Modernization as Strategy

Blog /Modernization-as-Strategy

Organizations that accept a modernization journey can significantly impact all levels of the organization as the product offerings, the revenue stream, its staff and operation models start to focus more strategically on modernization.

The following three broad categories of enterprises illustrate how the dialogue around application modernization is structured.

  • Proactive and Strategically Thinking firms
    • Target lowering long-term IT integration costs, as those costs represent 40% of IT budget
    • Focus on radical modernization as the preferred strategy for mission-critical applications
    • Weed out the old, tired and unneeded applications
    • Require broad participation by IT technicians to foster training and experience share
    • Focus on IT integration costs as a key performance indicator
    • Position IT as strategic partner with the business side
  • Industry average firms
    • Initiate modernization initiatives by the value an application delivers to the business and the support it needs
    • Prioritize application migration by service value
    • Industrialize the modernization process
    • Merge legacy application modernization planning with IT consolidation strategies
  • Laggard firms
    • Focus on allocation of the right IT budget
    • Realize resistance to spending on IT, results in higher IT costs
    • Determine the highest long-term paybacks by comparing against industry metrics
    • Carefully select modernization and development tools, and IT service providers
    • Consider automation versus a manual legacy application modernization strategy

 Take active measurements to push the modernization agenda forward.

Post Date: 11/13/2013

default blog image Henrik Sorensen

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