Modernise, scale, migrate, optimise. These are more than just technical initiatives; they are strategic imperatives for business growth. In a world where change is constant, companies must evolve to stay competitive. Software modernisation is no longer optional—it’s essential.
Whether you’re looking to optimise costs, enhance system performance to improve customer experience, or boost team productivity, modernising your software should be a priority. It’s not just about overcoming current limitations—it’s about laying the foundation for sustainable, scalable growth.
Our mission is to help you identify the technological barriers holding you back and provide expert guidance on best practices for modernisation. Whether it’s cloud migration, architectural restructuring, or integrating emerging technologies, we equip you with the insights and tools needed to make informed decisions and drive the success of your modernisation initiatives.
Software modernisation is the process of adapting applications and systems to align with modern technologies and evolving business needs. The goal is to maximise the value of existing systems by integrating modern capabilities that enable scalability, cost efficiency, and faster delivery of business value.
A well-executed modernisation strategy can take various forms, such as rewriting or migrating legacy systems to modern architectures, languages, or platforms. These enhancements unlock new opportunities to accelerate innovation, enhance customer experiences, and maintain competitiveness in an ever-evolving business landscape.
In this section, we’ll explore the key challenges software modernisation can address, from difficulties in adding new features to high operational costs and slow development cycles. We’ll also examine how selecting the right modernisation strategy can be the decisive factor in overcoming these barriers and unlocking your organisation’s full potential.
En esta sección, exploraremos los principales problemas que puede resolver la modernización del software, desde las dificultades para incorporar nuevas funcionalidades hasta los elevados costes operativos o los largos ciclos de desarrollo. También analizaremos cómo elegir una estrategia de modernización adecuada puede ser el factor clave para superar estas barreras y liberar todo el potencial de tu organización.
Technology limitations can become major barriers to business growth. Software modernisation strategically addresses these challenges, helping organisations overcome existing constraints and position themselves for the future.
Here are some of the most common problems modernisation can resolve:
Outdated systems, monolithic architectures, and accumulated code errors slow down innovation and hinder development speed. Modernisation helps reduce technical debt by simplifying infrastructure and enabling agile development. This enhances adaptability to market changes and improves employee satisfaction. In fact, 73% of developers surveyed in the Stack Overflow Developer Survey 2024 cite technical debt as their team's biggest source of frustration.
Legacy infrastructure unnecessarily increases expenses. Modernising systems can optimise costs by migrating to more efficient architectures, eliminating reliance on expensive licences, and reducing manual maintenance—freeing up resources for strategic initiatives.
If your systems struggle to handle seasonal demand spikes (e.g. Black Friday) or experience long load times and downtime that disrupt operations, modernisation is a critical step. By making platforms scalable, fast, and reliable, you can eliminate bottlenecks and enable sustainable growth.
Regulatory non-compliance and security vulnerabilities pose unacceptable risks in today’s digital landscape. Modernisation ensures your systems meet industry regulations, strengthens data protection, and improves auditability for compliance reporting.
Outdated interfaces, slow response times, and a lack of personalisation are key frustrations for users. Modernisation enhances usability, ensures seamless experiences across multiple channels, and enables advanced personalisation, boosting customer satisfaction and loyalty.
Automating repetitive tasks and adopting modern tools and workflows increase efficiency and team performance. Software modernisation isn’t just about technology it also empowers teams to leverage new tools, tackle evolving challenges, and sustain continuous improvement.
These challenges can be tackled without disrupting day-to-day operations. With the right expertise, tailored strategies, and industry-specific best practices, you can modernise your systems securely—minimising risks, ensuring business continuity, and successfully achieving your technology goals.
In a market where technological innovation defines success or obsolescence, aligning software modernisation with business objectives is not just advisable—it’s essential. Companies that prioritise modernisation don’t just achieve operational efficiencies; they secure a competitive edge, enabling them to respond swiftly to market demands and capitalise on new opportunities.
