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News In Review

August 30, 1999

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Microsoft In Transition:
Applications Payback

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    Packaged applications from software providers are only one part of the equation. Perhaps of greater uncertainty is the portability of multitudes of applications developed in-house by company programmers. "Application deployment is one of the last things you can do," says Microsoft's Willingham. "It comes naturally late in the cycle, which is worrisome."

    The general consensus is that the migration will be easier for customers already on Window NT 4.0 and Workstation. Indeed, Microsoft advises companies migrating to Windows 2000 from 16-bit Windows 3x and Win9x, to first upgrade to NT 4.0.

    While Microsoft provides a host of tools and guidelines, companies are urged to individually test the compatibility of every application, built in-house or purchased from a vendor. "It makes sense for our customers to do due diligence and test all applications across the board for compatibility," says Craig Beilinson, a Windows 2000 product manager at Microsoft.

    Most companies that plan to deploy Windows 2000 are heeding that advice and have an application testing plan in place. The National Association of Securities Dealers in Phoenix has been preparing since March for an upgrade of 5,500 desktops to Windows 2000, Office 2000, and Outlook 2000. The company hasn't done broad testing of applications, but plans to do so by early October in a managed testing environment, says Tassey Russo, director of advanced technology at NASD.

    Tassey RussoPhoto by Scott Robinson When And How
    After leaping the portability hurdle, companies will have to consider whether and how to tackle more extensive modifications to get existing applications to exploit the new features of Windows 2000. Microsoft's advice: Look to the Win dows 2000 app specification. "If people write to the Windows 2000 specification, they're going to get better performance and manageability," says Windows 2000 project manager McDonald.

    For many business developers modifying or building new applications that exploit Windows 2000 capabilities right from the start just isn't practical. For Pfizer, the $13.5 billion pharmaceutical company that created the drug Viagra, rewriting a whole host of applications designed specifically for clinical drug studies isn't feasible due to strict government regulations. The FDA requires Pfizer to validate and document modifications to all applications and computing systems used, for example, in the collection clinical trial data. That makes major application changes for Windows 2000 cost prohibitive. Pfizer's Parsons says the company plans to use the specification as it builds new applications.

    Prudential Insurance is also planning to use the application specification further down the road. Initially focused on implementing Active Directory to realize immediate management and administrative benefits that come with integrated directory services, Prudential expects it may take at least a year before the company begins building applications designed specifically for Windows 2000.

    "We don't expect benefits from applications on Day One," says Laura Gashlin, systems director of emerging technologies at Prudential. "For the applications we have in place now, Windows 2000 doesn't do much."

    Still, Prudential anticipates easier application development once Windows 2000 is up and running. With application infrastructure issues such as security, domain structures, and user authentication streamlined by the new operating system, developers will be able to focus more on business processes. The end result, says Gashlin, will be greater flexibility and speed in bringing new business applications to users, while reducing the cost of development.

    While application payback may not be immediate, many companies still find compelling business reasons to adopt Windows 2000 from the start. From faster application development and less administrative hassle to simply staying on top of the latest technology curve, they say their early investments in Windows 2000 are well justified by future returns.

    "We're going with Windows 2000 because its the next thing, the latest technology," says NASD's Russo. "We just need to keep current, that's the major motivation for migrating."

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    Photo of Russo by Scott Robinson


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