Strategies for successful software modernisation

Our six-part series of articles covers all important aspects of software modernisation. This is the third article in the series. An overview of the topics is provided at the end of this article.

1. Software modernisation must be well planned

A company’s software systems are its most important asset to enable it to work efficiently and productively and therefore maintain and improve competitiveness. But as with any technology, software is also subject to a life cycle. Systems that were once modern and efficient become outdated over time, which can lead to problems with maintenance, security and performance. Ongoing modernisation of software is therefore not only a technical necessity, but also a strategic decision that significantly influences a company’s future success.

Software modernisation allows the software to be adapted to the current requirements of the technologies and users as well as the developer teams. Maintainability can be restored as a result and the ability to innovate improved. This third blog in the software modernisation series provides an overview of suitable strategies for successful software modernisation.

2. Choosing the modernisation strategy

The right software modernisation strategy depends to a large extent on a company’s specific requirements and on the current functional and technical challenges of the existing system. Generally speaking, modernisation should not be viewed as a finite project, but as an ongoing analysis of the software and surrounding components: permanent maintenance, upkeep and renewal ensures that an up-to-date system will not develop into a legacy system.

The quadrant model is a proven model for analysing the need for modernisation. It divides systems according to two criteria:

• Functional aspects: How well does the software still perform its original tasks?
• Quality aspects: How well does the software fulfil qualitative requirements such as scalability or maintainability?

Based on these analyses, four potential scenarios can be roughly identified:

1. Functional aspects and quality aspects are adequate: No immediate modernisation measures are needed in this case.
2. Functional aspects are adequate but the quality aspects are not: Migration or replacement could be the best choice.
3. Functional aspects are inadequate but the quality aspects are still acceptable: Refactoring or re-engineering may be useful in this case.
4. Both functional and quality aspects are inadequate: Complete replacement is probably the best solution.

Refactoring

Refactoring means that the existing code is revised in order to improve its structure, but without changing the external behaviour of the software. The aim is to make the code easier to maintain, more readable and more efficient. Refactoring often allows the lifetime of a system to be extended, without needing to make major changes.

The main advantage of refactoring is that current business processes are only minimally impaired. Compared with replacing software, for example, a relatively small investment is needed to improve the quality of the code and therefore make it easier to maintain. However, this means that the software is not updated and no new functionalities are added, so there is no improvement in the connection to modern technologies. In addition, refactoring requires in-depth knowledge of the existing code and can be very time-intensive.

Re-engineering

Re-engineering goes one step further than refactoring. With a more in-depth analysis and redesign of the existing system, not only is the code revised but also the architecture, databases and possibly also processes in order to achieve fundamental improvements in functionality, performance and maintainability.

Re-engineering therefore offers the possibility to resolve existing weaknesses in the software and adapt the system to future business and technological requirements. That said, the more in-depth intervention in the system increases the costs and time involved. This strategy is also not ideal if software is very outdated.

Migration

Migration involves moving the existing system to a new platform or a new technology. This is typically the case if a company wants to upgrade to cloud technologies. Migration allows legacy systems to be transferred to a modern environment without these systems having to be fully replaced.

Compared with a complete replacement, the costs and risks involved in a migration are therefore likely to be lower. In addition, the cloud offers good scaling possibilities and access to other modern technologies and services. However, the organisation and transformation of the data and interfaces can be complex. There is a risk that components in the old and new technology will not be compatible.

Replacement

When a system is replaced, the existing software is replaced fully by a new solution. This can be done in the form of a proprietary development or by implementing a standard software product. This approach makes sense if the existing software no longer meets requirements and modernisation no longer seems to make sense for economic or technical reasons.

Replacement allows the latest technologies to be integrated into the company – either by means of standard software or custom software in order to achieve a bespoke solution. Performing a complete redesign of the software also provides long-term planning certainty. However, the investment required for such a system replacement is high, employees will need training and operation may be disrupted should the switchover not function smoothly.

3. Conclusion

The success of software modernisation depends to a large extent on an in-depth analysis and a clear strategy, which takes account of current and future business requirements. Choosing the right strategy is therefore essential when modernising company software. Aside from functional and technical criteria, it must be based on the company’s individual needs and situation and adapted in line with implementation requirements. Modernisation is also not a finite process – it is a continuous process that must be worked on continuously to ensure that the company software remains as efficient and productive as possible.

Further articles on software modernisation in the bbv blog:

• Blog #1: Software modernisation: Everything you need to know
• Blog #2: Software Modernisation Canvas: Structured for success
• Blog #3: Strategies for successful software modernisation
• Blog #4: The five most important factors for successful software modernisation
• Blog #5: The future of legacy systems: from modernisation to evolvability
• Blog #6: Artificial intelligence in software modernisation