Cost Analysis
Enterprise IT Portfolio - Demo Corporation
$905,000
Total Portfolio Cost
$198,125
Hidden Costs Identified
$115,362
Potential Savings
12.7%
Savings Opportunity
TCO Breakdown
Cost by Department
Hidden Costs Identified
| Category | Description | Estimated Cost | Potential Savings | Recommendation |
|---|---|---|---|---|
| Integration Complexity | Annual cost of maintaining fragile integrations | $24,000 | $7,200 | Modernize or consolidate apps with low health scores to reduce integration overhead |
| Technical Debt | Additional maintenance costs due to aging technology | $58,000 | $40,600 | Prioritize modernization of applications with health scores <= 5 |
| Training & Support | Excess training costs for difficult-to-use systems | $21,125 | $10,562 | Improve UX or replace apps with poor usability |
| Opportunity Cost | Budget locked in low-value applications | $95,000 | $57,000 | Retire or replace low-value apps to free budget for strategic initiatives |
Quick Wins
Retire High-Cost, Low-Value Apps
1 applications Low Effort
$55,000
Potential savings
Optimization Roadmap
| Priority | Category | Potential Savings | Effort | Timeframe |
|---|---|---|---|---|
| P1 | Application Modernization | $13,500 | High | 12-24 months |
| P2 | Application Retirement | $95,000 | Low-Medium | 3-6 months |
| P2 | Application Consolidation | $81,250 | Medium | 6-12 months |