The “AI-Native” Approach to Modernizing Legacy Technical Debt

November 21st, 2025

Successfully refactoring high-debt legacy systems alongside new feature development requires moving beyond simple prompt engineering to a sophisticated, context-aware AI workflow that balances velocity with strict risk mitigation.


The Legacy Challenge

Business leaders often face a paralyzing choice with legacy software: freeze development to rewrite the system or continue piling new features onto an unstable foundation. In a recent case study involving a Node.js and TypeScript backend, a critical legacy system suffered from “extremely large classes” and “god functions” handling intensive relational database interactions. The system was riddled with unused code and high technical debt, yet the business requirement was to deliver new features and reduce debt simultaneously—without disrupting production.


A Strategic Technical Approach

The solution lay in adopting a “sophisticated” AI-native workflow that utilized two core architectural strategies: Risk-Based Segmentation and Context Engineering.

  • Risk-Based Segmentation (CQRS): Rather than attacking the monolith randomly, the engineering approach prioritized “select operations (READ)” first. This aligns with the architectural pattern of Command Query Responsibility Segregation (CQRS). By isolating read operations, the team engaged in “risk mitigation.” Read operations are generally side-effect free; if a refactored query fails, it may cause an error, but it will not corrupt the database. This created a “safe path” to begin splitting the monolithic legacy code into specialized modules.
  • Context Engineering: The most distinct innovation was moving from standard prompting to context engineering. The workflow involved creating a persistent “knowledge base” (a **.claude** folder and a **CLAUDE.md** file). These files contained specialized markdown documenting the “mental model” of the system—specifically “knowledge about how the ‘select operations’ are working.” This effectively “programmed” the AI’s context window, grounding its responses in the specific reality of the project and drastically reducing the likelihood of hallucinations.

Implementation and Safety

This workflow demonstrates that AI is not just a code generator but a “context-aware engine.” By documenting the logic in markdown files, the team inadvertently solved a secondary challenge: documentation. The context files became the living documentation for the legacy system.

However, moving from “Read” to “Write” (CREATE, UPDATE, DELETE) operations introduces significant danger. While “Read” errors are annoying, “Write” errors corrupt data. To mitigate this, the next phase of implementation requires strict “Golden Master” (or snapshot) testing. Before refactoring write logic, the AI must capture the exact SQL generated by the legacy system to ensure the modernized modules produce functionally equivalent transactions.


Business Outcomes

By treating English documentation as a programming language for the AI, the team achieved what traditional methods often fail to do: reducing the **”cognitive load”** on developers while maintaining system stability. The approach prevented the need for a full rewrite, allowing technical debt to be reduced in parallel with value delivery. It transformed a high-risk modernization effort into a manageable, incremental process.

Strategic Takeaway: To modernize legacy systems without halting business growth, leaders must encourage engineering teams to adopt context-driven AI workflows that prioritize architectural safety over raw coding speed.

Cristi Cernat

Co-Founder

Co-Founder with 20 years of experience in the industry, Cristi brings a wealth of knowledge and leadership to the team.

Cristi Cernat Inereto Team Profile