According to McKinsey, companies that invest in innovation grow 28% faster in adjacent business areas than their peers and more than twice as fast as non-innovative companies. Examples like Netflix, which leveraged cloud technologies, or Amazon, which adopted a microservices architecture, demonstrate how modernisation drives scalability, enables personalised customer experiences, and cements industry leadership.
Companies that invest in innovation grow 28% faster in adjacent business areas than their peers and more than twice as fast as non-innovative companies
- Innovative growers, Mckinsey Quarterly 2023
By implementing modern, optimised systems, organisations can significantly reduce time to market and respond to customer expectations with greater agility—creating a tangible competitive advantage. Conversely, outdated software hinders automation, AI adoption, and new business models, ultimately restricting business growth.
While modernisation involves migrating to more flexible and scalable platforms, it’s not just about upgrading technology—it’s a strategic process that must be deeply aligned with business goals. This means identifying which legacy systems are blocking innovation, prioritising the most impactful areas, and adopting an iterative approach to deliver value from the earliest stages.
By maintaining this strategic alignment, modernisation investments can be continuously measured and optimised, ensuring that every effort accelerates the company’s business and strategic objectives.
In today’s fast-evolving landscape, keeping pace with technological advancements is essential. But what are the real advantages of investing in a software modernisation project, and how do they impact your business? Let’s break down the key benefits of application modernisation.
Legacy systems are expensive to maintain due to outdated infrastructure that demands intensive manual support. Modernising applications with automated, cost-efficient solutions—such as migrating to the cloud—can significantly reduce operational expenses. In fact, Flexera’s State of the Cloud 2023 report reveals that 60% of cloud users consider cost efficiency the primary metric for evaluating their cloud initiatives' success.
To meet customer demands swiftly, you need flexible systems that can scale with demand spikes and support rapid feature rollouts. Technologies like microservices, containers, and serverless architectures enable faster development cycles, reducing time-to-market and boosting responsiveness.
In saturated markets, the ability to innovate rapidly and offer personalised solutions is key to differentiation. Companies reliant on legacy systems struggle with rigid architectures and limited integration with emerging technologies. Modernisation enables the adoption of AI, real-time data analytics, and other cutting-edge innovations that empower businesses to adapt quickly to market shifts.
In a customer-centric market, applications must be fast, intuitive, and reliable. Upgrading your user interfaces and leveraging AI-driven personalisation ensures seamless user journeys, improving engagement and brand loyalty. A PwC report highlights that over 60% of consumers would switch providers after a poor service experience. The report also emphasises that data-driven customer insights are crucial for building lasting relationships.
A well-executed modernisation strategy not only improves technical and financial performance but also strengthens team collaboration and company culture. By embracing continuous innovation, businesses can ensure sustainable growth and remain competitive in an ever-changing landscape.
Modernising your legacy systems may seem like a costly and high-risk decision in the short term, but the cost of inaction carries significant long-term risks and hidden expenses. Outdated systems don’t just impact your operations—they also affect your brand perception, customer satisfaction, and ability to compete effectively in the market. While modernisation can be complex, it is essential for ensuring the long-term sustainability and success of your organisation in an increasingly digital world.
One of the most immediate risks of not modernising is the rising cost of operations. Legacy architectures often require custom-built solutions just to keep running, as many of the technologies they rely on are no longer supported by vendors. This leads to increased development and maintenance costs. Additionally, outdated systems negatively impact developer experience, forcing engineers to spend time on repetitive maintenance tasks instead of working on high-value, strategic initiatives that drive innovation and professional growth.
In a fast-moving competitive landscape, legacy systems slow your organisation’s ability to respond to evolving user demands. They hinder essential capabilities like product personalisation and rapid feature deployment, putting you at risk of losing market share and new business opportunities. Customer satisfaction also suffers due to slow response times, unintuitive processes, and service errors—factors that can directly impact retention and revenue.
Perhaps the most overlooked but critical risk is the opportunity cost of maintaining outdated systems. The time, budget, and resources spent on keeping legacy technology afloat could instead be invested in innovation, enabling your organisation to develop new strategic capabilities and differentiate itself in the industry. Failing to modernise means falling behind, reducing your ability to lead and shape the future of your sector.
