In computing, a legacy system is an old method, technology, computer system, or application program, "of, relating to, or being a previous or outdated computer system." Often a pejorative term, referencing a system as "legacy" means that it paved the way for the standards that would follow it. This can also imply that the system is out of date or in need of replacement.
The first use of the term legacy to describe computer systems probably occurred in the 1970s. By the 1980s it was commonly used to refer to existing computer systems to distinguish them from the design and implementation of new systems. Legacy was often heard during a conversion process, for example, when moving data from the legacy system to a new database.
While this term may indicate that some engineers may feel that a system is out of date, a legacy system may continue to be used for a variety of reasons. It may simply be that the system still provides for the users' needs. In addition, the decision to keep an old system may be influenced by economic reasons such as return on investment challenges or vendor lock-in, the inherent challenges of change management, or a variety of other reasons other than functionality. Backward compatibility (such as the ability of newer systems to handle legacy file formats and character encodings) is a goal that software developers often include in their work.
Even if it is no longer used, a legacy system may continue to impact the organization due to its historical role. Historic data may not have been converted into the new system format and may exist within the new system with the use of a customized schema crosswalk, or may exist only in a data warehouse. In either case, the effect on business intelligence and operational reporting can be significant. A legacy system may include procedures or terminology which are no longer relevant in the current context, and may hinder or confuse understanding of the methods or technologies used.