Consulting limits Y2K work to existing clients

With such a high profile in Y2K consultancy, and a limited time to implement and test millennium compliance programmes, the firm decided to concentrate its efforts on a limited number of longer term clients. The decision comes amid concerns that Big Five consultancy firms could find themselves liable for failing to complete Y2K projects.

Paul North, an associate partner at Andersen Consulting said: ‘It’s pragmatic thinking because we can only do work for so many clients. All the consultancy firms have more Y2K work than they can handle.’ He denied that the decision to minimise fresh projects was due to litigation fears: ‘Any project has the potential for litigation, but its not the driving force behind the directive. Any project needs sensible guidelines,’ he said.

Ian Hugo, assistant director of independent Y2K watch-dog Taskforce 2000, said the announcement would not lose Consulting money.

‘Consulting’s large existing clients are likely to need more resources for testing their systems are millennium-compliant in the future,’ he said.

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