2012

KEEPING CURRENT

PRODUCT TESTING

Safe … and Sorry

New product-testing laws set up some small businesses for failure

After more than a year of being inundated with product recalls, the U.S. government responded this past summer with the Consumer Product Safety Improvement Act (CPSIA).

Among other things, the legislation mandates that products targeted for children age 12 and younger, including clothing and toys, be tested by a third party for lead and six banned plastics. In addition, companies must affix labels on those products to show when and where they were manufactured.1

But, in the government’s rush to prove it had the American people’s best interests at heart, some believe the government may have issued a death sentence for small businesses across the country.

Dan Marshall, who co-owns Peapods Natural Toys and Baby Care in St. Paul, MN, told the Santa Rosa Press Democrat: "The law has no sense of scale. The same regulations apply to a toymaker making toys by the dozens as Mattel making toys by the hundreds of thousands. The testing costs more than what people make in selling these products in the first place."2

Marshall estimated that the testing costs for the small companies who stock his store’s shelves range from $500 to $3,800 per product. 3 But that cost is a pittance compared with what noncompliant organizations face: a civil penalty of $100,000 for each violation—with each violation tagged as a separate offense that could push the overall fine to as much as $15 million—as well as criminal charges.4

But it’s not just manufacturers who should fear the wrath of the federal government. Under the CPSIA’s original terms, the nation’s resale shops had two options: test all of their merchandise or toss it in the Dumpster. On Jan. 8, the Consumer Product Safety Commission (CPSC) announced its intention to relax that requirement.5

But that doesn’t mean second-hand stores are off the hook entirely. While no longer required to meet the CPSIA’s more stringent testing standards, "those resellers that do sell products in violation of the new limits could face civil and/or criminal penalties."6

So, in an attempt to ease the troubled minds of store owners, the CPSC lifted the testing requirement while reminding those owners

of their liability if they sell tainted products, which they can avoid by identifying those products � by testing them.

With confusion reigning and the deadline looming, a CPSC spokesman tried to allay some of the fears by saying the agency doesn’t have the means or the inclination to target small businesses.7 The CPSC went a step further in January when it gave preliminary approval to rule changes to the CPSIA that would exempt:

  • Items with lead parts that are inaccessible to children.
  • Products made of natural materials, such as cotton and wood.
  • Electronics that cannot be made without lead.8

"The CPSC came under fire for supposedly not doing their job, which I feel was untrue, and in response to the attack, the CPSC might have gone overboard in trying to absolutely ensure product safety and now needs to find some middle ground," said liability prevention expert Randall Goodden.

If they don’t before the deadline, it might force some small businesses to shutter their windowspossibly for good.

—Brett Krzykowski, assistant editor

References

  1. "Consumer Products Safety Improvement Act of 2008," Consumer Product Safety Commission, www.cpsc.gov/cpsia.pdf.
  2. Michael Coit, "Safety law costly for small toy makers," Santa Rosa Press Democrat, Dec. 31, 2008.
  3. Ibid.
  4. "Consumer Product Safety Act," Consumer Products Safety Commission, www.cpsc.gov/businfo/cpsa.pdf.
  5. "CPSC Clarifies Requirements of New Children’s Product Safety Laws Taking Effect in February," CPSC, www.cpsc.gov/cpscpub/prerel/prhtml09/09086.html.
  6. Ibid.
  7. Nancy Cambria, "Resale items may get trashed with new federal law," St. Louis Post-Dispatch, Jan. 8, 2008.
  8. A. Semuels, "Regulators rethink rules on testing children’s clothing and toys for lead," Los Angeles Times, Jan. 7, 2009.

ASQ

Study: Where is Quality During the Recession?

Despite the worldwide economic downturn, many companies continue to invest in quality and innovation—even doubling certain quality efforts—to keep up with or stay ahead of the competition.

In addition, some quality professionals say they are seeing more opportunities to become involved in business development activities, according to the latest ASQ Quarterly Quality Report, "How Economic Recession is Affecting Quality Activities."

