Metamorphosis enabled TransAlta, a leading energy generator and marketer, to have more constructive, strategic conversations with the business about IT service costs.
Client: TransAlta is the largest independent power generation and wholesale energy marketing company in North America. With output of over 8000 megawatts and 50 power plants, TransAlta has annual revenues in excess of $3B.
Situation: TransAlta wanted to more equitably allocate IT costs to each business unit based on the real consumption of IT applications and services. The Information Technology department provides application, help-desk and infrastructure services and support to all of TransAlta’s facilities across North America.
Approach: Metamorphosis implemented a Cost Map cost model that enabled the TransAlta Information Technology department to improve the way service costs were described and to improve the equitable allocation of costs to each business unit. The scope of the cost model comprised functions and services and involved working with eight IT Managers and a Director over an initial four-month period. The client is now self-supporting using the Cost Map methodology and tools.
Results: TransAlta was able to more accurately and equitably allocate the true cost of IT for each business unit. This information allows each business unit to make more strategic IT investment and usage decisions. The Cost Map provided a clear line of sight to what each business required from IT and the associated delivery costs. IT is now able to provide clearly defined, visible and transparent costs, linked to cost drivers the business now understands and can manage.