IPC APEX INDIA – Technical conference

Seema Sabikhi Date: 06 May, 2013
Process Quality Engineer
Barco Electronic Systems (P) Ltd.
A-38 B&C, Sector- 64, Noida-201301
U.P. India.

Sub: Electronics Engineering Management - Counterfeit Electronics components

Abstract

Counterfeiting has a long and despicable history, ranging from art and literature to manufactured goods. Unlike other industries, counterfeiting in the aerospace industry may have life or death
Consequences. We take the problem seriously. Thus, all stakeholders from industry and government must work together to effectively reduce the introduction of counterfeit parts into the aerospace supply chain and minimize their impact.

The introduction of counterfeit parts whether they are electronic, mechanical or other adversely affects government, industry, consumers which includes National security or civilian safety issues and costs of enforcement.

Counterfeit parts are an escalating global supply chain challenge where a single occurrence represents widespread risk to product cost and quality, human safety, and national security.

Aerospace and defense products are targets for counterfeiters because the systems are intended for use over extended time, leaving them vulnerable to obsolescence of parts, materials, subsystems and technologies. As the time of system use increases, a substantial number of the parts required to support aerospace and defense products are no longer available from the original equipment/component manufacturers (OEMs/OCMs) or through franchised or authorized suppliers. The aerospace and defense product manufacturer and government, however, both take on risks when acquiring parts and materials through distribution channels other than those franchised or authorized by the original manufacturer.

Though we know counterfeit parts enter the aerospace supply chain, the time and place of their entry is unpredictable. Managing this uncertainty has become more important due to the recent rise in the incidence of counterfeit reporting.
We must reduce the entry and effects from counterfeit parts through increased diligence and active control measures. To accomplish this, it is necessary to have greater collaboration both within industry and with government.

Procurement policies and selection of suppliers creates an opportunity to significantly reduce the risk of counterfeit parts from entering the supply chain.
Companies should develop a counterfeit parts control plan to outline what processes a company will use in mitigating the risk, disposition and reporting of counterfeit parts. A company that procures electronic parts should have a plan to ensure counterfeit parts are not received into inventory, utilized in manufacturing or inadvertently sold to other parties.

Government to strengthen the Government-Industry Data Exchange Program (GIDEP)
Process, including a provision for limited liability for those who accurately report counterfeit
Parts through GIDEP, as well as other improvements in the regulatory environment.