Other companies, however, are trying to survive the slumping economy by cutting workers, training and budgets for quality activities. Many companies have backed away from quality initiatives that organizations typically use to cut costs, said those who took the survey.

 "The really good news, if there is a silver lining in these times, is that while some companies are shrinking back into their shells, other organizations are moving decidedly in a forward-looking direction and keeping quality practices at the top of the list," said Ken Case, ASQ past president and professor emeritus at Oklahoma State University.

The report recommends a middle ground for organizations trying to balance efficiency with innovation and growth. Those who took the survey—47 people from mostly manufacturing companies—said waste reduction and increased efficiency are hot topics at their companies, as well as ways to generate inspiration and new ideas.

To view the full report, visit www.asq.org/quality-report/reports/200901.html.


FEDERAL GOVERNMENT

Obama Creates Position to Police Federal Spending, Pork Politics

In an effort to control federal spending, reform massive government entitlement programs and curb pork-barrel spending, President Obama has created a new position in his administration: chief performance officer.

He has named Nancy Killefer to the position. She comes from McKinsey & Co.’s public-sector practice, where she developed strategies for improving organizational effectiveness for government clients. She had been assistant secretary of the Treasury Department in the Clinton Administration. There, she led a major modernization of the Internal Revenue Service. Clinton later appointed her to the IRS Oversight Board.

Roberto Saco, ASQ’s president, said he looks forward to connecting with Killefer and discussing ways quality management can be used to improve government.

"This is a strong message that the new administration is serious about managing the enterprise of government," Saco said. "One hopes that the new position will have purview of topics and issues way beyond budgeting, however, and in areas with significant potential: procurement, general services and transaction processing, among others."

News articles from the Chicago Tribune were used to compile this report. 


EDUCATION SURVEY

Educators to Obama: Students Need 21st Century Skills Today

Students must have 21st century skills to be productive members of tomorrow’s workforce. That’s what educators ranked as President Barack Obama’s No. 1 education priority in a recent survey conducted by ASQ.

More than half of the 500 teachers and administrators who participated in the survey called for the Obama administration to focus on innovation, technology, and life and career skills for students to succeed.

Forty-two percent of those surveyed said retaining qualified teachers and helping all students meet achievement goals should be the top priorities for the administration. Other priorities ranked in the survey include:

  • Transforming No Child Left Behind to improve measurements (29%).
  • Closing the achievement gap between whites and minorities (17%).
  • Eliminating budget waste and inefficiency in K-12 schools (22%).

ASQ planned to deliver the results of the survey to Obama and Secretary of Education Arne Duncan shortly after the inauguration last month.


Capitol Q

A request by ASQ’s Measurement Quality Division and other organizations to include metrology job descriptions in the standard occupational classification has been denied by the Office of Management and Budget. The addition of these job descriptions for metrology practitioners to the U.S. Department of Labor’s standard occupation classification system was considered one way to educate people about the metrology field and bring more into the profession.  ASQ is seeking to have the matter reconsidered � Members of the Education Division, the K-12 Education Advisory Committee and ASQ staff are brainstorming with Washington, D.C., contacts to determine how to make the successes of school districts that have saved money and raised student achievement more visible. This education group thinks the increased visibility will help promote quality and the Malcolm Baldrige National Quality Award.

Capitol Q is a regular Keeping Current feature that highlights ASQ’s advocacy efforts with government leaders. More detailed information about ASQ’s legislative activity and other issues and activities can be found at ASQ’s advocacy room at www.asq.org/advocacy/index.html.


QP ONLINE ON PAPER

Quick Poll Results

Each month at www.qualityprogress.com, visitors can take a short, informal survey, and we post the results. Here are the numbers from a recent Quick Poll:

"Which of the seven basic tools of quality do you consider the most important?"

  • Pareto analysis                                  33.3%
  • Cause and effect diagrams                 27%             
  • Control charts                                   23%
  • Check sheets                                    6.3%
  • Histograms                                       5.8%
  • Scatter plots                                     2.2%
  • Stratification                                     2.2%

Answer the most recent Quick Poll question posted:

"In light of the economy’s downturn, is your organization outsourcing:"

  • More?
  • Less?
  • The same?

