Ware Test
A slew of new software aims to help brands with CPSIA compliance.
FROM SHIFTING RULES on lead limits in children’s products to million-dollar fines for mass merchants who fail to comply with regulations, it’s no wonder many manufacturers are nervous about meeting recent government mandates passed down by the Consumer Product Safety Commission (CPSC). Aiming to offer peace of mind, software companies claim their new and revamped products provide everything manufacturers need to comply with the Consumer Product Safety Improvement Act (CPSIA), a law passed in 2008 which requires periodic testing of children’s products to ensure the items comply with lead limits and phthalates bans, as well as recent shifts in regulations. “The word of the year is compliance. I’ve seen interest go up tenfold this year,” says Mark Burstein, president of sales, marketing and R&D for New Generation Computing, which was one of the first companies to release CPSIA compliance software in 2009. What’s driving the concern? Bill Jacoby, principal of Jacoby Solutions, a company that recently released the compliance software program CPSIA Ready, says the government’s shift towards focusing on overall compliance has made keeping up with regulations more important than ever. “You used to only need a test report, but in all the recent settlements,
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Spring 2014
the CPSC has taken a different tack—they’re looking at comprehensive compliance programs.” What does comprehensive compliance mean? More than just having a test report from an accepted third party laboratory that certifies a product is safe, manufacturers must have a plan in place to perform periodic testing, at least annually (according to regulations that went into effect earlier this year). In addition, manufacturers must have a written statement by company officials that states the exercise of undue influence on third-party laboratories is unacceptable and directs every appropriate staff member to receive training on avoiding undue influence, as well as an escalation plan for reporting. Jacoby says that’s where his program fills the gap left by other compliance programs, by offering undue influence and other compliance related training to employees via any web-based device, along with the implementation of an escalation policy and company compliance plan. And like many of the programs already on the market, including NGC’s, Jacoby’s software allows manufacturers to store test reports, search by product to check results and share those results with retailers. How much will these cloudbased compliance programs run the average children’s manufacturer? CPSIA Ready is $250 to $400 per month, while Burstein says NGC’s program’s costs depends on the scope of use. However, he notes: “It’s always considered expensive until you really need it. Imagine that a child dies or is injured from ingesting a company’s products, especially with these CPSIA laws in effect. That brand will be destroyed overnight. You can’t put a price on the value of brand protection.” —A.G.K.
7/19/13 4:53 PM