What role does application inventory play in APM?

Application inventory plays a critical role in Application Portfolio Management (APM) by providing a comprehensive list of all applications utilized within an organization. This inventory serves as a foundational element for various APM activities, as it enables decision-makers to assess the range of applications in use, their purposes, and their alignment with business goals.

Having a detailed application inventory allows organizations to identify redundancies, streamline processes, and optimize their application landscape. It also aids in facilitating informed decisions regarding application investments, lifecycle management, and potential replacements or decommissioning of outdated systems. Moreover, this inventory is essential for ensuring effective governance and strategy formulation around applications, as it encompasses key details about each application, such as usage statistics, costs, and performance metrics.

While compliance with legal regulations, user training, and tracking software bugs are important aspects of software management, they do not capture the comprehensive role that application inventory serves in providing ongoing visibility and management of the overall application ecosystem within an organization.