In an increasingly digital world, it’s more important than ever for companies to stay efficient, cost effective and competitive – and application rationalisation is here to help you do just that.
Application rationalisation is about getting rid of redundant applications and creating a more effective software portfolio for your business. It helps you avoid wasting your resources, and that’s important to stay ahead of the competition.
In this article, we’ll cover what application rationalisation is, why it’s important for your business and 6 steps for effective application rationalisation.
What is application rationalisation?
Application rationalisation is the process of assessing a company’s application portfolio to determine which applications should be kept, replaced, retired or consolidated.
The goal of application rationalisation is to cut down on unnecessary or outdated applications and improve how your applications work together – and save money in the process.
Application rationalisation typically involves getting rid of apps you don’t need, merging similar ones or upgrading old systems that no longer do the job. The ideal result is a leaner, more effective application portfolio better suited for your company.
The benefits: Why application rationalisation is important for your business
Throughout their life, companies tend to accumulate a lot of software. Over time, that software becomes outdated or redundant. Without regular clean-up efforts, you might find yourself using resources on applications you no longer need.
Application rationalisation can help you stay efficient, cost effective and competitive. It helps you avoid wasting time and resources and unlocks a variety of important benefits, including:
- Cost savings: Fewer applications mean less money spent on licences, maintenance and support. You’re not paying for software you don’t need, and that can add up to big savings in the long run.
- Improved efficiency: Cutting down on unnecessary software makes life easier for your IT teams and employees. Everything runs more smoothly – and your employees lose less time dealing with clunky or overlapping tools.
- Enhanced security: With fewer applications, it’s easier to keep track of things and lock down your systems. To put it simply, the fewer applications, the fewer chances there are for security issues.
- Simpler IT infrastructure: By getting rid of old or complicated systems and focusing on modern, flexible solutions, your overall IT setup becomes more reliable and easier to manage. Basically, the less clutter you have, the better your performance is.
- Less training: Every application requires a level of support from vendors or in-house staff – but with fewer applications, you won’t need to set aside as many resources on training and support.
In short, there’s much to gain from application rationalisation. Even so, being aware of the benefits is one thing – knowing how to unlock them is another. That’s what we’ll get into next.
6 steps for effective application rationalisation
To get the most out of application rationalisation, it’s important to know what it takes to do it right. We’re here to help you do just that.
Below, you’ll find six key steps to an effective application rationalisation plan. Let’s get into them.
1. Inventory your applications
The first thing you need to do is make a list of all the software applications you’re currently using. Make sure to include what each application does, how much it costs, how often it’s used and who’s in charge of it. This gives you a clear picture of the application landscape you’re working with.
2. Evaluate your usage
Once you’ve made a list of your tools, take a close look at how often people use each application. If an application is sitting around collecting dust, or if you realise you have multiple tools that do the same thing, those are good candidates for getting rid of.
3. Assess costs and benefits
For each application, weigh what it’s costing you against what it’s actually doing for your business. If you’re spending money without getting any tangible benefits in return, or if the application isn’t driving any real value for your business, it might be time to consider letting the application go.
4. Identify redundancies and gaps
Next, look for any applications with overlapping functions and consider consolidating them. At the same time, keep an eye out for any gaps where you may need to invest in better tools to improve productivity or innovation.
5. Decide on a plan
Once you know what’s working for you and what isn’t, it’s time to decide which applications to keep, combine, replace or retire. You might want to streamline things by investing in fewer, more powerful tools, or migrate certain software solutions to more modern platforms – like the cloud – to make things simpler and more efficient.
6. Set your plan in motion
Once your application rationalisation plan is in place, it’s time to implement the necessary changes. Retire old applications, bring in new ones where needed and keep an eye on how everything is running afterwards.
Finally, make sure to regularly review your application landscape to make sure it stays optimised and evolves as your business grows.
Wrapping up
Application rationalisation is a valuable strategy for staying competitive in today’s digital world. Without it, you may be wasting resources on applications you no longer need. But with it, you’ll have what it takes to stay efficient, cost effective and ahead of the competition.
By following the six steps outlined above, you’re on the right track to get the most out of application rationalisation – and the most value out of your resources.
