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Strategic Sourcing of the Application Portfolio

How CIOs bring focus to their sourcing policy

Fueled by business changes and changes in IT, application portfolios have become increasingly heterogeneous. A growing demand from the business and a decrease of supply in the IT labor market pose new challenges to the CIO. Now that external sourcing options for application services are maturing, a growing number of organizations take a more structured approach to application sourcing. Boldly outsourcing the entire application services portfolio; or ad-hoc solutions like hiring more external contractors, seldom provide a sustainable and satisfactory solution. Contrary to infrastructure, application portfolios tend to benefit from a more differentiated sourcing approach. It is time for the CIO to make strategic choices regarding the application portfolio and bring focus to the sourcing policy.

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