Back to Glossary Application Rationalization A strategic IT portfolio management process in which an organization systematically evaluates all business applications to identify redundant, outdated, or underutilized systems then retires, consolidates, replaces, or retains them based on business value and alignment with long-term technology strategy. Application rationalization is especially critical during mergers and acquisitions, where overlapping portfolios can significantly inflate operational… A strategic IT portfolio management process in which an organization systematically evaluates all business applications to identify redundant, outdated, or underutilized systems then retires, consolidates, replaces, or retains them based on business value and alignment with long-term technology strategy. Application rationalization is especially critical during mergers and acquisitions, where overlapping portfolios can significantly inflate operational costs and integration complexity.
