This paper describes the development of a program to test oral and written language skills of students graduating from seven Hong Kong higher education institutions. The program's objective is to provide information for prospective employers concerning graduates' practical communication skills in Cantonese, Mandarin, and English. The 2-year project described here was to determine the feasibility of putting such a program in place in 1997. The program would assess over 15,000 students per year. Focus in this description is on testing of English language skills. The report describes the project's background and chronicles progress to date. British specialists in language testing were consulted, a report on English language teaching in the seven institutions was written, and a committee from those institutions was established. The committee decided on issues to be addressed in their inquiry: the compulsory nature of the testing; nature of the communication to be tested; form and substance of interinstitutional collaboration; effect of a testing program implemented in 1997; and the consortium's commitment to development of assessment and its possible consequences for Hong Kong language teaching. Conclusions drawn in these areas are outlined. Next steps include reaching a consensus on administration of the program, and involvement of the local business community. (MSE)