for Insurance firms

Bottom-up cost analysis of IT estates at speed to build momentum, confidence, and profitability

Strategy Consultants handle diverse projects with a common theme: “Advanced Current State Cost Analysis & Scenario Modelling for potential Target States”

With Technology becoming ever more complex, Cost analysis and associated modelling requires a lot more sophistication than what Excel proffers

In an age of higher interest rates, talent constraints, and complex emerging Tech (eg AI) – Consultants need to do more to convince clients in adopting Digital Transformation initiatives

All within the typical 8-12weeks project cycle.

Traditional top-down, excel based techniques aren’t adept at handling the complexity of modern enterprises

Build strategic client relationships to avoid multiple points of failure

According to the reputed Consultants, Bain Research, the success record of Technology Cost Programs is poor

90%

of companies have run Technology Cost Programs recently

75%

of companies didn't achieve their cost targets

50%

missed targets by more than 50%. Exited costs creeped

The current process to Technology Cost Analysis is manual and error-prone

"Excel-magic" has its limitations.

Impacts speed & agility to emerging dynamic events

limits insights to simple top-down cost metrics

Lack of clear understanding of Technology spend

There are significant operational limitations with bottom-up, granular cost data and cost levers - all of which impacts the granularity, transparency and level of benchmark insights that can be generated

Difficulty in painting the financial picture of your proposed Target & Interim states

Ease of scenario modelling ensures you are able to easily and quickly model various scenarios, compare any two of them to demonstrate

Nervous of adopting emerging Technology such as AI

Typical capital investments are made using manual computations on a case-by-case basis using spreadsheets. The complexity of emerging technology with its complex architectures necessiates a standards-based Cost Model that can convince skeptical clients of the associated benefits

CostLens provides Consultants with advanced capability to cut to the cost problems at speed

CostLens is Technology Cost Management software for hybrid, multi-cloud teams that enables granular cost control, demonstrates value and improves confidence in investment decisions.

CostLens generates advanced metrics for market-leading cost analysis approaches

It enables Consultants to take a triangulation basis to Cost Analysis

Target-setting approach

aka Benchmark-driven approach that matches competitor or aim for best-in-class

Strategy-backed approach

aka fit-for-growth approach that reduces the 'bad' and protects the 'good'

Cost of Functional Capabilities with associated breakdown breakdown
TCO of Service Capabilities with associated breakdown
Fully loaded cost of servicing Corporate Functions & Products

Benchmarks
Unit Costs
Breakdown by Cost Pools aka Assets
Breakdown by Cost Categories
TCO of Services

CostLens surfaces 'WHY' particular cost areas are high by analysing multiple perspectives to determine root-cause

Macro-level

Macro-level benchmarks

Compares your organisation vs others in the sector in terms of high-level metrics such ads IT Opex as % of overall Opex, IT Spend per employee, Opex vs Capex split, etc

Operating Model

Operating Model benchmarks

Compares your current Operating Model vs others in relation to key cateogries such as Personnel, Outsourcing, Hardware, Software, etc

Tower-level

Tower-level Benchmarks

Compares your current Functional Towers vs others in relation to key categories such as Infrastructure, End User Computing, IT Security, Service Desk, etc

Infrastructure

Infrastructure Benchmarks

Facilitates a deeper level of drill-down of your infrastructure into the key sub-categories such as Compute, Database, Datacentre, Middleware, Storage, etc

Unit Cost economics

Unit cost economics

Unit Cost Benchmarks

Compares key spend areas to identify cost efficiency metrics such as cost per ticket, cost per Windows instance, cost per TB of storage, etc

Productivity metrics

Productivity Benchmarks

Focuses on productivity metrics such as workload supported per Service Desk FTE, no. of Windows servers supported by FTE, etc

Corporate Support Functions

Corporate Functions TCOs

Focuses on the cost of supporting the Corporate Functions vs peers. Examples include TCO of supporting Finance, HR, applications etc

Business Unit demand

Business Unit Benchmarks

This benchmark splits the cost in line with front-office BUs such as Asset Management and Wealth; and considers the cost of supporting the size of the business in line with Business metrics such as AUM, No. of Policies, IT Cost-Income ratio, etc

CostLens is the only tool that builds cost traceability across complex shared Technology enterprises

Showback/Chargeback

Automate Showback /Chargeback charges

Best Practice Reports automated right-down to the Product level with granular permissions control

Showback/Chargeback

Automate time-consuming BU-level variance reporting

articulate cost reductions despite other cost uplifts

Cost Analysis

One version of the truth with well understood end-to-end ripple impact of cost decisions

Aggregation , classification & modelling of Technology costs to industry standards

Target State Optionals

Improve ease of Scenario Modelling & Analysis

Compare Current State vs multiple Target States to outlines cost-benefit options

CostLens brings the power of big-data analytics to deliver huge benefits

Generates advanced metrics of complex cost structures

such as Unit Costs of Infrastructure

Consumption-based billing

drives changes to behaviour

~ 80%

typical reductions in manual effort when compared to Excel

Articulate business-led demand

Consumption-driven cost increases drives accountability

Offers transparency of opaque costs

Technology costs expressed in terms the business understands

Drives shared accountability

Consumption-based charges drives accountability of cost levers