What is technical debt and why do charities need to know about it?

David is an experienced developer with a lot of strings to his bow. He has experience in many different technology stacks and server-side systems with knowledge of system maintenance, performance improvements, security hardening, containerisation and CI/CD pipelines. He is passionate about secure, tested and extendable software adhering to common programming rules and practices making sure that clients get the best application/solution possible within their budgets with minimal fuss.

David Murray, Full Stack Developer

In the charity sector, technical debt can have a huge impact on an organisation’s ability to grow, innovate, and engage with its audiences. It’s not uncommon, but it is avoidable.

In this blog, we’ll look at what technical debt is, how this could be affecting your charity’s performance, and what to look out for in the future.

What is technical debt?

Firstly, let’s explain what we mean when we talk about technical debt.

Technical debt is a concept in software development that refers to the consequences of prioritising immediate gains over perfect code. This idea, first introduced by renowned computer programmer Ward Cunningham, likens the accumulation of technical compromises to financial debt, where short-term benefits come at the cost of future difficulties. Essentially, short-term gain but long-term pain.

Technical debt can manifest in various ways, such as choosing quick but inefficient coding solutions, delaying necessary updates, or neglecting best practices to meet deadlines. These shortcuts may initially speed up development but can lead to significant issues down the line, including increased maintenance costs, reduced performance, and more security risks.

Not only that, but the ‘interest’ on technical debt – the additional effort required to maintain and update the code – can compound over time, making it increasingly challenging to implement changes or new features.

Examples of technical debt

As mentioned, technical debt can present in many different ways. Here are a few examples that can cause technical debt and the impact these have on a charity and its digital platforms.

Legacy code: old code that is no longer maintained or understood by the current development team can be a significant source of technical debt. This code can be fragile, difficult to modify, and may contain hidden bugs that can lead to system failures.
Insufficient testing: inadequate testing can result in undetected bugs and vulnerabilities, which can accumulate over time. This type of technical debt can lead to unstable software and increased maintenance costs.
Hard-coded values: hard-coding values instead of using configurable parameters can make the code inflexible and difficult to maintain. Changes to these values require code modifications, increasing the risk of introducing new bugs.
Outdated libraries: using outdated libraries can lead to compatibility issues and security vulnerabilities. Keeping libraries up-to-date is crucial for maintaining software health and security.
Lack of documentation: inadequate documentation can make it difficult for new developers to understand the codebase, causing inefficient development processes and increased maintenance costs.
Inconsistent coding standards: if coding standards aren’t met, it can result in code that is difficult to read, understand, and maintain. This can lead to increased development time and higher maintenance costs.
Delayed refactoring: postponing necessary refactoring can lead to a buildup of technical debt, making the codebase increasingly difficult to manage and maintain.
Quick fixes: implementing quick fixes without considering long-term implications. These fixes may address immediate issues but can introduce new problems down the line.
Neglecting employee training: Failure to invest in employee training can lead to a skills gap within the development team, resulting in inefficient processes and increased technical debt.
Ignoring best practices: neglecting best practices in software development can make the codebase difficult to maintain and increase the risk of system failures.

Image for Abstract illustration of a laptop and icons representing technical debt

Why technical debt is bad for your charity’s projects

If a charity has significant technical debt, it can have a big knock-on effect on how the organisation runs, how it engages with its supporters and on team efficiency and productivity. It can mean team’s spend additional time mitigating technical issues, rather than focusing on key priorities.This can create a vicious cycle where the development team is constantly playing catch-up, resulting in further accumulation of technical debt.

It also impacts the way users interact with your digital platforms and overall experience. For charities especially, a negative user experience can be especially costly as potential supporters may take their support to other organisations. This can therefore have a huge impact on growth and the ability to deliver crucial work.

Lastly, it can also hinder your charity’s ability to adapt to new technologies or market changes. In an ever-evolving digital world, being able to grow and adapt is a non-negotiable for success.

Security Risks

As well as impacting your charity’s performance and user experience, technical debt can significantly increase security risks. Outdated or poorly maintained code can be more vulnerable to cyber-attacks, leading to potential data breaches and compromising system integrity. The longer technical debt persists, the higher the likelihood of security vulnerabilities being exploited.

This can pose huge risks to personal or financial data held by charities, including that of supporters or even beneficiaries. Trust is key for gaining and maintaining support and if this is lost through data breaches, it can leave a painful legacy.

Ignoring technical debt can also lead to long-term disadvantages that put organisational and value creation plans at risk. Eventually, hardware may stop working, systems can crash, or ransomware incidents can occur because the tech is outdated. At that point, it’s not only a budget issue but also a productivity and security issue that can have catastrophic implications for the charity itself.

The Impact on Business Operations

Technical debt doesn’t just affect the development team though. It has far-reaching implications for the entire organisation, creating a ripple effect across the team and wider operations, such as:

Reduced agility: technical debt can make it difficult for a charity to respond quickly to market changes or new opportunities. The accumulation of debt can slow down the development process, making it harder to pivot or innovate.
Increased costs: the interest on technical debt can lead to increased maintenance costs. As the codebase becomes more complex and harder to manage, more resources are required to keep the system running smoothly.
Decreased productivity: as the codebase becomes more complex, it takes longer to implement new features or fix bugs, leading to a slower development process.
Supporter satisfaction: as a system becomes more prone to bugs and performance issues, supporters may become frustrated, leading to a loss of trust and engagement.
Competitive disadvantage: charities that fail to manage technical debt effectively may find themselves at a competitive disadvantage. As the development process slows down and the system becomes more prone to issues, competitors may be able to innovate faster and provide a better user experience.

Image for graph representing the wide impact of technical debt

The Role of Technical Debt in Software Development

While technical debt is often viewed as a negative, it’s not all bad! It can also play a strategic role in software development. Here are some ways technical debt can be beneficial:

Meeting deadlines: technical debt can help organisations meet tight deadlines by prioritising speed over perfection. This can be particularly useful in competitive markets where time-to-market is a critical factor.
Validating ideas: it can allow organisations to validate ideas quickly by releasing a minimum viable product (MVP). This can help gather feedback and iterate quickly, leading to a better final product.
Resource allocation: it can help organisations allocate resources more effectively by prioritising features that provide the most value to customers. This can help maximise return on investment and ensure that development efforts are aligned with organisational goals.

The Future of Technical Debt

As software development continues to evolve, so too will the concept of technical debt. Here are some trends to watch for in the future:

Automated refactoring: advances in AI and machine learning may lead to the development of tools that can automatically refactor code and reduce technical debt. This can help organisations manage technical debt more effectively and free up development resources for other tasks.
Continuous integration and delivery: the adoption of continuous integration and delivery (CI/CD) practices can help organisations manage technical debt more effectively by catching issues early in the development process. This can help prevent the accumulation of technical debt and ensure that the codebase remains healthy over time.
DevOps culture: DevOps culture can help organisations manage technical debt more effectively by fostering a culture of collaboration and continuous improvement. This can help ensure that technical debt is addressed proactively and that the development process remains agile and responsive to change.

These are all crucial for balancing rapid development with maintaining high-quality, secure, and sustainable software systems. Proactively managing technical debt ensures the long-term health and success of software projects for charities.