Application Portfolio Rationalization in Large International Enterprises

, , ,

Keywords: , , ,

Inka Vilpola and Ikka Mo Möttönen


Today, most of large and international enterprises have already enterprise resource planning, business intelligence and customer relationship management systems in place. Some of the enterprises have integrated their other business applications to these systems. Increased complexity and spend of IT have emerged companies to rationalize and consolidate their application portfolio. Rationalization can mean shutting down applications, replacing them, or modifying their functionality and usage across the organization. Major challenges in rationalization are enterprise level decision making and cost of cleaning activities. This case study provides an example of setting up application portfolio management in a large international enterprise that has expanded through years by mergers and acquisitions. The results show key performance indicators and objectives for such portfolio management. The general portfolio theories are not always applicable as such in real life circumstances, but when applied they provide solid base for application portfolio re-thinking in an organization. CIOs, controllers and application responsible professionals can directly apply the results in their daily work.

Journal of Enterprise Architecture

Leave a Comment