Energy: Shared Services Cost Recovery

For the Information Technology (IT) department of a Fortune 100 Energy client, XL-Lead Consulting provided a finance and cost recovery model. The IT Group operated in a Shared Services model. That means that as they paid costs out for an enterprise application integration suite, they needed to charge back the costs to the various departments that would use the service.

XL-Lead Consulting was brought in to develop a cost recovery model that would be accepted by all departments and could be implemented efficiently. As Enterprise Application Integration deals will the exchange of information across the company network, developing a fair model was not an easy task.

XL-Lead Consultants proficient in change management and relationship building were tasked to bring all the various stake-holders together in the spirit of developing an agreed upon approach. XL-Lead Consultants proficient in developing financial models built the various viable options.

After considering various options, the one that was selected added a surcharge to each project that wanted to use the integration layer. The surcharge depended on the size of the project. Departments sponsoring those projects would be levied the extra surcharge.