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Zero Cost Base Budgeting Zero Cost Base Budgeting Presentation Transcript

  • ABC COMPANY Fiscal 2004 IT Plan ABC Corporate IT is initiating the development of Fiscal 2004 IT Plan worldwide for ABC COMPANY. One important purpose of the plan is to identify companywide all the costs associated with IT activities so that we can better understand the opportunities for cost reductions without reducing the value that IT delivers to the businesses. The current worldwide IT costs exceeds 3% of revenue. The executive management of the company has set a goal to reduce the worldwide IT costs to no more than 2% of revenue. To achieve that target, we will need to look closely at each and every cost component of the IT operations worldwide and assess the cost-value proposition of the IT assets and services used to support the businesses. The Fiscal 2004 IT Plan development involves identifying the current IT initiatives and costs for Fiscal 2003 and defining the IT initiatives and costs for Fiscal 2004. The Fiscal 2003 costs would include actual costs for nine months (Apr. '02 - Dec. '02) and estimating costs for the remaining three months ( Jan. '03 - Mar. '03). In planning for the Fiscal year 2004 costs, we need to look for every opportunity to reduce or eliminate costs. For this effort, we are asking you to use the concept of Zero Base Budgeting i.e. to justify each and every component of the costs for year 2004 irrespective of whether the same costs were incurred in previous years. For this IT plan, you need to report initiatives and costs for the following categories: Personnel Computer Hardware Computer Software Communication Hardware & Software Communication Services Included in this file you will find Excel spreadsheets for each of the above categories for you to fill with costs data. You will notice the spreadsheets already contain the formulas for summation of the numbers. Do not include any costs allocated to you from corporate for shared use of corporate computer systems and services. Include communication services costs as those are costs actually incurred by you, though the Corporate IT pays the bills and charges the amount to your account in G/L. Below are further explanations for you to consider when filling these spreadsheets. Personnel This spreadsheet should contain costs for all employees performing IT activities including employees performing IT activities on a part time basis. Costs for consultants and temporary staff should not be on this spreadsheet. For part time activities, use prorated costs for the time spent for performing IT activities.
  • The spreadsheet has two parts: Costs and Headcount For costs, the spreadsheet has already listed the descriptions of the key cost items in this category. If you have costs in the "other" classification, please identify what they are. For headcount, count all employees performing IT activities including employees doing it on a part time basis. For part time work, use fractional headcount on a prorated basis. Computer Hardware List all computer hardware by item categories: - PCs - Laptops - PDAs - Servers - Printers - Mini Computers - Mainframes - Storage (Mainframe attached, Server attached, Network attached) List separately items that are quite different in size or specifications even within a category. List items separately if they are leased or purchased indicating leased or purchased. If the item was purchased but the cost was not capitalized so that there is no lease, maintenance or depreciation costs, or if the purchased item is fully depreciated, show the item on the list with zero cost. If you don't have costs identified by items or categories, show costs at the total level but list the items in the spreadsheet. If the item list is quite long and you don't want to type it, attach a document containing the list and indicate that the item list is attached. You would still need to justify each hardware for Fiscal year 2004. Explanation of some Columns Lease/Pur: Lease or Purchase costs. If the cost of the purchased item is capitalized, then do not include the Purchase cost here, include depreciation and maintenance costs here. If the purchased item cost is expensed (does not meet the threshold for capitalization) then include the purchase cost here if the purchase takes place in 2003 or 2004. If the item is leased, include the lease costs here Maint: Maintenance costs for leased or purchased hardware Depr.: Depreciation costs for purchased hardware that is capitalized Computer Software List all computer software by item categories: - Operating System (e.g. WINDOWS, OS/400, VM, MVS) - Office Productivity Software (e.g. Word, Excel, MS Office Suite) - Security Software (e.g. Virus Checking, Firewall) - Utility Software (e.g. Data Backup) - Database Software ( e.g. MS SQL, Oracle)
