Application Modernization Guide: What, Why & How

Are you still stuck to using legacy applications?

Applications are not one-time affairs. You may not realize but your applications over a period of time become obsolete and outdated. Laced with bugs, errors and technical issues, these fail to efficiently carry out business operations. It leads to frequent system failures, operation disruptions and low productivity. 

This is where you need a major system upgrade or what we call in the IT world, application modernization.

Legacy application modernization enables you to rearchitect, rebuild or replace legacy applications that no longer satisfy your business goals. It allows you to modify your applications as per present business requirements to sustain and drive growth.

However, this is not a simple upgrade we are talking about. It is a complex process that involves careful assessment of risks, system compliance, data integration challenges, expenditure and more. 

A survey indicates that over 79% of application modernization projects fail. What do you think might be the reason?

The reason is the failure to optimize legacy modernization strategy as per your business needs. It is because businesses like yours do not clearly understand why you need legacy modernization and what it can do for you.

Here is the guide to help you understand key concepts of application modernization so that you choose the most suitable approach for your business. 

‍

What is application modernization?

Application modernization is the process of updating or upgrading its features, architecture, and technology. It is to align the application with the current market demands, business goals and customer preferences. 

Let us assume that you built an application a long time back when your company was in its initial stages. With time as your company scaled, your goals and priorities changed. Further with the changing world, your customer's preferences and market conditions have also advanced. 

Now your present application is inefficient in meeting your new business targets and market demands. 

So, what will you do?

Of course, you will update your application. This update could mean adding new features, upgrading foundation technology, migrating to the cloud or modifying app architecture. 

For example, you can either choose to migrate, update or optimize. The approach you select depends on the problem you are facing and the output you expect. 

Please understand that application modernization does not always mean complete replacement of the existing app. 

It could also mean:

• Transforming monolithic legacy apps to microservices based architecture
• Migrating to a cloud like AWS or Azure
• Scaling and managing containerized applications
• Introducing automation for digital transformation
• Using DevOps for Application Modernization
• Implementing practices to continuously upgrade app technology with the latest trends

The sole purpose of legacy application modernization is to:

• Increase efficiency
• Boost productivity
• Drive growth
• Enhance user experience
• Remain ahead of your competitors

Therefore, the focus is to do away with the system inefficiencies like bugs and technical glitches, ensuring its smooth functioning. 

In this technology-driven era where businesses are actively moving towards digital transformation, application modernization is on the rise.

• Marketsandmarkets survey states that the global application modernization market is growing at a CAGR of 16.7%.
• Further, the report predicts that the market will reach 38.2% by 2027.
• Another survey shows that 92% of the enterprises are working or planning for app modernization.

These data show the rising demand for application modernization due to rapid technological advancements. 

If you are planning to modernize your legacy applications, we are here to help you. At Ampcome, we have data experts and software engineers who will help you effortlessly update your legacy applications. Our application modernization services ensure your business relevance, growth and sustenance.

‍

When does an application become a legacy?

Every year we see a bundle of new technologies emerging. Does it mean that all applications before that becomes obsolete?

No! Not all old applications are outdated or fail to perform. You may feel intimidated by shiny sophisticated technologies. But that doesn't mean your application is irrelevant. 

You cannot keep on updating your application with every new technology release. Please note that application modernization is a big investment. So, you cannot frequently modernize your applications. You should do it only when your applications become legacy.

So how to know if your application has become legacy?

The average life span of an application is 10-15 years. However, with time even so-called "modern" applications start to face challenges like:

• Difficulty in maintaining and updating
• Performance issues
• System failures and barriers in scaling
• No do support the latest third party integrations
• Fails to interact with your other new systems
• Application no longer satisfies your customer needs
• Faces security and compliance risks

Overall, we say an application is obsolete or legacy if:

• It cannot be supported. For example, the vendor has gone out of business.
• It cannot be upgraded to meet new business requirements or is not compatible with new systems.
• It can only work with obsolete software and hardware.

If your application faces these challenges, it’s time to start considering application modernization. 

‍

Why should you modernize legacy applications?

Change is a fundamental aspect of life. Especially in a business landscape where market dynamics and customer preferences are rapidly changing, agility is the first priority.

Outdated applications ruin the customer and employee experiences. Further, it reduces the performance, efficiency and productivity of your business operations. Most importantly, it restricts the business from exploring new opportunities to grow and maximize revenue.

All these impact your business's adaptability and decrease its brand authority in the market. Slowly you start to lose loyal customers, fail to meet targets and lag in the competition.