The days when technology was a standalone function, confined solely to the IT department, are long gone. Today, technology is a strategic pillar that drives innovation and competitiveness across the entire organisation. In fact, according to a McKinsey report, around 71% of the value generated by business transformations comes from the adoption and effective use of technology.
Every business has unique needs, and modernisation strategies must be tailored accordingly. However, there are proven principles and frameworks that can help guide your decision-making, ensuring you choose the right solutions aligned with your objectives.
This section is designed to help you navigate the strategies and challenges of a software modernisation project, providing you with the tools and insights needed to evaluate the best approach for your organisation and develop a clear roadmap for change.
Here we explore some of the most commonly used strategies for modernising legacy systems, each designed to address specific challenges and maximise business value. All of these strategies are not isolated and may involve combinations with each other.
Also known as lift and shift or redeploy, this approach involves moving an application to a different infrastructure (physical, virtual, or cloud) without modifying the application's code or features. This is a good option when the underlying technology platform is causing problems (such as outdated hardware or software), but the application's functionality and architecture are still sound. Rehosting can reduce migration costs and operational overhead.
Replatforming
This approach also focuses on the underlying technology and involves moving the application to a new platform while making some minimal changes. Like rehosting, it addresses problems arising from outdated technology.
Encapsulation
This involves wrapping the existing application with an interface (API) to expose its functionality as services. This can be used to modernise the technology by making the application accessible using modern interfaces, without changing the underlying application.
Refactoring
This involves restructuring the code to improve its internal quality, maintainability, and performance, without changing its external functionality. Refactoring can address technology problems such as outdated code, and also architectural issues. This approach is useful when the existing code is hard to maintain or extend due to technical debt.
Rearchitecting
This approach involves redesigning the application's architecture to improve its scalability, flexibility, and maintainability. Rearchitecting addresses problems caused by poor architectural design, such as monolithic applications, and can address problems in the technology and architecture domains. It allows for the adoption of more modern architectural styles, such as microservices.
Componentisation or Modularisation
This approach involves breaking down a large or monolithic application into smaller parts (components or modules), with the goal of making the system easier to maintain, develop and reuse.
Rebuilding/Rewriting
This involves creating the application from scratch, while preserving its scope and specifications. Rebuilding is useful when the existing application does not meet the current business needs and a completely new design is required to solve the functional problem.
Replacing
This involves getting rid of the existing application altogether, and replacing it with a new solution. This approach is appropriate when the existing application no longer meets the functional needs and a new solution is required. Replacing is the most expensive and risky option.
Service Identification
This approach is used when migrating to a service-oriented architecture (SOA). It involves identifying the reusable functionalities of the existing application that could become services.
Wrapping
This black-box technique involves surrounding the legacy system with a software layer that hides the complexity of the old system and exports a modern interface. Wrapping is used to address mismatches between the interface exported by the legacy system and the interfaces required by current integration practices.
Migration
This involves moving from one platform to another, and may involve data migration, or language conversion. For instance, COBOL to Java, or Java to C#.
Modernising enterprise applications is a complex, high-stakes process that requires structured planning and alignment with business objectives. To support you in this journey, we have developed the Software Modernisation Canvas, a practical framework designed to help you structure your strategy, identify the most critical areas of your system, and align stakeholders effectively.
Below is an example of a roadmap to guide your organisation through a successful and sustainable modernisation initiative.
1. Initial assessment
Before initiating any modernisation effort, it is crucial to understand the current state of your software. This involves evaluating the existing architecture and dependencies, analysing performance and maintenance challenges, and identifying technical and business risks associated with legacy systems.
Engaging development teams in this phase is essential, as they work with the system daily and understand its bottlenecks. Gathering user feedback is equally important to assess satisfaction levels and areas for improvement. This diagnostic stage establishes a clear baseline and provides data-driven justification for modernisation.
