Transform Your Application Portfolio - and Keep Your Focus!

3,705 views

Published on

Application Portfolio Management is a discipline used to justify and measure the business value of each application in comparison to the cost of maintenance and operations. But Enterprise Architecture Management http://www.softwareag.com/corporate/products/aris_platform/aris_design/business_architect/capabilities/default.asp also plays an important role in solving this challenge. How do these two disciplines fit together? Is Application Portfolio Management a pure IT-related topic? Find out how Software AG’s ARIS Enterprise Architecture Management solution provides the methodology, the tools and best practice to answer these questions. To watch the full video, visit the Software AG resource center http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-105334.

Transform Your Application Portfolio - and Keep Your Focus!

  1. 1. Transform Your Application Portfolio –and Keep Your Focus!Patrick Buech, Software AG
  2. 2. December 13, 2012 | 2Laws and regulations Laws Guarantees Customers Compliance requirements Customer satisfaction Risk management Product and service quality Internal controls Response and delivery times Market segmentation IT is not only supporting Individualization the business, IT is the change agent of the Information technology trends SOA and business services business! IT security/ standardization Free market economy Cloud/Mobile/Social Competition Cooperation Consolidation Economical climate Speed of innovation
  3. 3. December 13, 2012 | 3The Challenge with IT Portfolios Business Support Business Growth Keep-the-lights-on Strategy Technology Demands Innovation IT IT Portfolios ... Technologies As-Is Applications Just doing nothing automatically leads to increased costs
  4. 4. December 13, 2012 | 4Manage and Transform Portfolios to support Business GrowthBusiness Support Business Business Growth References, Principles, Policies • Agility • Efficiency Technology Demands • Innovation Innovation • GrowthIT IT Portfolios volatile To-Be ... ... ... ... Technologies Technologies Technologies Technologies As-Is Applications Applications Applications Applications ROADMAP Key questions: Milestone 1 Milestone 2 • How long? Project • What do I have to do? Operationalized through Portfolio • How much? Projects and Programs Management
  5. 5. December 13, 2012 | 5 The Result: - I needed much longer than expected! - When I arrived I was totally exhausted and my appearance was pretty poor. The Bottom Line: - I was not that as well informed as I thoughtRoadmap2MyCustomer! - My decisions were based on that poor level of information
  6. 6. December 13, 2012 | 6Lesson Learned from the “Paris Incident”• Good decisions are based on a good level of information!• Keep the goal (area) in focus, at all times!• Be prepared for the unexpected rather than go after a fixed roadmap!This is valid for all kind of roadmaps. As well as for IT Modernization Roadmaps!
  7. 7. December 13, 2012 | 7IT Modernization Roadmaps• Describe the transformation of the application landscape• Describe the execution of decisions which are an outcome of a process called Application Portfolio Management (APM)Challenges Retire Enhance• IT modernization roadmaps describe the ideal world (plan vs. reality)• IT modernization roadmaps execute not Replace Maintain only rational decisions but also political decisions
  8. 8. December 13, 2012 | 8Application Portfolio Management –Means different Things to different People!Why APM?• A ‘Keep The Lights On’ strategy eats up IT budgets and eliminate the ability to support business innovation and growth• New applications intensify the biggest problem: A growing not controllable application portfolioAPM in a nutshell• Build the transparency and metric that guide to good decisions regarding the transformation of the application portfolio• APM leads into reliable IT modernization roadmaps• APM is a process!
  9. 9. December 13, 2012 | 9The Process of Application Portfolio Management in Four Steps Create Define and Gather Use Insight and Modernize Transparency Metrics Drive Change Decide on fate of the For example costs, Analyze, assess, Build an inventory of the application, create IT business support, usage, evaluate, optimize, application portfolio modernization roadmaps, criticality rationalize execute them Some questions to think about:• What applications • Which kind of • What analytics are • Who has the are in scope? metric is needed? decision-making• What level of necessary? • What viewpoints power about the detailed • What can be are needed? fate of the information is collected? applications, IT • Who is involved? budgets and necessary? • How is the metric • Who else needs investments?• Where to start? been used? this information?• What are the • How is it been • What else can be goals of this updated? answered? initiative?
  10. 10. December 13, 2012 | 10Enterprise Architectureanswers questionsfrom stakeholders frombusiness and IT!• How do I get from A to B?• What‘s the impact of…?• How much effort is…?• What are the next steps?• How much time do we need?• How much cost do we have?• Who is responsible for?
  11. 11. December 13, 2012 | 11Software AG‘s Solution for Enterprise ArchitectureThe fully integrated EA solution combines the market-leading software,along with proven methodology, best-practices and expertise. Analyze, optimize, plan and manage your enterprise Synchronize IT change with business needs Create the right roadmap for your business products, services and solutions Harmonize and standardize IT portfolios Define and track your enterprise-wide standards Optimize your IT budget and risk management Support business process analysis, requirements engineering, solution development, service, application and technology portfolio management - and more
