Financially-related information is generated to establish cost-oriented steering towards achieving entity-centric objectives and goals. Generally, aggressive expenses administration and accurate costs redistribution improve financial resources availability. However, the IT security financial management process for service delivery and support should redress entity-centric cost accounting requirements.
Financial budgeting is the generally accepted means to quantify forecasted activity for a program. Through subsequent utilization, program budgeting provides the ability to determine the cost effectiveness of an entire IT security program or single process. Judicious financial management requires devising financial measures, allocating direct and indirect total and per unit costs for producing services, evaluating costs saved or avoided and benefits generated. Budgeted technical support should have a direct correlation with the service operating plan to avoid under or over allocation of resources. Consequently, variances within the budget should be performed to monitor spending. In addition, IT security management should review cost-benefit analyses to verify appropriate expenditure justifications.
“View Part I of the Measuring Performance series here“