Why application modernisation isn’t a silver bullet

These days, every cloud conversation seems to focus on cost management or optimisation, and since application modernisation and cloud costs are tightly linked, the conversation invariably turns into one about how modernising apps can drive greater efficiency, agility, and scalability. The reality is a lot more complex. Modernising applications can reduce cloud costs, but only if you pair technical change with cost governance, visibility, and control. In other words, FinOps, DevOps, and architectural design need to work together.

For many organisations, “lift and shift” is the starting point, but while this is a quick way to achieve some level of modernisation, it’s not sustainable in the long term. All too often, teams lift and shift legacy assumptions such as fixed capacity alongside their code, defeating the elasticity benefits of the cloud. Microservices can quickly grow in number, creating complexity and cost tracking challenges if not governed well, and without proper tagging, monitoring, and FinOps practices, modernised apps can accumulate hidden costs across services and teams. In addition, modern architectures often involve frequent API calls and distributed data, leading to extra charges and unexpected fees.

Mindful modernisation

There are a number of challenges faced by organisations in their modernisation journeys, and these must be addressed to avoid excessive maintenance costs and stifled innovation. This is where mindful modernisation comes in.

Mindful modernisation ensures we aren’t just building shiny tech—we’re building resilient, cost-effective, and value-driven solutions. Companies must carefully evaluate all of the obstacles they are likely to face – now, and in the future – and create a strategy that takes each one into account. Mindful modernisation helps the business select the right technologies, enhance performance and security, and establish clear metrics to measure success.

The first step is to understand why you're modernising. Is it faster time to market, lower cost, improved UX, or scalability? Applications must be prioritised based on business value and readiness.

Choosing the right cloud modernisation approach is therefore vital. Rehosting applications offers the fastest results, but has limited long-term benefits. Some apps will benefit more from re-platforming, where minor changes are made to optimise for cloud, while other will need to be entirely re-architected. This is why the business should look at things like what services can be used to make the platform run more efficiently. Companies must evaluate cost vs complexity vs scalability, with each providing different priorities and optimisation outcomes, and make technology decisions based on their long-term business goals.

The FinOps foundation

FinOps is not just about managing or reducing cost, but can help companies identify their optimal strategy by evaluating how economically viable modernisation is. If rehosting or re-platforming an application will cost more in the long-term, the upfront costs of re-architecting the app are much easier to understand, and to explain to stakeholders.

 FinOps enables teams to understand where costs are incurred and identify areas for potential optimisation. By making cloud costs visible, FinOps helps teams understand the financial implications of their decisions and encourages more cost-conscious choices at every step of the application modernisation journey. Most importantly, the collaboration between finance, engineering, and business teams that FinOps promotes fosters a shared understanding of cloud costs and business goals, allowing the entire organisation to align around technical and business priorities.

Cloud app modernisation is only successful when it's business-driven, secure, cost-aware, and continuously improving. It is an ongoing journey, not a one-time project, and without FinOps providing a foundation for the improvements the business is looking for, companies usually end up with spiralling cloud costs and limited success.

Learn how to unlock smart cloud modernisation

Smart cloud modernisation goes beyond migrating workloads. It’s about rethinking how your business uses technology to drive agility, efficiency, and growth. It’s a strategic blend of careful planning, modern architecture, financial discipline, built-in security, and ongoing improvement.

Download our complimentary 'Smart Cloud Modernisation' checklist for a strategic guide to start your cloud journey with a clear roadmap today.