  • - Systems Management Software (e.g. CA Unicenter) - e-Business Software ( e.g. Web Portal) - Application Software (e.g. ERP, Financial, HR) - Application Development Tools (e.g. VB, COBOL) - Etc. The important point is here is to have the complete inventory of computer software with justification for Fiscal year 2004 Again, if costs can not be identified by individual item or category, show costs at the total level. List items separately if they are purchased or leased indicating purchased or leased. If the software was purchased, but the cost was not capitalized so that there is no lease, maintenance or depreciation costs, or the purchased item is fully depreciated, show the item on the list with zero cost. If you don't want to type the list of software, attach the list as separate document and indicate as such. The list should have the justification for Fiscal year 2004 for each software and the number of copies you have. For example, three copies of Visual Basic programming software are for three application developers. Explanation of some Columns: (same as in the Computer Hardware section) Communication Hardware or Software Many communication devices and systems come with hardware and software packaged; as such, the item inventory and costs are to be recorded as combination of hardware and software. List all communication hardware and software by item categories: - Routers - Switches - Hubs (Repeaters) - Multiplexers - PBXs - Controllers - VPN Devices - Etc. Other guidelines and explanations, as described for the computer hardware and computer software sections, also apply for the Communications Hardware and Software. Explanations of some Columns: (same as in the Computer Hardware section) Communication Services In this spreadsheet, primarily include the bills paid to communication carriers for voice communication charges, data communication charges and for move, add & change to telephones. If you have costs other than those, include those as 'Others' indicating what those are for. If you have charges from telephone companies for repair of equipments such as telephone, PBX, etc., do not include View slide
  • those costs here; include those as 'Maintenance' costs in the Communication Hardware& Software spreadsheet. Include the charges or bills that were paid by the corporate IT and charged to your account in the General Ledger. View slide
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Hardware Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)---------- -----Jan.03-Mar.03 Est. Cost($'000)-------------- -----Fiscal 2003 Est. Cost($'000)-------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Amdahl GS755 Mainframe & Spectris DASD 1 197,692.0 197,692.0 55,041.0 55,041.0 252,733.0 0.0 0.0 252,733.0 Amdahl 4745 FEP 1 6,838.0 6,838.0 1,995.0 1,995.0 0.0 8,833.0 0.0 8,833.0 EMC DASD 1 17,600.0 17,600.0 6,600.0 6,600.0 0.0 24,200.0 0.0 24,200.0 StorageTek Tape Silo System 1 82,269.0 56,888.0 139,157.0 27,684.0 28,444.0 56,128.0 109,953.0 85,332.0 0.0 195,285.0 Dell PC's & NAS 1 3,552.0 3,552.0 0.0 0.0 3,552.0 0.0 3,552.0 IBM (printers & controllers) 1 4,646.0 4,646.0 1,131.0 1,131.0 0.0 5,777.0 0.0 5,777.0 Meridian Leasing (Amdahl Spectris & EMC) 1 172,025.0 172,025.0 57,342.0 57,342.0 229,367.0 0.0 0.0 229,367.0 Meridian Leasing (Dell Servers & Notebooks) 1 12,267.0 12,267.0 10,124.1 10,124.1 22,391.1 0.0 0.0 22,391.1 0.0 0.0 0.0 0.0 0.0 0.0 Active PC Hardware: Leased? 