Capabilities Inventory and Attributes - Financial Attributes for the Capabilities Inventory

Capabilities Inventory and Attributes

Chapter 28. Financial Attributes for the Capabilities Inventory

Financial attributes capture the cost and value profile of each Capability — what it costs to deliver and what value it produces.

Attribute Name	Maturity	Description and Notes
Annual Delivery Cost	Walk	Description — The total annual cost to deliver this Capability, including people costs, technology costs, and any outsourcing costs. Benefit(s) — Enables capability-level financial analysis. Identifies high-cost, low-importance capabilities as rationalization candidates. Source — Manual Notes — Typically an estimated allocation at Walk maturity. A rough order of magnitude is more useful than no value.
Cost Allocation Model	Run	Description — The method by which the cost of this Capability is allocated across the business units or legal entities that consume it. Benefit(s) — Enables showback and chargeback for capability delivery costs. Source — Manual Examples — Activity-Based Costing, Usage-Based Allocation, Headcount-Based Allocation, Fixed Allocation
Value Delivered	Run	Description — The assessed business value delivered by this Capability — the quantified or qualified contribution to revenue, cost reduction, risk mitigation, or strategic differentiation. Benefit(s) — Enables ROI analysis at the capability level. Source — Manual Examples — $5M annual revenue attribution; $2M annual cost avoidance; Regulatory compliance (existential); Competitive differentiation