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The absolute TCO of IAM (IAM TCO (Indicator - IAM)) is not a comparable indicator. For instance, if organization A manages 150’000 core IAM active identities while organization B manages 3’000, absolute costs are incomparable and thus meaningless. But absolute costs may be used as a base metric to compute a comparable indicator, Identity Average TCO (Indicator - IAM), that is expressed as average cost per active identity being managed by the organization.
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Inventorying IAM cost components is key to make TCO measurement “complete” and comparable between organizations. Once established, this list may be documented with cost estimation methods and used as a checklist by IAM practitioners to measure their IAM TCO.
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Ellram, 1993 provides guidelines on how to determine which cost components are significant enough to warrant tracking: that is use Pareto’s law coupled with common sense.
To help us with this, we have already established an initial list of known IAM activities. Cf. IAM Process Map
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Establish a beta version 1
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Survey IAM professionals to review, comment and enrich this list.
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Mark as conditional activities those activities for which there is no obvious consensus in the profession as to whether it should be considered as within or outside the scope of IAM . When engaging in benchmarking, organizations will need to expressly clarify whether these activities were within or outside their IAM scope.
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Initiate a first round of benchmarking measurement between voluntary IAM professionals
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Adapt the approach as needed.
The list of IAM activities and Mapping the IAM Processes. Cost components will be naturally linked to processes.
At this early stage of development, we should start surveying IAM practitioners for cost components and populate our list. The list of IAM cost components will be maintained on the following wiki page:
Measuring the Cost of IAM - Cost Categories
Bibliography
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