Application
Rationalization Solution

Skan AI's process intelligence tool observes the most complete view of process work so you can understand application usage at the most granular level possible.

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Process Intelligence for Application Portfolio Rationalization

Process Intelligence for
Application Portfolio Rationalization

An application portfolio rationalization strategy guided by Skan AI generates cost savings through modernization and targeted upgrades.

Skan AI's focus on user interactions with software applications provides detailed insights into day-to-day application usage. This data-driven approach to an application rationalization methodology ensures informed decisions in portfolio rationalization based on actual usage patterns rather than assumptions.

Skan captures usage data across all types of applications

Capture usage data across every applications...even mainframes

Skan AI offers a real-time view of the "Telemetry of Work," providing the deepest insights into workforce, process, and technology intelligence.

IT leaders use Skan AI to establish reliable measures of "Business fit" and “Technology fit” by assessing applications based on usage patterns, technology type and total cost of ownership.

You'll get application metrics such as:

  • Functional gaps
  • Human effort
  • Error rates
  • Clicks
  • Application switching

Application Rationalization Benefits and Value

A leading bank utilized Skan’s AI-powered Process Intelligence to identify redundant and non-value add applications through detailed usage pattern analysis. Additionally, Skan AI revealed areas for modernization and re-platforming where there was sustained business value but poor technology fit. By gaining visibility into user bottlenecks and pain points, the bank created an application rationalization strategy to upgrade both process and applications.

This approach led to significant cost savings from eliminating redundancies, improved efficiency through modernization, and enhanced user experience from targeted upgrades, showcasing the strategic benefits of Skan AI's application rationalization tool in optimizing complex banking operations.

10 %

Retired

Detailed application usage patterns identified redundant and non-value add applications.

20 %

Modernized

Detailed understanding of workflows uncovered areas of sustained business value but poor technology fit.

35 %

Upgraded

Visibility into common user bottlenecks identified applications with good business and technology fit.

FAQs About Application Rationalization

What is application rationalization?

Application rationalization is a systematic evaluation of an organization's software applications to identify which should be kept, consolidated, modernized, or retired. It helps optimize the application portfolio while reducing costs and complexity.

What are the benefits of application rationalization?

 The key benefits include:

  • reduced IT costs
  • improved operational efficiency
  • decreased technical debt
  • enhanced security
  • better system integration
  • clearer visibility into the application portfolio's business value and performance

Why do companies need an application rationalization strategy?

Companies need this strategy to prevent application sprawl, control costs, maintain compliance, reduce redundancy, and ensure their technology investments align with business objectives. It's essential for digital transformation and modernization initiatives.

What is the application rationalization process?

The application rationalization process involves inventorying current applications, assessing their business value and technical health, categorizing applications (modernize, sunset, replace, consolidate), creating a roadmap for changes, and executing the transformation plan with regular monitoring.

What are examples of application rationalization best practices?

Key best practices include establishing clear evaluation criteria, involving both IT and business stakeholders, documenting dependencies between applications, prioritizing high-impact/low-effort changes, and maintaining regular portfolio reviews to prevent future bloat.

What are common application rationalization mistakes?

Common mistakes include focusing solely on technical metrics while ignoring business value, failing to engage key stakeholders, not considering application interdependencies, rushing the retirement of legacy systems without proper planning, and neglecting to establish ongoing governance processes.

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