Have you ever heard of the term legacy system?

This term is often heard in the IT industry, but what exactly does it mean and what impact does it have on business? In this article, we will start from the basics and explore the deep world of legacy systems.

Check out This Article to learn how we approach updating our legacy systems .

1. Definition and Characteristics of Legacy Systems

1.1 Legacy System Definition  

Legacy systems are systems that are technically outdated but are still in operation today. These systems often support a company’s core operations and are integral to critical business processes.

1.2 Characteristics of Legacy Systems  

Legacy systems typically have the following characteristics:

• Built on older technology or platform  
• High cost maintenance
• Difficult to upgrade or expand the syste
• Contains valuable business data

These characteristics make legacy systems valuable and complex to enterpri

2. Advantages and Disadvantages of Legacy Systems  

2.1 Benefits  

• Stability : Systems that have been in use for many years are stable in the environment in which they operate.  
• Business Knowledge : Legacy systems store a company’s valuable business logic and data.

2.2 Disadvantages  

• Cost : Higher maintenance and operation costs.
• Skill Scarcity : There are fewer engineers skilled in older technologies.
• Lack of Flexibility : It can be difficult to adapt to business changes.

Understanding these advantages and disadvantages will help you plan the right strategy for managing and upgrading your legacy systems.

3. The Role of Legacy Systems in Modern Business  

3.1 Reasons for the Continued Existence of Legacy Systems  

Many legacy systems are still active in many businesses due to their robustness and core role in business operations. Currently, it is difficult to simply replace systems because they hold important data and are responsible for core business processes.

3.2 Challenges of Legacy Systems 

As businesses seek digitization and speed, legacy systems can be unresponsive to business and operational changes and difficult to integrate with new technology.

4. Importance of Upgrading and Migrating Legacy Systems  

4.1 Evolution of Technology  

New technologies such as cloud computing, AI, and blockchain are emerging, and the use of these technologies is significantly evolving business processes.

4.2 Limitations of Legacy Systems  

It is difficult for legacy systems to respond quickly to evolving business needs and increasing amounts of data, increasing the likelihood of missed business opportunities.

5. Key points for Legacy System Update / Migration  

5.1 Developing an Upgrade Plan  

You need a clear plan to lead to success. Plan your project roadmap, risk management, data migration strategy, and more.

5.2 Communication with Stakeholders  

System upgrades and migrations impact all stakeholders. It’s important to involve them, set clear expectations, and communicate frequently.

 

6. Case study of Legacy System Update  

At VeBuIn, we have implemented many legacy system replacement and modernization projects.

We have a unique approach to reliably execute legacy system update projects that are subject to high uncertainty. For more information, please refer to this article.

7. What is the Future of Legacy Systems? 

7.1 The Importance of Continuous Updates  

Updating legacy systems should not be a one-time project, but an ongoing process as business needs and technology evolve. In the past, when updating the system, the only choice was to either do it in a big bang manner or update only the server every 5 to 10 years, but that is not the ideal situation. Systems support operations and business. Systems must undergo continuous changes in line with changes in operations and business.

7.2 Future Technology Trends  

By using cloud services such as AWS, it is now possible to continuously update systems without worrying about the timing of server aging. Furthermore, by using the latest technologies such as AI, it will be possible to create new business operations. We strongly recommend that you engage in continuous business reform (=continuous system updates).

 

Summary

Legacy systems play a central role in many businesses, but they can also be a barrier to growth. Upgrade and migration projects come with costs and risks, but if managed properly and successfully, they can create a brighter future for your business.

When business and IT professionals work together to strategically and systematically upgrade legacy systems, companies can pursue sustainable growth and innovation.