Overcoming legacy technology and embracing digital transformation [Q&A]

Legacy technology is quickly becoming the silent killer of business growth. With many IT leaders still relying on outdated systems, companies using legacy tech face mounting security risks, inefficiency, and spiralling costs.

We spoke to Alex Jeffery, SVP of managed IT services, at OneAdvanced to discuss the challenges that prevent IT leaders from introducing the latest technology and how to get C-suite buy-in to address them.

BN: Why is legacy technology such a significant challenge for IT leaders today?

AJ: Legacy technology is one of the most critical challenges for IT leaders as it increasingly hinders operational efficiency, innovation, and security. Outdated systems often fail to support modern business requirements and struggle to integrate with newer, cloud-based applications. According to our latest Annual Trends report, 50 percent of IT leaders report that between one-quarter and half of their technology estate would be classified as legacy, which makes maintenance and upgrades more challenging. These systems also tend to have limited scalability and flexibility, leading to higher costs over time.

As new technologies evolve, legacy systems become more prone to failure and security vulnerabilities. With cyberattacks occurring every 39 seconds, running outdated systems significantly increases risks. Criminals increasingly use advanced technologies like AI and machine learning to exploit weaknesses in older systems. Many legacy platforms are not designed to handle these new forms of attacks, leaving businesses vulnerable.

Furthermore, IT leaders understand that relying on outdated technology can cause businesses to fall behind their competitors. Organizations that fail to modernize their infrastructure may find themselves struggling to keep up with faster, more agile competitors, ultimately leading to lost market share and reduced profitability.

BN: What are the main barriers preventing IT leaders from adopting the latest technology?

AJ: One of the most significant obstacles is the attachment to traditional methods and processes. Our report reveals that 27 percent of IT leaders face resistance from within their organizations due to this attachment. Employees and even senior leaders are often reticent to abandon familiar systems, fearing that adopting new technologies will disrupt daily operations or require extensive retraining.

User resistance is another challenge. Many employees are accustomed to the tools and systems they have used for years, making them reluctant to adopt unfamiliar technologies. In fact, 27 percent of IT leaders say employee resistance is one of the main barriers to adopting new systems, which can slow down digital transformation efforts and prevent organizations from realizing the benefits of newer, more efficient solutions.

Fifty-three percent of IT leaders also cite high costs as a limiting factor. IT leaders are caught in a balancing act -- managing costly legacy systems while striving for economic efficiency in a SaaS world. With budgets tightening, many are prioritizing cost reduction by outsourcing to Managed Service Providers (MSPs), streamlining operations, and accessing specialized expertise without the overhead of large in-house teams. Yet, with half of IT leaders still reliant on legacy technology, the pressure to modernize is mounting.

Finally, many businesses struggle to attract and retain skilled professionals who can drive digital transformation, making it harder to keep pace with technological advancements. This shortage of talent also makes it challenging for organizations to effectively support new systems once they are implemented.

BN: How can IT leaders get buy-in from the C-suite for digital transformation projects?

AJ: To stay competitive, they should champion smart, phased investments that cut costs while unlocking the full potential of AI, cloud, and automation, transforming IT from a cost center into a strategic driver of business success.

Therefore, getting buy-in from the C-suite is critical in driving successful digital transformation initiatives. IT leaders must present a compelling case demonstrating how investing in new technology aligns with the organization's broader business goals. Our report shows that 27 percent of IT leaders struggle to convince senior stakeholders of the benefits of driving greater innovation. This means showing how modern solutions can enhance efficiency, improve security, and ultimately lead to increased profitability.

One effective approach for IT leaders is to provide data-driven evidence of the benefits of digital transformation. For example, by highlighting how new systems can improve cybersecurity, streamline operations, or reduce costs, IT leaders can help senior management understand the tangible returns on investment. With 83 percent of IT leaders planning digital upgrades, presenting these upgrades as a way to safeguard the organization against the mounting risks associated with legacy technology can be a powerful argument.

Starting with smaller, modular projects that deliver quick and visible results can also help build momentum for larger investments. IT leaders can prioritize areas where modern technology can have the most immediate impact, such as improving system security or integrating cloud-based applications. Finally, framing digital transformation as a strategic imperative that can help the organization stay ahead of the competition can make a strong case for securing the necessary support and funding from the C-suite.

BN: What role does cybersecurity play in the decision to upgrade from legacy systems?

AJ: Digital transformation is not just about improving efficiency -- it is also about protecting the organization from the potentially devastating consequences of a cybersecurity breach. Our report shows that 52 percent of IT leaders identify cybersecurity and data protection as their top priority for the coming year. As digital threats become more sophisticated, outdated systems are increasingly vulnerable to cyberattacks. This vulnerability is particularly concerning given the rise of AI-powered threats, which can exploit weaknesses in legacy infrastructure more easily than in modern, secure systems.

Despite 56 percent of IT professionals expressing confidence in their current digital infrastructure, only 35 percent believe their systems fully support business goals. This reflects the growing awareness that even well-functioning legacy systems may not be adequately protected against evolving threats. As the report points out, many older systems are no longer supported with regular security updates, leaving them exposed to vulnerabilities that could result in significant data breaches.

Upgrading to modern, cloud-based systems can significantly enhance an organization’s cybersecurity position. Cloud-based platforms are often designed with built-in security features that are continuously updated to guard against new threats. Additionally, migrating to more secure infrastructure reduces the attack surface, making it harder for cybercriminals to exploit weaknesses.

BN: What strategies are IT leaders using to navigate the skills gap and workforce challenges in digital transformation?

AJ: Many organizations face a shortage of skilled IT professionals, and IT leaders are employing various strategies to address this challenge. According to our report, 76 percent of organizations are outsourcing some or all of their IT functions to external providers. Outsourcing allows organizations to access specialized expertise that may not be available internally, particularly when it comes to managing complex digital transformations.

Outsourcing also offers businesses the flexibility to scale their IT operations based on demand. As technology evolves, organizations may need to ramp up their IT resources to support new projects or respond to changing market conditions. Outsourcing provides a cost-effective way to do this without the need for long-term hiring commitments. By partnering with external providers, organizations can ensure they have access to the skills and knowledge needed to implement new systems and keep them running smoothly.

In addition to outsourcing, some IT leaders are opting to upskill their existing workforce. While hiring new talent can be difficult in a competitive job market, providing current employees with training on the latest digital technologies can help bridge the skills gap. This approach not only improves the organization's overall IT capabilities but also helps retain talent by offering employees opportunities for professional growth.

IT leaders should also prioritize technologies that require less in-house management. For example, cloud-based systems often come with built-in support and maintenance, reducing the need for internal IT staff to handle day-to-day operations. This allows IT teams to focus on more strategic initiatives, such as driving digital transformation, rather than spending time maintaining legacy systems.

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