Application Portfolio Cost Reduction Strategies

| Point of View

A Multi-Perspective Approach to Reducing the Cost of Owning and Operating Your IT Application Landscape.

Application Rationalisation serves as a solid starting point when seeking to reduce IT costs. However, a decision to embark on an Application Rationalisation strategy is typically accompanied by a series of questions:

  • How do you go about deciding which actions make most sense for each of the applications in your portfolio?
  • How do you capture the ‘big picture’ view that ensures you don’t take actions that will cause you to miss out on opportunities elsewhere?
  • What is the best way of quantifying benefits?
  • How do you ensure that reducing costs doesn’t also mean that you reduce performance or the ability to generate value?
  • How do you reduce costs without undermining performance and strategic objectives, and how do you build the business case for the action you plan to take?

This paper proposes the use of Capgemini’s Cost Reduction Strategies methodology as part of a broader portfolio analysis in which cost reduction is a key objective.