7 Reasons to Update Your Legacy Project Controls and 7 Ways to Do It
In the world of capital-intensive projects, effective project control systems are crucial for success. However, many companies find themselves relying on outdated legacy systems that are likely hindering project performance. In fact, according to AIIM research, 92% of organizations believe that they must modernize their data management strategy to meet today’s data-intensive demands.
What Are Legacy Project Control Systems?
Legacy project control systems are outdated software applications or methodologies used to manage and monitor project performance, costs, schedules, and resources. These systems were often developed years ago and may lack modern features, integration capabilities, and user-friendly interfaces. Legacy systems can also be defined as systems that have been superseded by new technologies.
Examples of legacy project controls include:
- Spreadsheet-based systems for cost tracking and reporting
- Outdated scheduling software with limited collaboration features
- Manual processes for document control and change management
- Siloed databases that don’t integrate with other project management tools
- Software applications that are no longer maintained or supported by their developers
The Impact of Legacy Systems on Business
Holding on to legacy project control systems can significantly hinder a business’s growth and competitiveness in several ways:
- Reduced Efficiency. Legacy systems often require manual data entry and manipulation, leading to increased time spent on administrative tasks rather than value-adding activities. This inefficiency can result in slower project delivery and reduced productivity.
- Limited Visibility and Decision-Making. Outdated systems may not provide real-time data or comprehensive reporting capabilities, making it difficult for project managers and executives to make informed decisions quickly.
- Increased Risk of Errors. Manual processes and disconnected systems increase the likelihood of data entry errors, miscalculations, and inconsistencies across different project areas.
- Inability to Utilize New Technology. Before leveraging new technology such as AI, there is a critical need to address data quality, accuracy, relevance, and cleanliness which is often challenging with legacy systems.
- Lack of Scalability. As your business grows and takes on larger or more complex projects, legacy systems may struggle to handle increased data volumes and user demands.
- Security Risks. Older systems may have vulnerabilities that are unpatched, posing security risks to the organization. Malicious actors often take advantage of old, out-of-support hardware and software to attack their targets.
- Difficulty in Attracting and Retaining Talent. Today’s workforce expects to work with modern, user-friendly systems, and experience frustrations with inefficient or ineffective tools, especially when faced with complex problems and aggressive goals.
According to Statista, companies prioritize moving away from legacy systems in this way:
Options for Successful Modernization
The initial investment in modernization will likely be outweighed by the long-term gains in project performance and overall business success. As you plan to move forward with retiring legacy systems, there are several options to consider, and the best approach depends on the problem you’re trying to solve.
Gartner outlines these seven options to modernizing legacy systems and recommends choosing the approach with the highest effect and value to your organization:
- Encapsulate. Leverage and extend the application features by encapsulating its data and functions, making them available as services via an API.
- Rehost. Redeploy the application component to other infrastructure (physical, virtual or cloud) without modifying its code, features or functions.
- Replatform. Migrate to a new runtime platform, making minimal changes to the code, but not the code structure, features or functions.
- Refactor. Restructure and optimize the existing code (although not its external behavior) to remove technical debt and improve nonfunctional attributes.
- Rearchitect. Materially alter the code to shift it to a new application architecture and exploit new and better capabilities.
- Rebuild. Redesign or rewrite the application component from scratch while preserving its scope and specifications.
- Replace. Eliminate the former application component altogether and replace it, considering new requirements and needs at the same time.
However you choose to modernize, consider these best practices for success.
- Conduct a comprehensive software audit and assessment
- Develop a well-defined update strategy
- Communicate the benefits of modernization clearly to employees, emphasizing the positive impact it will have on your teams
- Test and validate changes in a controlled environment before implementing
- Implement changes gradually, starting with pilot projects
- Handle data migration and integration carefully to protect data integrity and address security and compliance concerns
- Provide comprehensive training programs for users
- Monitor performance and proactively address issues early on
Legacy project control systems can hinder business growth by failing to integrate with modern tools, eliminate data silos, address security vulnerabilities, and improve operational inefficiencies. Modern control systems offer enhanced flexibility, improved security, real-time insights, and futureproofing, allowing businesses to stay competitive in an increasingly digital landscape.