Don’t Let Technical Debt Overrun Your Company

Nov 2

Technical debt: It’s a term that sounds like it belongs in a bank or on a spreadsheet, but it’s all about what’s hiding behind the scenes in your systems, processes, and machinery. Coined in the early 1990s by programmer Ward Cunningham, "technical debt" originally described a very specific problem in software development. When programmers create a system using the fastest, easiest code available, they’re often bypassing future tech needs, creating a hidden cost that eventually must be paid back. And just like financial debt, if you let it grow, it will come back to haunt you—accumulating interest, compounding problems, and ultimately creating a much larger burden down the line.

Cunningham recognized early on that quick solutions—those last-minute patches, shortcuts, and temporary fixes—could provide instant benefits. But if left unaddressed, these solutions morph into long-term burdens. Imagine a raccoon sneaking into your kitchen, looking cute at first as it pries open a cereal box. It doesn’t seem like a big deal, and you might even feel a little charmed by its antics. But before you know it, that raccoon has invited its entire extended family. Now they’re eating through your food, chewing on your wiring, and making a mess. Ignored, this raccoon party soon leaves your kitchen in ruins—and now you’re knee-deep in raccoons, the lights won’t turn on, and you have a raccoon toilet situation on your hands.

In manufacturing, technical debt is like this raccoon family scenario—cute, or at least harmless, at first glance but eventually becoming a nightmare to deal with. Let's dive deeper into how technical debt manifests in manufacturing and explore some common ways it can creep up, including legacy systems, lack of standardization, unmaintained equipment, disorganized codebases, and insufficiently trained staff. Ignoring it may save time and effort in the short term, but the long-term costs are often far greater.

How Technical Debt Sneaks into Manufacturing Environments

Technical debt in manufacturing isn’t just about software; it shows up in various forms that can bog down production, reduce efficiency, and ultimately eat into profits. Here’s a closer look at how technical debt manifests in manufacturing environments.

Legacy Systems: When the Old Dogs Can’t Learn New Tricks
In many manufacturing settings, legacy systems stick around well past their prime. These outdated systems—often patched and re-patched over the years—are like those raccoons in your kitchen who refuse to leave. Sure, they technically work, but they aren’t designed for modern needs. They’re costly to maintain, don’t integrate easily with new technologies, and, as a result, hinder innovation.
Holding on to legacy systems can save money in the short term but quickly turns into an expensive hassle. Trying to upgrade, adapt, or connect a legacy system to new software is like patching a sinking boat; it might keep things afloat temporarily, but ultimately, it’s a constant drain of resources.
Lack of Standardization: When Everyone’s Speaking a Different Language
Imagine a factory floor where every machine speaks its own language. This lack of standardization might not seem like a big deal initially—after all, the machines are still doing their jobs. But as soon as you try to get them to work together or communicate data, you’re left with a digital tower of Babel.
Non-standard processes and data models create inefficiencies, slow down operations, and make integration a headache. Over time, these disconnects create obstacles to automation and data flow, meaning manufacturers can’t achieve the efficiency they need to compete. And when it comes time to scale or upgrade, this patchwork of standards becomes a maze of costly challenges.
Unmaintained Equipment: The Broken Parts Nobody Talks About
A piece of unmaintained machinery is like a raccoon chewing on your wires—ignored for too long, it disrupts everything. Equipment that’s not properly maintained may seem to work fine on the surface, but it’s a ticking time bomb waiting to cause downtime, costly repairs, and even safety risks.
When organizations fail to invest in regular maintenance, they’re taking on technical debt. Eventually, breakdowns start piling up, leading to unplanned downtime and production losses. In some cases, the repair costs end up being higher than what regular maintenance would have cost, proving that paying a bit upfront is worth it.
Disorganized Codebases: The Spaghetti in the System
In today’s manufacturing world, software powers everything from production lines to inventory management. But when that software is full of quick fixes and patches without any overarching plan, it becomes what’s known as “spaghetti code.” This disorganized codebase is difficult to maintain, nearly impossible to improve, and a huge liability for any organization looking to innovate or expand.
A disorganized codebase leads to technical debt because developers spend more time navigating existing chaos rather than adding value. It’s like a pile of tangled cables—adding one more device is manageable, but as more devices (or code changes) get added, the mess becomes unmanageable.
Poorly Trained Staff: The Human Factor in Technical Debt
Technical debt doesn’t just exist in the systems; it’s also in the skills (or lack thereof) of the people running them. When staff aren’t adequately trained, they’re more likely to make mistakes or rely heavily on a few “experts” who end up overloaded and burnt out. Poor training creates inefficiencies and errors, and when those knowledgeable employees move on, they leave behind knowledge gaps that are difficult to fill.
Inadequately trained personnel can mean relying on temporary fixes rather than real solutions. Imagine an operator who isn’t sure how to troubleshoot an issue properly—they might patch it up temporarily, creating a snowball effect of problems down the line. Training is an investment, and failing to invest means more technical debt down the road.

The Cost of Ignoring Technical Debt in Manufacturing

Technical debt isn’t just a theoretical problem. Studies show that technical debt is a significant drain on resources. According to Stripe, the average developer or engineer spends about 13.4 hours per week dealing with technical debt. According to CodeScene, organizations, on average, waste between 23% to 42% of their development time because of it. For manufacturers, this time cost translates directly to production delays, missed deadlines, and potentially millions of dollars lost.

On top of that, a poor Technical Debt Score (TDS) can further result in failed modernization efforts. The bottom 20% of companies struggling with technical debt are 40% more likely to have incomplete or canceled modernization programs than those in the top 20% according to McKinsey. This means that companies who let technical debt run wild are often unable to upgrade, innovate, or even maintain their competitive edge.