By Priya Shankar
At some point, every growing company considers breaking their monolith into microservices. The promise is appealing: independent teams, faster deployment, better scaling. But the transition is painful, expensive, and often fails.
This guide is for product managers navigating a monolith-to-microservices migration. It explains what you need to know and how to make the right decisions.
When Monoliths Start Failing
Monoliths are great for startups. One codebase, one database, one deployment. Simple to understand and operate.
But as the system grows, problems emerge:
Problem 1: Tight Coupling
Everything depends on everything. Change one module, risk breaking another. The entire system is fragile.
Problem 2: Slow Deployments
You can't deploy one feature without deploying everything. Deployment takes hours. Rollback is risky.
Problem 3: Slow Development
Teams step on each other's toes. Team A's changes break Team B's code. Merge conflicts are constant.
Problem 4: Scaling Problems
You can't scale individual components. If the payment service is overwhelmed, you scale the entire monolith.
Problem 5: Technology Lock-In
Everyone uses the same language, framework, database. Can't try new technology.
The Microservices Illusion
Microservices promise to fix all of these. And they do. But they create new problems:
New Problem 1: Operational Complexity
Instead of running 1 service, you run 20. Each needs monitoring, logging, deployment automation.
New Problem 2: Distributed Systems Problems
Data consistency, transaction handling, debugging are all harder. A feature that took 1 second now takes 100ms × 5 services = 500ms.
New Problem 3: Network Latency
Services talk to each other over networks. Networks are slow and unreliable compared to function calls.
New Problem 4: More Complexity, Not Less
You think you're simplifying by breaking the monolith. But you're just moving complexity from code to ops.
The Real Question
Before you start: Do you actually need microservices?
Honest answers:
- "We need to scale different components independently." Maybe. But probably not yet.
- "Teams can move faster." Possibly, but only if you split teams too.
- "We need to use different technologies." Rarely necessary. A monolith can use multiple languages via APIs.
- "The monolith is too big to understand." True, but breaking it into pieces doesn't make the pieces simpler.
When Microservices Actually Make Sense
Reason 1: True Independent Scaling
You have a component that needs 100x more resources than others. Payments need extreme reliability. Search needs extreme throughput.
These are genuinely different requirements. Breaking them out makes sense.
Reason 2: Independent Deployment Cadence
Some teams deploy hourly. Others deploy monthly. They're moving at different speeds and interfering with each other.
Breaking them into separate services allows different deployment cycles.
Reason 3: Different Technology Needs
Payments need a strongly-typed language (Java/Go). Analytics needs Python/notebooks. Search needs Elasticsearch.
You genuinely need different tech stacks.
Reason 4: Organizational Reasons
You have multiple companies, brands, or distinct business units. They need completely separate systems.
The PM's Role in Monolith-to-Microservices
Decision 1: Do We Actually Need This?
Your CTO says "we need to refactor to microservices." Question it.
- "What problem does this solve?"
- "Can we solve it another way?"
- "What's the cost?"
- "What's the timeline?"
Be skeptical. Microservices are often a solution looking for a problem.
Decision 2: What Gets Extracted First?
If you're moving to microservices, don't try to extract everything at once.
Choose a service that:
- Has a clear, well-defined boundary
- Is used by multiple parts of the system (not a singleton)
- Doesn't need strong consistency with other services
- Will demonstrate the value of the migration
Good candidates: Payments. Search. Notifications. Bad candidates: User authentication. Core data model. Real-time features.
Decision 3: How Do We Manage the Transition?
During the migration, you have:
- Old monolith (running existing features)
- New microservice (running extracted features)
- Integration layer (calling both)
This is fragile and complex. You need a transition plan.
Dual-run period: Payments run in both monolith and microservice. Requests are sent to both. Results are compared. When results match, traffic is switched to microservice. Monolith version is shut down.
This is safer than a cutover, but slower.
Decision 4: What's the Business Impact?
The migration will slow down feature shipping.
- Estimate how long the migration takes
- Calculate opportunity cost (features not shipped)
- Make sure the benefit justifies the cost
Example: Migration takes 6 months. Costs: 3 engineers for 6 months = $270K. Opportunity cost: 12 features not shipped = $1.2M. Total cost: $1.47M. Benefit: Can scale payments independently, add 20% more revenue = $10M. ROI: Positive, but tight.
You need strong business justification.
The Migration Playbook
Phase 1: Preparation (1-2 months)
- Understand the monolith architecture
- Identify boundaries
- Design the new microservice
- Plan the transition
Phase 2: Build and Dual-Run (2-4 months)
- Build the new microservice
- Set up integration layer
- Dual-run (send requests to both)
- Verify results match
Phase 3: Switch Traffic (1-2 weeks)
- Route traffic to new service
- Monitor carefully
- Keep ability to switch back
- Gradual traffic shift (10%, 25%, 50%, 100%)
Phase 4: Cleanup (1-2 weeks)
- Remove old code from monolith
- Remove integration layer
- Document the new architecture
Common Mistakes PMs Make
Mistake 1: Underestimating the Cost
"It's just extracting one service." No. It's redesigning, rebuilding, integration testing, dual-running, and migration.
Budget 6+ months for a single service.
Mistake 2: Overestimating the Benefit
"Once we're on microservices, we'll ship 2x faster." Maybe. But not immediately. And only if you also split teams and change processes.
Mistake 3: Doing It All at Once
"Let's refactor the whole monolith to microservices." This takes years and never finishes. Do it incrementally.
Mistake 4: Ignoring Operational Complexity
You're not just extracting code. You're adding: Kubernetes. Service discovery. Distributed logging. Distributed tracing. Circuit breakers. Retry logic. Monitoring for 20 services.
This is expensive.
Mistake 5: Not Communicating the Trade-offs
Microservices solve some problems but create others. Make sure leadership understands:
- Slower individual feature development
- Higher operational burden
- More complex debugging
When to Say No
If any of these are true, you probably don't need microservices:
- "The monolith is slow." Fix the slow queries. Add caching. Optimize code. Don't refactor.
- "We have too many features to understand." Break the codebase into modules. Add documentation. Don't refactor.
- "We want to move faster." Improve your deployment pipeline. Don't refactor.
- "We need to scale." Optimize the code. Add caching. Upgrade hardware. Refactor only as last resort.
Getting Started
- Question the assumption. "Do we actually need this?"
- Understand the cost. Time, money, opportunity cost.
- Know the benefit. What problem does it solve?
- Make the trade-off explicit. Is the benefit worth the cost?
- Go incremental. Extract one service at a time.
- Measure results. Did it solve the problem?
Frequently Asked Questions
Will microservices make us faster? Not immediately. For the first year, you're slower (migration costs). After that, maybe faster if you also split teams and optimize processes. But it's not automatic.
Can we avoid the migration? Possibly. Monoliths can be broken into modules within the same codebase. You get some benefits (clear boundaries) without the operational costs.
What's the biggest mistake teams make? Doing it because it's trendy, not because they actually need it. Then they spend 2 years migrating for little benefit.