---
sourceDocument: Zurich Enterprise Architecture (formerly Application Portfolio Management)
sourceDocumentLink: https://www.servicenow.com/docs/r/zurich/application-portfolio-management

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    - zurich

ft:locale :

    - en-US

ft:publication_title :

    - Zurich Enterprise Architecture (formerly Application Portfolio Management)

ft:clusterId :

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workflow :

    - Technology


---

# Rationalization of business applications

# Rationalization of business applications {#ariaid-title1}

* Release version: Zurich
* 
* Updated July 31, 2025
* 
* ![](https://www.servicenow.com/docs/portal-asset/ico-clock) 2 minutes to read

Summarize  
![AI sparkle icon](https://servicenow.com/docs/portal-asset/ai-sparkle-icon) Summarized using AI  
This content was generated using new OpenAI-powered functionality. Results are provided on an as is basis and are not guaranteed to be accurate or complete.  

## Summary of Rationalization of Business Applications

Application rationalization in ServiceNow enables Enterprise Architects to evaluate and manage business applications effectively.
By categorizing applications, architects can decide whether to invest, sustain, migrate, or retire them.
The Application Rationalization page provides visualizations in bubble chart and list views to analyze applications based on multiple indicator scores and lifecycle information.
Show full answer Show less  
Applications marked as Retired or End of Life are excluded from default views but can be accessed by adjusting a system property with assistance from a ServiceNow account manager. Additionally, insights can be generated using Now Assist to support decision-making.

## Key Features

* **Application Rationalization Page:** Provides bubble chart and list views showing business applications with their indicator scores and planned dispositions.
* **Enterprise Architecture Workspace Insights:** Insight cards identify candidates for retirement, migration, investment, or those with disposition mismatches, linking directly to relevant application data.
* **Fiscal Period Scoring:** Indicator scores are displayed based on the latest fiscal period by default, with options to select different periods. Scores are normalized, weighted, and aggregated for each fiscal period.
* **Interactive Bubble Chart:** Visualizes applications in quadrants that guide decisions on investment, sustenance, migration, or retirement based on composite indicator scores.
* **List View:** Offers a high-level overview of all business applications and their associated indicator scores for comprehensive analysis.
* **Technical Debt Indicator:** Evaluates applications for technical debt based on compliance with Technology Reference Model (TRM) standards, providing a quantifiable metric to support portfolio analysis.
* **Technology Lifecycle Risk Score:** Quantifies the proximity of technologies to end-of-support or end-of-life, aggregating risk from technologies to business applications for lifecycle exposure assessment.

## Practical Benefits for ServiceNow Customers

* Enables informed decisions on application portfolio management to optimize investments and reduce unnecessary costs by identifying candidates for retirement or migration.
* Supports alignment with enterprise technology standards through the technical debt score, helping maintain a healthy technology portfolio.
* Provides actionable insights directly within the Enterprise Architecture Workspace, facilitating efficient application lifecycle management.
* Allows customization of fiscal period views and system properties to tailor the application rationalization experience to organizational needs.  
As an Enterprise Architect, you can use application rationalization to evaluate your business applications.

## Application rationalization overview {#eaw-rationalize-business-applications__section_msj_stg_yyb}

Rationalize all business applications in a category and decide whether to invest, sustain, migrate, or retire an application.

Select the application rationalization icon (![Application rationalization icon.]()) to navigate to the Application Rationalization page.  
You can perform the following using application rationalization:

* Analyze business applications based on multiple scores.
* Create a demand for a business application.
* Set the planned disposition of a business application.
* Add life-cycle details to an existing business application.
{#eaw-rationalize-business-applications__ul_pyy_xsg_yyb}

You can view all the business applications in a bubble chart view or in a list view. However, business applications marked as Retired or in End of Life
lifecycle stage aren't displayed on the Application Rationalization bubble chart or list view pages. However, you can view those business applications by updating the
sn_apm_ws.business_application_default_filter system property. Contact your ServiceNow® account service manager to update the system property.

