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Legacy compute:
Modernisation is not just a hype …
NRB Mainframe days
Toine Straathof
Digital Transformation manager
TStraathof@TRSAlpha.com
2
Legacy has grown in the last 25+ years
Main issues …
1.  Monolithic applications
2.  Support core business
processes
3.  Interrelation/overlap
4.  Knowledge & scalability
of knowledge
Changes
Base
Platform
X
Platform
Y
Platform
Z
Complexity
?
3
Legacy is bad!?
•  Typical discussion: Old is bad, new is better?
•  Performance, costs?
•  Maintainability?
Example case: Life insurance renewal
Challenges of legacy:
•  Strategic mistake of the original developers …
•  Entanglement of legacy applications
•  Knowledge of the application
•  They seem to be expensive but are they really?
Example case: Replace Current account of a large French bank
4
Mainframe versus Linux versus Cloud versus ?
•  Each and every company with a mainframe has them: polarised, unstructured,
biased discussions
•  Lots of shouting, not too much listening …
•  Apples – Apples ???
−  Costs: TCO!
−  Performance?
−  Stability?
−  Maintenance complexity? (release upgrades)
−  7x24?
−  Active/ Active?
•  Rebrand mainframe towards optimal cloud computing?
So we will never leave the mainframe?
•  For some parts of companies with certain specific functions: no
Is it anyway possible?
•  Yes, of course. But be carefull …
5
MIB
Mainframe is Back
And is here to stay ...!
6
High level migration approach of legacy applications
•  Multi year transformational programs
•  Architecture based migration
•  Complete rebuild of all systems vs parts?
•  Buy or Build?
−  Cobol ;-)
•  Rebuild will replace legacy, but:
−  Costs exceptional
−  Timely, and needs focus
−  Limits innovation
−  Business value?
•  Implementation strategy?
−  9 out of 10 situations: Core process!
−  Big bang?
−  Step-by-step?
−  Hidden features?
7
So, don’t write off your legacy too soon
Keep parts of the legacy alive when:
•  It’s just doing its job
•  Cut off front ends / mid offices
•  Re-invest in knowledge & maintainability
•  Availability of knowledge & resources is not a decisive issue
Do not (some bold statements …):
•  Wrap
•  Keep at all costs
•  Position the legacy application & team as a dead end
•  Migrate the legacy application towards a new technical platform
à Non biased analyses of the costs, maintainability & platform is necessary, but
really hard …
8
Application modernisation? How?
•  Not to scare you off but:
−  Not too many (successful) examples world wide …
−  Complex digital transformation so: 8 critical success factors
−  Costly (from investment point of view)
•  Creativity in your migration strategy necessary:
−  Replace legacy by something better (…)
−  Still be able to innovate! (many cases killed by this issue)
−  Stability during a step by step replacement: involvement maintenance team
−  Your maintenance costs will probably double during part of the migration
à This sounds and feels like a nightmare, and that is exactly what it is.
9
10
Application modernisation: step-by-step approach
1.  Create a target architecture, based on your business architecture (SOLL)
−  Choice between buy versus build
−  Keep some parts from the legacy alive?
−  Choose your platform & integration strategy
2.  Create a current architecture (IST)
−  When not available
−  Based on the current applications and integrations
3.  Create migration strategy
−  Step-by-step from IST to SOLL
−  Max 3 months GoLive’s
−  Create a dashboard (list of 7)
−  Be aware that every in-between step needs to be production ready …
−  Every step is a step in the right direction
−  NO temporary solutions
4.  Mistakes are extremely expensive: ask help if you lack experience in these kind of
transformations and follow a structured approach
11
Lessons learned: a real life case
Large bank in The Netherlands:
•  CRM renewal
•  Replace 128 front end applications
•  Replace legacy customer system, home grown, entangled with 2 older systems
•  Culture … The old system is the best!
•  33.000 users
•  Package implementation: challenge!
•  All channels
•  5 year program
•  Yearly budget 120-130 mio
Challenges:
•  How to keep your budget alive over the years?
•  Every 3 months go live
•  Mainframe as the main database engine: tuning …
12
Thanks!

