Why COBOL is strategic in the 21st century

Why COBOL is strategic in the 21 st Century J ohn Billman Product Director, Net Express and J apanese Products The Value of Legacy • Legacy applications are a valuable resource – An investment of over $5 trillion – …at the heart of every large enterprise – …running the world’s economy • …which can be reused and extended – As core services – …in new products – …delivered to new channels • …providing enduring business value – Reducing costs & – …driving agility – …with least risk 75% of the world's bus ine s s data is in COBOL There are be twe en 180 billion and 200 billion lines of COBOL code in us e worldwide 15% of all ne w applications (5 billion lines ) through 2005 will be in COBOL. (Gartner) Emergence of Service-Oriented Architectures  Focus on ‘re-use’ at the business level  …based on XML & Web services  Web services is independent and inclusive of: – Any platform – Any language – Any architecture  J 2EE and .NET “The s e cret to s uc c e s s lie s in building bridg e s be twe en the o ld and the new” Ovum: Legacy renewal, May 2004 Increased choice for the enterprise Then Now  Moore’s law  Higher flexibility  Lower cost  Platform for extension  Increased scalability UNIX Mainframe “Rip and Replace” Cost 0 10 20 30 40 50 60 70 80 90 100 % Reuse Package Implementation Legacy Transformation Legacy Modernisation “Lift and Shift” “Lift and Shift” - the best strategy The Choices for Moving The Lift & Shift Opportunity  Reduced Costs – 80% Savings in hardware and software achievable – Rapid ROI utilizing existing staff skills, data and applications  Increased Agility – Modern service-based architecture using XML, Web Services – Leverage the .NET or J 2EE Application Environments  Lower Risk – Combination of Micro Focus running on an Enterprise-strength platform and System Integrator expertise provides low-risk route to lower TCO Windows/UNIX Development & Deployment Business Rule Development Open Middleware Component Architectures COBOL Modules Web Services COM Components EJBs C, C++, Java HTML, XML Other Languages .NET Web Services Java J2EE WebApp Servers Fas te r De velopme nt, Fle xible De ployment Ne t Expre s s with .NET – COBOL development environment – Take core COBOL business processes & extend them to meet today’s business needs Ne t Expre s s Pro fe s s io nal Edition – Revolve + Net Express – Combine Analysis Tools with Development Process Serve r Expre s s – UNIX/LINUX COBOL development Applic atio n S e rver – Designed for performance and reliability Ente rpris e Se rver – Scalable, Managed, Transactional COBOL Service Deployment Environment – Mainframe Transaction Option for CICS Micro Focus Enterprise Server Micro Focus Enterprise Server Enterprise Server – All Platforms Linux Linux UNIX UNIX Windows Windows Micro Focus Application Server COBOL Run-Time System (RTS), Filehandler, etc. Direct COBOL Web s e rvice COBOL/J2EE Se rvic es Mainframe Trans action Option Development Environment – CICS Application Ente rpris e Se rver Mainframe Trans action Option CICS Definition Data TN3270 CICS COBOL BMS COBOL Loadlib BMS Loadlib Net Express with MTO CICS (ES/MTO) Extension COMMAREA Interface Mapping Toolkit EJ B, J SP and Servlet Generator BMS Workflow Capture Web service .NET Winform/Webform Web Enable, Move to SOA [...]... Lombard – Why Migration?  Diminishing availability of the highly specialized skill set required to maintain a mainframe environment  Shortage of innovation in the mainframe ISV ecosystem  Need for increased flexibility  Desire to stay ahead of the curve and continuing the tradition of technology leadership in the insurance industry  Significant Cost Savings Lombard – Migration Approach IBM Mainframe... upgrade pricing in the 5000-10000 MIPS range Enterprise Performance , major cost savings Interface Mapping Toolkit (IMTK) COM Generation EJB Inte rfac e COBOL Interface (Linkag e S e c tio n) We b S e rvic e s Te s t Clie nt No n-ES Windo ws o nly Deployment J ava Applic atio n S e rve r Ente rpris e S e rve r The Interface Mapping Toolkit Linkage items in your COBOL program… …map on to fields in your... Server BINP – Micro Focus Binary Protocol Micro Focus Enterprise Server COBOL Inside the NET Framework C# VB.NET … NET Framework Framework Classes ADO.NET Winforms Webforms Micro Focus Application Server MSIL (Intermediate Language) Common Language Runtime Visual Studio NET 2003 Net Express with NET COBOL Win32 COBOL Development COBOL Deployment COBOL – an equal player in NET COBOL generates IL as other... and retain the most talented IT people, who are looking to work with the latest technology.” Software licensing costs projected to fall from 12% of IT Budget to 2-4% experienceΔInsurance Customer Story - SOLCORP  Bus ine s s Challe ng e s : • • Need to maintain and enhance competitive edge •  Price/Performance a key decision factor in new accounts Seamless Integration with other insurance and financial... with COBOL business processes exposed as Web services 1 millio n line s o f mainframe COBOL re us e d in NET Bertelsmann  Business Challenge – Very high running costs of VSE application – Lock-out from new user interface technologies to improve competitiveness  Solution – Converted to run on Windows in ASCII against UDB databases  Cho ic e Co s t Bo tto m Line Rewrite in J ava €4-5m 15 Man Years, Risky,... Microsoft languages COBOL is deployed inside the NET Framework under the CLR COBOL gains access to Framework classes and functionality Create, Reuse and Extend  Reuse existing COBOL Business logic in NET  Use Procedural or Object Oriented COBOL under NET program-id ShowMessageBox as "ShowMessageBox" environment division configuration section repository class Message-Box as "System.Windows.Forms.MessageBox"... processor – Single-sourced business rules for both platforms  Bus ine s s Challe ng e s : • •  Te c hnic al Challe ng e s : • •  Maintain Common Business Logic across Mainframe, UNIX and Windows Deliver Scalable, Robust, High Performance System S o lutio n: •  Price/Performance a key decision factor in new accounts Need to maintain and enhance competitive edge Micro Focus Net Express combined with... €3.0m Non Strategic Migrate to Windows €1.2m Strategic, Agile, Reduced TCO Outcome – Batch performance and on-line performance improved – Saving 600k Euros per annum – Positioned to be more agile – new user interface coming Better performance, lower costs and more agility Alnova Financial Solutions (Madrid-based banking application provider in Accenture’s insurance and banking portfolio)  Business Challenge... obs/Proc 92.3% of COBOL code retained!! Lombard – Why Migration? Peter Howling, Vice President of IT, Lombard Canada Ltd.: “We estimate this project will save us in excess of $1 million a year, but more importantly, it will enable us to become more competitive in our industry both today and in the future.” “Part of Lombard’s competitive advantage is directly related to technology, and this migration will... – Target low end market using mainframe assets for its Alnova Financial Solutions product suite – Strategic commitment to NET  Solution – – – –  Migrate Enterprise Banking application 5500 COBOL programs - 11 million lines of code… 1600 transactions, 2000 J CL steps, DB2 database… To Windows 2000 on 8-way Intel servers running SQL Server Outcome – Successful migration to Windows and NET – Achieved . innovation in the mainframe ISV ecosystem  Need for increased flexibility  Desire to stay ahead of the curve and continuing the tradition of technology leadership in the insurance industry  Significant. enduring business value – Reducing costs & – …driving agility – …with least risk 75% of the world's bus ine s s data is in COBOL There are be twe en 180 billion and 200 billion lines. Financial Corporation (NB on the TSE) Lombard – Why Migration?  Diminishing availability of the highly specialized skill set required to maintain a mainframe environment  Shortage of innovation