You can also generate insights into business applications using Now Assist. For information, see [Generate insights into business applications](https://www.servicenow.com/docs/9K1pEA~VdXBgAEYMHgZrMQ "Learn the details of business applications and gather concise and actionable insights on business applications from the summary that is generated by ServiceNow Otto for Enterprise Architecture (EA). The business application insights are context-aware, that is the summary automatically includes relevant information from the specific page where you generate the insights.").  
Figure 1. Bubble chart view  
Figure 2. List view

## Application rationalization insights on the Enterprise Architecture Workspace home page {#eaw-rationalize-business-applications__section_q3z_hys_zyb}

The application rationalization feature of Application Portfolio Management also provides insights for your business applications. To see the insight cards, navigate to WorkspacesEnterprise Architecture Workspace and select the Insights section. The insights cards display information based on scores derived from application rationalization. The following insight cards are available:  
* Candidate business applications for retirement-business applications that might fit for retirement based on their indicator scores.
* Candidate business applications for migration-business applications that might fit for migration based on their indicator scores.
* Candidate business applications for investment-business applications that might fit for investment based on their indicator scores.
* Candidate business applications with mismatch planned disposition-business application with mismatch between their planned disposition and their indicator scores.
{#eaw-rationalize-business-applications__ul_wvl_jzs_zyb}

On selecting a particular card, the Application Rationalization page appears to display the relevant business application data, based on your selection.  
Note:  
To return to the main Application Rationalization page, select Go to Application Rationalization.

## Indicator scores based on fiscal period {#eaw-rationalize-business-applications__section_qcy_tyd_nhc}

All the indicator scores are displayed according to the latest fiscal period, by default. You can also select a different fiscal period from the Scores for fiscal period list. Your fiscal period
preferences are saved and applied the next time you visit the page.

The latest fiscal period is derived from the apm_app_indicator_score list. The fiscal period type (month, quarter, or year) is derived from the system property com.glide.fiscal_calendar.fiscal_unit.  
Note:  
You can zoom on this page to 200% or 400% through your browser settings without the loss of content or functionality. Page layouts are transformed into a vertical, stacked view automatically.
* **[Bubble chart view of application rationalization](https://www.servicenow.com/docs/3zvzPyocOd~4YL2y9NZIBw)**   
  Bubble charts are interactive graphs that position applications in different quadrants, based on their indicator scores. Based on the position of the business application in the quadrants, enterprise architects can take decisions to invest in, sustain, migrate, or retire the business applications.
* **[Application indicator score calculation in Enterprise Architecture Workspace](https://www.servicenow.com/docs/IhMztcXAnFFjizxd~U4Fcg)**   
  Enterprise Architecture Workspace calculates a composite score for each business application and business capability by running data from configured indicators through a multi-step pipeline. The pipeline normalizes raw values, applies weighted contributions, and aggregates the results into a final score per fiscal period.
* **[List view of application rationalization](https://www.servicenow.com/docs/x6n6FbSam8oUyyLlmRv0jw)**   
  As an Enterprise Architect, you can view the list of all business applications. The List view enables you to see high-level information on all your business applications and all the indicator scores that are attached to them.
* **[Tech debt indicator score for application rationalization](https://www.servicenow.com/docs/2k6qgx35Xjd9N390Mtcv5A)**   
  The Technology Reference Model (TRM) Technical Debt indicator is a customizable application metric that evaluates the technical debt score for each Business Application. This score reflects the number of associated technologies that don't comply with established TRM standards. It offers a clear and measurable value that can be leveraged across the Enterprise Architecture workspace for scoring, analysis, and visualization.
* **[Technology lifecycle risk score in Enterprise Architecture Workspace](https://www.servicenow.com/docs/unuENMoKqQEsyWe0JoJPCg)**   
  The Technology Lifecycle Management (TLM) lifecycle risk score is a numeric value that quantifies how close a technology is to its end-of-support or end-of-life milestone. Risk scores roll up from individual technologies through application services to business applications, and serve as an indicator in scoring profiles to surface lifecycle exposure across the portfolio.

**Related concepts**   

* [Working with application rationalization](https://www.servicenow.com/docs/IaLupo41w3YbTLLADc2JyQ "Application rationalization helps enterprise architects evaluate, optimize, and govern the business application portfolio with clarity and strategic intent. Application rationalization is a structured process to assess all business applications by category, capability, or family and determine whether to invest, sustain, migrate, or retire.")  
**Related tasks**   

* [Generate insights into business applications](https://www.servicenow.com/docs/9K1pEA~VdXBgAEYMHgZrMQ "Learn the details of business applications and gather concise and actionable insights on business applications from the summary that is generated by ServiceNow Otto for Enterprise Architecture (EA). The business application insights are context-aware, that is the summary automatically includes relevant information from the specific page where you generate the insights.")

*[\>]: and then


