Software Modernization: Why Consider, Checklist, Traps to Look Out

In 2022, it was reported that outdated systems cost businesses about $2.6 trillion every year, with 70% of IT budgets spent on keeping these old systems running. Because of these high costs, 87% of businesses plan to update their old systems within the next year.?

When businesses modernize their legacy systems, they see an average revenue increase of 15% and reduce their IT costs by about 30%.?

These days, it’s almost impossible to stay competitive and reach your business goals if you use outdated technology. To stay ahead, you should create a good plan to update and eventually replace your old systems.?

I. 5 Reasons Why You Should Consider Software Modernization?

In today's world of digital transformation, old software and outdated systems can slow down progress, stifle innovation, and lead to high maintenance costs.?Software modernization? ?opens up new possibilities to improve and refresh IT infrastructure through gradual upgrades. This helps align older systems with modern business, customer, and market needs.?

Let's explore how?legacy software modernization?can spark innovation and future success for businesses.

1. It?Simplifies Maintenance and Saves Costs?

Did you know that up to 80% of a company’s IT budget goes into maintaining old systems? These outdated systems are expensive to maintain because they use old technology, have complicated code, and often lack vendor support. These systems were initially built to meet needs that are no longer relevant. Maintaining these old systems is costly because technology and processes have advanced rapidly since they were developed.?

Moreover, it's hard to find people with the skills to work on these outdated systems. Many companies have to hire expensive outside IT support to keep their old systems running. To save money and reduce complexities, you should consider?software modernization?instead of spending a lot on maintaining it.?Legacy software modernization?makes maintenance easier, reduces downtime, and saves significant costs.?

The process involves identifying what still works and what no longer serves a purpose. Only the systems that are still useful and critical for the business are updated. Today's developers are familiar with modern systems, so they can provide support more quickly and cost-effectively.?

Software modernization?accelerates a complete digital transformation, helping reduce IT and other operating costs by:?

• Increasing the use of shared services and the cloud?
• Using better system architecture approaches, including reusing components?
• Identifying and improving complex or redundant codes and cleaning up outdated functions and libraries?
• Implementing automated testing and deployment processes, such as continuous integration and continuous delivery (CI/CD)?
• Containerizing software and applications using tools like Docker and Kubernetes?
• Embracing a DevOps mindset?
• Encouraging innovation to improve operational efficiency?
• Reducing the cost and complexity of maintenance is a major reason why businesses should consider modernizing their old software.?

2. It Boosts Performance and Scalability?

As technology advances, your business systems should keep up. However,?modernizing legacy systems?to match the latest technology can be challenging due to outdated technology and a lack of skilled personnel. This inability to use the latest advancements can hinder operations, lead to customer dissatisfaction, and put your business at a disadvantage.?

Legacy software modernization allows you to recognize the strengths and weaknesses of your current technology. Instead of completely replacing the old system, software modernization services help you integrate useful parts of the existing software with new components.?

Modernizing software enhances the IT infrastructure, boosting performance and scalability by:?

• Adopting a decoupled architecture (breaking large systems into smaller, manageable services) to scale features with new solutions without affecting overall performance?
• Implementing API gateways for smooth service communication?
• Transitioning from on-premise environments to cloud-based platforms?
• Enabling faster, more accurate, and better-documented processes?
• Using load balancers and robust caching mechanisms to manage data efficiently?

Thanks to this, you can eliminate bottlenecks and inefficiencies in your legacy system. So that you can address productivity issues, automate and streamline IT and business solutions, and improve operational efficiency. Increased productivity allows you to operate with less manual labor, reduced costs, and minimized downtime.?

3. It Helps Overcome Potential Security Threats?

Old systems are highly vulnerable to security threats. When software becomes obsolete and no longer receives updates, it stops getting necessary security patches from developers. Additionally, disaster recovery and backup become more challenging over time. This makes old systems more susceptible to malicious hackers who can exploit outdated SSL and Java vulnerabilities to breach your network.

