Published monthly, February 2004

 

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Estimating the Ongoing Costs of Applications

As a general rule, the ongoing costs associated with an application will be between 40 percent and 60 percent of the development costs for each year of the application’s life cycle. This includes the cost of maintenance, licenses, infrastructure, system software, and help desk and operational staff (both internal and outsourced).

IT departments that fail to calculate the increase in future costs run the risk of significant overspending, which will affect new IT investment opportunities.

Reference
Article
CIO Update: Issues That Keep CIOs of Midsize Businesses Awake at Night
Published: October 22, 2003
Authors: J. Browning and R. Brown, Gartner, Inc.


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