Businesses need to quickly embrace the change and modernize their applications to:

• Adapt to new customer needs
• Drive innovation and growth 
• Sustain in the market competition
• Save money
• Ensure security
• Explore new opportunities

Another factor that you must consider is the cost. Legacy applications are expensive to manage. You can easily opt for application modernization services at a fraction of the cost of maintaining legacy apps.

‍

Five Questions for Enterprise Before Planning App Modernization

If you think your organization is suffering due to legacy applications, modernization will be the right step. 

But do not hurry. These decisions are crucial and will impact your business heavily. So, you should take a step back and review your requirements.

Here are 5 questions that your organization should consider before leveraging application modernization solutions.

1. What problems do existing legacy applications have?
2. Which aspects of the legacy application are properly working?
3. What business objectives I am expecting through modernization?
4. What modernization strategy should I choose?
5. How will modernization help me achieve these objectives?

Once you are done finding answers to these questions, you will know if you actually need application modernization or not.

‍

Types of application modernization and migration

Enterprise application modernization

Rigid computing approaches and an old IT environment make an enterprise slow and unproductive over time. 

Enterprise modernization application includes revamping legacy systems like CRM, ERP, HRM and others. The introduction of new technology in your enterprise systems makes it more efficient and capable of handling rapidly changing business and customer needs.

Database modernization

Database modernization refers to the process of migrating critical business data from MS SQL to real-time cloud environments like MySQL.

This enables businesses to enhance data security and accessibility. Further, data modernization gives organizations greater flexibility, agility and control to ensure maximum workflow efficiency.

Cloud Modernization

Cloud migration is the process of migrating your on-premise business architecture, data and technology systems to a cloud like AWS and Azure.

Cloud offers business flexibility and scalability to adapt to the changing market trends effortlessly. Thanks to the microservices architecture, CD and DevOps, businesses can easily achieve high performance, enhance customer experiences and manage software applications hassle-free. 

Mainframe Modernization

Mainframe application modernization is a 360-degree approach to upgrading your legacy mainframe systems. 

Mainframe modernization refers to the process of enhancing the performance, interface and code of mainframe apps. It involves updating the obsolete architecture and inflexible structure of your mainframe apps with cloud-first solutions.

You can choose between AWS mainframe modernization, Google mainframe modernization or Azure mainframe modernization. Modernize or migrate your mainframe apps to boost operational efficiency and lead the competition.

Software Product Modernization

Software products can easily go out of trend and become obsolete for your customers. We live in a time where every month comes with new technology updates. 

Leveraging the latest technologies, frameworks and programming languages enhances the efficiency and utility of your software products. 

Software product modernization is the process of upgrading your software with new infrastructure, advanced models and frameworks. It ensures that your software product aligns with the current market trends and customer needs.

Most importantly it increases the life span of your software products, establishes its relevance in the market and ultimately boosts ROI.

‍

Application modernization approaches

The process of modernizing applications often begins on a small scale and gradually gains confidence over time. As a result, there is no specific minimum number of qualified applications required to initiate this endeavour. 

It's important to recognize that each application is unique, with varying requirements depending on factors such as its functionality, user experience, integration with other applications, database, architecture, deployment, and other considerations. 

To embark on the journey of application modernization, a thorough understanding of the current infrastructure supporting each application is essential. 

Your approach to modernization will be influenced by factors such as the application's complexity, its dependencies, the necessary infrastructure, the skillset of your team, and various other considerations. 

To assist in navigating the diverse landscape of application modernization, Gartner outlines the following options for modernizing applications.

• Rehost
• Refactor
• Rearchitect
• Rebuild 
• Replace

We have discussed these 5 R’s of legacy application modernization in detail here.

We will also talk about the essential 7-step legacy application modernization strategy in our next blog. Read here.

‍

How Ampcome can help?

Ampcome plays a pivotal role in streamlining the often complex and daunting process of legacy application modernization. With its expertise and innovative solutions, Ampcome provides a clear path to help organizations navigate this transition effectively. 

By leveraging cutting-edge technologies and a deep understanding of legacy systems, Ampcome facilitates the seamless integration of modern functionalities, aligning applications with current business needs. 

Our comprehensive approach involves assessing the legacy systems, identifying pain points, and defining a tailored modernization strategy that not only improves user experience but also optimizes costs, mitigates risks, and enhances overall organizational agility. 

With Ampcome as your partner, legacy application modernization becomes a well-planned and smooth journey towards increased efficiency and competitiveness.

Get in touch with us today!