STANDARDS

Survey: Management System Certifications Used More

The recently released ISO Survey of Certifications–2007 reveals 175 countries are using one or more certifications from the International Organization for Standardization’s (ISO) management system standards, up from 170 countries in 2006.

The principal findings of the survey are:

  • ISO 9001:2000 (quality management): At least 951,486 certificates were issued in 175 countries and economies. The 2007 total represents an increase of 54,557, or more than 6% over 2006. The service sectors accounted for 32% of all certificates issued.
  • ISO 14001:2004 (environmental management): At least 154,572 certificates were issued in 148 countries and economies. The 2007 total represents an increase of 26,361 (more than 21%) over 2006. The service sectors accounted for 29% of certificates issued, up from 27% in 2006.
  • ISO/TS 16949:2002 (quality management for automotive suppliers): At least 35,198 certificates were issued in 81 countries and economies. The 2007 total represents an increase of 7,199 (more than 26%) over 2006.
  • ISO 13485:2003 (quality management for medical devices): At least 12,985 certificates were issued in 84 countries and economies. The 2007 total represents an increase of 4,959 (more than 62%) over 2006.
  • ISO/IEC 27001:2005 (information security management): At least 7,732 certificates were issued in 70 countries and economies. The 2007 total represents an increase of 1,935 (more than 33%) over 2006. Service sector organizations accounted for 90% of the certificates issued.

The survey results illustrate the evolution of the global economy, with newly emerging economies such as China, India, Brazil and the Russian Federation among the leading countries in terms of total certificates issued. Bulgaria, the Czech Republic, the Republic of Korea, Mexico, Poland, Romania, Thailand and Turkey also showed intensive certification activity.


STANDARDS

Input Sought for SR Standard

A special working group established by the International Organization for Standardization (ISO) has issued for review and comment a new draft standard on social responsibility (SR), ISO 26000. The proposed standard is assigned to complement existing public and private sector SR initiatives.

The first round of national consensus position and comment development at ISO is known as the committee draft (CD) stage of voting and commenting. During this stage, the national standards bodies of those countries registered as members of the activity will organize their national mirror committees to review the draft and to decide on the national position and any comments to be submitted to ISO. The choice at the CD stage is whether there is sufficient support for the draft standard to advance to the draft international standard stage.

As the U.S. member of ISO, the American National Standards Institute (ANSI) has accredited ASQ as administrator of the U.S. technical advisory group (TAG) for the ISO SR activity. In this capacity, ASQ staff provides administrative facilitation for all aspects of the TAG’s work.

TAG members and other interested U.S. parties are encouraged to obtain and review the draft standard and to develop their input for consideration by the full TAG. ASQ is offering access to the CD text, submittal of comment and access to U.S. TAG membership information and applications via its website, www.asq.org/standards/index.html. National body votes and comments on the ISO 26000 CD are due
by March 12. For further information, contact Steven Cornish of ANSI (scornish@ansi.org).


DATE IN QUALITY HISTORY

QP looks back on an event or person that made a difference in the history of quality.

Feb. 23, 1947

The International Organization for Standardization (ISO), the world’s leading developer of international industry standards, was founded in Geneva.

ISO was born from the union of two organizations—the International Federation of the National Standardizing Associations, established in 1926, and the United Nations Standards Coordinating Committee, established in 1944.

In October 1946, delegates from 25 countries, meeting at the Institute of Civil Engineers in London, decided to create a new international organization. The objective of the meeting was to "facilitate the international coordination and unification of industrial standards." The new organization, ISO, officially began operations four months later.

Today, ISO is a network of the national standards institutes of 157 countries, one member per country, with a central secretariat in Geneva that coordinates the system. Each country is represented by its own national body. The American National Standards Institute represents the United States.

Source:

ISO, www.iso.org/iso/about.htm.


