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ETS Case Study: HCLT's APO methodology enables a leading global airline optimize its application landscape
HCL’s APO methodology enables a leading global airline optimize its application landscape Our client is a leading global airline based in Hong Kong, with business interests as a full-serviced carrier (FSC) and cargo services to 114 destinations in 36 countries worldwide, including code shares and joint ventures. It is one of only six airlines worldwide to carry a five-star rating from Skytrax and is a founding member of the OneWorld alliance It partnered with HCL to undertake a comprehensive assessment of its entire application portfolio as part of a broader transformation program to create a new operating model and organizational structure for its Information Management Department (IMT)CHALLENGES / OBJECTIVESOne of the areas for realizing massive change was in the application landscape. Mostapplications were developed in-house across multiple platforms and some COTSapplications were implemented. In total, it supported approx. 300 different applications SNAPSHOTacross architectures and platforms, which led to 3 key challenges: Lack of visibility: Very little visibility into the big picture of what made up its Horizontal: Enterprise Transformation application landscape and no repository of information to understand what was Services available or the financial cost to support a specific application Micro-vertical: Airlines Application support running in silos: A siloed operating structure. While all Service Areas: Application Portfolio application support teams belonged to IMT from a resource and budget standpoint, Optimization they were operating independently of IMT and were largely beholden to the business IPs / Frameworks: PRISM – HCL’s unit they were working for, which had implications in terms of cost, governance, and proprietary Web-based platform operational efficiency Lack of cross-functional integration: Business units were operating on different IT environments and applications that lacked seamless integration, thereby creating "bottlenecks"
THE SOLUTIONHCLs application portfolio optimization (APO) methodology was utilized to provide much required visibility into: Functional and technical health of applications: Each application was assessed across a number of criteria, including maintenance, performance, usability, security, and complexity to identify candidates for refresh, reengineering, and retirement. This exercise provided qualified information to decide on how our client could approach its application support from a sourcing perspective, moving forward Integration complexity: Insights were provided into interfaces (inbound/outbound) with internal and external applications to enable our client understand the upstream and downstream consequences of minor and major changes as well as the myriad forms of integration used IT spend: TCO was calculated for each application by collaborating with the infrastructure teams as well as the individual 12 application support teams. This provided a cost analysis across areas of support and maintenance, enhancements, production support, licenses, and resources Application mapping to business and technology functions: This highlighted the connections between the applications and database servers and the mapping of these applications to the business processes to facilitate optimized performance across these layers. This also helped to understand application value as an input to investment priorities The client also leveraged our PRISM tool, a Web-based proprietary platform to capture relevant information and a useful reference point for the inventory of applications that were assessedRESULTS / BENEFITS Reference data: One of the key outcomes of the project was the set of data that was obtained and then retained in the PRISM tool. Our client has utilized this data for various purposes (outline business cases, change cases, outsourcing reference data, for new employees joining the organization, and for operational purposes) External benchmarking: We compared the data collected from the assessment with our benchmark database, thus providing an external perspective to what constitutes the recommended best practice, primarily in terms of where resources were spending their time in the development and support life cycle. These types of inputs are critical as part of any initiatives that have a fair amount of transformational and change management requirements Future road maps: The project also provided a business case for a subset of clustered applications along with a high-level implementation timeline. In addition, the data analysis output provided a much better understanding of sourcing options in the future, particularly in terms of which applications were deemed to be mission critical versus non-mission critical
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