0.0 0.0 0.0 0.0 0.0 0.0 OPTIPLEX GX 1 N 180.0 180.0 60.0 60.0 0.0 0.0 240.0 240.0 OPTIPLEX GX 1 N 180.0 180.0 60.0 60.0 0.0 0.0 240.0 240.0 OPTIPLEX GX 1 N 180.0 180.0 60.0 60.0 0.0 0.0 240.0 240.0 PC SERVER 704 N 539.0 539.0 0.0 0.0 0.0 539.0 539.0 PC SERVER 704 N 539.0 539.0 0.0 0.0 0.0 539.0 539.0 PC SERVER 704 N 539.0 539.0 0.0 0.0 0.0 539.0 539.0 PC SERVER 704 N 539.0 539.0 0.0 0.0 0.0 539.0 539.0 PC SERVER 704 N 539.0 539.0 0.0 0.0 0.0 539.0 539.0 PC SERVER 704 N 539.0 539.0 0.0 0.0 0.0 539.0 539.0 Power Edge 1650 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 1650 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 1650 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 2400 N 600.0 600.0 200.0 200.0 0.0 0.0 800.0 800.0 Power Edge 2400 N 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 2550 N 2,100.0 2,100.0 700.0 700.0 0.0 0.0 2,800.0 2,800.0 Power Edge 2550 N 375.0 375.0 125.0 125.0 0.0 0.0 500.0 500.0 Power Edge 2550 N 900.0 900.0 300.0 300.0 0.0 0.0 1,200.0 1,200.0 Power Edge 2550 N 900.0 900.0 300.0 300.0 0.0 0.0 1,200.0 1,200.0 Power Edge 2550 N 900.0 900.0 300.0 300.0 0.0 0.0 1,200.0 1,200.0 Power Edge 2550 N 900.0 900.0 300.0 300.0 0.0 0.0 1,200.0 1,200.0 Power Edge 2550 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 2550 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 2550 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 2550 N 1,278.0 1,278.0 426.0 426.0 0.0 0.0 1,704.0 1,704.0 Power Edge 2550 N 936.0 936.0 312.0 312.0 0.0 0.0 1,248.0 1,248.0 Power Edge 2550 N 936.0 936.0 312.0 312.0 0.0 0.0 1,248.0 1,248.0 Power Edge 300 (expensed) N 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 300 (expensed) N 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 350 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 350 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 350 Y 0.0 0.0 0.0 0.0 0.0 0.0
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Hardware Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)---------- -----Jan.03-Mar.03 Est. Cost($'000)-------------- -----Fiscal 2003 Est. Cost($'000)-------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Power Edge 350 N 330.0 330.0 110.0 110.0 0.0 0.0 440.0 440.0 Power Edge 350 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 350 Y 0.0 0.0 0.0 0.0 0.0 0.0 Power Edge 6300 N 3,150.0 3,150.0 1,050.0 1,050.0 0.0 0.0 4,200.0 4,200.0 Power Edge 6300 N 3,150.0 3,150.0 1,050.0 1,050.0 0.0 0.0 4,200.0 4,200.0 Power Edge 6300 N 3,150.0 3,150.0 1,050.0 1,050.0 0.0 0.0 4,200.0 4,200.0 Power Edge 6300 N 3,150.0 3,150.0 1,050.0 1,050.0 0.0 0.0 4,200.0 4,200.0 Power Edge 6300 N 3,150.0 3,150.0 1,050.0 1,050.0 0.0 0.0 4,200.0 4,200.0 Power Edge 6300 N 3,150.0 3,150.0 1,050.0 1,050.0 0.0 0.0 4,200.0 4,200.0 Power Edge 6300 N 1,650.0 1,650.0 550.0 550.0 0.0 0.0 2,200.0 2,200.0 Power Vault 755N N 1,950.0 1,950.0 650.0 650.0 0.0 0.0 2,600.0 2,600.0 Proliant 800 N 0.0 0.0 0.0 0.0 0.0 0.0 Proliant 800 N 0.0 0.0 0.0 0.0 0.0 0.0 Proliant 800 N 0.0 0.0 0.0 0.0 0.0 0.0 Prolinea 4/33 N 0.0 0.0 0.0 0.0 0.0 0.0 Prolinea 575 N 0.0 0.0 0.0 0.0 0.0 0.0 Prolinea 575 N 0.0 0.0 0.0 0.0 0.0 0.0 Prolinea 575 N 0.0 0.0 0.0 0.0 0.0 0.0 gx100 (Qty = 35) N 0.0 0.0 0.0 0.0 0.0 0.0 Insprion N 0.0 0.0 0.0 0.0 0.0 0.0 c610 y 0.0 0.0 0.0 0.0 0.0 0.0 c610 y 0.0 0.0 0.0 0.0 0.0 0.0 c610 y 0.0 0.0 0.0 0.0 0.0 0.0 c610 y 0.0 0.0 0.0 0.0 0.0 0.0 c610 y 0.0 0.0 0.0 0.0 0.0 0.0 Lattitude N 450.0 450.0 150.0 150.0 0.0 0.0 600.0 600.0 c610 N 300.0 300.0 100.0 100.0 0.0 0.0 400.0 400.0 c610 N 300.0 300.0 100.0 100.0 0.0 0.0 400.0 400.0 c610 N 300.0 300.0 100.0 100.0 0.0 0.0 400.0 400.0 TOTAL 464,253.0 89,524.0 37,779.0 591,556.0 150,191.1 38,170.0 11,515.0 199,876.1 614,444.1 127,694.0 49,294.0 791,432.1
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Hardware Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)---------- -----Jan.03-Mar.03 Est. Cost($'000)-------------- -----Fiscal 2003 Est. Cost($'000)-------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Hardware Business Unit/Dept. : Location : Date: ---------- Fiscal 2004 Est. Cost($'000) -------------------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004 Amdahl GS755 Mainframe & Spectris DASD 220,164.0 220,164.0 Lease contract and business continuity Amdahl 4745 FEP 8,400.0 8,400.0 Enables mainframe remote communications EMC DASD 27,600.0 27,600.0 Mission critical high performance database storage for mainframe StorageTek Tape Silo System 110,736.0 41,782.0 152,518.0 Support production batch processing and backups Dell PC's & NAS 5,000.0 5,000.0 Storage upgrades IBM (printers & controllers) 6,000.0 6,000.0 Legacy controllers, printers & tape drives Meridian Leasing (Amdahl Spectris & EMC) 229,368.0 229,368.0 Lease contract and business continuity Meridian Leasing (Dell Servers & Notebooks) 76,644.2 76,644.2 Lease contract and business continuity +$2500/Mo growth/replacements 0.0 Active PC Hardware: 0.0 