A COMPREHENSIVE contingency plan can not only assist with Year 2000 problems, but also the failure of business systems or processes at any time in the future, says Stamfords Accountants Advisers Consultants partner Jon Petelczyc.
Mr Petelczyc said a “what if?” contingency plan examining worst case scenarios should be part of standard business practice – not merely when compelled by risks such as Y2K.
“Many businesses have delayed implementing processes to address the Year 2000 problem on the basis that they do not understand the technical issues associated with the millennium bug,” he said.
“All levels of management should understand that controlling the effects of the millennium bug is primarily a business issue, rather than a technical one.
“On this basis, there is no need to delay action any further. Essentially. the Y2K issue should be dealt with in the same fashion as any other business risk.”
Stamfords director Wing Chung said an effective business plan should ensure risks such as Y2K did not unfavourably affect core components of business.
“Broken down into core business components, the potential problem areas associated with the move to the year 2000 can be more clearly understood,” Mr Chung said.
“Problems may involve any type of equipment that has an embedded computer chip, not only computers.
“Prudent business focus should be leaning towards a sound contingency plan that details alternative means of continuing core business functions,” he said.
