IT Benchmarking

8 July 2016

Challenge

An investment management firm’s infrastructure services were supplied by the parent bank.

There was a lack of transparency on cross-charges; service was fair but the cross-charge felt excessive.

IT Benchmarking Findings

Investit’s benchmarking showed the cost/head for infrastructure was significantly higher than peers’ and the overall IT spend was higher than their complexity demanded.

Resulting benefits

Savings of 20 x benchmarking cost in 1st year.

Our client’s costs were adjusted to match the industry average level of infrastructure charge.

The investment management subsidiary used this evidence to negotiate a more transparent and appropriate cross-charge.