Foundations
Technology Business Management (TBM) Framework
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Technology Business Management (TBM) provides a structured way to align technology investments with business outcomes. But before a model can be built or cost data analyzed, your organization must have the right foundations in place. TBM Foundations are the essential building blocks for starting a TBM practice and preparing your team to create a trusted TBM model.
These foundational elements support both the setup of a TBM practice or office and the technical readiness needed to build a TBM model. They form the base layer of the TBM Framework and define the resources and capabilities every organization needs to turn data into strategic insight.
The Role of Foundations in the TBM Framework
The TBM Framework is organized in layers, and the Foundations layer is where every TBM journey begins. Before organizations can model cost and consumption, they need the right roles, data sources, tools, processes, and change readiness. Foundations establish the environment in which TBM can take root and succeed.
Foundations support two critical outcomes:
- Standing up a TBM Practice: Building the people, governance, and collaboration structures needed to drive TBM adoption.
- Preparing for TBM Modeling: Establishing the data, tools, and methodologies needed to build accurate, scalable cost models.
Once these elements are in place, organizations are ready to begin work on the next layer of the Framework: the TBM Model, including the TBM Taxonomy, Taxonomy Extensions, and Connected Standards.
Beyond the TBM Model, strong foundations are also essential for achieving outcomes in the higher layers of the Framework: TBM Outcomes and Organization Value Drivers. These upper layers focus on optimizing value, improving decision-making, and aligning technology strategy with business goals. Without reliable foundations, organizations struggle to produce the insights and performance improvements these advanced layers enable.
The Five TBM Foundations
Each foundational area below contributes to the strength and sustainability of your TBM efforts. Together, they enable transparency, accountability, and continuous value delivery.
Roles
Establishing the right team is one of the most important first steps. A TBM practice requires clearly defined roles and responsibilities—including Executive Sponsors, TBM Practice Leads, Analysts, Administrators, and Change Managers. The structure and scope of the TBM team will depend on your organization’s size and maturity.
Recommended reading: Mastering TBM Adoption: Roles & Responsibilities
Data
TBM relies on data that is already available across Finance, IT, Procurement, and Business Operations. But to build a functional model, organizations must ensure consistent ownership, governance, and structure across these data sources. Data must be organized to support cost allocations, reporting, and transparency.
Tools
TBM tools enable cost modeling, automation, reporting, and cross-functional analysis. Organizations may begin with spreadsheets, evolve to database-driven models, or adopt commercial TBM platforms that scale with complexity. Your choice of tools will shape your data strategy and modeling approach.
Methods
A TBM practice needs common methods for decision-making, modeling, reporting, and governance. This includes how you define and allocate costs, structure reporting outputs, and manage services across delivery models, sourcing strategies, and environments.
Change
TBM is not just a technical implementation—it’s a transformation in how decisions are made. Organizational Change Management (OCM) ensures TBM becomes embedded in culture, supported by leaders, understood by teams, and tied to incentives and success metrics.
Preparing to Build the TBM Model
When foundational elements are in place, your organization is ready to begin structuring the TBM Model—starting with mapping cost and consumption data using the TBM Taxonomy and aligning your model with industry-specific extensions or connected frameworks like NIST, FinOps, and ServiceNow.
These foundational elements don’t just support your first model build—they create the conditions for trust, governance, and continual improvement.
Next Steps
While you’re here, join the TBM Council to connect with peers and stay updated on all things TBM. Explore our communities to see how others are tackling similar challenges, or check out our Knowledge Base for frameworks, case studies, and how-to guidance. Learn more about the TBM Framework and how it supports smarter decision-making across IT and Finance. You can also attend an upcoming event, pursue training or certification, or see how our partners are contributing to this area of TBM practice.
Join the TBM community: where innovators and leaders converge
The TBM Council is your gateway to a treasure trove of knowledge: think cutting-edge research papers, insightful case studies, and vibrant community forums where you can exchange ideas, tackle challenges, and celebrate successes with fellow practitioners.
We’re calling on organizations and forward-thinking individuals to dive into the TBM community. Participate in our events, engage in our discussions, and tap into a vast reservoir of knowledge. This isn’t just about networking; it’s about contributing to and benefiting from the collective wisdom in navigating the dynamic world of cloud computing.
