Refactoring in cloud migration means making significant architectural and code-level changes to an existing application to optimise it for cloud environments. Instead of simply lifting and shifting a workload, refactoring restructures it to use cloud native services such as managed databases, containers, microservices or serverless computing.
Common migration patterns include rehosting, re-platforming, refactoring, rebuilding or replacing. Refactoring sits in the middle of the modernisation scale, keeping the core application but improving internal structure, removing legacy dependencies, updating frameworks and unlocking new capabilities.
This approach is growing in adoption, with a large percentage of enterprises now combining cloud migration with application modernisation to remain competitive. When done well, organisations can reap substantial benefits of refactoring from cloud elasticity and faster development to improved resilience and long-term cost efficiency, which this blog uncovers.
Benefits of refactoring in cloud migration
Refactoring requires investment, but the long-term gains are often significant. In doing so, organisations can gain:
Improved scalability and performance
By adapting applications to use cloud native components such as container orchestration, managed databases or asynchronous workloads, organisations can achieve higher performance and better resilience under load.
Reduced long-term costs
Although refactoring may increase migration effort, it often leads to lower operational costs. Cloud-native services offer auto-scaling, pay-per-use pricing and more efficient resource consumption. Over time, this results in better financial performance than traditional lift-and-shift.
Faster delivery and innovation
Refactored applications are usually more modular and easier to update. This supports continuous deployment, quicker releases and faster time to market, which are ideal for product teams and digital delivery.
Lower technical debt and easier maintenance
Refactoring replaces old libraries, removes legacy components and reduces complexity. This improves stability and simplifies systems for engineering teams to maintain and enhance.
Stronger security and compliance
Modern cloud architectures embed identity management, encryption, monitoring and audit controls. This makes it easier to meet regulatory requirements and improve security posture.
Future-readiness and flexibility
Refactored solutions adapt more easily to new technologies, cloud services and business requirements. They are better positioned for AI integration, data platform modernisation and future cloud strategies.
Challenges of refactoring in cloud migration
Refactoring is one of the more advanced cloud migration strategies, which lends itself to complications. Some of the challenges to be aware of include:
Higher upfront effort and cost
Refactoring requires redesigning and rewriting parts of the application. This means more time and investment compared to rehosting or re-platforming.
Complex transformation risk
Innate changes to architecture may introduce new bugs or operational risk. Without careful planning, live services may face disruption during cutover.
Legacy constraints and dependencies
Some applications are tightly coupled or built on outdated frameworks, which makes refactoring more time consuming. Legacy systems may require major rework before they are cloud-ready.
Risk of cloud provider lock-in
Cloud-native services offer significant value, but can complicate multi-cloud strategies. Organisations must balance innovation with portability requirements.
Cloud skill gaps across teams
Refactoring requires cloud architecture expertise, software engineering capability, DevOps skills and updated security practices. Many organisations are still building on skills in these areas.
Delayed return on investment
Refactoring benefits increase over time. Stakeholders may expect instant cost savings, which can create pressure if results take longer to appear.
Best practices for cloud migration refactoring
Refactoring is most successful when approached with structure and clarity. The following best practices can help reduce risk and improve outcomes:
1. Carry out a complete application assessment
Review application dependencies, integrations, data flows, technical debt, scalability and risk. This helps map the complexity of the estate and segment workloads based on refactoring suitability.
2. Prioritise the right applications
Focus refactoring on high-value workloads such as customer facing services, highly scaled systems or applications requiring innovation. Avoid refactoring low-value or soon-to-be-retired solutions.
3. Create a clear business case and measurable KPIs
Define long-term success: improved performance, cost efficiency, error reduction, increased release frequency or reduced maintenance overhead. Tie each refactoring decision to a measurable outcome.
4. Adopt cloud native architecture patterns
Use microservices, event-driven design, serverless functions, containers, managed data services, API gateways and infrastructure as code. CACI’s Cloud Engineering and Implementation Services helps organisations effectively adopt this.
5. Embed security and governance from the beginning
Security must not be retrofitted. Implement identity and access management, encryption, logging, monitoring, network controls and compliance checks early.
6. Invest in skills and organisational readiness
Support DevOps adoption, cloud architecture upskilling and platform engineering capabilities. Consider establishing a cloud centre of excellence.
7. Deliver refactoring in waves
Avoid large, risky transformations. Move applications into the cloud in phases: pilot, assessment, refactor, migrate, validate and optimise. This will reduce risk and increase confidence.
Cloud migration with CACI
Refactoring during cloud migration can unlock scalability, performance, agility and long-term cost savings. However, success depends on having the right expertise, governance, cloud architecture and migration strategy.
CACI helps organisations design and deliver modern cloud solutions through its
Cloud Engineering and Implementation Services, including:
- Cloud readiness assessments
- Refactoring planning
- Modernisation frameworks
- Cloud native delivery.
We also provide Platform Migration for complex legacy estates and Solution Implementation to build secure, scalable platforms for modern applications.
If you are planning to refactor applications for cloud or considering a modernisation strategy, get in touch with us to find out how CACI can help you achieve scalable, secure and cost-effective results.