IT chargeback is a process where departments are held accountable for their technology usage and resource expenses. IT chargeback usually results in a report that brings visibility to the costs associated with the IT services the various departments consume.

Chargeback Strategies

Different tools may require different allocation strategies. Different chargeback strategies should be used with different tools.

Torii support 3 different chargeback strategies:

  • Bottom up - cost per license - The recommended strategy to apply where different costs apply to different license types. Use this strategy for integrated applications where you pay by seat.

  • Bottom up - cost per user - The recommended strategy to apply where you pay per user regardless of their license type. Use this strategy for non integrated applications where you pay by seat.

  • Top down - The recommended strategy for apps that are not charged per seat (e.g. Cloud Computing, Firewalls, Network Infrastructure) where you allocate cost to business units by percentage. Use this strategy for applications that are not charged by seat.

If chargeback has been configured for an application, you can see its report from the Application Page → Chargeback tab.

A consolidated report of all application chargebacks is available from the Licenses Page → Chargeback tab.

Configuring Chargeback Per Application

Chargeback configuration is set from the Chargeback tab in the application page.

Click Configure chargeback or Reconfigure in case you want to change an existing configuration.

Choose the allocation strategy and the other required info.

💡 Notice that changing the annual cost per license in the chargeback setting also changes the values in the Licenses Page and vice versa.

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