The hidden cost of legacy systems in higher ed

Key points:

• Universities can overcome legacy system limitations and drive innovation
• HBCUs and the potential for disruptive AI innovation
• Transformational leadership: Safe harbors, or turbulent seas?
• For more news on digital transformation, visit eCN’s Digital Innovation hub

As universities shape the future and prepare the next generation of leaders and innovators, it’s more important than ever to lead in adopting cutting-edge technology and digital transformation. While colleges and universities today increasingly rely on digital tools to improve learning, streamline administration, and boost student outcomes, many still use outdated legacy systems that can hold back progress.

Legacy systems–including student information systems (SIS), learning management systems (LMS), and administrative platforms–often lack the agility needed to support evolving institutional needs. Adding to this issue, major technology providers like Microsoft, Oracle, and Blackboard have phased out support for some older systems, forcing universities to find alternative solutions or risk operational inefficiencies and security vulnerabilities.

Universities must address the hidden costs and risks associated with legacy systems while developing a clear path toward digital transformation to remain competitive and provide students with advanced educational experiences.

Limitations of legacy technology in modern universities

Universities depend on a variety of digital platforms for student records, online learning, and administration; however, outdated systems create inefficiencies that slow operations. Disconnected internal systems often fail to integrate properly, leading to data silos, redundant processes, and a fragmented user experience for students and faculty.

Additionally, legacy systems are often incompatible with modern technologies like AI, cloud tools, and mobile apps, which hinder innovation and seamless digital experiences, making it harder for institutions to adapt and progress.

Financial challenges: Beyond operational obstacles, maintaining outdated technology can also be expensive. Universities often spend a significant portion of their IT budgets on keeping legacy systems running instead of investing in modern, more efficient solutions. In fact, according to a recent report:

• Fifty-nine percent of IT leaders respondents cite limited storage and management capacity as a major challenge in maintaining on-premises systems
• Forty-four percent say high costs prevent them from upgrading their infrastructure

These costs divert funding away from student services, faculty development, and innovative learning tools, impacting the university’s ability to compete in the digital age.

Security and compliance risks: In addition, universities manage vast amounts of sensitive student and faculty data, making them prime targets for cyberattacks. Older systems often lack the robust security features necessary to protect this data, leaving institutions vulnerable.

Additionally, outdated systems may fail to comply with evolving regulations such as FERPA and GDPR, creating legal and financial risks. Unsupported software also increases exposure to cyber threats, including data breaches and ransomware attacks, putting both institutional integrity and personal information at risk.

Impact on innovation and future readiness: Moreover, legacy systems can hinder universities’ ability to adopt emerging technologies and stay ahead of new useful tools and developments, such as:

• AI-driven learning tools for personalized education
• Predictive analytics to improve student retention and success rates
• Cloud-based platforms to expand online learning and accommodate growing student populations

The longer a university relies on outdated systems, the more challenging and costly it becomes to upgrade and integrate modern solutions.

Key considerations for universities modernizing their systems

As universities transition to modern technology, they must navigate several key challenges to ensure a successful and efficient upgrade.

Data migration: When a university plans to upgrade its systems, one of the most critical challenges it faces is data migration. Moving data from legacy systems to modern platforms is a complex process that requires careful planning to ensure a smooth transition. Universities must transfer vast amounts of information, including student records, course data, and research archives, without introducing errors. Maintaining data integrity is crucial in the transition, necessitating rigorous quality checks and validation throughout the migration process.

Integration with modern solutions: New systems must seamlessly integrate with existing university platforms, such as digital libraries, LMS, campus-wide communication tools, student engagement apps, and administrative software to provide a unified experience. This integration not only streamlines operations but also enhances the overall user experience for students, faculty, and staff.

Actionable steps for universities to upgrade systems

A well-planned approach to digital transformation helps minimize disruptions and streamline the transition. Key steps include:

• Phased migration rollouts: To minimize disruptions, institutions often implement phased migration strategies, many while students and faculty are on break between quarters/semesters and summertime, and establish robust backup plans. Gradually implementing new systems prevents system-wide downtime and allows IT teams to address potential issues in stages. This approach reduces risks, ensures data integrity, and provides users time to adapt to changes without significant interruptions.
• Leveraging automation tools: Automating data transfer simplifies migration by reducing manual workload, improving accuracy, and ensuring consistency. These tools also enable real-time validation, allowing universities to detect and correct errors early in the process.
• Prioritizing data security and compliance: As universities migrate to modern systems, cybersecurity must remain a top priority. Implementing proactive security measures is essential to protect student and faculty data while ensuring compliance with evolving privacy regulations. Integrating security tools across cloud environments helps maintain unified protection and mitigate risks.
• Investing in scalable, future-proof solutions: Universities should prioritize technology solutions that can scale and adapt to future advancements. According to a recent report, 88 percent of higher education institutions have migrated at least a quarter of their applications to the cloud, and 79 percent report that cloud adoption has met or exceeded their expectations. By selecting adaptable, modular systems, universities can future-proof their technology investments, ensuring they remain agile as new innovations emerge.

Universities must recognize that their future success depends on embracing digital transformation now. By continuing to modernize with scalable, cloud-based solutions, universities can overcome legacy system limitations and drive innovation, student engagement, and academic excellence.

With thoughtful planning, strategic investments, and a focus on future-proof solutions, institutions can position themselves at the forefront of technological progress and ensure they are equipped to meet tomorrow’s challenges.

About the Author:

Aaron Wadsworth, General Manager at BitTitan, is a seasoned leader with nearly two decades of experience in high-tech sales and executive management. His expertise lies in company management, team empowerment, and customer success. Aaron has successfully spearheaded client relationship management initiatives, resulting in improved customer retention and exponential business growth. His career highlights include significant revenue growth and successful M&A support, making him a prominent figure in the corporate arena.