v 5 20100218 iess total cost of service life korrektur ol mu
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Total Cost of Service LifeThe Need for Decision Support in Selecting, Comparing, and Orchestrating ServicesMartin Matzner, Oliver MüllerTRANSCRIPT
IESS 1.0, Geneva, 2009-02-18
Martin Matzner, Oliver Müller
Total Cost of Service Life The Need for Decision Support in Selecting, Comparing, and Orchestrating Services
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Total Cost of Service Life
Martin Matzner, Oliver Müller
Motivation
Services (conventional services and web services) are discovered and evaluated by descriptions of their properties
Categories of properties: functional and non-functional Amongst non-functional properties: “price“ for service
consumption
Research question: “How to evaluate the price of a service ?“
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Total Cost of Service Life
Martin Matzner, Oliver Müller
Status-quo
Pricing lists and simple calculators
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Complexity of the property “price“
Evaluating a specific service (1) Comparing several services to each other (2) Evaluating and comparing orchestrations comprising
several services (3)
Huge variety of pricing models and conditions Existence of derivative payments (e.g. opportunity and
capital costs) that are implied by the decision for or against a service
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Total Cost of Service Life
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Pricing models
Flat-Pricing (cf. Internet or mobile phone flat rates) Per-packet Pricing (cf. sending short messages) Parametric Pricing (cf. a translation service that charges
depending on the number of words) Resource-based Pricing (cf. mobile data transfer) Lump-sum Pricing Commission/Brokerage Hybrid Pricing Models (cf. monthly short message
packages)
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Total Cost of Service Life
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Framework of decision problems
based on Alexander‘s (1970) design principles
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Total Cost of Service Life
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Informing Kernel from Investment Theory
Payments (instead of costs) Consider derivative monetary consequences
capital lockup interests (based on the opportunity rate of interest of the internal
funds and the outside capital rate of interests) tax payments
Entire life-cycle of usage
Conventional approaches (e.g. “Gartner-TCO“) are insufficient
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Total Cost of Service Life
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VoFi-based TCO calculation
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Ongoing: Application in service marketplaces
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Total Cost of Service Life
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Contact
Martin Matzner ([email protected]) Oliver Müller ([email protected])
Leonardo-Campus 3 48149 Münster