As the application portfolio of an enterprise grows, the ongoing support for those systems can become a burden on the IT organization, leaving little time for developing and implementing new applications. In response, some organizations see outsourcing application management as an attractive option, although the number of organizations doing so has been steadily declining. In this report, we analyze the percentage of organizations outsourcing application management (frequency), the average amount of work outsourced (level), and the change in the amount of work being outsourced (trend). We also assess the customer experience by showing how many IT organizations successfully lower costs or improve service by outsourcing application management. We conclude with recommendations for an application management outsourcing strategy. (18 pp, 8 fig.)
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