Application Rationalization Services

Your first step toward modernization success.

Organizations need to modernize their applications to take advantage of all the cloud’s benefits and remain competitive and compliant. A recent Pulse survey of 100 IT executives shows that 79% of respondents affirm that legacy applications hinder their organization’s digital transformation initiatives. Yet companies often keep legacy applications beyond their end of support. Their intent is likely for good reasons, whether it’s for perceived efficiency, existing business capabilities, or seemingly cheaper maintenance.

One of the most daunting aspects of application modernization is identifying the number of applications running in your environment and deciding which ones to keep, replace, retire, or consolidate—making application rationalization one of the most critical steps of your modernization journey.

What is Application Rationalization?

Application Rationalization Services

Application rationalization is the endeavor to strategically identify all business applications across an organization and determine the right course of action for the best business outcomes. Application rationalization is essential to managing your application portfolio and modernizing your legacy and monolithic applications.

Application rationalization is a best practice for proper application portfolio management. Regularly updating and rationalizing your portfolio empowers you to make educated business decisions. Application rationalization reveals application duplication, siloed business units, and unnecessary IT costs so that you and your organization can address them head-on.

The rationalization process offers a well-defined approach for companies to use for future portfolio management and cloud migration strategies. It includes creating a comprehensive list of applications, including their attributes and functions, business value, and total cost of ownership (TCO), then comparing—or rationalizing—that list as a whole to eliminate redundancies, improve efficiency, and increase cost savings.

A successful application rationalization project requires the cooperation of critical stakeholders and an iterative approach that contains multiple steps to meet your organization’s unique business needs.

Application rationalization may seem challenging but is worth the time and effort. In the end, you will realize improved IT portfolio management capabilities and be empowered to make better business decisions. Best of all, it enhances and speeds the delivery of your applications to your customers.

How We Help



Identify your business needs and perform an application modernization readiness assessment.


Compile an inventory of applications to collect relevant information for making informed decisions.


Assess business value, technical fit, and total cost of ownership (TCO) for each application.



Assign scores to each application to easily and concisely rank and compare applications.


Determine the best course of action for each application based on industry-standard approaches.

Every cloud migration and application modernization project begins with application rationalization, but it is not a one-size-fits-all process. 2nd Watch works closely with you and your organization’s stakeholders to take a holistic view of the costs and benefits of modernizing your cloud and application landscape.

Request to Speak with an Application Rationalization Expert

2nd Watch application modernization experts will guide you through your application rationalization initiatives and help simplify your application portfolio to improve your organization’s approach to IT modernization.