IBM thinks it is wasting too much cash running too much software on its internal computer systems.
IBM has already cut the amount of software it runs on its iternal systems by 70 percent. But CIO Jeanette Horan thinks that much more consolidation is needed.
To show the size of Biggish Blue’s problem, before the consoltidation effort IBM was using 16,000 applications. It has since cut that number to 4,500.
Horan has told her IT crowd to cut the remaining applications in half by the end of 2015.
Talking to Computerworld, Horan said she wanted common global applications across all business units.
At the moment there is not a global process, just lots of different systems in different countries.
It is becoming a problem as more companies move onto the cloud and duplication becomes more obvious.
Needless to say the suits in IBM had developed a process, with lots of flow charts to deal with software problems and issued a memo explaining the need to jettison applications.
Apparently the application consolidation team will point to duplications. Then the business unit is formally told the cost of upgrading and supporting all of its applications.
Then the “application reduction will be framed in the overall context of the strategic goal” because there is nothing worse than seeing a strategic goal stuck on the wall with blue tac when it should be properly framed.
Still, IBM estimated that it saved about $1.5 billion as a result of application and data centre consolidation projects over several years.