A global survey of 309 decision-makers responsible for modernizing mainframe applications finds that while 69% of respondents said the initiatives are either very or extremely important for enabling their organizations to achieve their business objectives, only 18% of the budget allocated for these projects is being used to specifically modernize or rewrite those applications.
Conducted by Forrester Consulting on behalf of Rocket Software, more than half of respondents (51%) report their organization has, following multiple failures, attempted at least six rewrite projects.
The survey also notes that only 17% are focused on transforming applications on the mainframe by implementing and exploiting the most modern features available on the platform.
Just over a quarter (27%), however, are removing applications from the mainframe in favor of hosting them using cloud platforms and/or another distributed computing environment. Well over half (56%) are integrating mainframe applications with applications that have either moved to the cloud or were originally developed and deployed in the cloud, the survey finds.
Phil Buckellew, president of the Infrastructure Modernization Business Unit for Rocket Software, said there is more focus on integration rather than rewriting or migrating mainframe applications, simply because of their size and complexity. Many of those applications were also developed by individuals who are no longer with that organization and documentation available is often limited, he added.
Nearly three-quarters of respondents (74%) did note they are methodically planning to use AI to accelerate their modernization efforts. Additionally, 67% said their strategy includes a lot of experimentation and learning as it goes, with 66% reporting AI has already made them more efficient.
However, 35% also said ungoverned AI has led to significant loss of revenue and/or delayed initiatives.
In general, the survey finds half of respondents (50%) said mainframe modernization efforts are being led by IT teams, but 42% also said the strategy was being driven by those at the C-level in their organization. Nearly half (49%) said there is also a need for greater alignment between the business and IT.
The single biggest mainframe application modernization issue organizations encounter is, not surprisingly, security and risk concerns (41%), followed by a lack of talent/skills (38%). Additionally, 34% were challenged by complex integration strategies, while around 31% were burdened by inadequate software tools/platforms. A total of 30% also cited ungoverned use of new technology such as artificial intelligence (AI).
On the plus side, 45% are upskilling and training employees, while 41% are investing in new technologies to drive innovation. A total of 40% are also investing in various partnerships to achieve that goal.
Those partnerships are crucial because most IT organizations don’t have a lot of experience modernizing mainframe applications, noted Buckellew. Capabilities sought from partners include code and data modernization (83%), DevOps expertise (79%), open-source compliance (78%), knowledge of agile application development and low-code tools (75%), structured and unstructured data management (74%), vulnerability management (71%) and AI and automation (70%).
Modernization initiatives will differ substantially from one organization to another and it’s not precisely clear how AI might accelerate them but the one certain thing is more organizations than ever will be once again revisiting their mainframe application strategy in the months ahead.