The application is old and it was meant to run on computer systems like Pentium 3 or something familiar. The Windows XP should run the application successfully but in Windows 7 you need to apply the compatibility tweak for the main executable for the Windows to try and execute the file successfully. In case it's not working, the approach has to be made using the virtualization feature.
Virtualization allows you to run Windows XP application inside Windows 7 using the libraries and the system from XP. On the linked page you have everything you need to get Windows XP up and running inside Windows 7.