Business is Changing and Legacy Integrations Aren’t Keeping Up

The gap between traditional IT environments and the increasing demands of modern business is widening. With only 37% of organisations able to keep pace with their digital projects, most are falling short of their full potential.

Legacy integrations – including Enterprise Service Bus (ESB) and point-to-point (P2P) – are a major driver of this growing disparity. Once essential for centralising communication between systems, today these outdated integrations are overwhelmed by increasing transaction volumes and more complex connections, leading to higher maintenance costs and reduced flexibility. 

In contrast, Integration Platform as a Service (iPaaS) offers a more scalable, adaptable, and secure solution – especially when integrating AI. With the ability to automate routine tasks, enhance decision-making, and unlock new levels of productivity, AI promises to transform business operations. However, with 91% of IT leaders stating that existing processes hinder productivity, it’s clear that something needs to change.

Legacy integrations are a barrier to AI opportunities

As organisations increasingly turn to predictive and generative AI to automate routine tasks and enhance productivity, legacy integrations are struggling to manage both the immense volume and disparate sources of data required by AI models at scale, as well as the security measures needed to protect that data.  

Even in Singapore, where 91% of organisations are already using AI, 89% of IT leaders report that integration challenges are hindering digital transformation. This highlights a critical issue: generative AI relies on APIs to access models and connect with real-time, relevant data. Without these API-driven sources, AI models can’t deliver accurate and valuable outputs. 

Legacy integrations not only lack the processing power and integration capabilities to work seamlessly with AI, they also fall short in providing the robust security measures required to protect sensitive data processed by LLMs. 

With 98% of IT leaders reporting significant barriers to using their data for AI, there’s a clear disconnect between the enthusiasm for embracing AI and current data readiness. However, there’s good news: migrating from legacy integrations to a unified platform can help bridge this gap and unlock the full potential of AI.

The business benefits of migration

Continuing to rely on legacy integration poses significant business risks, including security vulnerabilities, process inefficiencies, and the threat of obsolescence. In contrast, modernisation offers substantial opportunities for growth and innovation. Here’s how: 

Cost reduction

Legacy integrations often require high ongoing maintenance costs, whereas modern application programming interfaces (APIs) and cloud-based solutions significantly reduce maintenance and capital expenditure costs, freeing up budgets for growth initiatives. In fact, 27% of Singaporean organisations reported decreased operational costs by adopting APIs. 

Innovation

Modern integration platforms drive innovation and provide IT teams with the systems they need to excel. By migrating with MuleSoft, leading organisations from across a range of industries have accelerated their innovation. For instance, Invesco reduced product development time by 92%; while Bayer achieved 200% faster product development and 5x faster time to market.

Migration can even boost revenue, as organisations unlock the growth potential of APIs. It’s now estimated that API and API-related offerings deliver 33% of average company revenue. As data becomes the new currency in business, integration allows for more effective use of data and systems. Migrating to cloud-based solutions, now recognised as industry best practice, is a key part of this approach.

Security

Legacy integrations often lack the robust security features needed to withstand modern cyber threats – a problem that will only increase as AI technology evolves. Migration is the answer for companies who want to strengthen their security and safeguard sensitive data against breaches.

Talent

The IT knowledge gap is widening – many of today’s developers don’t speak the language of yesterday’s technology. According to MuleSoft’s 2024 Connectivity Benchmark, the top challenge to digital transformation is a lack of IT skill sets. 

With the expertise needed to maintain legacy integrations becoming increasingly rare, top IT professionals are gravitating toward modern tools and systems that enable more efficient work. Migrating toward current solutions not only addresses the skills gap but also attracts star talent by offering current industry practices and seamless work experiences that boost employee satisfaction. 

Out with the old, in the with integrated

While modernisation is a logical next step, it’s important to remember that it won’t happen overnight. Organisations should start by aligning IT and business objectives to prioritise strategic initiatives and ensure a cohesive migration. Often, this involves adopting a phased approach to mitigate risks and smooth out transitions.

Mulesoft’s API-led approach makes it easier to adapt to changes in the IT landscape without disrupting existing integrations, reducing the risk of impacting integral systems or customer experiences. 

For example, INSEAD, one of the world’s leading graduate business schools, faced challenges with a sprawling tech ecosystem made up of more than 100 siloed applications. With MuleSoft’s API-led approach, it created a single source of truth for student data, modernising its sales and enrolment processes to improve efficiency and save costs. 

“So far, we have taken advantage of MuleSoft to build 36 APIs that have improved processes all across the organisation — reducing manual work by 60%,” says Mr. Manoj Lasantha, Solution Architect at INSEAD.

Move confidently with MuleSoft

Migrating your organisation’s legacy systems is crucial to remain competitive in the modern business landscape. Legacy integrations can hold your business back, limiting your ability to innovate, scale, and respond to market demands.

Whether it’s preparing for AI, reducing costs, or exploring new revenue opportunities, modernising from legacy integrations is vital for businesses focused on the future.

To support you in this process, MuleSoft has prepared a step-by-step whitepaper, including demo videos, designed to help you on your migration journey. Read From Old to Bold: Legacy Migration with MuleSoft, to learn how to effectively modernise your business systems.