An Application Portfolio Management Method for Implementation at Scania CV AB : Design and validation with focus on business value aspects
Information Technology (IT) has become a vital tool for most industrial businesses and
Scania CV AB is no exception. As the importance of IT generally has increased, the usage
and number of applications has grown as well. Applications are substantial assets for an
organization that is heavily supported by IT. Consequently, a way of managing applications
efficiently and sustaining the costs of applications rather low – doing more with less – is
required. In addition it is also important, from a business perspective, that applications as part
of IT are aligned with business strategies and goals.
Application Portfolio Management (APM) is a practice and a business-centric activity aimed
to allocate IT resources to support business objectives and strategies; it helps determining the
impact of applications and the relative importance of each application in the portfolio to the
business. APM attempts to justify and measure the financial benefits of each application
relative to the costs of the applications’ maintenance and operations.
Performing APM successfully is nevertheless a complicated issue, and something that many
businesses are challenged with on a daily basis. New applications are constantly and regularly
added, downloaded, purchased or self-developed – too often without any further control. In
order to regain the control of the software that automates the business, and ensuring that the
applications adds value and reliability to the company, Scania CV AB requires a rigorous and
comprehensive method for an APM approach.
In this master thesis together with Erik Nylén’s thesis
1, such a method is provided. The thesis
also offers a suggestion on how to proceed with the APM effort at Scania CV AB.
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