Every enterprise leader knows the struggle: no matter how supposedly “future-proof” your systems are, the future always seems to show up regardless.

In the new report, “Strategies for Enterprise Applications Modernization Success,” Gartner summarizes the challenge facing application leaders as a vicious cycle:

More than half (56%) of organizations are running 60% to 80% of their workloads in core systems. Over time, core systems undergo a decline…. [and] even with significant investments, modernization efforts often fail to achieve the desired outcomes. Executive stakeholders become dissatisfied, making it challenging to obtain support from the business and executives and to secure funding for future modernization projects. Consequently, application leaders experience frustration and hesitation when it comes to pursuing modernization initiatives.

But systems modernization doesn’t need to be a cycle of despondency. At Fiserv, we see modernization as a positive opportunity for change.

More than just upgrading infrastructure, modernization is about creating adaptable, forward-thinking systems capable of meeting evolving demands. It is our view that the Gartner insights align with this vision, and in this report, showcase how enterprise leaders can reframe their modernization efforts to better ensure the success of this costly but potentially transformative investment.

Reframing the challenge

“Fear-based concerns, such as rising costs, complexity and risks associated with legacy systems” are the primary reasons application leaders are driven to pursue modernization, Gartner reports. The first step to embracing the opportunity presented by modernization is to replace this framing with a positive one.

As experts in leading enterprise modernization, we see this often: new technological requirements manifest, either regulatory or market-driven. Organizations  assess whether they can meet the new needs with what they have. At some point, they admit that they cannot. And it is then that the overhaul of a core system takes place, usually provoking a larger rethinking of business strategy, product offerings, revenue models, and more. At Fiserv, our job is to make these transitions as easy and successful as possible — thus creating space for enterprise clients to see the project as a chance for reinvention, not a boondoggle.
 

Helping organizations modernize

Modernizing and transforming large enterprises is complex, and it’s rarely a one-size-fits-all effort. The right partner and solutions can make all the difference.

One of the keys to staying ahead in any modernization effort is working with a partner whose solutions are adaptable to your changing needs. At Fiserv, we work with merchants to co-create modernization strategies that work. Our Commerce Hub solution is highly configurable, and over the last five years, we’ve helped numerous Fortune 500 companies address the evolving demands of their industries. This enables businesses to pivot as new requirements emerge without needing to start from scratch.

Part of building future-ready systems is recognizing and embracing new trends as opportunities. As large companies grow and acquire new assets, they often operate more like several companies under one roof. As a result, organizations have moved toward multi-processor setups, standalone secure token decryption, expanded use of custom order IDs and inference from a simple payload.

To help these companies modernize, Fiserv’s Commerce Hub provides multi-acquirer and processor routing, as well as optimal uptime. The orchestration engine also allows the organization to treat payments from different lines of business or use cases with varying degrees of risk and enrichment customization.

Data is critical, and any modernization effort should plan for more effective data utilization. At Fiserv, we work with clients to feed payment data into platforms like Snowflake so they can unlock real-time insights seamlessly and have the data to improve fraud strategies, fine-tune risk controls, and strengthen customer loyalty efforts.
 

Fiserv leads the way

At Fiserv, we understand that modernization is about more than technology. It’s about helping businesses unlock new potential and realize their strategic visions. This Gartner report provides a detailed roadmap for overcoming common obstacles and maximizing modernization’s impact, and we’re here to bring that expertise to life for our clients.

To uncover actionable strategies and deeper insights into how modernization can be your catalyst for transformation, explore the Gartner report, "Strategies for Enterprise Applications Modernization Success.”