transparency, data quality, decision making and business results in less than 18 months with TBM.


Since the TBM Council Awards began in 2013, we have seen and heard incredible stories of TBM success. Now it’s your chance to share your story. Nominations are open through April 21. Nominate your team today!


Follow the TBM Council on LinkedIn, Twitter, and Facebook for the latest Council updates, membership information, and upcoming events.

For the past two years, federal agencies have been graded on their adoption and implementation of the Federal Information Technology Acquisition Reform Act (FITARA). Agencies are scored in the following categories:


  1. Data Center Consolidation
  2. IT Portfolio Review Savings
  3. Incremental Development
  4. Risk Assessment Transparency


What have the results of this assessment revealed? Though agencies have made progress, they are still struggling to manage their IT spending. A recent survey conducted by GovLoop and Apptio, found that 55% of 295 public-sector employees surveyed do not believe federal IT managers are fully aware of their agencies’ IT investments and their value. Neither are their agency’s non-technical leaders, according to 72% of respondents.


These findings are reflected in the 2016 FITARA scorecard, with zero of the 24 agencies scoring an “A” and only one receiving a “B” grade.


Change and progress take time. The Technology Business Management (TBM) Council is committed to supporting both public and private sector IT leaders establish better transparency and collaboration around their IT spending.


Cutting out IT Redundancies

“Infrastructure remains a common source of inefficiency, oftentimes the results of maintaining too much unused capacity.” – Todd Tucker, Technology Business Management, The Four Value Conversations CIOs Must Have With Their Businesses


One of the key scoring criteria for FITARA is around data center consolidation. The Office of Management and Budget requires agencies to provide an update to their data center inventory, a strategy for optimization and consolidation, and quarterly updates on their progress. A letter grade is issued based on how much of the planned savings has been realized.


TBM enables IT leaders to manage multiple data centers as a portfolio. When measuring costs, TBM takes into account data center costs in their entirety on a total and a per-unit basis. This includes rack units, square footage, location, purpose, tier, depreciation, leases, power, cooling, and additional overhead. These metrics allow you to compare your multiple data centers and determine their overall cost effectiveness.


Having detailed insights into your costs and their causes allow agencies to determine where it makes the most sense to host new applications, optimize costs, and/or decommission inefficient infrastructure.


Creating Inner-Agency Transparency

When employed by your IT organization and with your business partners, transparency allows you to exploit the forces of supply and demand, empower your people to make value-based decisions, and accelerate initiatives that are important to your business.” – Todd Tucker, Technology Business Management, The Four Value Conversations CIOs Must Have With Their Businesses


Excelling in the four categories requires an enhanced level of transparency.  Agencies must report on their IT investment portfolios, including the ability to deliver timely functionality and manage risk. Getting to the granularity needed to generate these reports may seem like a monumental task, but it is essential for IT leaders to gain a better understanding of their current resources and begin planning for their agencies’ ever-changing needs. Agencies are often held back from establishing a more transparent organization because of the challenge of articulating reports in a way that is relevant for the rest of the agency.


A taxonomy is necessary to standardize how IT leaders report costs and other metrics. The TBM Taxonomy is a common language for IT, finance, and additional agency stakeholders. It allows for agencies to compare and benchmark their costs to their peers and third-party vendors. Adopting the TBM Taxonomy drives consistency among stakeholders and gives CIOs and their teams the visibility FITARA requires into their cost-for-performance.


Download the Federal IT Cost Commission Report

“The goal of the TBM Taxonomy is to enable a consistent method to define, analyze, and report on all aspects of IT spending and to enable measurement of IT value for improved decision making.” – The Federal IT Cost Commission Report


The Federal IT Cost Commission Report was released in 2016 by the IT Cost Commission, and provides recommendations on how federal IT leaders can adopt and adapt the TBM Taxonomy in order to improve transparency, reduce waste, increase efficiency and the value of IT spending. Download the report to gain full access to the recommendations and learn how TBM can support your overall FITARA score.  


Follow the TBM Council on LinkedIn, Twitter, and Facebook for the latest Council updates, membership information, and upcoming events.