If you thought your business has it bad dealing with the Year 2000 computer glitch, then imagine what it must be like for General Electric Co. (GE). With 11 different streams of businesses contributing revenues of $90.8 billion in 1997 it's a large issue indeed for the company. GE operates in 100 countries, has 250 manufacturing plants and employs 276,000 people.

Two weeks ago I sat in on a GE investor briefing hosted by director of corporate communications Mark Vachon. Mr. Vachon, who travels the world giving such briefings, said one of the most common questions and concerns voiced by investors is about how GE, the world's most valuable company, is tackling the issue.

The investor concern should send a big warning sign to businesses that don't think they should worry. Investors will punish them by selling off stock.

"Year 2000 is a big topic,'' Mr. Vachon said. "Even the smaller investors want to know how we are handling it. We are treating it as a really big deal.

The company that doesn't treat the problem as mission critical is taking a really big risk. In smaller areas perhaps we are doing overkill, but it's better to do that than ignore the problem.'' The company's chief information officer has overall responsibility for ensuring the company is Year 2000 ready. He reports directly to president and chief executive officer Jack Welsh. There is also a Year 2000 team leader at every one of the businesses, typically the company officer.

Mr. Vachon said it's also important for companies to meet with investors and fully explain to them what's being done about fixing the Year 2000 problem.

The company is tacking four areas -- customers, products, suppliers and facilities. It has also hired about 25 independent auditors to assess the progress toward meeting the goal.

Mr. Vachon said GE expects to be Year 2000 compliant by the end of this year.

In the first quarter 1999 the company will complete its testing.

"The biggest challenge is in the supplier base,'' he said. "We have tried to isolate mission critical suppliers. We are going into their businesses and helping them get compliant. The big problem however is the suppliers in the emerging economies. We are using Year 2000 compliance as the basis for continuing or ending a relationship.'' Of course it's nice to have the cash to do this kind of programme. GE is spending about $450 million this year on Year 2000 compliance. Next year the company will spend a lot less.

Then GE will be dealing with its second Year 2000 problem. Mr. Welsh turns 65 in 2000 and has to retire from his successful leadership of the company and a successor must be appointed.

That's causing more shivers among investors than any computer glitch.

As the new kid on the block, local telecommunications company Quantum Communications is ahead of the game in dealing with the Year 2000 problem.

"Quantum is fortunate in this matter as we are a relatively new company, with a new network that extensively includes equipment already tested and certified for compliance by the manufacturers and software developers,'' president and chief executive officer Jim Sullivan said. "However our approach is that all systems are not compliant and all systems will be tested for compliancy.'' Even though Quantum is not listed on the Bermuda Stock Exchange, I decided to include it as part of the occasional series because it is an infrastructure company. Quantum is also majority owned by Belco Holdings Ltd.

Quantum has appointed Lloyd Fray as the company's Year 2000 officer. He has a team of six other people dedicated to ensuring compliance in separate departments. Mr. Fray reports directly to Mr. Sullivan. Quantum has completed about 70 percent of its compliancy programme and plans on finishing the task by May 1999.

The programme has been broken down into six phases. Phases one and two deals with inventory of equipment and assessment. The tasks have been mostly completed with "some discoveries''.

Suppliers compliance assessment is expected to be complete this month.

Conversion of equipment and software is expected to be completed in December.

By February the company plans on completing end to end testing and operation.

Contingency planning and testing will be finished by March.

Customers will be updated every four months on the company's Year 2000 readiness.

Unfortunately my brain went dead last week and I misspelled the name of one of my favourite si-fi writers, Arthur C. Clarke. Amends to those who like the father of Hal.

Tech Tattle deals with issues relating to technology. Contact Ahmed at 295-5881 ext. 248, 238-3854, or techtattle ygazette.newsmedia.bm