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It's YOUR Duty to Report Product Failure

Choosing not to do so can land you in trouble.

12/23/2015 | Jeff Jacobs, The Brand Protector

It's a great time of the year to take stock of what's going on in your life. A pause to reflect on what really matters to you and your clients can be good for the soul. Whether you're a supplier, distributor, or end-user in the promotional products industry, you know that we've faced some big issues regarding product safety this year. 

Just last time we talked about the dangers of NiCad batteries in hoverboards. Our industry has seen a new focus on battery safety; a step in the right direction in recognizing that it's not only the product that needs to be safe, but the batteries that power it, too. In recognition of how important safety of rechargeable batteries is, the Consumer Product Safety Commission released a statement detailing its investigation into why the season's hottest gift caught fire both in the recharging process, as well as while riders were using them. Everyone who purchased a hoverboard, received one as a gift, or who are considering using or buying one, deserves to know about the risks. There has been a lot written over the last couple of weeks about cities and airlines now banning hoverboards, and article from Wired does a nice job of explaining why they are exploding everywhere.

So, for you and your promotional products clients, just what does this mean to you when you are sourcing product? In 2008, Congress recognized that many products, especially those intended for children, were failing voluntary safety standards and, as a result, passed the Consumer Products Safety Improvement Act. This broad and sweeping legislation created some mandatory standards and enforcement provisions for the CPSC. It also created reporting requirements that could affect everyone in our industry. Every manufacturer, importer, or distributor is required to report a product failure immediately. "Immediately" is defined by the CPSC as within 24 hours. While this is not new news, you may not have been aware that everyone up and down the supply chain is required to report wherever a problem is recognized.

Specifically, the CPSC wants to know if you become aware of a product that:

• Fails to comply with a consumer product safety rule, regulation, standard, or ban under the CPSA or other statutes enforced by the CPSC

• Contains a defect that could create a substantial product hazard

• Creates an unreasonable risk of serious injury or death.

Knowingly choosing to not report can mean fines for both companies and individuals. In settlements in 2015 alone, LG paid a $1.8 million civil penalty, GE paid $3.5 million, and Office Depot a $3.4 million civil penalty. Could your organization weather that kind of financial storm?

As the year comes to a close, we wanted to recognize two new accredited suppliers, bringing the active QCA Accredited companies total to 36. We'd like to offer congratulations to AZX Sport, the first QCA member company with corporate facilities in Canada. While they are primarily known for their lanyards, their product scope also includes microfiber products, badge reels, personal health care items, and much more. 

iClick, founded in 2001, also completed their journey to accreditation. The iClick product line includes USB flash drives, computer tech and accessories, mobile tech, mobile accessories, and writing instruments. Reggie Gonzalez, VP of sales and marketing at iClick, said "product safety, compliance, and code of conduct is at the forefront of what we do here every day. We take product quality, work environment, and safety of our employees very seriously and go the extra step to insure complete customer satisfaction. We attempt to achieve the remarkable, every day at iClick!"

That sounds like a really good thing to do. As you look ahead, we hope you enjoy a great holiday season, and go into 2016 looking to achieve the remarkable every day, too!

Jeff Jacobs has been an expert in building brands and brand stewardship for more than 30 years. He’s a staunch advocate of consumer product safety and has a deep passion and belief regarding the issues surrounding compliance and corporate social responsibility. He is the executive director of Quality Certification Alliance, the industry’s only non-profit dedicated to helping suppliers provide safe and compliant products. When he's not working, you can find him traveling the world with his lovely wife, working as a volunteer Guardian ad Litem, or sometimes even enjoying a cigar at his favorite local cigar shop. Follow Jeff on Twitter, or reach out to him at jeff@qcalliance.org.

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