Hong Kong IT Awards 1998
Speech by Mr K C Kwong, Secretary for Information Technology and Broadcasting

25 June 1998

Ladies and gentlemen,

I am delighted to have been invited to attend the prize presentation ceremony of the Hong Kong IT Awards 1998. The winners not only showcase how IT brings improvements to our lives, but also demonstrate how the employment of IT enhances efficiency and productivity, and thus sharpens Hong Kong's competitive edge. The Awards are a recognition of individuals and enterprises who have dedicated their time and efforts to making the latest technologies relevant to our daily lives. My congratulations go to all the award winners.

I believe that all of you here are interested in IT, so I would like to take the opportunity of this special occasion to touch on what is perhaps the hottest IT issue in world today - the Year 2000 Problem. The problem is complex and controversial. Some skeptics have criticised the IT establishment for creating a hype around the issue. The fact is, in this day and age, many of the equipment and systems which we use in our businesses and in our daily activities are controlled in one way or the other by embedded microprocessors. Unless a thorough testing has been done, no-one can be sure whether a particular piece of equipment or system will not fail on 1 January 2000 because of a date problem with the microprocessor. Therein lies the crux of the problem. Failure of a critical equipment at an inopportune time could be a matter of life or death for an individual or even for a business. Also, in the interconnected world of today, failure of one system could have a domino effect on others if proper precautionary measures are not taken to isolate such failures.

Within Government, we have accorded Year 2000 rectification top priority. We are determined to achieve Year 2000 compliance in good time, well clear of the deadline, so that all government services will continue smoothly when the new millennium arrives. For better co-ordination, we have set up a high level inter-departmental steering committee on Year 2000 compliance to oversee Government's comprehensive Y2K rectification programme. And we have adopted a three-pronged approach to tackle the problem.

For government bureaux and departments, we have embarked upon a comprehensive rectification and replacement programme. Every department has developed a Year 2000 compliance plan and action timetable. And they report progress to the steering committee once every quarter. Over 50% of our existing computer systems are already confirmed to be Year 2000-compliant. We are now working on the remainder and expect to achieve compliance within the first half of 1999.

And we are not just focusing on Government departments only. Through the respective policy bureaux or departments, we are also liaising with non-government organizations which are funded or regulated by Government and which provide essential services to the public to ensure that these organizations would also be able to achieve Year 2000 compliance before the century turn date arrives. Good progress has been made, especially in the financial services sector. For example, over 90% of the banking institutions and 70% of the insurers are expected to achieve Year 2000 compliance before the end of 1998.

In addition, we have launched a series of publicity programmes to promote awareness on a community-wide basis and to encourage businesses in the private sector to take early rectification action. For example, we have just set up a dedicated Year 2000 web site for the dissemination of related information, practices and guidelines. We are stepping up publicity through the mass media, including TV and radio. And we shall continue to approach major chambers of commerce and professional bodies to seek their assistance in urging their members to take early action to tackle the problem.

Ladies and gentlemen, we are gathered here tonight to pay tribute to those who have excelled in the IT field. But the Awardees have excelled not because they are merely good at programming. Rather, they have excelled because they are good managers who can put IT to best use, in furtherance of their business goals. The Y2K problem is not merely an IT problem. It is a management problem which can only be solved through the dedicated efforts of good managers and leaders like the Award winners tonight.

There is no cheap or instant solution. And, there is no good excuse for not taking action. The longer you wait, the more costly the remedies are likely to become. So, the key is : act now.

Thank you.

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