ITAA's Year 2000 Outlook April 10, 1998 Volume 3, No. 14 Published by the Information Technology Association of America, Arlington, VA Bob Cohen, Editor bcohen@itaa.org ITAA's Year 2000 Outlook is sponsored in part by BDM International, Inc., CACI International Inc., DMR Consulting Group Inc., IBS Conversions, Inc., Softworks, Inc. and Y2Kplus, Inc. UK Committee Makes Recommendations Calling the evidence of risks posed by the Year 2000 "overwhelmingly convincing," the United Kingdom's House of Commons Select Committee on Science and Technology issued a sweeping report this week calling for a wide variety of government actions. "We find it incontrovertible that, in the absence of adequate remedial action to address the century date change problem, there would be a significant negative impact on the UK's future economic performance," the report notes, warning of "severe difficult ies in many critical public services" if the country misses its date with the future. The report appears to pack something of a barbed compliment for Prime Minister Tony Blair. While congratulating him for taking a high profile role on the issue, the Committee says that Blair's leadership needs to be backed up by a "coherent, well-structu red" program. Of note on the Committee's end-of-century wish list are: . An "Aids Awareness" level advertising campaign aimed at raising the profile of the Y2K issue . A government audit of sample homes to check for millennium readiness . Dissemination of "clear and non-technical" information to test domestic equipment for Y2K compliance . A role for government in providing alternative arrangements in response to the interruption of essential public services . Quarterly reports to the House on the Y2K status of central government agencies and regular reports on the status of local authorities, public and regulatory bodies . Quarterly surveys on the status of core services in the business sector, including transport, telecommunications and the like . A standard business checklist for Y2K readiness . A common government reporting format . A high priority Y2K program for small and medium-sized enterprises The Committee seems to be calling for cooler heads to prevail in settling Y2K-related disputes. "We conclude that organizations should not consider legal action as a primary remedy to Year 2000 problems but as a last resort and should not plan to enter l itigation in preference to taking preventative action now." At the same time, however, the Committee opines, "We do not accept that it is right to charge for upgrades necessitated by non-compliance of existing equipment. Depending upon the age of the cu rrent system and the terms under which it was supplied, companies have an obligation to provide suitable upgrades or replacements free of charge." The Committee endorses the Blair government's decision to place Y2K on the agenda of this year's G8 meeting and applauds similar efforts to raise the issue in international fora. It also expresses concerns that developing countries attempting to achieve millennium compliance not be compromised by acquiring non-compliant equipment from the UK. There may even be a role for the House of Commons itself as the UK scrambles to batten down the hatches for the century rollover. "We agree," the report notes, "that it is important to keep demand for system changes down to a minimum." The report is available on the web at http://www.parliament.the-stationery-office.co.uk/pa/cm199798/cmselect/cmsctech/342ii/st0202.htm. Joint Year 2000 Council Formed Meeting at the Bank for International Settlements Round Table on the Year 2000 this week in Basle, Switzerland, the group of international financial, insurance and securities associations sponsoring the event has issued a series of recommendations and ple dged to form a Joint Year 2000 Council. The Council will work to assure the century rollover issue receives high level supervisory community attention and that private sector efforts are encouraged. Sponsoring organizations are the Basle Committee on Ba nking Supervision, the Committee on Payment and Settlement Systems, the International Association of Insurance Supervisors and the International Organization of Securities Commissions. Calling it "imperative" that all market participants work to make Y2K preparations a top senior management priority, the group says that "testing for Year 2000 readiness is the most critical and complex issue facing the financial industry. Market partici pants are urged to figure out how to improve the "transparency" of testing results. Financial market supervisors around the world must be able to assess the Y2K readiness of the organizations and markets they supervise, the group notes, and that risks mu st be identified, communicated and managed. The highest possible priority must be given to assuring the Y2K correctness of telecommunications and electricity providers. "Failure of these organizations to prepare adequately and share information on their plans in order to promote effective testing could lead to serious disruptions in the world’s financial markets," the group says. The sponsors also make a plea for more information sharing. They encourage private sector efforts to develop standard questionnaires and frameworks for Y2K disclosure "as these have the potential to provide clear means for measuring progress. In their detailed discussion, the group calls for the removal of legal impediments to information sharing. Financial industry conventions and dispute resolution procedures are also on the recommended