Ancient Accounting Software Application Delays California Plans
The State of California has been in a budget crisis for the last several weeks as they struggle to make up for a multi-billion dollar deficit. Governor Schwarzenegger came up with the idea of implementing pay cuts for many of the state’s employees. The problem is, California’s accounting software program is so old that it is not very easy to implement.
COBOL accounting software is not up to date with current business technology as it was made for businesses in the 60s and 70s. Because of this, it has been extremely difficult for California to find computer experts who are able of implementing changes in this ancient accounting software program. Also, implementing these changes, if successful, could take months. State employees may have a reason to celebrate now as pay cuts are delayed due to the problems with the accounting software. However, this is a lesson for companies and governments to update critical business software products as ancient business software can have a huge negative impact on business and day to day operations.
For more information regarding this issue, you can read the full article here.
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