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How common is it for manufacturers to run mission-critical operations on outdated systems?
Shockingly common. Most mid-sized manufacturers (think 50 to 1,000 employees) are running key operations on software that’s years, sometimes even decades, out of date. A survey by TrendMicro revealed that a majority of manufacturers were still using operating systems like Windows XP, introduced in 2001 and no longer supported, underscoring the widespread reliance on obsolete technology.
Why? Because, in many cases, upgrading isn’t seen as a priority. Large enterprises tend to have the budget and dedicated IT teams to stay ahead, but mid-sized firms often rely on a handful of IT staff (or even just one person) to keep things running. Without a clear business case, upper management tends to push modernization down the road.
Almost every manufacturing company we’ve worked with has mission-critical operations running on outdated software. However, not modernizing your IT landscape is like putting the hand break on innovation.”
Remco Molenaar
Additionally, the preference for on-premise servers presents another challenge. Many manufacturers are bound by long-term contracts and substantial infrastructure investments, making the shift to cloud solutions appear as an unnecessary expense. However, maintaining outdated systems can lead to higher maintenance costs over time due to dwindling vendor support and increased expenses for custom patches and updates.
What are the biggest risks of relying on legacy technology?
1. Cybersecurity vulnerabilities – Old systems lack modern security protocols, making them prime targets for cyberattacks. Many manufacturers don’t realize how exposed they are until a breach happens.
2. Downtime and system failure – When something breaks, who fixes it? If a system is so outdated that the vendor no longer supports it, getting it back up and running can take days or even weeks, bringing production to a standstill.
3. Compliance issues – Many manufacturers aren’t even aware of how their legacy systems put them at risk of non-compliance with evolving industry regulations, whether it’s cybersecurity, environmental standards, or traceability requirements.
4. Scalability and inefficiency – Modern manufacturing relies on automation and data-driven decision-making. Outdated systems make it nearly impossible to integrate new technologies, limiting a company’s ability to grow and compete.
Learn more about common challenges manufacturers face today →
The hidden costs of legacy systems
At first glance, maintaining an old system seems cheaper than upgrading. After all, if the system still works, why spend thousands (or millions) to replace it? But the hidden costs of sticking with outdated technology quickly add up:
High maintenance costs – Older systems require constant patching and workarounds, and hiring specialists to maintain them can be expensive.
Missed opportunities – Companies stuck on legacy systems struggle to adopt new tech like AI-driven quality control, robotics, and predictive maintenance, all key components of Industry 4.0.
Risk of sudden failure – If a critical system goes down and no one knows how to fix it, operations grind to a halt. We’ve seen cases where manufacturers faced multi-week outages because their legacy systems had no backup or replacement plan.
Supply chain bottlenecks – Many manufacturers rely on outdated ERP (Enterprise Resource Planning) software that wasn’t built for today’s fast-paced, interconnected logistics environment. As a result, inventory tracking becomes inaccurate, leading to stockouts or overstocking, real-time order processing isn’t possible, production is slowing down, and integration with modern logistics providers is difficult, causing delays.
Can Long-Term Support keep End-of-Life technology running safely?
Strictly speaking, Long Term Support (LTS) can play a crucial role in extending the usability of End-of-Life (EoL) technology by providing critical security patches, stability updates, and limited compatibility enhancements, even after mainstream support has ended. However, as Rowan Schaap points out, relying on LTS is a temporary solution:
Long Term Support can be a lifeline for manufacturers relying on End-of-Life technology, since it helps mitigate immediate security risks and ensures compliance, allowing businesses to maintain operational continuity while planning upgrades. But LTS is a temporary fix, while it keeps outdated systems running, it doesn’t introduce new features or solve long-term scalability challenges, making modernization inevitable."
When should manufacturers replace vs. integrate legacy systems?
Not every outdated system needs to be thrown out immediately. In many cases, manufacturers can use middleware solutions, such as an Integration Platform as a Service (iPaaS), to connect old systems with modern applications. This allows for a phased, composable approach to digital transformation rather than an expensive, all-at-once overhaul.
However, there are cases where replacement is the only real option. If a system has reached the end of its life, is no longer supported by the vendor, or is actively blocking the company’s ability to scale, then delaying replacement is only making the inevitable transition more painful and expensive.
Discover the key advantages of composable manufacturing →
How to minimize disruption when upgrading legacy systems
One of the biggest fears manufacturers have is that upgrading will cause major disruptions to operations. But with the right strategy, it doesn’t have to be painful:
Take a phased approach – Start by integrating modern solutions with existing systems before replacing them entirely.
Ensure leadership buy-in – IT teams often struggle to communicate the urgency of upgrades to upper management. Framing the issue in terms of business impact rather than technical risks, such as lost revenue, compliance risks, and competitive disadvantages, helps drive action.
Bring in outside expertise if needed – If internal IT teams lack the experience or authority to drive change, an external consultant can help bridge the gap between technical and business priorities.
Don't let legacy technology hold you back
Manufacturers can no longer afford to ignore the risks of running mission-critical operations on legacy systems. While the upfront costs of upgrading can seem daunting, the hidden expenses and operational risks of sticking with outdated technology are far greater. The key is to take a proactive approach. Whether it’s through strategic integration, middleware solutions, or a full digital transformation, Miller Digital can help you make the shift. Future-proof your operations and start modernizing today with Miller Digital.
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