1. Harvard IT Priorities: Where finance fits 1

2. Updates on Financial Model Development Process Objective and goals of the FY13 changes #7 Financial Model Principles 1 Simplicity - Minimizes resources to administer and is understandable and clear 2 Transparency – Demonstrates value to the customer (what they get for their money) while building awareness of IT financial pressures 3 Fair - Equitable across user groups 4 Predictable – Minimizes large fluctuations over time. Flexible/sustainable structure to meet changing needs. Enables options for the long-term. 5 Compliant and Defensible - Meets regulatory requirements, internal and external reporting needs and is market competitive 6 Strategic - Incents better decision-making for long-term IT investments. Drives innovation for the right reasons and yields effective financial data to evaluate IT sourcing decisions 7 Accountable - Motivates HUIT to meet and improve service levels and promotes responsible use of service by faculty, students and staff. 2 The new Financial Models will enable HUIT to integrate/rationalize different funding sources (i.e. FAS, CA Core, User Fees, Capital) with the right uses and create appropriate incentives

3. Updates on Financial Model Development Process University Funded Criteria Criteria required for University-funded activities: 1.)Usage of the solution/product is ubiquitous and is on the basis of a fixed cost, rather than a marginal cost per usage. 2.)There is a universal need for a common solution 3.)There are security-benefits to a university-wide approach 4.)There are compliance risks for the University associated with a disseminated approach 5.)The solution/activity would support University strategic objectives (this could include incenting the right behavior, promoting collaboration, etc. ) Other criteria considered to be desirable, but not required: Large cost of entry into the activity Uniformity/compatibility across the University A university-wide approach would eliminate an otherwise complicated funding model 3