COBOL-skills, Where art Thou? : An assessment of future COBOL needs at Handelsbanken

Sammanfattning: The impending mass retirement of baby-boomer COBOL developers, has companies that wish to maintain their COBOL systems fearing a skill shortage. Due to the dominance of COBOL within the financial sector, COBOL will be continually developed over at least the coming decade. This thesis consists of two parts. The first part consists of a literature study of COBOL; both as a programming language and the skills required as a COBOL developer. Interviews were conducted with key Handelsbanken staff, regarding the current state of COBOL and the future of COBOL in Handelsbanken. The second part consists of a quantitative forecast of future COBOL workforce state in Handelsbanken. The forecast uses data that was gathered by sending out a questionnaire to all COBOL staff. The continued lack of COBOL developers entering the labor market may create a skill-shortage. It is crucial to gather the knowledge of the skilled developers before they retire, as changes in old COBOL systems may have gone undocumented, making it very hard for new developers to understand how the systems work without guidance. To mitigate the skill shortage and enable modernization, an extraction of the business knowledge from the systems should be done. Doing this before the current COBOL workforce retires will ease the understanding of the extracted data. The forecasts of Handelsbanken’s COBOL workforce are based on developer experience and hiring, averaged over the last five years. The forecasts take into consideration the age developers are hired, the age the developers exit, and their cumulative growing experience while in the skills pool. The state of COBOL in 2015 is used as a baseline of COBOL needs to forecast until 2060. I.e. the rate at which COBOL systems are developed stay the same. The forecasts show that if no developers are hired, most of their experienced developers will have left by 2030. To keep their current COBOL experience level, Handelsbanken needs to keep hiring over the coming 45 years. Handelsbanken has to hire on average 8.2 developers per year until 2030, and 6.5 developers per year until 2060. I.e. Handelsbanken has been able to keep a high average of 7.6 people per year for the last five years.