Servers, workstations and laptop depreciation OPTIPLEX GX 1 240.0 240.0 OPTIPLEX GX 1 240.0 240.0 OPTIPLEX GX 1 240.0 240.0 PC SERVER 704 0.0 PC SERVER 704 0.0 PC SERVER 704 0.0 PC SERVER 704 0.0 PC SERVER 704 0.0 PC SERVER 704 0.0 Power Edge 1650 0.0 Power Edge 1650 0.0 Power Edge 1650 0.0 Power Edge 2400 800.0 800.0 Power Edge 2400 0.0 Power Edge 2550 2,800.0 2,800.0 Power Edge 2550 500.0 500.0 Power Edge 2550 1,200.0 1,200.0 Power Edge 2550 1,200.0 1,200.0 Power Edge 2550 1,200.0 1,200.0 Power Edge 2550 1,200.0 1,200.0 Power Edge 2550 0.0 Power Edge 2550 0.0 Power Edge 2550 0.0 Power Edge 2550 1,704.0 1,704.0 Power Edge 2550 1,248.0 1,248.0 Power Edge 2550 1,248.0 1,248.0 Power Edge 300 (expensed) 0.0 Power Edge 300 (expensed) 0.0 Power Edge 350 0.0 Power Edge 350 0.0 Power Edge 350 0.0
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Hardware Business Unit/Dept. : Location : Date: ---------- Fiscal 2004 Est. Cost($'000) -------------------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004 Power Edge 350 440.0 440.0 Power Edge 350 0.0 Power Edge 350 0.0 Power Edge 6300 4,200.0 4,200.0 Power Edge 6300 4,200.0 4,200.0 Power Edge 6300 4,200.0 4,200.0 Power Edge 6300 4,200.0 4,200.0 Power Edge 6300 4,200.0 4,200.0 Power Edge 6300 4,200.0 4,200.0 Power Edge 6300 2,200.0 2,200.0 Power Vault 755N 2,600.0 2,600.0 Proliant 800 0.0 Proliant 800 0.0 Proliant 800 0.0 Prolinea 4/33 0.0 Prolinea 575 0.0 Prolinea 575 0.0 Prolinea 575 0.0 gx100 (Qty = 35) 0.0 Insprion 0.0 c610 0.0 c610 0.0 c610 0.0 c610 0.0 c610 0.0 Lattitude 600.0 600.0 c610 400.0 400.0 c610 400.0 400.0 c610 400.0 400.0 TOTAL 642,912.2 82,782.0 46,060.0 771,754.2
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Hardware Business Unit/Dept. : Location : Date: ---------- Fiscal 2004 Est. Cost($'000) -------------------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Software Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)-------------- -----Jan.03-Mar.03 Est. Cost($'000)----------- ------Fiscal 2003 Est. Cost($'000)--------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total 0.0 0.0 0.0 0.0 0.0 0.0 Leased Software: 0.0 0.0 0.0 0.0 0.0 0.0 Information Builders - Focus 1 47,917.0 47,917.0 16,107.0 16,107.0 64,024.0 0.0 0.0 64,024.0 IBM S/390 OS &Utilities 1 531,456.0 531,456.0 179,802.0 179,802.0 711,258.0 0.0 0.0 711,258.0 StorageTek Tape Silo Software 1 6,090.0 6,090.0 2,283.0 2,283.0 8,373.0 0.0 0.0 8,373.0 0.0 Purchased Software: 0.0 0.0 ALLEN SYSTEMS (data dictionary) 1 25,185.0 25,185.0 0.0 0.0 25,185.0 0.0 25,185.0 BMC SOFTWARE (mainframe monitors) 1 58,588.6 58,588.6 0.0 0.0 58,588.6 0.0 58,588.6 CINCOM SYSTEM 1 145,888.0 145,888.0 170,530.0 170,530.0 0.0 316,418.0 0.0 316,418.0 CLEARCROSS (SPEX 6/5 - 6/4) 1 10,125.4 1,839.0 11,964.4 1,083.0 1,083.0 0.0 10,125.4 2,922.0 13,047.4 COMPUTER ASSOC (see list below) 1 265,336.0 217,874.0 483,210.0 93,413.0 76,852.0 170,265.0 0.0 358,749.0 294,726.0 653,475.0 COMPUTER ASSOC (Help Desk 530 - 5/29) 1 0.0 6,000.0 6,000.0 0.0 6,000.0 0.0 6,000.0 COMPUTER ASSOC (Netwk IT 3/31 - 3/30) 1 0.0 2,000.0 2,000.0 0.0 2,000.0 0.0 2,000.0 Covast EDI Accelerator (see captial) 1 0.0 0.0 0.0 0.0 0.0 0.0 Document Mgmt System (see capital) 1 0.0 0.0 0.0 0.0 0.0 0.0 EBOTS (Ebiz Kanban) $182K 1 0.0 0.0 0.0 0.0 0.0 0.0 ESKER INC (Faxgate) 1 0.0 4,200.0 4,200.0 0.0 4,200.0 0.0 4,200.0 Fischer Interntional (TSO editor 1/15-1/14)) 1 0.0 4,725.0 4,725.0 0.0 4,725.0 0.0 4,725.0 FUJITSU SOFTW (OAI 6/1 -5/31)) 1 14,175.0 14,175.0 0.0 0.0 14,175.0 0.0 14,175.0 FUJITSU SOFTW (Objectstar 1/1 - 12/31) 1 68,478.9 68,478.9 0.0 0.0 68,478.9 0.0 68,478.9 FUNK SOFTWARE (Radius 2/1/01) 1 974.0 974.0 480.0 480.0 0.0 0.0 1,454.0 1,454.0 GT SOFTWARE (CICS map generator) 1 4,527.6 4,527.6 0.0 0.0 4,527.6 0.0 4,527.6 H & M SYSTEMS (CICS compression) 1 4,389.0 4,389.0 0.0 0.0 4,389.0 0.0 4,389.0 HYPERION 1 36,676.0 36,676.0 0.0 36,676.0 0.0 36,676.0 INTERBIX (SSA Global - G/L from CA) 1 75,048.0 75,048.0 25,016.0 25,016.0 0.0 75,048.0 25,016.0 100,064.0 LANTECH (Citrix upgrade) 1 3,002.2 3,002.2 0.0 0.0 3,002.2 0.0 3,002.2 LEVI RAY & SHOUPE (VTAM print support) 1 0.0 11,589.0 11,589.0 0.0 11,589.0 0.0 11,589.0 LEVI RAY & SHOUPE (VPS/PC NT & DRS) 1 4,348.1 4,348.1 0.0 0.0 4,348.1 0.0 4,348.1 LOGILITY INC (supply chain planning) 1 49,911.5 49,911.5 0.0 0.0 49,911.5 0.0 49,911.5 MERRILL CONSULTANTS (perfomance rep) 1 1,500.0 1,500.0 0.0 0.0 1,500.0 0.0 1,500.0 Microsoft BizTalk (see capital) 1 0.0 0.0 0.0 0.0 0.0 0.0 Microsoft Enterprise Agreement 1 412,324.0 412,324.0 0.0 412,324.0 0.0 412,324.0 NETEC INTERNA (CICS file control) 1 4,100.0 4,100.0 0.0 0.0 4,100.0 0.0 4,100.0 NORTAN ANTIVIRUS 400 0.0 12,000.0 12,000.0 0.0 12,000.0 0.0 12,000.0 PILOT SOFTWAR 1 17,600.0 17,600.0 0.0 0.0 17,600.0 0.0 17,600.0 PORNSWEEP (email filtering) 1 0.0 0.0 0.0 0.0 0.0 0.0 PROGINET (TCS file transfer) 1 0.0 6,200.0 6,200.0 0.0 6,200.0 0.0 6,200.0 ABC DEPRECIATION 1 2,002,801.0 2,002,801.0 979,280.0 979,280.0 0.0 0.0 2,982,081.0 2,982,081.0 Rochester Software (Xerox printing) 1 2,700.0 2,700.0 0.0 0.0 2,700.0 0.0 2,700.0
