A lot of companies today are dealing with bloated application portfolios. Maybe it’s the result of acquisitions, maybe it’s years of one-off decisions, or maybe it’s just the natural build-up of tools over time. Whatever the reason, the outcome is usually the same: duplicate systems, rising costs, and unnecessary complexity.
Application rationalization helps you step back and take a good look. It’s about figuring out which applications still serve a clear purpose—and which ones don’t. You’re looking to decide: Should we keep it, replace it, retire it, or merge it with something else?
If you’re using Sparx Systems Enterprise Architect along with Prolaborate, you’re already in a good spot to do this in a structured, transparent way.
Need hands-on help with your architecture strategy?
Our experts can work with your team to streamline your portfolio, align IT with business goals, and accelerate decision-making.
So, what exactly is application rationalization?
It’s a process that helps you clean up your application landscape. You go through each system, assess its value, understand what it’s costing you, and see how well it aligns with business needs. Once you’ve done that, you categorize each one into a clear action:
- Keep it
- Replace it
- Retire it
- Consolidate it
That way, you’re not just guessing, instead you’re making informed decisions.
Why Rationalize Applications with Sparx EA and Prolaborate?
Sparx EA lets you model your IT environment in detail. Think of it as your digital blueprint—it holds information about your systems, how they interact, and how they tie into your business.
Prolaborate builds on that by making this information easy to understand and share. It gives business and IT stakeholders a way to actually engage with those models through dashboards, visualizations, and collaboration tools.
Together Sparx Systems Application Rationalization tools help bridge the gap between architects and decision-makers.
Here’s How the IT Rationalization Process Works
Step 1: Model your application portfolio in Sparx EA
Start by laying out all your applications using ArchiMate or TOGAF modeling profiles. Organize them by business capability, department, or owner—whatever structure works best for your organization.
Add useful details like:
- Who owns the application
- What it costs to maintain
- How well it performs technically
- How aligned it is with current business goals
- Whether it’s cloud-ready
To save time, you can use the Free APM accelerator package. It gives you a pre-built model with the most important attributes already set up. And yes, it’s customizable—so you can tweak it as needed.
Step 2: Set evaluation criteria
Now that your applications are in the model, it’s time to define how you’ll assess them. Use straightforward, measurable factors like:
- Business value
- Technical fit
- Total cost of ownership (TCO)
- Strategic relevance
- Cloud readiness
You can score each application on a 1–5 scale or simply label them as High, Medium, or Low. Keep it consistent. That way, everyone is using the same benchmark.
Step 3: Visualize Your App Portfolio
Once your data is in, Prolaborate helps you see the bigger picture. Use it to:
- Create dashboards showing which apps are nearing end-of-life.
- Highlight systems that are redundant or underutilized.
- Share visual catalogs that put business context front and center.
One useful example: a dashboard that shows which business capabilities are relying on outdated or high-risk systems. That’s the kind of insight that can shape real decisions.
Step 4: Bring others into the conversation
Application rationalization isn’t just a tech task—it’s a business decision. With Prolaborate, you can:
- Give the right people access to relevant parts of the model.
- Collect feedback directly from application owners and business users.
- Document reviews, comments, and decisions in one place.
This keeps everyone on the same page and avoids decision-making in silos.
Step 5: Make your decisions—and track them
Once you’ve gathered your input and completed your assessments, start tagging each application with an action based on the TIME model:
- Tolerate – Keep as-is for now
- Invest – Improve or modernize
- Migrate – Replace with a better solution
- Eliminate – Retire completely
Link each decision to an action plan and note any downstream impacts on your processes or teams. This isn’t just about what to do—it’s about why you’re doing it, and what it affects.
Manage Your Architecture Inventory
Curious how other teams are using Sparx EA to drive real outcomes?
From application portfolio management to capability mapping—see practical, real-world examples.
Application portfolio rationalization doesn’t have to be a long, painful spreadsheet exercise. With Sparx EA handling the modeling, and Prolaborate making everything easy to share and act on, the process becomes much more manageable—and a lot more useful.
Start small. Focus on one department or business capability. Share your early insights, gather feedback, and let that drive the next round of decisions.
If you’d like help setting things up or want to learn more about how to tailor this process to your organization, feel free to reach out to Sparx Systems North America.
