The recent acknowledgement by the U.S. Department of Defense that potentially more than 1 million counterfeit parts exists within its supply chain is simply astonishing. As a nation, what greater message must there be?[more...] The need for change within the procurement system within the Defense & Aerospace community is clear.
There has never been a greater need to reassess supply chain procedures and partners. Many companies are reluctant or unaware of the need to implement best practices and to change their own procurement process that they perceive as “not broken.”
The National Defense Authorization Act Section 818 proves that ignoring the realities that exist with counterfeits infiltrating your supply chain can now result in legal and financial liabilities including significant jail time.
Proactive Procurement Support
When your supply chain is forced to procured material from any source other than an authorized OCM source, precautions should be taken. Partnering with Secure Components ensures that you have a certified partner that specializes in those purchases. It only takes one purchase of a counterfeit component to potentially have a catastrophic event for you and your customer.
Certified and Verified = Trust
Our Counterfeit Avoidance Plan (CAP) was born directly from the SAE AS6081 counterfeit mitigation standard adopted by in industry in late 2012. Secure Components is in a “pilot program” to become the first certified distributor in the world. This is the first internationally recognized counterfeit mitigation standard that is monitored by an accredited certification body to perform internal audits on qualified suppliers. We invite all of our clients to inquire about our Counterfeit Avoidance Plan, and we welcome the opportunity to walk you through our quality system. Secure Components has invested heavily in the design, implementation, and promotion of our Counterfeit Avoidance System.
#1 Response from Clients
Recently, we surveyed clients to learn where they found their hard-to-find parts after exhausting their normal procurement methods, prior to working with Secure Components. Answer: a “Google search.”
As a partner in this specific type of procurement of obsolete and hard-to-find material, we work to educate our customers on the dangers of procuring counterfeit parts from any source that is not authorized by the OCM.
If your company allows buyers to procure production parts,from "trusted sources" or sources of supply found randomly via Internet sources but are not actually authorized by the OCM, you are potentially exposed to high likelihood of receiving a counterfeit product. While the need to purchase outside authorized channels will certainly arise, the answer lies in having a partner within your purchasing team that specializes in those type of purchases. I strongly urge you evaluate this policy. Ignoring the threat that counterfeits possess to supply chains of all industries worldwide could be catastrophic to your organization.
Those Most Vulnerable
Companies most at risk are those who do not recognize the need for a different procurement process when purchasing obsolete, long lead time, allocated, grey market purchases. On paper, the dollar value or frequency of these type purchases outside your normal franchise suppliers can seem negligible and are, therefore, often overlooked. Consider the devastating effects that a single counterfeit component could have on your company. The effects cannot be quantified.
Take ACTION Today and Protect Your Organization
Take action today. Partnering with Secure Components is a win-win situation. As an approved supplier, we become an extension of your MRP or procurement team. We are able to process every part through our Counterfeit Avoidance Plan and make procurement traceability available with each part. We welcome current and perspective clients to discuss the issue with us and to learn how we can work together to ensure your clients receive quality product on every item you ship.