Everyone talks about FinOps when it comes to cloud cost control.
But TBM?
Itโs the only framework that provides a structured way to align IT spending - both digital and non-digital - with business value.
Today most IT cost-cutting efforts focus on cloud costs.
But what about on-prem data centers, networking, end-user computing, software licensing, IT service management, and physical infrastructure?
Thatโs where TBM shines.
Unlike FinOps, which primarily focuses on cloud cost management, TBM covers all IT spend - digital and non-digital.
That means:
โ On-prem data centers (server costs, cooling, power, maintenance)
โ SaaS and enterprise software (license costs, renewals, shadow IT)
โ Network infrastructure (bandwidth costs, MPLS, SD-WAN optimizations)
โ End-user computing (desktops, mobile devices, IT support costs)
โ IT services & outsourcing (managed services, BPOs, contract negotiations)
This is what makes TBM different - it breaks IT costs into layers:
โ Cost Pools โ The raw IT expenses (hardware, software, labor, facilities, etc.).
โ IT Towers โ Logical groupings like compute, storage, network, and applications.
โ Products & Services โ The services IT delivers (e.g., CRM platforms, cloud storage, collaboration tools).
โ Business Units โ The actual consumers of IT resources (sales, marketing, HR, etc.).
This multi-layer mapping gives granular visibility into IT spending.
This enables CIOs and CFOs optimize across hybrid IT environments.
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Most organizations optimize reactively - shutting down workloads, cutting headcount, or delaying upgrades.
TBM forces a proactive, data-driven approach by integrating:
โ Cost transparency โ Mapping IT costs to business units, services, and outcomes
โ Showback/chargeback โ Assigning costs directly to business teams for accountability
โ Unit economics โ Measuring IT efficiency per unit of business value (cost per transaction, cost per API call, etc.)
โ Benchmarking โ Comparing internal IT costs with industry standards to identify waste
The result?
โ IT isnโt just seen as a cost center - it becomes a strategic partner.
โ Cost-cutting doesnโt compromise performance or innovation.
โ Businesses make smarter investment decisions, balancing cost, quality, and value.
Why TBM is still underappreciated?
TBM doesnโt promise quick fixes.
It requires a mature cost culture, strong leadership, and deep integration into financial planning.
And the truth is - many companies donโt want to do the hard work.
Theyโd rather cut budgets blindly than ask the harder question:
"Is this IT spend actually driving business value?"
The companies that do embrace TBM gain full control over IT costs - cloud, data center, software, infrastructure, services, everything.
TBM is about spending right, not spending less.