One of the most predictable things about the modern world is constant change - and it is evident in the development of new technology. Holding on to outdated technology does not only hold back your growth - it can also harm your business. Check out the article to see why legacy systems cost you more than you can afford.
The world is constantly changing - and there is no better example of rapid development than technology. We observed a true revolution during our lifetime as we came from brick-sized cell phones to having a literal computer in our pockets, with access to the whole world at our fingertips. And that’s just one example.
Although the construction industry has been resistant to changes and new technologies for a very long time, companies worldwide are coming to terms with the need for digital transformation and the use of modern construction methods to stay competitive on the market. But at the same time, the adoption of new technologies is both time and money consuming and requires a lot of effort for the whole team, which has to get used to working in a new system that can cause frustration.
That’s why it’s not surprising that businesses tend to hold onto outdated legacy systems for far too long - in the name of the rule: “if it’s not broken, don’t fix it”. But in this article, we will show you how holding onto the old systems for longer than necessary can cost you more and bring much more trouble than if you were to go through the change of adopting new solutions.
Legacy system is any technology, software or hardware that has been outdated in terms of its function by the introduction of newer technology, but is still used within a company or organisation.
Legacy systems might be a state-of-art technology when the company adopts them to serve its purposes. Still, if the software is not being developed in response to the changing world and company’s needs, its functions are bound to become insufficient and may cause more problems than solutions.
A study by Avanade revealed that, on average, 31% of technology within organisations is made up of legacy systems, even though 80% of respondents believe that not modernising IT systems will negatively impact the long-term growth of their organisation. And they are not mistaken - it’s estimated that even up to 90% of businesses are being held back in terms of growth and enhanced efficiency due to old technology.
If it’s so evident that legacy systems bring more harm than good, why are some companies still reluctant to change? There are numerous reasons but the most prominent among them are:
Familiarity and fear of the unknown
Even though legacy systems may not be the most efficient and can cause some disruptions as long as it’s working, people don’t want to change their ways and learn totally new tools and processes that would come with the latest technology.
“No time” for revolution
Running a company is complicated enough without carrying out a total technology transformation. Companies might resist implementing a new system simply because it feels like there’s never a good time to go through the painful process of change.
High costs of new technology
New investments come with new expenses. Other than that, the company has probably invested in a legacy system and doesn’t want to see this investment “go to waste” by replacing it with new technology.
All of the reasons mentioned above are understandable - changes are usually perceived as an unpleasant process. The point is, we need to make them when necessary to achieve better results. The cost of change is justified when the cost of keeping the status quo is higher. Now, let us show you why holding onto legacy software costs you too much to resist change!
The cost is not only how much you pay for it - if you want your business to be successful and thriving in the changing and competitive market, you need the right tools to support you.
Holding onto outdated legacy systems makes you fall behind your competition by limiting your ability to react to the market, new technologies, opportunities and challenges.
After all, the most significant setback of legacy systems is that they stiffen your business and make you not future-proof.
Innovative technology of the future is what keeps the industry going and companies thriving!
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