list. Financial institutions are advised that certification does not guarantee successful product performance. "While vendors have an obligation to let clients know when they have renovated and tested their products, users need to test that product within thei r environment to ensure that it performs properly as a component of their system…attempts to obtain legally binding certifications of compliance are likely to needlessly complicate the important work that must be completed in the period prior to 1st Janua ry 2000," the group states. The sponsors also recognize the need for domestic and international end-to-end testing and support the efforts of groups now engaged in this activity. California Coalition Opposes Y2K Lawsuits A coalition of companies formed this week to oppose frivolous lawsuits related to the Year 2000 date change issue and to back passage of California Assembly Bill 1710, legislation to exempt software or related computer companies from Y2K liability under c ertain circumstances. In a statement issued this week by the Year 2000 Legal Coalition, John Sullivan, president of the Association for California Tort Reform and a member of the new coalition said, "AB 1710 will take away much of the incentive for lawyers to exploit the Year 2000 issue via lawsuits that claim fraud and negligence and go after jackpot settlements and outlandish punitive damages…if computer failures occur, there certainly will be some legitimate legal disputes. It is our hope these issues will be resolved fair ly and efficiently, rather than be an excuse for class action…" AB 1710 would exempt IT companies from Y2K lawsuits claiming fraud, negligence or unfair competition/business practice provided that such firms aggressively inform customers of updates and methods to make Y2K repairs and offer free compliant software upda tes. SWIFT Wants Members Y2K Tested The Society for Worldwide Interbank Financial Telecommunications (SWIFT) has issued a new message to its 6,000 members: take the test. As first reported by InfoWorld, SWIFT has issued a mandatory Y2K compliance test and expects the banks, brokers, inves tment management firms, exchanges and clearinghouses in its secure messaging system, covering 174 countries, to use it. SWIFT says members should take the test and report results by July 1999. Problems identified will be reported to appropriate national authorities. SWIFT cautions that it cannot force its members to use the test and that passing the test does not certify that customers will be fully compliant, however. OECD Adds Y2K The Organization for Economic Cooperation and Development (OECD), a major multinational organization, is launching a series of Y2K related initiatives, including a Y2K section on its web site (http://www.oecd.org/dsti/sti/it/infosoc/news/y2k.htm). Senate Creates Special Y2K Committee The U.S. Senate has passed a resolution to create a special committee on the Year 2000 issue. The committee will study the impact of the problem on the Executive and Judicial branches of the federal government, state governments, and private sector opera tions in the U.S. and abroad; make findings of fact; and recommend new legislation and amendments to existing law. The committee will be composed of seven members (four Republicans and three Democrats) and operate on a budget of $575,000 in each of the n ext two years. Army to Drum Up Millions for Date Fix The U.S. Army will spend $366 million to make its Y2K fixes, according to Lt. Gen. William Campbell, director of information systems for command, control, communications and computers. As first reported by C4I News, Campbell called the date situation "a national problem and potential Titanic." He said the funds required to make the date repairs will come from existing budgets. Campbell made his comments at a meeting of the Association of the United States Army’s Institute for Land Warfare. Business to Business Information Analysis Inc., Fairfax, VA, has won four contracts to provide Y2K products and services. They have also announced the beta availability of UNICAST/2000, version 1.2, Y2K suite of software products for legacy applications. CACI International Inc., Arlington, VA, has been awarded a Y2K contract by Arlington County, Virginia. BlackHawk Information Services, Inc., San Ramon, CA, has won a follow-on Y2K contract with Vanstar Corporation. Thinking Tools, Inc., Atlanta, GA, has announced the availability of Think 2000, version 2.0, upgrade to their Y2K Risk Assessment and Management Simulation (RAMS) software program. Computer Sciences Corporation, Falls Church, VA, has won a Y2K conversion contract with the Canadian Government. MigraTEC Inc., Dallas, TX, has selected Gwen P. Brantley as Director of Sales and Marketing for the Y2K product line. Sponsor Advertising BDM International (TRW Systems and Information Technology Group) Do you need help juggling all your Year 2000 responsibilities? With BDM and our SMART/2000+SM solutions, you have a partner to help address your most critical business priorities and technical requirements - from risk assessment, program management, and conversion, to independent test and compliance validation. We deliver project tracking, configuration management, and control metrics that help ensure enterprise-wide integrity and minimize your risk from start to finish. We have a mature process, a dedicated team, and experience that demonstrate the strength of our solutions. Gain the upper hand now by calling BDM: (800) 794-6085 e-mail: year2000@bdm.com http://www.bdm.com. e-mail: