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The Cost of App Modernization

21 min • 8 augusti 2021

There’s lots of talk about application migration and modernization, often in the context of digital transformation. But what all is involved in an application transformation, and how do you measure success? 

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WHY DO COMPANIES MODERNIZE OR MIGRATE APPLICATIONS

When we look at Application Modernization or Migrations, it’s too easy to look at the technologies involved. But what is the business motivation for the change?  


HARD COSTS AND SOFT COST CONSIDERATIONS OF MODERNIZATION

  • Why make the change? Technology EoL. Industry standards are changing. Systems not able to keep up (performance). Unable to maintain the current system (people/skills). Crippling technical debt (economic).
  • Own the change or outsource the change? 
  • Own the change - Have the code? Have the free resources? Have the ability to run parallel systems?
  • Outsource the change - More expensive. Must be well scoped and managed. Must have the right financial incentives.
  • Own the future or outsource the future? 
  • Own the future - staffed for DevOps, DevSecOps, embracing new technologies, etc.
  • Outsource the future - SaaS options. Sell off the application to a 3rd-party and buy it back. On-going outsourcing contracts. 


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