Omron 1999 Annual Report Download - page 25

23
Counter-
measures
Completion
System Type Target Deadlines Status
Management Companywide sales, production, End of Completed. These systems have been
information and accounting applications December 1998 accepting dates past the year 2000
systems since February 15, 1999.
Divisional Divisional applications End of Mostly completed. Will be completed
systems and systems March 1999 before problems occur.
Production Production line facilities End of Some countermeasures have been
facilities and equipment March 1999 delayed due to holdups at the vendor side.
Office Personal use PCs and End of Some items will need to have their
environment associated networks September 1999 dates reset after December 31, 1999.
R&D CAD tools, design and End of
environment development equipment June 1999
Location Building facilities and common End of
infrastructure equipment at business locations June 1999
Logistics center Equipment located at End of
facilities logistics centers June 1999
Vendor/ Confirming the readiness End of With respect to electronic data
distributor of parts vendors and June 1999 interchange:
facilities OMRON distributors, etc. • Ensure data exchange formats conform
Includes confirmation of to industry standards
computer systems used • No changes planned for nonindustry
by vendors for electronic standard data exchange formats (will use
data interchange “Windowing” for two-digit year dates)
Information regarding the current readiness of OMRON products can be found at www.omron.com/y2k/.
3. Testing
In order to confirm the efficacy of year 2000 countermeasures, in addition to the isolated testing of each
system type, we are planning and carrying out dual testing of interconnected systems. Such dual test-
ing is also being carried out with respect to important vendor systems connected to OMRON systems.
4. Countermeasure Costs
We estimate that OMRON Corporation and OMRON Group companies will spend a total of ¥2.6 billion
implementing year 2000 countermeasures with relation to products, internal information systems, and
equipment and facilities (this figure includes human resources costs and payments to outside vendors).
We had used ¥2.0 billion of this figure by March 1999.
We do not expect that the cost of implementing year 2000 countermeasures will have a large influence
on OMRON Corporation or OMRON Group profits or cash flows.
5. Risk Management
In preparation for the unlikely event that system failures do occur, through forecasting problem scenar-
ios OMRON is working on a risk management plan (scheduled to have been completed by the end of
June 1999) which will enable it to contain and respond to problems as quickly as possible. This plan,
concentrating on mission critical systems, will also enable us to ensure that if problems do occur, there
will be no stoppages and that the situation will quickly be resolved. The plan also outlines communica-
tion procedures and chain-of-command details.
This document is intended to show OMRON’s efforts in ensuring that problems arising due to the changeover in
date to the year 2000 are kept to an absolute minimum. It is not a legally binding document nor a guarantee.