Strategy4IT – Glossary

Business Process
The various activities enabling an organisation to conduct business.
Sub Process
The order in which business processes occur e.g. marketing then sales.

Product Category
A group of products with a similar theme or function. A group of items or ‘things’ within your organisation with a similar theme or function.
A type of business service or offering provided to customers of the organisation.

The primary areas in which you operate: continents, countries or large areas (E.g. Asia or North West England).
The specific country, area or location from which your organisation operates (E.g. Tokyo Branch, or Head Office).

Business Unit Group
The first level segregation of business activities within the structure of your organisation, e.g. divisions, or management areas.
Business Unit
The second level segregation of business activities within your organisation e.g. departments activities within your structure e.g. departments.

Financial Year
A period selected for accounting purposes and preparing financial statements.
Financial Reporting Currency ISO
Currency codes are composed of a country’s two letter abbreviation (e.g. UK, US) plus a third character denoting the currency unit. All codes should be ISO 4217 standard.
Reporting Symbol
Strictly related to the ISO list, standard currency symbols should be used. E.g. dollar = $, pound sterling = £ and Euro= €
Financial Format
Numbers are separated by denominations of thousands, or three decimal places. E.g. £1,000,200.00.

Systems & Services: All IT related assets, contracts and licenses including those for hardware, software, business applications, IT services and support whether purchased externally or provided by internal costs centres or teams.

Licence Type
1. Internal
System is built or supplied and maintained internally.
2.External Perpetual
A one-off purchase of hardware or perpetual license bought from a third party.
3. External Leased/Annual
A lease of hardware and/or software or a long term (for example annual) license purchase.
4. External Pay-as-you-go/Cloud
A license for an externally provided service, paid per use, for example per user or per capacity consumed.

Type of Support
1. Internal Support
First and second line support and maintenance on the system is provided by internal or permanently contracted experts.
2. External Support
First and second line support and maintenance on the system is provided by externally contracted experts on a long term dedicated contract with SLA.
3. External On-Demand Support
There is no dedicated contract for support and maintenance, support is paid when it is required on a one off invoice basis.
4. External – Pay as you go
Support is part of the pay as you go PAYG licence to use the software and not a separate agreement and is provided by the external provider alongside the service.

Type of Costs
1. Running Cost
Running Costs are necessary expenditure that keeps a business going without any change or development. These could include maintenance, support, depreciation (if any), base license fees etc.
2. Investment Cost
Investment Costs are concerned with upgrades and change within an IT structure, for example: projects, development, new or upgraded licenses – all of which could incur extra expenditure could potentially be saved upon.
3. Total Cost
The sum of your running and investment costs.