As a result, critical business data can be stolen, or the entire system can be hacked, posing a serious threat to your company and its users. Research shows that 60% of small businesses close within six months of a cyberattack, with the average cost of such attacks being $25,612, not to mention the damage to the company’s reputation.?

Modernizing legacy systems allows businesses to improve functionality and enhance security features. New technology systems come with advanced security measures that help detect and prevent cybercrimes. Regular security patches and cutting-edge SSL encryption available in modern technology reduce the risks of cybersecurity threats.?

Legacy software modernization helps overcome potential cyber threats by:?

• Implementing modern Identity and Access Management (IAM) solutions and enforcing multi-factor authentication for effective access control?
• Protecting sensitive data with encryption, including authentication, authorization, and logging mechanisms?
• Adopting a zero-trust strategy for devices, services, users, or clients?
• Implementing robust containerization strategies?
• Enabling declarative authorization policies and authentication scopes?
• Applying automated patch management systems to regularly assess vulnerabilities and prioritize fixes based on severity?
• Employing robust session management and access revocation procedures?

While IT security will always be a concern, many vulnerabilities can be addressed by updating outdated software and security protocols. Even if your system is custom-made and you have resources to support it, adding new security fixes requires additional investment.?

4. It Improves Flexibility and Adaptiveness to New-age Functionalities?

Can your current systems or old software support your expanding business needs? Are you able to innovate quickly in a fast-paced technological world without disrupting ongoing operations??

Software modernization allows it to be frequently updated with new functionalities, keeping it relevant. The flexibility and adaptability of these systems are important for businesses to handle the dynamic demands of the market. Organizations that modernize their systems can scale their old systems with twice the flexibility.

Thanks to this, you can take advantage of advanced IT architecture that can support your growing needs and expanding operations, providing enhanced capacity to manage increased scale and growth.?

Modernizing legacy systems helps adapt to modern software development practices, achieving greater flexibility and adaptability by:?

• Moving data and workloads to a hybrid or multi-cloud environment, including migrating to NoSQL databases for horizontal scalability and implementing sharding or partitioning strategies for handling large datasets?
• Implementing APIs and microservices to enable seamless integration with third-party modules, cloud-based architectures, and web-based systems?
• Employing DevOps principles for streamlined development, testing, and deployment processes?
• Adopting an infrastructure as code (IaC) approach as part of DevOps practices for reproducible environments?
• Embracing microservices-enabled application architecture?

Legacy modernization software provides a flexible foundation that allows your business to thrive, grow, and sustain itself in the ever-evolving tech market. This foundation enables you to navigate future innovations without interruptions or downtime to existing operations.?

5. It Improves Usability?

Another key reason for businesses to modernize legacy systems is to overcome software usability issues. Aging or outdated systems often can't support modern technology and usability standards, which can hinder a business's growth.?

• Modernizing software improves usability by:?
• Adopting responsive design principles for seamless use across various devices, screen types, and resolutions?
• Ensuring the software complies with WCAG guidelines, such as providing alternative text for images, keyboard navigation, and screen reader compatibility, to make it accessible to all users, including those with disabilities?
• Conducting regular usability testing with real users, refining the user interface (UI) for optimal usability, and adhering to the latest design principles and industry standards?

Modernizing legacy software positions you to take advantage of improved technology functions, reduce workflow obstacles, enhance business responsiveness, and pave the way for growth.

Modern systems are smart and intuitive, allowing you to find innovative ways to perform tasks more efficiently. Improved usability also leads to higher user adoption rates and increased customer loyalty, maximizing your technology investments and enhancing your organization’s reputation.?

II. Checklist of 7 Things for Successful Modernizing Legacy Systems? ?

1. Check the Current State of Your Legacy Systems?

Legacy software isn't just "old" or "outdated." To identify which systems need modernization, you must systematically and thoroughly assess all existing systems. Besides, examine all aspects of your technology, from code and architecture to visual design, while considering your future business plans and product growth.?

