From golden child to legacy burden: The lifecycle of technology systems

How today’s cutting-edge solution becomes tomorrow’s modernisation headache—and what you can do about it.There’s a sobering truth about technology that every organisation needs to face, and it was perfectly captured by my colleague Alan Perestrello during a recent webinar:

“Every legacy system at some point in the past actually started out as the golden child. It was the thing that you invested in. You put all your time and energy in it, and it was the new golden child in your organisation.”

This reality hit home during our conversation with leaders from across the non-profit sector, where we explored the complex journey from technology hero to technology burden. As someone who works with organisations navigating these transitions daily, I can tell you that understanding this lifecycle isn’t just academic—it’s essential for making smarter decisions today that won’t haunt you tomorrow.

The golden child phase: When everything seems perfect

Remember the excitement of your last major system implementation? The demos that made everything look effortless, the promises of transformation, the relief of finally having a “proper” solution to replace those spreadsheets and manual processes.

During this honeymoon period, your new system is indeed the golden child. It solves immediate problems, improves efficiency, and makes everyone’s job easier. You’re the hero who championed its adoption, and the ROI calculations look brilliant in your board presentations.

But here’s what we often miss in our excitement, as Alan pointed out: “The reason it became legacy was not just the passage of time.”

The slow descent: How golden children become burdens

The transformation from hero to villain doesn’t happen overnight. It’s a gradual process that many organisations don’t recognise until it’s too late.

Technical debt accumulates

As Alan explained in our webinar:

“It becomes hard to change and adapt. So we leave the legacy systems there, and every time we find a reason not to move, we build technical debt, and every time we build technical debt it becomes hard to erode that technical debt.”

This technical debt manifests in several ways:

Workarounds that become standard operating procedures
Integrations that were “temporary” but become permanent
Customisations that make upgrades increasingly complex
Data that becomes increasingly difficult to migrate

The sunk cost trap

Perhaps most dangerously, organisations fall into what behavioural economists call the sunk cost fallacy. Alan described this perfectly:

“Very soon you end up possibly going down the sunk cost fallacy. Oh, it’s too expensive to change, so we’ll stay where we are. But kicking the can down the road really just exaggerates the problem.”

Current research shows that 60-80% of non-profit IT budgets are spent maintaining existing legacy systems, leaving precious little for innovation or improvement. This creates a vicious cycle where organisations become increasingly unable to afford the very changes they desperately need.

The signs of legacy decay

How do you know when your golden child is showing its age? The warning signs are usually there long before systems become critical problems:

Outdated and incompatible: The system no longer plays nicely with other tools your organisation has adopted
Out of support: Your technology partner has moved on, leaving you vulnerable to security risks and compliance issues
High maintenance costs: Supporting the system becomes increasingly expensive
Process dependency: Your processes are dictated by system limitations rather than business needs
Security risks: Perhaps most critically, older systems create vulnerabilities that put your entire organisation at risk

Breaking the cycle: Planning for sustainable technology futures

The good news is that understanding this lifecycle gives us the power to make different choices. Here’s how forward-thinking organisations are breaking the legacy cycle:

Build adaptability into your strategy

Instead of seeking the “perfect” system that will solve all problems forever, plan for change from day one. As Winston Churchill wisely noted: “To improve is to change, to be perfect is to change often.”

This means:

Choosing cloud-native platforms that evolve with your needs
Prioritising systems with strong APIs and integration capabilities
Building relationships with technology partners who have clear innovation roadmaps

Embrace continuous improvement

Alan’s wisdom really resonates here:

“We don’t necessarily need to strive to be perfect. But I think if we want to maintain our relevance and our ability to meet and continue delivering on our service users, or our members, or our donors, or our volunteers… we have to change, and changing often makes it easier to change rather than leaving change in big gulps that become difficult to swallow.”

This philosophy transforms how you approach technology:

Regular system health checks become routine
Small, iterative improvements replace major overhauls
Change becomes a muscle your organisation develops rather than a traumatic disruption

Plan your exit strategy from day one

This might sound pessimistic, but it’s actually liberating. When you know you’ll eventually need to move on from any system, you make different decisions:

Data portability becomes a key selection criterion
You avoid vendor lock-in scenarios
You design processes that can adapt to different platforms
You budget for future transitions rather than being caught off-guard

Invest in your people, not just your systems

The most successful technology transformations happen when organisations invest equally in their people and their systems. This means:

Building internal capability to manage and optimise systems
Creating a culture that embraces rather than fears change
Developing champions who can lead future transformations

The compound effect of good decisions

When organisations apply these principles, something remarkable happens. Instead of facing periodic crises that demand emergency responses and massive budgets, they develop a sustainable approach to technology that supports rather than constrains their mission.

Consider the experience of organisations that have broken this cycle. They report:

Lower total cost of ownership over time
Increased agility in responding to changing needs
Higher staff satisfaction with their tools
Better service delivery to their communities

Looking forward: Your technology legacy

Every technology decision you make today is shaping your organisation’s future. The question isn’t whether your current systems will eventually need replacing—it’s whether you’re setting yourself up for a smooth transition or a painful emergency.

The golden child phase is intoxicating, but it’s temporary. By planning for the full lifecycle from the beginning, you can ensure that when it’s time to move on, you’re doing so from a position of strength rather than desperation.

After all, the goal isn’t to find the perfect system that will last forever. It’s to build an organisation that’s capable of evolving gracefully with the changing world around it.

In my experience working with organisations across the non-profit sector, those who embrace this mindset don’t just avoid the legacy trap—they turn technology change from a crisis into a competitive advantage. [image_with_animation image_url=”2077″ image_size=”medium” animation_type=”entrance” animation=”None” animation_movement_type=”transform_y” hover_animation=”none” alignment=”center” border_radius=”none” box_shadow=”none” image_loading=”default” max_width=”100%” max_width_mobile=”default”]

Joyce Harmon
Head of Client Services
Hart Square

Joyce Harmon is Head of Client Services at Hart Square, where she helps non-profit organisations navigate the complete technology lifecycle—from initial strategy through successful implementation and beyond. Hart Square’s technology-neutral approach ensures you make decisions that serve your long-term interests, not just your immediate needs.

Ready to break the legacy cycle? Contact us to discuss how we can help you build a sustainable technology strategy for your organisation.