year2000@bdm.com http://www.bdm.com. CACI International Inc. -- Restore 2000 CACI leverages 35 years of information technology experience and over 10 years of reengineering systems - solving the same problems Y2K poses - to offer a total solution to the Year 2000 challenge: Restore 2000SM. The Restore 2000 methodology applies a comprehensive three-phase process to your information systems: Assess, Plan, and Remediate. Furthermore, we give you the option of buying our methodology or our services - both backed by CACI experience and Y2K expe rts. The Restore 2000 methodology is ITAA*2000 certified. In addition, software development processes at CACI have been independently certified as being at Level 3 of the Software Engineering Institute (SEI) Capability Maturity Model. Achieving SEI Level 3 p rovides clients further assurance that CACI solutions successfully and effectively deliver Year 2000 compliance while allowing you to save money, reduce risk, and minimize systems disruption. With approximately 3700 employees worldwide and FY97 revenues in excess of $270 million, CACI provides a depth of experience and expertise you can rely on. We've performed Year 2000 conversions for many of America's biggest enterprises, including major he alth insurance providers, retail clothing manufactures, gas companies, airlines, and government agencies. Superior functionality backed by decades of experience - CACI's Restore 2000. Worldwide Headquarters 1100 North Glebe Rd. Arlington, VA 22201 http://www.caci.com e-mail:npeters@hq.caci.com DMR Consulting Group Inc. DMR Consulting Group Inc.(formerly DMR TRECOM), an Amdahl company, is a global consulting organization of nearly 8,000 employees providing a comprehensive range of information technology services. Our Year 2000 Practice comprises a comprehensive offering of consulting, assessment, remediation, testing, and implementation services utilizing a formal methodology (APM/2000), best-in-class software tools, and six global conversion centers. We have mul ti-disciplinary experience in most mainframe, mid-range, and client-server/desktop environments. APM/2000 includes: . Program Management . Enterprise-Wide Assessment . Impact Analysis . Conversion Delivery . Testing and Implementation Year 2000 Risk Management Consulting Services include: Program Review, Stakeholder Readiness Assessment, Risk Management and Vendor Compliance Research. Contact: Stephen Frycki Managing Director, Year 2000 Services - US Phone: 201-200-3923 Fax: 201-200-9046 Email: fryckis@dmr.com Websites: http://www.dmr.com IBS Conversions, Inc. IBS Conversions, Inc., founded in 1982, is the first service organization to receive ITAA*2000 Certification. IBS is a recognized leader in automated conversion/migration software and consulting having translated millions of lines of code for companies worldwide. IBS/Solution 2000 IBS/Solution 2000TM is a full suite of Year 2000 services and products: Full project Analysis, Pilot Project and Repair, staffing and management/methodology Scan/Repair Conversion Factories for Mainframe and AS/400 environments Project Methodology Qwik-Sizer Analysis Licensing Scan/Repair Tools for AS/400 Y2K Projects License Conversion Factories/Tools to other Consulting Firms http://www.ibs2000.com SOFTWORKS, Inc. HOT DATE 2000/SIMULATE Preparing for the new millennium isn't easy, especially in the data center. Ensuring an accurate conversion could be a daunting task. That's why SOFTWORKS has created HotDate 2000/SIMULATE. HotDate 2000/SIMULATE is a comprehensive identification, testing, and simulation utility created to locate the programming changes needed to prepare for the Year 2000. Using a simulated Year 2000 environment, HotDate 2000/SIMULATE locates and tests poten tial date problems the Year 2000 will cause to your individual programs, applications, and entire system. HotDate 2000/SIMULATE is transparent to your applications and supports all programming languages. For more information about HotDate 2000/SIMULATE, call SOFTWORKS at 800-727-4422. Http://www.softworkscc.com Y2Kplus, Inc. Y2Kplus provides a portfolio of "best of class" software products and outsourcing services that address Year 2000 issues. These offerings are available both to IT Solution Providers and IT organizations. Y2Kplus has offerings that address the following needs: Our offerings include: * Year 2000 risk assessment * Mainframe inventory verification & code remediation (COBOL, Natural, Assembler & PL/1) * Midrange COBOL remediation (DEC, HP, UNISYS, Wang, DG, NCR, Bull & Tandem) * AS/400 remediation (RPG & COBOL) * Networked PC Year 2000 Analysis tools Applications: Access, Excel, Foxpro, Lotus 1-2-3 Languages: Basic, Visual Basic, C, C++, dBase, Clipper, Paradox PC Hardware, BIOS & Operating Systems * Testing: Tools: Data Commander for future date testing, TCS (Test Control System), Services: Test management & execution, Facilitated Test Planning, Test strategy. For more information, please send email to info@y2kplus.com, visit our web site at www.y2kplus.com or call Dave Ehlke at 781-863-8111. Calendar http://www.itaa.org/y2kcal.htm ITAA's Year 2000 Outlook is published every Friday to help all organizations deal more effectively with the Year 2000 software conversion. If you would like to receive this free publication, please sign up on the web at https://www.itaa.org/transact/2kout looksub.htm. Copyright ITAA 1998. All rights reserved. The Information Technology Association of America, 1616 N. Fort Myer Drive, Suite 1300, Arlington, VA 22209. Internet: http:\\www.itaa.org