Top 5 Red Flags That Signal It’s Time To Begin Replatforming
Timothy Becker
Digital Transformation Advocate ??♂? & Director Business Development @Turbine Kreuzberg | Tech Strategy | Commerce | Data & AI | Cyber Security | Partnerships
Breaking up is hard. But sticking in a dysfunctional relationship is even harder –?ask anyone who’s been there. When it comes to commerce platforms, things aren’t all that different. I’ve come across many companies that would rather stay loyal to rigid, outdated systems for another year than face the perceived hardship of replatforming. But settling for adequate can prevent true excellence. And honestly, no one should settle for less.
Is your current platform really the right match for the long-term? Or are you stuck in a complacent commitment that stifles growth? Here are five red flags indicating it may be time to move on from a platform that's just not working - and find a solution to propel your business forward.
One main driver for companies to replatform is the sunsetting of their software. When a system reaches end-of-life status, the vendor no longer provides updates or support. This introduces major security risks, as new vulnerabilities will go unpatched. Continuing to use end-of-life software is negligent and leaves systems open to costly data breaches. Still, the harsh reality is that many companies continue to use
software way beyond its end-of-life, often because over time it has been highly customized to their requirements. This is, of course, a sign that it might be time to replatform in itself.
Infrequent major updates from your vendor of choice can also signal it's time for change. If your platform hasn't had a significant update in a while, you'll likely need to rebuild customizations when migrating to the new version. For many companies, this disruption makes replatforming the better option – even more so, if the new system has a more suitable update policy.?
Standard solutions usually work fine within their baseline tasks. But if you want to innovate and add something new, they can be cumbersome and rigid. Maybe your platform struggles integrating with other systems or can't scale alongside your business. Tedious workarounds and manual processes hinder progress. Perhaps your system provides functionality that you don't even need. While that can seem like a minor point, you probably don’t want to pay for something you don't utilize.?
Of course, your IT department will probably find (short-term) fixes. But at what cost? A tangle of dependencies and technical debt that accumulates over time, making it highly unstable and often hard to maintain.?
These days, companies often want to leverage (generative) AI to unlock new capabilities and efficiencies. However, AI's power stems from analyzing unified data from all areas of the business. If your data is fragmented across siloed systems and legacy infrastructure fails to fully utilize it, replatforming may be advisable first. Consolidating data streams into a cohesive platform provides the integrated view needed. Essentially, you need to do your homework before you can play. Replatforming can help lay the right foundation and infrastructure.
Essentially, you need to do your homework before you can play.
Interconnected legacy infrastructure makes updates highly challenging. Often, update processes are not automated enough, requiring extensive manual evaluation, testing, deployment, and monitoring. Relying on manual work causes maintenance costs to balloon over time. Even worse: critical security patches may be postponed or skipped due to resource constraints, which exposes systems to risks.
The root causes are technical debt and hard dependencies woven throughout aging systems. With no clear picture of how changes will ripple through the system landscape, each update introduces uncertainty and potential outages. At the same time, forgoing updates forfeits valuable new capabilities and optimizations. The result: a no-win situation with endless maintenance costs just to keep the lights on.
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Before heading straight back into another long term commitment, diligently consider the alternatives.
This requires a good hard look at your infrastructure. Regular assessments help to determine whether platforms still meet business needs cost-effectively. An optimal time is when vendor lock-in periods end. Before heading straight back into another long term commitment, making you dependent on? a single vendor and its roadmap, diligently consider the alternatives.?
While ditching legacy systems may seem too disruptive initially, the long-term payoff in lower Total Costs of Ownership (TCO)? and agility from modernization should not be ignored. Replatforming can eliminate the need for ongoing complex workarounds and manual upkeep. New solutions are designed for automation and ease of maintenance. The savings on overhead frees up resources to focus on innovation versus perpetual platform maintenance.
When business is booming, a restrictive platform that can't scale with you becomes a liability. We often see solutions that handle initial volumes just fine start to falter under increasing traffic and transactions. That’s not an ideal foundation upon which to expand to new markets or additional product categories.?
Many legacy solutions lack modularity and extensibility. For example, you may want to complement your core product business with a rental service for additional revenue. But your current platform may not easily accommodate the new processes, data structures, and payment flows required.
Replatforming to a more robust, flexible solution may be prudent before rigid infrastructure stops your growth in its tracks. Rather than miss key opportunities due to platform limitations, replatforming to a flexible solution sets you up to expand vertically, horizontally, and into new markets confidently.
Slow, unoptimized platforms frustrate customers and hurt revenue. A platform showing sub-par performance can be an alarming sign. If you haven’t been able to put your finger on the underlying issue, check page load time, bounce rates, and mobile experience.
Page load times directly impact conversions. Research shows a 1-second delay can triple shopping cart abandonment. Site speed also affects SEO rankings, with top Google results loading in under 2 seconds. Long loading times increase the bounce rate of customers, as well. Same goes for mobile: mobile experience is now make-or-break. Search engines prioritize mobile-friendly sites, and users expect seamless responsiveness. Non-responsive platforms alienate customers, especially as mobile commerce explodes in popularity.
Nonetheless, performance issues may be symptomatic of larger underlying problems. Rigid legacy systems and complex architectures often struggle, regardless of tuning efforts.
Seeing any of these red flags should prompt a serious evaluation of replatforming. While replacing an entrenched system is challenging, the long-term benefits typically outweigh short-term hassles. Legacy platforms with convoluted dependencies can make migrations feel like a risky game of Jenga. However, with proper planning and execution, these obstacles can be overcome.
The payoff is an agile, future-proof foundation that aligns with your strategic growth plans. Modern platforms drive efficiencies through automation and APIs while remaining adaptable and scalable. New innovations can be rolled out with ease instead of being stonewalled by rigid infrastructure. By replatforming proactively, you can relieve current pains and position your organization for sustaining success. With an infrastructure built for growth rather than restricting it, the possibilities become limitless.
Building the backbone of successful companies
7 个月?making a strategic move towards a solution that's adaptable, scalable, and capable of driving efficiencies through automation and innovation“ - Sounds like the same goal the company has to go for in regards to internal organizational structures. ????
Managing Business Consultant | Automotive | Mobility Innovation | Digital Transformation | Psychologist | DEI
7 个月“These days, companies often want to leverage (generative) AI to unlock new capabilities and efficiencies. However, AI's power stems from analyzing unified data from all areas of the business. If your data is fragmented across siloed systems and legacy infrastructure fails to fully utilize it, replatforming may be advisable first. Consolidating data streams into a cohesive platform provides the integrated view needed.” ????