Tech companies experience huge operational losses and crises due to technical debt. The longer they delay addressing it, the more hefty the prices they will have to pay later. A recent study by DXC Technology reveals that nearly half of executives (46%) share that technical debt is the silent saboteur inhibiting their innovation ability. Software teams are trapping vulnerabilities by neglecting documentation, inefficient code, poor configuration control, and postponing bug fixes.
According to the Deloitte report, up to 70% of technology leaders accept that technical debt hinders their organisation’s ability to innovate and is one of the primary causes of productivity loss.
Some experts believe that business leaders’ lack of awareness and structural gaps impact their ability to manage technical debts. Tight deadlines from the client end create a “Do It Fast” attitude that degrades code authenticity and creates a debt trap for developers. Right from development to execution, organisations need to encourage automation testing and integrate other smart solutions for technical wellness.
Legacy modernization is imperative for organisations to survive in the digital age. According to Naresh Duddu, AVP and Global Head—Modernization Practice, Infosys, it is also the solution to scaling back their technical debt.
Another key aspect of technical debt is that the market is obsessed with the trend of product-market fit. Organisations follow the pace, leaving behind messy codes and unresolved issues to fit market expectations. This unpredictability and sprint prioritisation can create huge problems in the long run.
The spate of layoffs will continue in 2024, triggering the market to take substantial steps toward technical wellness. Tech leaders are often trapped in fast-paced growth while accumulating technical debt, resulting in critical losses and failures. As per a Nasscom report, the Indian tech industry will reach $300 billion by 2025; however, the report highlights the underlying risk of technical debt with cutthroat competition.
According to Gartner, India’s IT spending will reach $124.6 billion by the end of 2024, which is an increase of 10.7%. With the adoption of regular code reviews, refactoring, automation testing, modularity, and other technology upgrades, the Indian tech market can revive the pathway of technical wellness in the coming years.