2. Choose the Software Modernization Method that Delivers Value Fast?

Based on your assessment, choose the modernization approach that best fits your needs and delivers quick results. Consider existing products you can use instead of reinventing the wheel. If your system addresses specific tasks or requires custom features, custom development might be the best option. Adopting agile software development practices can help speed up the process and deliver value quickly.?

3. Rethink the Architecture and Prioritize Simplicity?

Legacy systems often struggle due to their complex structures. When modernizing, aim for simplicity in both architecture and functionality.

• Implement only the most critical features first.
• Consider a microservices architecture for scalability.
• Ensure the new application integrates seamlessly with your existing tools, and plan for future changes by considering multiple options and their requirements.?

4. Select the Technology Stack for Optimal Performance?

• Use a solid, future-ready technology stack that suits your product's specifics.
• Consult with your internal IT staff or a professional tech consultancy to select the right technologies.

A good tech stack ensures your product is performant, reliable, and efficient. Implement a robust quality assurance and testing process to achieve the best results.?

5. Document for Future System Growth?

To avoid repeating past mistakes, establish a set of coding standards and internal processes. Well-documented and clean code makes your software easier to understand, extend, and maintain. Adopt best practices from other companies if necessary.?

6. Create a Separate Support and Retirement Schedule?

Even with a new system in place, you may need to refer to your legacy software occasionally. Don't decommission it all at once.

• Document and archive your legacy solutions for easy access.
• Support your legacy system for a period and plan to retire it only when your new product is fully operational.?

7. Consider Budget for Training and Updates?

Employees accustomed to old systems might need time and training to master the new software. Invest in staff training for better performance and efficiency. Additionally, plan for regular system updates to avoid future modernization challenges.?

III. 4 Software Modernization Traps to Look Out?

Modernizing your software systems to the latest versions has its own set of traps and pitfalls. Here are some common traps in software modernization and how to avoid them:?

1. Process?Delay

One major trap is thinking that your old systems will work fine until they completely fail. Modernizing software requires assessing your current systems, identifying their flaws, and making timely decisions to upgrade. Delaying this process can lead to financial losses, leaving you unable to invest in modernization. Avoid the "fear" or "procrastination" trap and start upgrading your systems promptly.?

2. Blindly Following Trends?

Some organizations rush into modernizing their software just because others are doing it or it's trendy. This impulsive decision can backfire. Instead, start by auditing your architecture and code to understand your current systems, then choose the right strategy for modernization. Relying on facts and figures, rather than trends, will help you make logical decisions that improve performance, compliance, security, and efficiency.?

3. Being Excessively Agile?

Agile methodology is popular in the IT industry, but over-focusing on it can be a problem. Like anything, agile practices should be used in moderation. Prioritizing agile too much can create unnecessary chaos at each stage of the project. It's better to balance agile practices with a structured approach, ensuring ideas are implemented properly and on time.?

4. Skipping the Planning Step

Not planning your software modernization can lead to many obstacles. Upgrading or transforming systems is not just about technology; it must align with your business goals. If modernization isn't in sync with your business objectives, you won't achieve the desired results, even with the best software. Proper planning is crucial for successful software modernization. Without it, success is unlikely.?

IV. Modernize Your Outdated Software with Adamo Software?

Creating an application modernization strategy on your own can be challenging. This is where Adamo outsourcing services come in. Adamo offers a comprehensive suite of legacy software modernization services that can help you update your outdated systems and bring them up to the latest standards.?

We can assist you with everything from cloud migration and application modernization to data migration and security. Together, we’ll ensure your software modernization is a success.?

How Adamo Can Help You Modernize Your Legacy Software Systems:?

_ Assessment: We start by evaluating your current software systems and identifying the areas needing the most improvement. We’ll also work with you to understand your business goals and objectives.?

_ Planning: Once we understand your needs, we’ll develop a step-by-step plan for modernizing your systems, considering your budget, timeline, and risk tolerance.?

_ Implementation: We’ll collaborate with you to implement the modernization plan and deploy your new systems. We’ll also provide training and support for your staff.?

If you’re ready to modernize your legacy software systems, contact Adamo today . We’ll help you create a custom modernization plan that meets your specific needs and budget. ?