Subscribe / Unsubscribe Enewsletters | Login | Register

Pencil Banner

5 ways CIOs can rationalize application portfolios

Thor Olavsrud | March 17, 2014
The pressure is mounting for CIOs and other IT leaders to help the business enable new disruptive technologies like mobile, social, cloud and big data, but many CIOs are struggling to do so because maintaining and supporting legacy applications consumes the lion's share of the budget. Here are five recommendations for rationalizing your application portfolio.

4. Embed Innovation in the Application Lifecycle

Most CIOs are familiar with the old 80-20 rule: 80 percent of your time and resources are spent "keeping the lights on"-running and operating existing applications. That leaves only 20 percent for innovation. The way to slay that bugbear, Capgemini says, is to embed innovation within the application lifecycle (and into any application management or support contract, if applicable).

"For example, this can be done through organizing periodical trend workshops, the obligation to dedicate a well-defined part of the project portfolio to innovative solutions or more organizational measures such as establishing an innovation governance element (like a "value office") or simply crowdsourcing suggestions for improvement," Tolido writes in the report.

5. Systematically Use Facts and Metrics to Create More Mutual Understanding

Underlying it all, the key to succeeding in rationalization and innovation efforts is a solid base of agreement between business and IT on the current state of the application landscape and the priorities for improvement. With both the business and IT on the same page, you can create a forward-looking, collaborative atmosphere that can enable digital transformation success.

"Consider tools for application mapping and assessment, and for application portfolio management," Tolido writes in the report. "Use these tools -among other things-to relate applications to business processes so that the business impact and value of applications become clearer and more tangible. This helps to make rationalization decisions and establish priorities based on business criticality. Also, pay more attention to business case development, business outcome-driven dashboards and even "value engineering," as they provide powerful, objective means for communication between the various stakeholders."

 

Previous Page  1  2  3 

Sign up for MIS Asia eNewsletters.