In my current project, the business logic is implemented in stored procedures (a 1000+ of them) and now they want to scale it up as the business is growing. Architects have decided to move the business logic to application layer (.net) to boost performance and scalability. But they are not redesigning/rewriting anything. In short the same SQL queries which are fired from an SP will be fired from a .net function using ADO.Net. How can this yield any performance?
To the best of my understanding, we need to move business logic to application layer when we need DB independence or there is some business logic that can be better implemented in a OOP language than an RDBMS engine (like traversing a hierarchy or some image processing, etc..). In rest of the cases, if there is no complicated business logic to implement, I believe that it is better to keep the business logic in DB itself, at least the network delays between application layer and DB can be avoided this way.
Please let me know your views. I am a developer looking at some architecture decisions with a little hesitation, pardon my ignorance in the subject.