ACCA Applied Knowledge · Business and Technology · Financial systems and technology
A company replaces its old payroll system with a new one but keeps running both systems side by side for three months, comparing results before switching off the old system. Which changeover method is this?
This is parallel running, because both the old and new payroll systems operate at the same time and their results are compared before the old one is retired. Direct changeover has no overlap, and pilot changeover limits the new system to one part of the business.
- ADirect changeover
- BParallel runningCorrect
- CPilot changeover
Explanation
Running old and new systems simultaneously and comparing outputs is parallel running. Direct changeover replaces the old system at a set date with no overlap. Pilot changeover introduces the new system in only one part of the organisation first, not both systems everywhere.
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