IT Cost Transparency

What Does IT Cost Transparency Mean?

IT cost transparency is a branch of IT management that combines finance and management accounting principles with the acquisition, maintenance and deployment of IT products and services used by large and small organizations.

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IT cost transparency factors include licensing costs, IT personnel/labor, asset management and project portfolio management (PPM).

Techopedia Explains IT Cost Transparency

As businesses mature, many discover the need to keep proper track of IT-related expenses. This allows a business to plan its IT growth, allocate sufficient business component resources and identify and address areas requiring improvement.

IT cost transparency is often implemented through a specialized tool that measures multiple factors, such as software utilization, cost upon purchase and return on investment (ROI). Individuals that execute IT cost transparency processes should have a thorough understanding of accounting or business management.

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Margaret Rouse

Margaret Rouse is an award-winning technical writer and teacher known for her ability to explain complex technical subjects to a non-technical, business audience. Over the past twenty years her explanations have appeared on TechTarget websites and she's been cited as an authority in articles by the New York Times, Time Magazine, USA Today, ZDNet, PC Magazine and Discovery Magazine.Margaret's idea of a fun day is helping IT and business professionals learn to speak each other’s highly specialized languages. If you have a suggestion for a new definition or how to improve a technical explanation, please email Margaret or contact her…