Group Cost Weight

A group cost weight (GCW) is the slice of budget that an activity, task, programme, project, system, process, or a relationship dynamic will take from a “group”. In orgamatics, we often cluster various parts of Org into a group so that we can work with it in some way or another. Where such a group must decide cost, we call it a cost hub. Mostly, we link several cost hubs to a parent hub. The group cost weight is then the total cost of a cost hub, as it relates to a parent hub, expressed as a percentage. E.g., where we make a strategic programme a cost hub, and a company strategy the parent hub, then a programme cost that takes 24% of the company strategy will have a group cost weight of “.24”. Other weights that relate to the group cost weight, are absolute cost weight (ACW) and cost weight (CW). The aim of a GCW is to increase the efficiency within a system.