Application Portfolio Management

Application Portfolio Management

Intro

Application Portfolio Management (APM) manages the application estate to optimise cost, risk, and value. In EA, it supports rationalisation and lifecycle decisions.

Key points:

  • Provides inventory, lifecycle, cost, and risk visibility
  • Supports rationalisation and investment planning
  • Common use cases: duplicate elimination, technical debt tracking, lifecycle policies, business fit analysis, dependency mapping
  • Pitfall: weak data quality undermines decisions

Examples:

  • Identify redundant applications serving the same capability
  • Plan upgrades or retirement based on lifecycle and risk
  • Assess business fit and cost per capability

In practice:

See Application Rationalization and Application and Technology Lifecycle Management.

Related terms: Application; Technical Debt; Portfolio

FAQs:

Q: What’s the first step in APM?
A: Build a trusted inventory with lifecycle status and ownership.

Q: How do you prioritise rationalisation?
A: Target high‑cost, low‑fit apps with overlapping functionality.