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Software Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)-------------- -----Jan.03-Mar.03 Est. Cost($'000)----------- ------Fiscal 2003 Est. Cost($'000)--------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total SAS (performance statistics 2/15) 1 0.0 5,613.5 5,613.5 0.0 5,613.5 0.0 5,613.5 SMC (freight calc for traffic) 1 0.0 3,125.0 3,125.0 0.0 3,125.0 0.0 3,125.0 Software Diversified (STASH compression 4/15) 1 0.0 3,142.0 3,142.0 0.0 3,142.0 0.0 3,142.0 SOFTWARE SPEC (20 XP Pro Upg) 1 2,378.0 2,378.0 0.0 0.0 2,378.0 0.0 2,378.0 SOFTWARE SPEC W2000 Server) 1 459.5 459.5 0.0 0.0 459.5 0.0 459.5 SOFTWARE SPEC (500 WinZip V8.x) 1 2,024.0 2,024.0 0.0 0.0 2,024.0 0.0 2,024.0 SOFTWARE SPEC (50 NAV for servers) 1 2,098.0 2,098.0 0.0 0.0 2,098.0 0.0 2,098.0 SOFTWARE SPEC (W2000 esource kit) 1 213.8 213.8 0.0 0.0 213.8 0.0 213.8 SOFTWARE SPEC (winzip self extractor) 1 63.0 63.0 0.0 0.0 63.0 0.0 63.0 SOFTWARE SPEC (5 NAV for notebooks) 1 352.6 352.6 0.0 0.0 352.6 0.0 352.6 SOFTWARE SPEC (3 W2000 Server) 1 1,447.4 1,447.4 0.0 0.0 1,447.4 0.0 1,447.4 SOFTWARE SPEC (12 W2000 Server) 1 4,618.8 4,618.8 0.0 0.0 4,618.8 0.0 4,618.8 SOFTWARE SPEC (8 NAV desktop) 1 305.0 305.0 0.0 0.0 305.0 0.0 305.0 SOFTWARE SPEC (20 W2000 CAL) 1 378.0 378.0 0.0 0.0 378.0 0.0 378.0 SOFTWARE SPEC (3 NAV, Office XP Pro, W2000 &SQL CAL) 1 1,504.3 1,504.3 0.0 0.0 1,504.3 0.0 1,504.3 SOFTWARE SPEC (media kits) 1 285.0 285.0 0.0 0.0 285.0 0.0 285.0 SOFTWARE SPEC (13 Veritas Rmt Agents 1 686.0 686.0 0.0 0.0 686.0 0.0 686.0 SOFTWARE SPEC (Exchange 2000 resource kit) 1 53.1 53.1 0.0 0.0 53.1 0.0 53.1 SOPHOS INC (Winframe server antivirus) 1 8,925.0 8,925.0 0.0 0.0 8,925.0 0.0 8,925.0 STERLING COMMERCE (EDI GENTRAN) 1 13,196.9 13,196.9 0.0 0.0 13,196.9 0.0 13,196.9 STERLING SOFT (disk mgmt & backup) 1 424.5 424.5 34,250.0 34,250.0 0.0 34,674.5 0.0 34,674.5 TSI LOGISTICS (traffic system) 1 0.0 16,695.0 16,695.0 0.0 16,695.0 0.0 16,695.0 SYNCSORT 1 0.0 5,250.0 5,250.0 0.0 5,250.0 0.0 5,250.0 Veritas 1 0.0 0.0 0.0 0.0 0.0 0.0 Websense Filtering 1 2,047.0 2,047.0 1,008.0 1,008.0 0.0 0.0 3,055.0 3,055.0 XEROX (support Michigan printer forms) 1 1,720.0 1,720.0 0.0 0.0 1,720.0 0.0 1,720.0 0.0 0.0 0.0 0.0 0.0 0.0 TOTAL 585,463.0 796,036.1 2,225,535.0 3,607,034.1 198,192.0 827,732.5 1,083,719.0 2,109,643.5 783,655.0 1,623,768.6 3,309,254.0 5,716,677.6 Computer Associates Detail: Deliver (report distribution) 1 Filesave/RCS 1 Intertest (debugging for CICS) 1 Jobtrac (automated scheduling) 1 ACF2 (security) 1 PMO (program mgmt optimizer) 1 View (on-line report viewing) 1 Easytrieve plus (reporting) 1 One (tape management) 1
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Software Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)-------------- -----Jan.03-Mar.03 Est. Cost($'000)----------- ------Fiscal 2003 Est. Cost($'000)--------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Copycat (tape stacking) 1 Panavalet TSO/ISPF (library management) 1 Roscoe (editor and user scripting) 1 Solve:Acess 1 NetworkIT Management Services 1
