Tactical application rationalization
In our experience, even without a fully embedded BCM, application rationalization can still yield measurable benefits, for example:
🔹 Cost Reduction
Identify and eliminate redundant applications, cutting licensing, infrastructure, and maintenance costs.
Re-platform suitable platforms from on-premises to cloud-based SaaS solutions.
Consolidate vendors and negotiate better contracts for widely used off-the-shelf applications.
🔹 Productivity & User Experience improvements
Reduce obvious tool sprawl (i.e., employees using multiple overlapping applications).
Standardize office software and tools to improve collaboration and training efficiency.
Improve system integrations to reduce manual effort.
🔹 Accelerated Modernization
Prioritization of migration of legacy and unsupported applications to modern platforms.
Optimize custom-built applications by standardizing low-code platforms (or off-the-shelf solutions when suitable).
Identify high-risk applications (e.g., security vulnerabilities) for prioritization.
Where to start
Focusing on technical factors, obvious high level functional areas and on supporting functions like Finance, HR, Customer Service, and IT helps to build momentum to a rationalization effort.
✅ Application Consolidation Based on Functionality
- Example: Several tools used for project management → Standardize on one enterprise-grade solution.
✅ Migration from On-Premise to Cloud
- Example: A legacy CRM hosted on local servers → Move to a cloud-based CRM.
✅ Rationalization Based on Security & Compliance Risks
- Example: Legacy systems with outdated security protocols → Replace with compliant solutions.
✅ High Maintenance or Custom-Built Applications Without Business Justification
- Example: An internally developed procurement system requiring frequent maintenance → Switch to an off-the-shelf ERP module.
✅ Start with a BCM for High impact cross functional areas
- Example: Critical functions like Finance, HR, Customer Service, and IT using disparate tools → Migrate to cloud based off-the-shelf options.