2. Defining clear objectives
Once the current state is assessed, the next step is to define modernisation goals that align with your business strategy. These objectives must be specific, measurable, and achievable to ensure tangible outcomes. Whether the focus is on reducing operational costs, enhancing customer experience, improving system scalability, or accelerating time-to-market for new features, having well-defined goals will streamline decision-making and enable effective tracking of progress throughout the modernisation journey.
3. Choosing the right technologies and approaches
Not all applications require the same modernisation approach. The choice depends on business priorities, budget, and technical feasibility. Rehosting (Lift & Shift) allows for a quick cloud migration with minimal changes but does not optimise performance. Replatforming introduces targeted improvements to enhance efficiency and scalability without a full redesign. Rearchitecting is the most comprehensive option, involving a complete system rebuild for maximum flexibility and long-term value.
Technology selection is critical and should consider infrastructure (on-premise, hybrid, or cloud-native with AWS, Azure, or GCP), software architecture (microservices, serverless, or event-driven models), and development tools (DevOps, CI/CD, automation). Security and compliance must also be integrated from the outset. Choosing the right combination of modernisation strategy and technology stack ensures long-term sustainability and business alignment.
4. Strategic planning and execution
A structured execution plan is essential to align stakeholders, minimise risks, and keep modernisation initiatives on track. Prioritising changes based on business impact and effort ensures efficient resource allocation. Clear milestones with intermediate deliverables help monitor progress and adjust strategies as needed.
Adopting DevOps practices enhances agility, automates deployments, and ensures quality through CI/CD pipelines and observability tools. To minimise disruptions, testing and progressive rollouts allow for a smooth transition without affecting business operations. Effective change management is also crucial to overcoming resistance and ensuring successful adoption of new technologies.
5. Ensuring long-term sustainability
Successful modernisation extends beyond technology—it requires an organisational shift towards adaptability and continuous improvement. Investing in team upskilling ensures developers can work effectively with modern tools, while fostering a culture of innovation drives ongoing enhancements.
Aligning business and technology teams promotes long-term strategic collaboration, ensuring modernisation efforts remain relevant and valuable. By embedding continuous learning, automation, and cross-functional alignment, organisations can future-proof their systems and maintain a competitive edge in an evolving digital landscape.
Return on investment in modernisation initiatives isn’t solely about direct revenue—it’s equally about achieving cost savings, boosting operational efficiency, and enhancing the overall customer experience. Success should be assessed from a business perspective. Even as objectives are being defined, it’s imperative to determine which metrics will indicate whether the initiative has truly succeeded.
A common pitfall is to focus exclusively on system performance. While ensuring robust system performance is important, your modernisation objectives must align with your broader business goals. Consequently, the metrics chosen should directly correlate with these targets and translate into actionable business KPIs.
For instance, if cost reduction is the aim, you need to be able to quantify the savings achieved. If the goal is to elevate customer service, it’s essential to measure the direct improvements in support services resulting from the modernisation. Alternatively, if enhancing system performance is your target, quantify how many more users you can support compared to previous levels.
Operational Cost Reduction: Compare your infrastructure and maintenance expenses before and after modernisation. For example, migrating to the cloud can significantly cut costs related to hardware and software licences.
User Experience (UX): Metrics such as Net Promoter Score (NPS), application response times, and reductions in critical errors directly affect customer satisfaction. Additionally, post-purchase surveys can provide invaluable insights into user experiences and suggestions for further enhancement.
It’s crucial to establish a clear method for calculating the ROI of your modernisation initiative before embarking on the project. By setting baseline metrics at the outset and comparing them with subsequent results, you can accurately evaluate the real impact on your business.
One of the greatest challenges in any modernisation initiative is resistance to change. Organisations with a rigid team culture may view modernisation as a threat rather than an opportunity. To overcome this barrier, it is essential to foster a mindset of continuous improvement, where change is not perceived as a disruption but as a natural, ongoing process of evolution.
Companies that nurture a culture of continuous learning are 37% more productive and 92% more likely to innovate.
- Leading in Learning, Bersin by Deloitte
Modernising software involves engaging with new technologies and architectures. However, many organisations overlook the human factor in this process. Investing in training and technical coaching not only accelerates the adoption of new practices but also boosts team satisfaction and motivation.