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Software Business Unit/Dept. : Location : Date: ------- Fiscal 2004 Est. Cost($'000) ---------------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004 0.0 Leased Software: 0.0 Information Builders - Focus 67,649.4 67,649.4 Need to eliminate. SS&MA and HR/Payroll big users. IBM S/390 OS &Utilities 720,000.0 720,000.0 Business continuity to support mainframe StorageTek Tape Silo Software 9,132.0 9,132.0 Lease contract and support of tape silos Purchased Software: ALLEN SYSTEMS (data dictionary) 0.0 0.0 Trying to eliminate prior to 6/30/03 BMC SOFTWARE (mainframe monitors) 60,000.0 60,000.0 Mainframe performance monitoring CINCOM SYSTEM 323,343.0 323,343.0 ABC standard ERP system CLEARCROSS (SPEX 6/5 - 6/4) 3,068.1 1,083.0 4,151.1 Needed for International documentation COMPUTER ASSOC (see list below) 365,598.2 132,796.0 498,394.2 Contract through 12/31/2004 COMPUTER ASSOC (Help Desk 530 - 5/29) 6,300.0 6,300.0 Support Help Desk incident reporting COMPUTER ASSOC (Netwk IT 3/31 - 3/30) 2,000.0 2,000.0 Network monitoring tool Covast EDI Accelerator (see captial) 0.0 Document Mgmt System (see capital) 0.0 EBOTS (Ebiz Kanban) $182K 52,000.0 52,000.0 Allocated????? ESKER INC (Faxgate) 4,410.0 4,410.0 Invoice and Order Ack forms (as well as faxing support) Fischer Interntional (TSO editor 1/15-1/14)) 4,800.0 4,800.0 Mainframe editor for technical support FUJITSU SOFTW (OAI 6/1 -5/31)) 15,000.0 15,000.0 Needed to connect VB forms to O* FUJITSU SOFTW (Objectstar 1/1 - 12/31) 70,000.0 70,000.0 Needed for ABCLink FUNK SOFTWARE (Radius 2/1/01) 0.0 1,440.0 1,440.0 Depreciation GT SOFTWARE (CICS map generator) 0.0 0.0 CICS BMS map generator H & M SYSTEMS (CICS compression) 4,500.0 4,500.0 CICS compression for performance & bandwidth reduction HYPERION 38,509.8 4,890.1 43,399.9 Hyperion Contract INTERBIX (SSA Global - G/L from CA) 100,064.0 100,064.0 General Ledger Contract LANTECH (Citrix upgrade) 0.0 0.0 LEVI RAY & SHOUPE (VTAM print support) 12,000.0 12,000.0 Mainframe print support LEVI RAY & SHOUPE (VPS/PC NT & DRS) 4,500.0 4,500.0 Used to support printing to LAN printers from mainframe (I.e., ABCLink) LOGILITY INC (supply chain planning) 50,000.0 50,000.0 Used for replenishment planning for warehouses MERRILL CONSULTANTS (perfomance rep) 1,500.0 1,500.0 Needed for SAS performance reporting Microsoft BizTalk (see capital) 16,666.7 16,666.7 Microsoft Enterprise Agreement 412,324.0 412,324.0 Maintenance (Office Pro, Core CAL, Desktop OS) NETEC INTERNA (CICS file control) 4,100.0 4,100.0 Required for mainframe VSAM dataset allocation NORTAN ANTIVIRUS 13,000.0 13,000.0 Prevent viruses and business interruption PILOT SOFTWAR 0.0 Trying to eliminate using SQL server PORNSWEEP (email filtering) 6,000.0 6,000.0 PROGINET (TCS file transfer) 6,500.0 6,500.0 Being used for all file transfers between mainframe and LAN ABC DEPRECIATION 2,937,840.0 2,937,840.0 Rochester Software (Xerox printing) 2,700.0 2,700.0 Xerox laser forms support
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Software Business Unit/Dept. : Location : Date: ------- Fiscal 2004 Est. Cost($'000) ---------------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004 SAS (performance statistics 2/15) 5,782.4 5,782.4 Statistical performance reporting ported from mainframe to NT SMC (freight calc for traffic) 3,200.0 3,200.0 Freight calculation required by traffic dept Software Diversified (STASH compression 4/15) 3,299.1 3,299.1 Compression product like ZIP for mainframe SOFTWARE SPEC (20 XP Pro Upg) 0.0 SOFTWARE SPEC W2000 Server) 5,000.0 5,000.0 SOFTWARE SPEC (500 WinZip V8.x) 0.0 SOFTWARE SPEC (50 NAV for servers) 0.0 SOFTWARE SPEC (W2000 esource kit) 0.0 SOFTWARE SPEC (winzip self extractor) 0.0 SOFTWARE SPEC (5 NAV for notebooks) 0.0 SOFTWARE SPEC (3 W2000 Server) 0.0 SOFTWARE SPEC (12 W2000 Server) 0.0 SOFTWARE SPEC (8 NAV desktop) 0.0 SOFTWARE SPEC (20 W2000 CAL) 0.0 SOFTWARE SPEC (3 NAV, Office XP Pro, W2000 &SQL CAL) 0.0 SOFTWARE SPEC (media kits) 0.0 SOFTWARE SPEC (13 Veritas Rmt Agents 0.0 SOFTWARE SPEC (Exchange 2000 resource kit) 0.0 SOPHOS INC (Winframe server antivirus) 9,000.0 9,000.0 STERLING COMMERCE (EDI GENTRAN) 0.0 0.0 Will eliminate with Biztalk/Covast (5/31/03) STERLING SOFT (disk mgmt & backup) 36,408.2 36,408.2 Required for mainframe DASD support and backups TSI LOGISTICS (traffic system) 17,529.8 17,529.8 New Traffic system just installed and deployed SYNCSORT 5,300.0 5,300.0 Mainframe sort utility used throughout production batch systems Veritas 2,500.0 2,500.0 LAN backup system Websense Filtering 0.0 3,024.0 3,024.0 Not needed with AT&T firewall XEROX (support Michigan printer forms) 1,800.0 1,800.0 0.0 TOTAL 796,781.4 1,652,036.6 3,097,739.8 5,546,557.8 Computer Associates Detail: Deliver (report distribution) Filesave/RCS Intertest (debugging for CICS) Jobtrac (automated scheduling) ACF2 (security) PMO (program mgmt optimizer) View (on-line report viewing) Easytrieve plus (reporting) One (tape management)
