CANADIAN BUSINESS NOT READY FOR YEAR 2000 WARNS TASK FORCE YEAR 2000
MONTREAL, Dec. 8 /CNW/ - A blue-chip task force of chief executives
warned today that business preparedness for 2000 is inadequate and a massive
effort is needed to repair or upgrade computer systems in need of date
modifications. The private sector-led task force sounded the business alarm today in
response to a preliminary survey released by Statistics Canada which found
more than half of all Canadian firms are taking no action to prepare for
anticipated computer malfunctions leading up to 2000.
''The Statistics Canada survey confirms that the situation in Canada on
business preparedness for the Year 2000 technological problem is serious and
must be addressed urgently. Our competitiveness is at stake and time is
running out,'' warned Jean Monty, Chairman of Task Force Year 2000 and
President and Chief Operating Officer of BCE Inc., at a news conference today.
The Task Force of 14 chief executives was set up in September by Industry
Minister John Manley. They were asked to prepare a report on preparedness for
him by May 31, 1998 at the same time as spur awareness in the private sector.
The Statistics Canada survey was initiated as part of the Task Force's mandate
to assess the situation.
The preliminary release shows that awareness is not the issue so much as
deficient action: of the 2,000 companies surveyed, 90 percent were aware of
technical problems that could arise, but 50 percent of those had done nothing
about it.
''Basically, there are no excuses,'' said Mr. Monty. ''Companies must
take the time, spend the money, devote the resources, and do it now. Failing
to take a formal approach to solving the problem puts the enterprise at risk
and all of its partners in the supply chain,'' he said.
Of concern to the Task Force is that fewer than fifty percent of large
companies have formal plans, hence, their efforts could be deficient.
''As a result, we have decided to accelerate, the submission of our
report to the federal government and will table it by February,'' Mr. Monty
said. ''Today marks the launch of a major communications program targeted at
the, business community,'' he further stated.
The Task Force also announced today that in January a number of reports
will be released to assist companies to speed up preparedness and reduce
costs: a report on lessons learned from members' experience on Year 2000
project management; a study on the economic consequences of the Year 2000
challenge by the Conference Board of Canada; an international inventory of
good practices from the Information Technology Association of Canada to assist
in the formation of recommendations to government and business; and a
checklist on legal implications prepared by the Canadian Bar Association. ''Taken together, these initiatives will provide the substance to support
our aggressive communications strategy,'' concluded Mr. Monty.
The computer date problem is a design flaw related to storage of the year
which could play havoc when the time changes from 1999 to 2000. Hardware and
software, desktop computers and networks, and microprocessor chips such as
those that control transportation, machinery, elevators, office equipment,
lights, building climate, and security systems could all be affected.
The members of the Task Force include: Jean C. Monty, BCE Inc; Stephen E. Bachand, Canadian Tire Corporation Ltd.; Kerry L. Hawkins, Cargill Ltd.; G. Yves Landry, Chrysler Canada Ltd.; Brian A. Johnson, Crown Life Insurance; Raymond Royer, Dointar Inc.; John D. Wetmore, IBM Canada; David M. Mann, Nova Scotia Power; James M. Stanford, Petro-Canada; John M. Willson, Placer Dome; John E. Cleghorn, Royal Bank of Canada; Carol M. Stephenson, Stentor Resource Centre Inc. Catherine Swift, Canadian Federation of Independent Business; and Michael H. Rayner, Canadian Institute of Chartered Accountants. Ex-officio members include P. Andr‚ Gervais, President of the Canadian Bar Association and Paul Rummell, Chief Information Officer of the Government of Canada.
A copy of this release and its backgrounders can be found at
ic.gc.ca. For other information on Task Force Year 2000, consult strategis.ic.gc.ca. Statistics Canada's survey is available in The Daily at statcan.ca. Information from Industry Canada on Year 2000 problems and solutions is available to businesses by calling Canada Business Service Centres at 1-888-811-1119. |
