Legacy systems are more than just hardware and software - they are the work-flow processes, the human capital, and the intellectual property that surround your business. These legacy systems often provide a significant positive impact to the bottom line of the business due to the proven outputs created,and the very low cost of management required to run them.

"Don't throw the baby out with the bath water"

There is often a feeling of old is bad and new is good; however, this is not always the case; and before you jump into the investment of new hardware, software, training, transformation, and infrastructure, take the time to have a proper analysis of your legacy systems done to determine if the cost of any new move really does produce the return on investment assumed.

"It's more then just a budget line item"

In real estate the mantra is "Location, Location, Location". In technology it should be "Productivity, Productivity, Productivity" and before any change is made to a legacy system, a complete analysis as to the real cost of change should be applied, and alternative solutions to maintaining legacy systems should be considered.

One good example of alternatives would be to look at outsourcing the management of the legacy system. This is called Legacy Sustainment and the cost saving come by leveraging the human capital and skill sets of a technology outsourcing company.

Why carry the COBOL programmer on staff when you can outsource this and utilize contracting like Performance Based Service Contracting (PBSC) to build in the security you need.

I like to think of PBSC in the same way I think of placing a stop loss order with my stock broker. While this may be an over simplification of the process, it does help you visualize how you can create PBSC agreements that will not only help you reduce operation costs, but also ensure future operations.

Yes, there are many times with the upgrade makes sense, but there are also well established legacy systems and business processes that have proven to be profitable time and time again. Just because it is new technology and "cool" does not mean it is always the right move for your business.

For More Information on Legacy Sustainment and Analysis
Contact Todd Whitehurst - 817-793-9579