  • ABC COMPANY Fiscal 2004 IT Plan: Computer Software Business Unit/Dept. : Location : Date: ------- Fiscal 2004 Est. Cost($'000) ---------------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004 Copycat (tape stacking) Panavalet TSO/ISPF (library management) Roscoe (editor and user scripting) Solve:Acess NetworkIT Management Services
  • ABC COMPANY Fiscal 2004 IT Plan: Communication Hdwr & Sfwr Business Unit/Dept. : Location : Date: Fiscal 03 -----Apr.02-Dec.02 Act. Cost($'000)------------- -----Jan.03-Mar.03 Est. Cost($'000)------ ------Fiscal 2003 Est. Cost($'000)-------------- Item Description Qty Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Lease/Pur Maint Depr Total Visual Networks & Adtran ISDN NT1 1 20,277.0 20,277.0 6,759.0 7,007.7 13,766.7 27,036.0 7,007.7 0.0 34,043.7 Cisco 7507 Router 2 26,910.0 5,648.0 32,558.0 0.0 0.0 26,910.0 5,648.0 32,558.0 Cisco 2520 Router 2 662.0 256.0 918.0 0.0 0.0 662.0 256.0 918.0 Cisco 4500 Internet Router 1 1,300.0 1,300.0 0.0 0.0 1,300.0 0.0 1,300.0 Cisco 5000 Catalyst Switch 1 2,000.0 1,736.0 3,736.0 0.0 0.0 2,000.0 1,736.0 3,736.0 Cisco 2900 Switch 1 160.0 160.0 0.0 0.0 160.0 0.0 160.0 Cisco VPN 3005 2 1,844.0 1,844.0 678.0 678.0 0.0 0.0 2,522.0 2,522.0 Cisco & IBM Cabling For AT&T Conversion 1 0.0 4,506.1 4,506.1 0.0 4,506.1 0.0 4,506.1 Channel Bank Maintenance 11 0.0 0.0 0.0 0.0 0.0 0.0 Expanets MAC's 716.0 716.0 238.7 238.7 0.0 954.7 0.0 954.7 AT&T Internet Data Center Costs: AVTS 0.0 0.0 0.0 0.0 0.0 0.0 Sprint Managed Firewall 19,521.0 6,600.0 6,600.0 26,121.0 0.0 0.0 26,121.0 AT&T Managed Network Based Firewall 0.0 0.0 0.0 0.0 0.0 0.0 AT&T Data Center Rack Space & One Time Cost 0.0 0.0 0.0 0.0 0.0 0.0 AT&T Site Install Costs 0.0 0.0 0.0 0.0 0.0 0.0 Netgate DSL/VPN 0.0 0.0 0.0 0.0 0.0 0.0 Netgate One Time Costs 0.0 0.0 0.0 0.0 0.0 0.0 AT&T Managed Router at Indy AT&T Managed Router at Milwaukee TOTAL 39,798.0 31,748.0 9,484.0 61,509.0 13,359.0 11,752.4 678.0 25,789.4 53,157.0 43,500.4 10,162.0 ###
  • ABC COMPANY Fiscal 2004 IT Plan: Communication Hdwr & Sfwr Business Unit/Dept. : Location : Date: ------- Fiscal 2004 Est. Cost($'000) -------- Item Description Qty Lease/Pur Maint Depr Total Justification for 2004 Visual Networks & Adtran ISDN NT1 24,783.0 7,357.4 32,140.4 Lease expires 2/29/04 Cisco 7507 Router 15,000.0 15,000.0 Support ABC data communications Cisco 2520 Router 0.0 Cisco 4500 Internet Router 0.0 Cisco 5000 Catalyst Switch 2,100.0 2,100.0 Required for server LAN interface Cisco 2900 Switch 0.0 Required for server LAN interface Cisco VPN 3005 2,712.0 2,712.0 Cisco & IBM Cabling For AT&T Conversion 0.0 AT&T data conversion requirement Channel Bank Maintenance 5,771.7 5,771.7 AT&T Voice conversion Expanets MAC's 1,000.0 1,000.0 Indy PBX move/adds/changes AT&T Internet Data Center Costs: AVTS 28,345.2 28,345.2 Centralized VPN server at AT&T Sprint Managed Firewall Price includes firewall and 3M back-end connectivity (previously listed as 3M port at AT&T Managed Network Based Firewall 59,211.6 59,211.6 Internet Data Center); includes URL filtering Price includes rack space for AVTS and AT&T Data Center Rack Space & One Time Cost 15,454.8 15,454.8 Firewall and also OTC of $2580 AT&T Site Install Costs 26,400.0 26,400.0 Netgate DSL/VPN 23,786.4 23,786.4 22 Network DSL/VPN sites Netgate One Time Costs 3,124.9 3,124.9 One time configuration costs AT&T Managed Router at Indy 2,411.5 AT&T managed router AT&T Managed Router at Milwaukee 2,411.5 AT&T managed router TOTAL 181,105.9 36,052.1 2,712.0 ###
  • ABC COMPANY Fiscal 2004 IT Plan: Communication Services Business Unit/Dept. : Location : Date: Apr.02-Dec.02 Jan.03-Mar.03 Fiscal 2003 Description of Services Cost Act.($000)Cost Est.($000) Cost Est.($000) Voice Communication Charges: Ameritech 1,139.0 405.0 1,544.0 Time Warner Local Service 42,152.0 16,299.0 58,451.0 AT&T Loccal Service Verizon Wireless 644.0 214.7 858.7 Data Communication Charges: AT&T PRI Lines & Distributor Frame Relay 53,609.0 22,000.0 75,609.0 GEISCO EDI 47,968.0 23,200.0 71,168.0 Hancock Telecom local line 266.0 135.0 401.0 MCI Frame Relay 111,922.0 38,520.0 150,442.0 Sprint Distributor Network 36,599.0 20,800.0 57,399.0 Verizon local line 429.0 144.0 573.0 MCI 800#'s 1,429.0 435.0 1,864.0 MCI PAL/VPN Dial 7,297.0 1,110.0 8,407.0 AT&T Indy: 0.0 4.5M IMA Port 0.0 3 Access T1s 0.0 1.152 ePVC 0.0 AT&T 128K ePVC to Sungard 0.0 AT&T Internet Data Center Internet Ports 0.0 VPN Dial Accounts 0.0 0.0 TOTAL 303,454.0 123,262.7 426,716.7
