Application Stabilization and Rationalization

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Summary

A fully integrated health care provider serving more than 4 million people needed to optimize a complex IT environment that resulted from a merger of 12 separate entities. Through portfolio rationalization, creation of a new data center and improved discipline around processes, the organization significantly lowered application outages, reduced maintenance cost and implemented better process flow between organizational entities.

Context and Complexity

Disparate technical environments and numerous organizational boundaries coupled with an urgent need to mature service delivery, created a complex operating environment. Complexity was exasperated by the high volume of data, large number of aging servers and large number of user applications. IT service delivery supported a wide range of health care services including ambulatory, nursing, rehab, long term care, HMO, pharmacy, acute care, physicians’ offices, home care, special care hospitals and general hospitals). Redundant applications and processes resulted from the mergers.

Actions

  • Confirmed business objectives (better patient care at lower cost)

  • Identified core IT issues (application stability, redundancy and cost)

  • Inventoried applications and processes (approximately 4,000 applications)

  • Rationalized applications to core requirements (2,500)

  • Oversaw creation of new data center (for greater stability, recoverability and security) and managed activities of the 3rd parties involved in the move

  • Oversaw the implementation of commercial software to replace retired applications

  • Created Application Services Management processes to optimize support, enhancement and maintenance functions

 Outcomes

  • New data center established

  • 2,500 applications and associated servers “lifted and shifted” to new center

  • Two major commercial software solutions implemented (Centricity, Cerner)

  • Interdependencies between application and application areas mapped

  • Process redesign completed for application management function

  • Outsourcing model defined

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