Beyond technical training, it is crucial to cultivate skills such as effective communication, problem-solving, and collaboration. This is vital to avoid knowledge silos and to ensure that the team can work cohesively within an ever-evolving ecosystem.
One of the most effective ways to sustain a culture of continuous improvement over the long term is through Communities of Practice (CoP). These communities enable developers to exchange knowledge, receive professional support, discuss best practices, and experiment with new ideas in a secure environment.
A team with a continuous improvement mindset is always seeking to optimise its workflow, reduce waste, and enhance efficiency—directly impacting both the productivity and quality of the software delivered.
There is no one-size-fits-all modernisation solution, so it is essential to analyse various factors before selecting the optimal strategy for your situation. Once you have assessed the current state of your systems and determined the objectives you wish to achieve through modernisation, you must choose the appropriate technology—a key factor in the success of the transformation.
Most likely, you will adopt a hybrid strategy, as modernising a complex system typically requires the combination of several approaches. These hybrid methods blend multiple strategies. For instance, an organisation might opt to encapsulate certain parts of an application whilst restructuring the architecture of others.
The combination of approaches you choose will depend on the nature of the problem, your business objectives, the level of risk you are willing to assume, and other constraints such as budget and available time.
Risk is a critical factor when selecting a modernisation approach. For example, rehosting is a low-cost, low-risk option, whereas replacing an application is a high-cost, high-risk strategy. In any case, we do not recommend a 'big bang' approach to modernisation, where the entire application is replaced at once.
Instead, we advocate for an incremental strategy. This method focuses on implementing small, progressive changes to a legacy system over time, or on adopting an architectural pattern, such as the strangler fig pattern, which allows both systems to coexist during the transition period. This maximises the likelihood of success and minimises disruptions to the business’s daily operations.
Initiating a modernisation process may involve persuading key business stakeholders of the need for change. Presenting a modernisation proposal must demonstrate a robust strategy that aligns technical requirements with your organisation’s business objectives. A compelling business case will enable you to engage those whose support is crucial, while also providing a solid foundation for the entire project.
It's essential to communicate the reasons for modernisation, and the consequences of not modernising, to all stakeholders. The goal is to show how it contributes to business goals, rather than framing it purely as a technical exercise. Use business cases to highlight the current cost, the cost of modernisation and the return on investment, including soft benefits.
José Enrique Rodríguez Huerta
MD & Technical Coach at Codurance Spain
You might be wondering where to begin. The first step, as we have mentioned several times, is to clearly identify and define the problem you wish to solve, supported by real-life examples from your current system. Once this is clear, explain to your stakeholders how this issue affects them and the benefits they stand to gain from modernisation.
Once you have captured their attention and made the problem tangible, present the chosen strategy and demonstrate how it aligns with your business objectives. For example, if your company aims to expand into new markets, explain how a modern system will enable faster and more effective scalability. You should also address questions such as: How much will the initiative cost? When can we expect to the ROI? Is it advisable to invest in an external partner? Will it impact BAU?
Acknowledge the potential risks associated with modernisation and present strategies to mitigate them. This proactive planning will help alleviate concerns. Additionally, share success stories and highlight the benefits achieved. Finally, develop an initial timeline outlining the project phases, key milestones, and the necessary resources.
To help you plan your modernisation project, our MD, José Enrique Rodríguez Huerta, has created a canvas designed to help you structure, clarify, and communicate your modernisation strategy across six key, interdependent areas. Each area guides teams through a logical progression—from understanding the business needs to defining an execution approach—ensuring that no critical aspect is overlooked.
At Codurance, we view software modernisation as a comprehensive strategy that encompasses both the technical architecture and the cultural evolution of the organisation. We recognise that companies must constantly innovate to scale and remain competitive. Our mission is to guide them through this process—not merely to adapt to change, but to lead it.
We are a software consultancy specialised in modernisation and made up of integrated teams of Software Craftsmanship experts, agile delivery managers and platform engineers, who understand their work as that of a craftsman. Through the production of the highest quality code, we design the best possible product to meet our clients' needs and contribute to overall business success.