  • ABC COMPANY Fiscal 2004 IT Plan: Communication Services Business Unit/Dept. : Location : Date: Fiscal 2004 Description of Services Cost Est.($000) Justification for Fiscal 2004 Voice Communication Charges: Ameritech 1,500.0 Backup Centrex lines for Michigan Time Warner Local Service 0.0 AT&T Loccal Service 55,000.0 AT&T Local service Verizon Wireless 900.0 Indy cellular service contract Data Communication Charges: AT&T PRI Lines & Distributor Frame Relay 37,804.5 Distributor access & ISDN backup GEISCO EDI 72,000.0 EDI Hancock Telecom local line 540.0 Empoyee work at home MCI Frame Relay 38,520.0 Through conversion & billing overlap Sprint Distributor Network 55,200.0 Customer access and Milwaukee printing Verizon local line 0.0 MCI 800#'s 0.0 MCI PAL/VPN Dial 0.0 AT&T Indy: Central data network access at Indy 4.5M IMA Port 20,802.3 3 Access T1s 14,758.4 1.152 ePVC 9,670.3 AT&T 128K ePVC to Sungard 2,391.4 Disaster recovery network connection AT&T Internet Data Center Price includes 3M Internet port and 1M Internet Ports 27,398.9 Internet port plus cross-connects VPN Dial Accounts $69,766.20 This is for 7889 user Ids for VPN dial access paid by corporate TOTAL 406,251.9
  • ABC COMPANY Fiscal 2004 IT Plan: Others Business Unit/Dept. : Location : Date: Apr.02-Dec.02 Jan.03-Mar.03 Fiscal 2003 Fiscal 2004 Description Cost Act.($000) Cost Est.($000) Cost Est.($000) Cost Est.($000) Justification for Fiscal 2004 M & R - Building: Roof Maintenance 473.0 473.0 500.0 T&M for roof repairs Computer Room Flloor Cleaning 2,710.0 2,710.0 2,800.0 Computer room raised floor & sub-floor claening Cummins Diesel Test/Maint 10,540.0 10,540.0 11,000.0 Diesel backup maintenance - 2 generators Enersys UPS Battery Maint 3,489.0 1,163.0 4,652.0 4,800.0 Quarterly battery backup maint. - 180 Exide batteries Indiana Underground Tank Permit 90.0 90.0 100.0 State permit for underground diesel feul tank Peine HVAC Maint 11,574.0 2,800.0 14,374.0 15,000.0 HVAC maintenance and repairs Pierce UPS Maint 4,800.0 4,800.0 5,000.0 IPM 300KVA UPS bi-annual maintenance Reece Paving Seal Coat/Stripes 250.0 250.0 2,300.0 Parking lot maintenance & striping Storms Electrical Contracting 976.0 5,900.0 6,876.0 2,500.0 Electrical contract work T&M Building & Office Furn Depreciation 19,876.0 9,696.0 29,572.0 29,088.0 Depreciation Other Expenses: Utilities 64,816.0 19,800.0 84,616.0 82,000.0 Electricity, water and sewers Office Supplies 3,771.0 1,257.0 5,028.0 5,000.0 Office supplies Computer Supplies 17,702.0 5,900.7 23,602.7 23,000.0 Computer related supplies Cleaning Services 14,385.0 6,300.0 20,685.0 25,200.0 Building cleaning service Property Taxes 60,000.0 20,000.0 80,000.0 85,000.0 Personal property taxes Courier Service 1,877.0 625.7 2,502.7 2,500.0 Courier service for tapes Security Alarm Service 933.0 311.0 1,244.0 1,300.0 Security monitoring service Plant Service 1,340.0 390.0 1,730.0 1,560.0 Office plants mainenance Koorsen Fire Protection Svc 1,174.0 3,000.0 4,174.0 4,500.0 Alarm and fire service maintenance Metzler Plumbing 110.0 110.0 250.0 Restrooms and kitchen repairs Midwest Telephone Wiring 211.0 211.0 500.0 LAN Cabling T&M NTC Surveillance Cameras 374.0 374.0 400.0 Building surveilance cameras maintenance Orkin Pest Control 241.0 200.0 441.0 600.0 Pest contrl Recall Offsite Tape Storage 15,464.0 4,800.0 20,264.0 11,200.0 Off-site backup tape vault service Taylor Oil (diesel fuel) 1,235.0 1,235.0 1,500.0 Diesel fuel Waste Service 1,905.0 636.0 2,541.0 2,600.0 Trash service Mat Cleaning Service 1,451.0 480.0 1,931.0 2,000.0 Mat cleaning service Snow Removal Service 1,195.0 4,530.0 5,725.0 6,000.0 Snow removal and salt Lawn Care Service 2,587.0 2,587.0 3,000.0 Lawn maintenance 0.0 TOTAL 245,549.0 87,789.3 333,338.3 331,198.0
  • ABC COMPANY Fiscal 2004 IT Plan: Costs Summary Business Unit/Dept: Location: Date: Apr. '02- Jan. '03- Fiscal Fiscal Dec. '02 Mar. '03 2003 2004 Description Est.($000) Est.($000) Est.($000) Est.($000) Personnel 0.0 0.0 2,003.0 1,221,000.0 Computer Hardware 591,556.0 199,876.1 791,432.1 771,754.2 Computer Software 3,607,034.1 2,109,643.5 5,716,677.6 5,546,557.8 Communication Hardware & Software 61,509.0 25,789.4 87,298.4 215,047.0 Communication Services 303,454.0 123,262.7 426,716.7 406,251.9 Others 245,549.0 87,789.3 333,338.3 331,198.0 TOTAL IT COSTS 4,809,102.1 2,546,361.0 7,357,466.1 8,491,808.9