KSEI says it is ready for Y2K bug
KSEI says it is ready for Y2K bug
JAKARTA (JP): The Indonesian Central Securities Depository
(KSEI) announced on Thursday its readiness to anticipate the
millennium bug.
KSEI said in a statement that its preparedness was based on
internationally accepted "best practices" as acknowledged by
independent auditor Ernst & Young Consulting.
Preparations to anticipate the Year 2000 (Y2K) problem began
in 1998 with Ernst & Young auditing its readiness on Nov. 15,
1999, KSEI said.
"KSEI has prepared its back office computers in line with
international standards and has met "best practices"
qualifications," KSEI president Erry Firmansyah said regarding
the company's Y2K compliant computers.
On Nov. 23, Ernst & Young announced that KSEI completed all
recommendations suggested by the consultant, and had thereby
adopted internationally acknowledged standards, the statement
added.
In reaching this conclusion, Ernst & Young studied the
approach and methodology used by KSEI to prepare computer systems
for the Y2K problem, the company said.
Under the recommendations of Ernst & Young, KSEI revised its
Y2K project plan, established task forces and completed other
necessary actions.
Among the project phases KSEI conducted are an employee
awareness program, risk assessment, hardware and software year
2000 certification, internal system testing, a street wide test
and business continuity planning.
Erry said the Y2K problem was of serious concern to KSEI since
the company was also developing a central depository and book
entry settlement system, or C-BEST, which would be implemented
during the first semester of 2000.
The Y2K problem, or the millennium bug, arises because older
computer systems record dates using only the last two digits of
the year. If left uncorrected, such systems could treat 2000 as
1900, generating errors or system crashes when the date rolls
over on January 1, 2000.
As part of its Y2K readiness, KSEI also developed a
contingency plan to ensure the continuation of its service in the
stock market.
During and after the critical dates, KSEI will conduct
additional tests on all of its system, the results of which will
be reported hourly to the stock market's Y2K central post.(03)