Who’s Who in Q

Name: Denise Robitaille.

Residence: Kingston, MA.

Education: Bachelor of arts degree from the University of Massachusetts at Amherst.

Introduction to quality: Document writing for an organization going through an ISO 9001 implementation.

Current job: Robitaille owns her own company and divides time between consulting, training, auditing and writing.

ASQ activities: Robitaille has been on the leadership teams of the Boston Section and the Olde Colony Section for more than 12 years. She also serves on the U.S. technical advisory group to ISO/TC 176. She calls this work "immensely fulfilling" and treasures the "extraordinary colleagues from around the world" with whom she works.

Other activities/achievements: Raising her three children.

Published works: Robitaille has authored seven books and co-authored two others, all published by Paton Press. She’s also a regular columnist for Quality Digest and The Auditor, and she’s written articles for many publications, including QP.

Recent honor: Recently elected ASQ fellow.

Favorite ways to relax: Reading and camping (when she can get away).

Quality quote: Quality is the common denominator. It’s the thread woven into the fabric of any organization or enterprise that defines our commitment to ourselves and to those we serve.


ASQ News

COOKIE FOUNDER FEATURED  Wally Amos, the founder of the Famous Amos Cookie Co., has been added as a keynote speaker for this year’s ASQ World Conference on Quality and Improvement in Minneapolis. Amos joins a lineup of speakers that includes Jerry Greenfield, the co-founder of Ben & Jerry’s ice cream, and Howard Behar, the former chairman and president of Starbucks Coffee. Amos is known for his infectious enthusiasm and tireless promotion of his business, which became a $10 million cookie empire in its first 10 years of operation. Visit http://wcqi.asq.org for more updates on the conference, which takes place May 18–20.

APPLYING FOR OTT  Applications for the 2009–2010 Ellis R. Ott Scholarship are now available through ASQ’s Statistics Division. The $5,000 scholarships are for students in master’s degree or higher programs with a concentration in applied statistics or quality management. Over the last 11 years, 32 students have received $165,000 worth of scholarships. Last year’s scholarship winners were: Michelle Quinlan, University of Nebraska-Lincoln, and Irina Kukuyeva, University of California, Los Angeles. For more information and an application form, visit www.asqstatdiv.org. Applications are due April 1. Contact Lynne B. Hare at lynne.hare@comcast.net with questions about the scholarship.


Short Runs

THE COORDINATE METROLOGY SOCIETY has announced a call for papers for its annual conference July 20–24 in Louisville, KY. Abstracts for white papers illustrating application of 3-D coordinate measurement systems should be submitted by April 10. For guidelines or more information, visit www.cmsc.org or e-mail presentations@cmsc.org.

THE AMERICAN NATIONAL STANDARDS INSTITUTE (ANSI)-ASQ National Accreditation Board/ACLASS can now accredit reference material producers (RMPs) after signing a mutual recognition arrangement with the Asia-Pacific Laboratory Accreditation Cooperation late last year.

THE INTERNATIONAL ORGANIZATION FOR STANDARDIZATION (ISO) and the International Electrotechnical Commission (IEC) have revised a standard that addresses RFID for item management. ISO/IEC 18000-1, Information Technology—Radio Frequency Identification for Item Management—Reference Architecture and Definition of Parameters to be Standardized revises the 2004 version of the document. For more information on ISO/IEC 18000-1, visit www.iec.ch/news_centre/release/nr2008/nr3908.htm.

THE AUTOMOTIVE INDUSTRY ACTION GROUP (AIAG) has published the Consumer-Centric Warranty Management Guideline, which is designed to promote advances in consumer satisfaction and continuous warranty improvement. For information on the e-document, visit www.aiag.org.

A COMPREHENSIVE WELLNESS accreditation program has been launched by the Utilization Review Accreditation Commission. The new program will help evaluate a worksite’s wellness organization that focuses on health promotion, chronic disease prevention and health risk reduction. For more information on the program, visit www.urac.org/press/cmsDocument.aspx?id=617.