For fintech software providers, there is often the temptation to prioritize speed and features over long-term maintainability.
But of course, such short-sighted tendencies will lead to the accumulation of "tech debt".
Tech debt, in very simplistic terms, is the implied cost of rework caused by choosing an easy solution now instead of using a better approach that would take longer.
And from a financial perspective, the problem of tech debt across all industries is massive, being "valued" at a total $1.52 trillion.
To address the issues properly, software providers must first identify what causes the technical debt.
Rushed development, lack of code reviews, and inconsistent coding practices can lead to messy, difficult-to-understand code.
This "bad code debt" makes it so much harder to maintain, update, and debug the software, increasing the likelihood of errors and slowing down future development.
Inadequate or outdated documentation makes it difficult for developers to understand how the software works, leading to confusion, errors, and increased time spent on troubleshooting.
One must not underestimate the importance of documentation. Make documentation an integral part of the development process.
Second, use the right tools to facilitate collaborative documentation and knowledge sharing.
Third, keep documentation up-to-date. Regularly review and update procedures to reflect code changes.
Using outdated technologies or frameworks can create compatibility issues, security vulnerabilities, and make it harder to integrate with newer systems.
Keep abreast of the latest technologies and plan for upgrades or migrations proactively.
Regularly assess your software's dependencies on third-party libraries or frameworks.
Invest in modernizing your technology stack to avoid falling behind.
Inadequate testing can lead to undetected bugs and errors that surface later in the development cycle or even in production, causing costly rework and potential damage to your reputation.
Prioritize testing, and consider these approaches:
Taking shortcuts or implementing quick fixes to meet deadlines can create technical debt that accumulates over time.
These temporary solutions often lead to more complex problems down the road.
Instead, do these:
Technical debt is a common challenge in software development, but it's not necessarily inevitable.
By understanding its causes and implementing proactive strategies, fintechs can minimize its impact and build software that is robust, scalable, and maintainable.
At Empaxis, we prioritize quality and long-term thinking in our software development approach.
We help our clients build solutions that are not only functional, but also sustainable and adaptable to future needs.
Ready to tackle your tech debt and build a future-proof software foundation? Contact Empaxis.
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