  12. 12. December 13, 2012 | 12Capabilities
  13. 13. December 13, 2012 | 13Application Portfolio Management –Where Software AGs Enterprise Architecture Solution can help Create Define and Gather Use Insight and Modernize Transparency Metrics Drive Change Decide on fate of the For example costs, Build an inventory of the Analyze, assess, evaluate, application, create IT business support, usage, application portfolio optimize, rationalize modernization roadmaps, criticality execute them Application Code, Data, Environment (automatically gathered by application mining tools, CMDB, Natural Engineer,…) Questionnaires, Stakeholder Surveys (manual data collection) Customer Information Systems e.g., ARIS IT Inventory
  14. 14. December 13, 2012 | 14Publish, Document, Manage, Collaborate – Some examples
  15. 15. December 13, 2012 | 15Application Portfolio Management –Where Software AGs Enterprise Architecture Solution can help Create Define and Gather Use Insight and Modernize Transparency Metrics Drive Change Decide on fate of the For example costs, Build an inventory of the Analyze, assess, evaluate, application, create IT business support, usage, application portfolio optimize, rationalize modernization roadmaps, criticality execute them Application Code, Data, Environment (automatically gathered by application mining tools, CMDB, Natural Engineer,…) Questionnaires, Stakeholder Surveys (manual data collection) Customer Information Systems e.g., ARIS IT Inventory
  16. 16. December 13, 2012 | 16Design, Architect, Plan, Transform – Some Examples
  17. 17. December 13, 2012 | 17Outlook ARIS 9 – Two top features to support the APM process ARIS spreadsheets – combine ARIS artifacts with other data, calculate and annotate. Design templates for Spreadsheets better results. Comprehensive ad-hoc analysis, content browsing and evaluation of New Analytic the ARIS repository independent of Capabilities any ARIS model definition.
  18. 18. December 13, 2012 | 18Analyze, Control, Decide - EA Dashboards
  19. 19. December 13, 2012 | 19Application Portfolio Management –Where Software AGs Enterprise Architecture Solution can help Create Define and Gather Use Insight and Modernize Transparency Metrics Drive Change Decide on fate of the For example costs, Build an inventory of the Analyze, assess, evaluate, application, create IT business support, usage, application portfolio optimize, rationalize modernization roadmaps, criticality execute them Application Code, Data, Environment (automatically gathered by application mining tools, CMDB, Natural Engineer,…) Questionnaires, Stakeholder Surveys (manual data collection) Customer Information Systems e.g., ARIS IT Inventory
  20. 20. December 13, 2012 | 20Excursion:The Quadrant Approach to Application Portfolio ManagementThe concept of the application portfolio was first described as a StrategicGrid that demonstrated the importance of IT to the business in 1983 byMcFarlan, McKenney and Pyburn in the Harvard Business Review’s “TheInformation Archipelago – Plotting a Course.” The idea: Classify applications into four quadrants to document the strategic relevance of the application to the business. 1.Strategic. Business depends on application for competitive advantage. 2.Turnaround. Business expects that the application will be strategically relevant in the future. 3.Support. Business sees no strategic value in the application. 4.Factory. Business sees strategic value now, but predicts that this will disappear in the future.
  21. 21. December 13, 2012 | 21Application Portfolio – Example I:Decide on fate of the Applications Retire Enhance Replace Maintain
  22. 22. December 13, 2012 | 22Application Portfolio – Example II:Strategic Business Importance Remarks • Define the categories that matter to your goals • Automatic generation would be nice but politics makes it hard to do • Analytics are needed to make reliable decisions • Impact of decisions needs to be analyzed
  23. 23. December 13, 2012 | 23Application Portfolio – Example III:Automaticly Generated (Application) Portfolios
  24. 24. December 13, 2012 | 24IT Modernization Roadmap Remarks • Manage application roll-outs over time based on processes, organizations and locations • Define application standards based on the process landscape • Manage and roll out these local and/or global application standards • Generate and simulate different time based viewpoints based on an analysis date
  25. 25. December 13, 2012 | 25Analyze Impacts of the Application Portfolio onIT Modernization Roadmaps
  26. 26. December 13, 2012 | 26Enterprise Architecture Dashboards I
  27. 27. December 13, 2012 | 27Enterprise Architecture Dashboards II
  28. 28. December 13, 2012 | 28IT Modernization Roadmaps and Project Portfolio Management –The tricky Link between Plan and Reality Project Portfolio Management Tool
  29. 29. December 13, 2012 | 29Summary & Recommendations• Although it is seen very often as project based, APM is an ongoing process which should be installed permanently in the organization!• APM does not mean managing only, it has to lead into activities to transform the application portfolio!• Transparency is key – but be wise where you begin to address transparency!• Start with a clear definition of goals – Remember: APM means different things for different people!• Software AGs EAM Solution provides a powerful metadata repository and a robust set of features to leverage APM!• Drive IT Modernization activities with Software AG! Move away from just “keeping-the-lights-on” and start to actively support strategic business growth!
  30. 30. December 13, 2012 | 30 Questions?Patrick Buechpatrick.buech@softwareag.comhttp://www.softwareag.com/ea
  31. 31. Thank you

×