The world of technology is constantly evolving, but despite the rise of cutting-edge programming languages and modern software frameworks, COBOL applications continue to play a critical role in the business world. COBOL, one of the oldest programming languages, still powers many of the core systems of industries like banking, insurance, and government. Why, then, are businesses increasingly considering modernizing COBOL applications, and what does that process entail?
Why COBOL Applications Still Matter
Despite being developed in the 1960s, COBOL (Common Business-Oriented Language) remains in widespread use today. Originally, it was the go-to solution for automating complex business tasks like payroll, census data processing, and accounting. Its legacy lives on because of the high efficiency and stability it provides, particularly for large-scale transaction processing.
Many critical business systems, particularly in financial institutions, still rely on COBOL due to its ability to handle large volumes of data at incredible speeds. IBM mainframes running COBOL applications continue to process financial transactions, close out mutual funds, and handle large-scale data processing in ways that modern computing systems struggle to match.
Challenges of COBOL in a Modern IT Environment
However, while COBOL remains incredibly effective at what it was designed to do, there are several reasons companies are looking to modernize these applications:
- Cost: COBOL systems are often run on IBM mainframes, which are leased rather than owned. These leases can cost organizations millions of dollars annually. Maintaining a COBOL infrastructure is expensive, and businesses are seeking ways to reduce those costs.
- Talent Shortage: The pool of experienced COBOL programmers is shrinking. As baby boomers retire, fewer developers are available to maintain and update these systems. Younger developers are not learning COBOL in universities, as the demand for newer programming languages like Python and Java continues to grow.
- Difficulty in Making Changes: When new business regulations or rules require changes to COBOL applications, businesses face challenges. COBOL is an older, procedural language, and updating it to reflect modern needs can be time-consuming and costly.
Given these challenges, many organizations are now pursuing strategies to modernize COBOL applications to more contemporary, cost-effective solutions.
The Approach to Modernizing COBOL Applications
So, how do we approach the monumental task of modernizing COBOL applications? Here are some key steps that we recommend:
1. Assessing the Current Applications
The first step is to conduct a thorough assessment of the COBOL applications in use. This includes performing an inventory of all the programs and understanding how they interact with each other. It is crucial to determine which applications are critical to daily business operations and which might be outdated or redundant.
2. Identifying the Right Framework
For batch processing, we recommend modern frameworks like Java Spring Batch. COBOL excels at batch processing large datasets, and Spring Batch is designed to handle similar workloads in a modern infrastructure. It offers a more scalable, flexible, and maintainable solution for transitioning away from COBOL mainframes.
3. Rewriting the Applications
One of the most effective ways to modernize is to rewrite COBOL applications into a modern language like Java or Python. While there are tools available to automatically convert COBOL code into a modern language, our experience has shown that these tools often generate code that is difficult to maintain, essentially shifting the problem rather than solving it. By using the COBOL source code as a specification, we can rewrite these applications in a way that is clean, maintainable, and optimized for modern systems.
4. Leveraging Automation and AI Tools
Recent advancements in AI and automation have made the modernization process easier. AI tools can assist in the transition by analyzing COBOL programs and generating modern code more efficiently. While these tools are not perfect, they can significantly reduce the manual labor involved in the process, especially when combined with expert oversight.
5. Phasing Out Unnecessary Programs
As part of the modernization process, we often find that many COBOL programs are no longer needed. Over the years, organizations have accumulated a vast number of programs that continue to run simply because they were difficult to remove without disrupting the system. Through careful analysis and rewriting, businesses can reduce the number of programs, which in turn speeds up processing and lowers operational costs.
The Cost and Time Considerations
Modernizing COBOL applications is a significant investment, both in terms of time and money. The process requires careful planning, skilled developers, and a long-term commitment. However, the payoff is substantial—modernized systems are more cost-effective, easier to maintain, and scalable for future needs. By moving to modern infrastructures, organizations can reduce their reliance on expensive mainframes and address the looming talent shortage.
In Summary
Modernizing COBOL applications is not just a cost-saving measure; it’s a future-proofing strategy that ensures businesses can continue to operate efficiently in a world where technology is rapidly evolving. By assessing your current applications, selecting the right modern framework, and carefully rewriting your code, you can transition away from aging mainframes and ensure that your systems are equipped for the future.
If your organization is considering modernizing its COBOL applications, contact us. We’ve successfully guided businesses through this transition, and we can help you, too.