modernization math

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www.redpilldevelopment.com learn. do. dream. Modernization Math The financial reality when your organization decides to “get rid of Notes”

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Page 1: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Modernization MathThe financial reality when your organization decides to “get rid of Notes”

Page 2: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Born December 15

1989 to

Ray Ozzie & Iris Associates

25 Years

Page 3: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

The most successful SMA platform ever!

Page 4: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

50,000 companies

X 200 applications (average)

= 10 million applications

After 25 years

Page 5: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

5,000 lines of code (per application)

X 10 million applications

= 50 billion lines of proprietary code

Those applications contain…

Page 6: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Page 7: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Don’t Throw The Baby Out

With The Bath Water

Page 8: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

“I hate the Lotus Notes client”

Read the fine print

“I hate the Lotus Notes client”

Page 9: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

“The Notes client is no longer modern”“The Notes client is no longer modern”

Page 10: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

“We need to get rid of the Notes client”“We need to get rid of the Notes client”

Page 11: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

10 millionNotes Applications

Page 12: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

50 billionlines of proprietary code

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www.redpilldevelopment.comlearn. do. dream.

Traditional Approach

Promise Discovery & Assessment

Portfolio Strategy

Project PlanExecute

Application Strategy

Application Testing &

Deployment

Value

Page 14: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Many Great IBM Business Partners

Page 15: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Page 16: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Application ModernizationAnalysis + development + testing + documentation + training + deployment

$20,000 per application

5 weeks per application

Page 17: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Offshoring

Analysis + development + testing + documentation + training + deployment

$20,000 per application

Lower hourly rate (development)

Additional analysisAdditional development timeAdditional rework

Page 18: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

$15,000 initial development, testing, documentation, training & deployment

+ $5,000 increased maintenance

$20,000 per application

Code Generation Tools

Page 19: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Getting Started: Discovery & Assessment

$50,0004-8 weeks

Page 20: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

How Do Assessments Work?

# Forms # ViewsComplexity

Score$20,000per application

Page 21: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

No matter how you cut and slice it….

Page 22: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Application Modernization

$20,000Per Application

Page 23: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Platform Migration

$25,000Per Application

Page 24: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Portfolio Modernization

200 applications

$4 Million

1,000 applications

$20 Million

2,000 applications

$40 Million

Page 25: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Portfolio Modernization

200 applications

4 developers

5 years

1,000 applications

10 developers

10 years 2,000 applications

16 developers

12.5 years

Page 26: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Inherent Risk

Cost Overruns

Project Delays

Lack Of Documentation

Business Interruptions

Data Migration Issues

Project Failure

Page 27: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Modernization is a Journey

$20,000 $20,000 $20,000

Page 28: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Page 29: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Applications do not exist

Page 30: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

But these do…

DATADATADATADATADATADATADATADATA

Page 31: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Asymmetric Modernization

Promise Discovery & Assessment

Portfolio Strategy

Project PlanExecute

Application Strategy

Deployment & UAT

Value

Page 32: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Code & Data Forensics

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www.redpilldevelopment.comlearn. do. dream.

Customize Metadata

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www.redpilldevelopment.comlearn. do. dream.

Custom Coding

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www.redpilldevelopment.comlearn. do. dream.

The Customization Mix

Forensics & Meta-Data 80%

Custom Code20%

Development:$8,000 each

UAT:1 hour each

Page 36: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Asymmetric Modernization

200 Applications

$4 Million

1,000 Applications

$20 Million

2,000 Applications

$40 Million200 Applications$4 million

$340,000

1,000 Applications$20 million

$1.7 Million

2,000 Applications$40 million

$3.4 Million

Page 37: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

2,000 applications

16 developers

12.5 years

Asymmetric Modernization

200 applications

2 developers

5 years

1,000 applications

10 developers

10 years2,000 applications

16 developers12.5 years

1 year

200 applications

2 developers5 years

10 months

1,000 applications

8 developers10 years

1 year

Page 38: Modernization Math

www.redpilldevelopment.comlearn. do. dream.

Plan “B”

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www.redpilldevelopment.comlearn. do. dream.

Applications Expectations

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www.redpilldevelopment.comlearn. do. dream.

Applications Expectations

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www.redpilldevelopment.comlearn. do. dream.

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www.redpilldevelopment.comlearn. do. dream.

Asymmetric Modernization

Delivers

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www.redpilldevelopment.comlearn. do. dream.

MoreApplications

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www.redpilldevelopment.comlearn. do. dream.

Faster

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www.redpilldevelopment.comlearn. do. dream.

Less

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www.redpilldevelopment.comlearn. do. dream.

LowerCost