Factors influencing the decision to upgrade or replace software

Software may need to be upgraded when it starts impacting efficiency, productivity, scalability, security, user experience or compatibility with modern technology. Some of the factors that may result in the need to upgrade software include:

• No longer meeting institution’s requirements: Software may need to be upgraded when its capabilities no longer meet the evolving needs and requirements of the organization and it may be more costly to enhance the existing system or it may not be technically feasible.
• Technology trends: If the software does not support current industry trends it may need to be upgraded. Examples can include incompatibility or inability to integrate with newer hardware or software systems. In addition newer versions of software may have features and capabilities not supported by the existing software.
• Challenges with performance and scalability: If the system has persistent challenges with performance that impact the experience of its users. These are performance issues with the software that are not related to underlying infrastructure and that cannot be easily resolved.  This can also be the case if the software is not scalable to the growing needs of the institution.
• End of support: Software provided by external vendors may reach its end of life or end of support. This means the software is no longer supported by the vendor and critical updates such as software enhancements and security patches are no longer available. This would pose a risk to the institution and institutions need to monitor end of life dates and plan for upgrades in advance.
• Cost/ benefit analysis: when the cost of maintaining the system exceed the benefits and upgrading provides a better cost/benefit outcome in the longer term.