Why does Luxoft lead the field in mainframe modernization?

Jul 24, 2023 by Duncan Alexander



In brief

  • Luxoft mainframe developers’ shared passion for solving complex problems drives the team’s individually tailored approach, providing creative innovation for challenging and large-scale engagements  
  • Learn how Luxoft’s engineering services manage to offset costs traditionally associated with external seniority and experience by operating from global delivery centers 
  • While accelerating growth, Luxoft’s mainframe developers resolve legacy-system issues, protecting existing investments with technologically independent solutions and the support of a top-tier partner network 


Why do Luxoft’s mainframe developers lead the field?


Simple. Successful mainframe engineering teams share the core values of their enterprise and colleagues. And Luxoft’s experienced engineers have that in spades. 

Being fluent in financial services, they understand that putting the needs of customers, employees, partners and suppliers at the center of data-driven mainframe transformation optimizes the user experience. Also, they appreciate that the nuances of compliance and keeping pace with regulatory updates are critical building blocks of streamlined change management and a smooth-running business. 

Another key characteristic our engineers share is a passion for solving complex problems. It drives the team’s individually tailored approach, providing mainframe innovation for challenging and large-scale engagements.  


Luxoft sets the gold standard


Expert in banking software services, Luxoft is an acknowledged and trusted provider of simplification, mainframe application modernization and run/change services. Our proven and repeatable development processes bring digital experience concepts to life, ensuring we get things right first time with minimal disruption. 


What Makes Us Different

Chart shows six characteristics that differentiate Luxoft engineering services


While accelerating growth, we resolve legacy mainframe modernization issues, protecting existing investments with technologically independent solutions and the support of our top-tier partner network. 


Resolving client challenges


Market dynamics, intense competition and constantly changing business requirements force organizations to make rapid software adjustments. Luxoft mainframe developers help banks drive beyond mere survival to create sustainable growth. 


Mainframe software development challenges

Mainframe software development challenges to banking / Luxoft blog


Productivity. Intense cost pressure is driving organizations to look beyond basic recruitment and retention programs. They need to improve efficiency and productivity to optimize time to market against growing competition and improve ROI. 

Modernization. Banks must modernize mainframe systems, simplifying overwhelming technological complexity (legacy and ad hoc patches) while encouraging innovation to retain customers and respond to market competition. 

Delivery. The exacting nature of the banking and capital markets industry demands the highest quality, well-engineered software. Firms need reliable delivery partners that are flexible enough to meet new challenges, wow end users and react rapidly to an ever-changing environment. 

Talent. Competition from major technology players has escalated the demand for talent, making it harder than ever for banks to recruit and retain the skills they need in suitable locations. 

We appreciate the unique challenges organizations face across phases of the application life cycle. Our wide-ranging engineering capabilities enable close partnerships across this value chain, supporting the development of successful mainframe modernization solutions. 


Value-chain across the application life cycle

Chart shows value-chain challenges to the application lifecycle


Infrastructure and mainframe application development services

Infrastructure and mainframe application development services of Luxoft


Why mainframe hybrid cloud?


Lockdown accelerated the move from the high street to online services. In response, many traditional banks hedge their bets, tackling increasing digital workloads with a mainframe hybrid cloud approach. This enables them to keep their core system of record — which runs well on a mainframe — but open it up. In other words, it makes sound use of public and private clouds while ensuring optimal alignment between core and new systems. 

Digital modernization eases cloud deployment, but all-out commitment can be both risky and costly for a large-scale operation. You need to move at least half of your systems to realize even the primary benefits of cloud services. And although a private cloud diminishes the fear of losing control and dealing with compliance challenges, firewalls hinder teamwork and innovation. 

Consequently, the mainframe hybrid cloud concept is a popular choice for banks. They can secure sensitive data with a mix of on-premise and fully customizable private cloud services, then shift less-sensitive assets to one or more highly flexible, low-entry-cost public cloud resources. 


Luxoft’s five core engineering services


Luxoft offers a mix of foundational and business-centric services packaged in five core offerings: 


Application analysis and mainframe modernization service 

Analyze legacy applications and identify opportunities for simplification, modernization and optimization. 

Mainframe application development and innovation 

Core engineering services on techno-functional expertise, modern mainframe development processes, location transformation and managed delivery solutions. Focused on both greenfield and brownfield development.

Application development and maintenance 

Core engineering services on techno-functional expertise, modern maintenance processes, location transformation, managed delivery solutions and application maintenance solutions. Focused on brownfield development. 

Location model transformation 

Offshoring solutions — data obfuscation, role transitions, role-based delivery solutions — COEs, team carveouts

Process and technology transformation 

Support strategic process and technological transformation at a team level to ensure the adoption of mature processes, strategic practices and technologies like mainframe hybrid cloud enablement, microservices, DevOps for mainframe and Agile. Delivered as part of all engineering services. 


And our eight key solution principles


Luxoft applies eight key solution building blocks to resolve general and unique mainframe software development delivery challenges throughout the application life cycle. 

  1. Team configuration. Optimal mix of seniorities in line with application life cycle phase challenges and project complexity 
  2. Team size. Flexible team size aligned to mainframe modernization demands and organization-specific requirements 
  3. SDLC methodology. Diverse mainframe development methodologies best suited to the agility, quality, stability and predictability needs of the applications in scope 
  4. Engagement models. Range of engagement models aligned to desired levels of delivery ownership transfer, organizational control and mainframe digital transformation goals 
  5. Pricing models. Innovative and flexible pricing models based on application life cycle phase, delivery ownership and desired engagement models 
  6. Location model. Distributed location models aligned to the application life cycle phase and the organization’s target locations 
  7. Techno-functional engineering talent. Engineering talent with a unique mix of deep expertise in the target domain and technology (foundational solution component) 
  8. Engineering process expertise. Extensive expertise in mature and modern Aagile and DevOps mainframe development tools with custom-built accelerators (foundational solution component) 


Luxoft Engineering Services

We can help your bank simplify mainframe modernization

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Case studies — putting our engineers to the test


Risk analytics platform company

An ability to adapt and change to meet customer needs 

  • Timely identification of risks and issues based on metric analysis for mitigation 
  • Agile, iterative techniques enabled to complete functional specifications and detailed architecture in a record 4 weeks despite several complex use cases involving UX 
  • Agile mainframe development resulted in weekly deployment cycles and quick feedback by business teams 



defect delivery


increase in productivity


Multinational investment bank

Legacy mainframe modernization 

  • Legacy UI modernized into a single-page application using Angular JS 
  • Existing functionality with tight integration into advisory/financial planning bank services 
  • CI/CD implemented to ensure effective development and testing cycles as multiple teams perform activities  



lines of code


test automation coverage

7 months

access to high-margin revenues without financial advisor


Why Luxoft?




employees worldwide 


engineers worldwide 


combined attrition rate 


global hiring capacity per month 


Discover what Luxoft can do for you


If you’d like to discover exactly what our mainframe modernization engineering services can do to enhance your organization’s processes, productivity and profitability, visit or contact us.




Duncan Alexander , Product Director – Core Banking

Duncan Alexander author linkedin

Product Director – Core Banking

Duncan leads several existing and new core banking products and services within Luxoft’s Global Banking Division. He has over 3 decades’ experience in the application of business technology to achieve strategic goals across multiple industries, including banking, insurance, retail, travel and logistics. Duncan has provided strategic advisory services and delivered mission-critical systems as a strategic partner to clients and held senior positions within several large enterprises. His main area of focus is the realization of business benefits for our clients from digital transformation.