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NRB MAINFRAME DAY 03 - Toine Straathof - Legacy compute: modernisation is not just a hype…

  • 1. Legacy compute: Modernisation is not just a hype … NRB Mainframe days Toine Straathof Digital Transformation manager [email protected]
  • 2. 2 Legacy has grown in the last 25+ years Main issues … 1.  Monolithic applications 2.  Support core business processes 3.  Interrelation/overlap 4.  Knowledge & scalability of knowledge Changes Base Platform X Platform Y Platform Z Complexity ?
  • 3. 3 Legacy is bad!? •  Typical discussion: Old is bad, new is better? •  Performance, costs? •  Maintainability? Example case: Life insurance renewal Challenges of legacy: •  Strategic mistake of the original developers … •  Entanglement of legacy applications •  Knowledge of the application •  They seem to be expensive but are they really? Example case: Replace Current account of a large French bank
  • 4. 4 Mainframe versus Linux versus Cloud versus ? •  Each and every company with a mainframe has them: polarised, unstructured, biased discussions •  Lots of shouting, not too much listening … •  Apples – Apples ??? −  Costs: TCO! −  Performance? −  Stability? −  Maintenance complexity? (release upgrades) −  7x24? −  Active/ Active? •  Rebrand mainframe towards optimal cloud computing? So we will never leave the mainframe? •  For some parts of companies with certain specific functions: no Is it anyway possible? •  Yes, of course. But be carefull …
  • 5. 5 MIB Mainframe is Back And is here to stay ...!
  • 6. 6 High level migration approach of legacy applications •  Multi year transformational programs •  Architecture based migration •  Complete rebuild of all systems vs parts? •  Buy or Build? −  Cobol ;-) •  Rebuild will replace legacy, but: −  Costs exceptional −  Timely, and needs focus −  Limits innovation −  Business value? •  Implementation strategy? −  9 out of 10 situations: Core process! −  Big bang? −  Step-by-step? −  Hidden features?
  • 7. 7 So, don’t write off your legacy too soon Keep parts of the legacy alive when: •  It’s just doing its job •  Cut off front ends / mid offices •  Re-invest in knowledge & maintainability •  Availability of knowledge & resources is not a decisive issue Do not (some bold statements …): •  Wrap •  Keep at all costs •  Position the legacy application & team as a dead end •  Migrate the legacy application towards a new technical platform à Non biased analyses of the costs, maintainability & platform is necessary, but really hard …
  • 8. 8 Application modernisation? How? •  Not to scare you off but: −  Not too many (successful) examples world wide … −  Complex digital transformation so: 8 critical success factors −  Costly (from investment point of view) •  Creativity in your migration strategy necessary: −  Replace legacy by something better (…) −  Still be able to innovate! (many cases killed by this issue) −  Stability during a step by step replacement: involvement maintenance team −  Your maintenance costs will probably double during part of the migration à This sounds and feels like a nightmare, and that is exactly what it is.
  • 9. 9
  • 10. 10 Application modernisation: step-by-step approach 1.  Create a target architecture, based on your business architecture (SOLL) −  Choice between buy versus build −  Keep some parts from the legacy alive? −  Choose your platform & integration strategy 2.  Create a current architecture (IST) −  When not available −  Based on the current applications and integrations 3.  Create migration strategy −  Step-by-step from IST to SOLL −  Max 3 months GoLive’s −  Create a dashboard (list of 7) −  Be aware that every in-between step needs to be production ready … −  Every step is a step in the right direction −  NO temporary solutions 4.  Mistakes are extremely expensive: ask help if you lack experience in these kind of transformations and follow a structured approach
  • 11. 11 Lessons learned: a real life case Large bank in The Netherlands: •  CRM renewal •  Replace 128 front end applications •  Replace legacy customer system, home grown, entangled with 2 older systems •  Culture … The old system is the best! •  33.000 users •  Package implementation: challenge! •  All channels •  5 year program •  Yearly budget 120-130 mio Challenges: •  How to keep your budget alive over the years? •  Every 3 months go live •  Mainframe as the main database engine: tuning …