IT Service Financial Management

Supervision

It is the task of Service Level Management rather than IT Service Financial Management to negotiate with customers and draw up a catalogue of services. However, it is advisable for the financial aspects of this task to be supervised by Financial Management.

It is therefore necessary for there to be fluid and appropriately structured communication between both processes.

On the one side Service Level Management must provide information to Financial Management about:

• The type of services customers ask for:
• The SLAs contracted.
• The underlying contracts (UCs) in force.
• Market trends and Service Improvement Programmes (SIP).

And, on the other side,Financial Management has to provide information on:

• The real cost of the services.
• Forecast costs.
• Deviations in actual costs with respect to forecasts.
• Payment methods and conditions.

Without a close collaboration between the two processes it will be impossible to arrive at agreements that would be both profitable and satisfactory for the customer.