Getting Control of the Application Portfolio
Researchers have found that IT departments typically spend 75% of their time, money and resources simply keeping things running on a daily basis, leaving only 25% of efforts dedicated to new strategic initiatives.
One recent report revealed that 75% of IT organizations have minimal portfolio oversight. Another survey found that as much as 20% of the average organization’s applications are redundant, and CIOs believe as many as half of the applications in their portfolios should be retired. Here are a few steps you can follow to get the applications under control at your bank:
Take an Application InventoryThink fast: How many applications is your bank IT organization currently supporting? If yours is like most businesses, you may have no idea. It’s a stunning thought when you consider the licensing fees, rollout of updates, and maintenance to support these applications -- many of which may have long ago outlived their value to the organization.
The first step to more proactively managing your applications is to conduct a complete inventory. Be sure to include the cost of the application, which projects it supports and the number of resources required for maintenance. Also, note any interdependencies it shares with other applications or projects. Seem overwhelming? Start by taking stock of applications only being used on current projects, then branch out to lesser-used applications from there.
Eliminate RedundanciesA good inventory may uncover some glaringly obvious duplication in the functionality of applications. At this stage, in addition to identifying redundancies, this is an opportunity to take an honest look at legacy applications that could be retired. Perhaps the majority of their functionality has been taken over by newer, more efficient applications, yet the licenses have been allowed to linger on. Now’s the time to make the final break. You’ll realize some impressive cost savings for your department, as well as free up budget and resources for new, more productive applications.
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