The New Meaning of Quality in the Information Age

It’s surprising how blasé many managers still are about Y2K. The legal problems alone associated with the date-change problem are so large and complex that some corporations could face damages running into the billions of dollars. The Securities and Exchange Commission, recognizing the potential for long-term litigation associated with Y2K, now requires that companies disclose any liability in their 10K statements and may hold directors personally responsible for Y2K failures. Because of legal and other costs, some observers predict the Y2K problem will cause the GDP of the United States to shrink by as much as 0.3% in 2000. And the global dimension of business only aggravates the situation: as U.S. companies become more dependent on international suppliers, they are subject to a bigger millennium risk in the short term.