Guided by the philosophy of Software Craftsmanship, we help our clients grow, enhance their business agility, and accelerate their capacity for innovation through software that is well-crafted, reliable, secure, and easy to modify. Our culture, founded on continuous improvement and learning, coupled with the technical excellence of our teams, enables us to minimise waste, reduce costs, and shorten delivery times.
In this section, we explore how we have successfully driven modernisation in leading companies, helping them evolve their applications to boost growth and competitiveness.
VeryChic, part of the Accor Group, the global leader in hospitality, curates luxury experiences in world-class hotels and offers VIP services. We partnered with VeryChic throughout their modernisation and cloud migration journey, addressing the technical challenges that were impeding business scalability and preventing an optimal experience for their growing user base. Their objectives were clear: enhance system stability, reduce technical debt, and accelerate the delivery of new functionalities.
Codurance collaborated with VeryChic to redesign their architecture by implementing engineering best practices such as Test-Driven Development (TDD) and Clean Code, alongside adopting cloud-native principles. We introduced infrastructure improvements that optimised platform performance, and we upskilled their teams to increase the efficiency of their development processes, ensuring long-term maintainability of the enhancements.
Today, VeryChic boasts a more robust and flexible system, capable of handling high volumes of traffic without interruption. Furthermore, the refinement of their development processes has slashed catalogue update times from one hour to just two minutes, significantly elevating the user experience and enhancing their innovative edge in a competitive market. Read the full VeryChic case study.
WebBeds is a global online marketplace, or bedbank, for B2B travel commerce, boasting a worldwide network of 265,000 hotels across more than 14,000 destinations.
With over 6 billion web searches daily, WebBeds needed to keep pace with demand while ensuring accurate inventory availability. They sought a solution that would provide greater flexibility and reliability in their systems, enabling effective scalability. To achieve this, WebBeds partnered with Codurance to modernise their platform and enhance system performance.
Leveraging cloud-native technologies, Codurance implemented a solution that increased the performance of the WebBeds platform by 150%, helping to establish it as Europe’s leading B2B bedbank. Additionally, we worked closely with their development teams to apply top-tier engineering practices, fostering a new culture of excellence.
Today, WebBeds benefits from a platform that efficiently manages demand peaks and handles inventory with precision. The load on their database has been reduced by 50%, and system updates now occur without any downtime. These advancements have led to greater customer satisfaction, improved inter-team communication, and a culture of innovation and collaboration within WebBeds.
Read the full WebBeds case study.
EClinicalWorks (eCW) is one of the largest cloud-based healthcare software programmes. Its flagship product, the electronic medical record (EMR), manages the complete clinical history of patients and integrates seamlessly with other healthcare systems. Recognising the need to modernise, eCW set out to prepare its EMR platform for a decade of rapid growth.
Faced with increasing demand and the imperative for enhanced operational efficiency, eClinicalWorks sought to update its architecture to improve scalability, performance and reliability. The company partnered with Codurance to redesign its technological ecosystem and adopt engineering best practices.
Codurance worked alongside eClinicalWorks to transform their infrastructure by implementing a cloud-native approach that optimised both performance and platform availability. We also collaborated closely with their internal teams to strengthen technical capabilities, fostering a culture of excellence and continuous improvement.
Today, eClinicalWorks boasts a more robust, flexible and scalable platform capable of efficiently managing large volumes of data without compromising performance. Moreover, the modernisation has reduced system response times and streamlined integration with new technologies, driving innovation throughout the organisation. Read full eClinicalWorks case study.
Here we share lessons we have learned in more than 10 years of implementing successful software modernisation projects:
We understand that software modernisation is a complex process requiring strategic planning and the right guidance to determine the optimal starting point. We are a trusted partner with whom you can design a solution that not only optimises your systems but also transforms your team’s culture by integrating the industry’s best practices to achieve your objectives.
Get in touch and we will help you align your modernisation strategy to your needs.