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The experience to guide your brand through the challenge. Recalls in the Digital Age: Impact of the Internet of Things

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Page 1: Recalls in the Digital Age - Home - Stericycle · Recalls in the Digital Age: Impact of the Internet of Things 2 Background From children’s toys to large appliances, companies are

The experience to guide your brand through the challenge.

Recalls in the Digital Age:Impact of the Internet of Things

Page 2: Recalls in the Digital Age - Home - Stericycle · Recalls in the Digital Age: Impact of the Internet of Things 2 Background From children’s toys to large appliances, companies are

2Recalls in the Digital Age: Impact of the Internet of Things

Background

From children’s toys to large appliances, companies are racing to connect products to the internet. Some estimate there will be 6.4 billion connected “things” this year, and up to 24 billion by the year 2020.

These advancements bring convenience and innovation to consumers and companies alike. By controlling appliances and electrical fixtures remotely, users can save energy and money. Tracking information online can also save valuable time and bring added convenience.

For businesses, the benefits may be even greater. Companies are increasingly adopting these new technologies to improve their systems, potentially saving huge sums of money and countless worker hours. Connectivity could also help businesses target marketing efforts at precisely the right audience. In fact, many analysts believe businesses will take the lead in implementing these tools to meet ever-increasing demands.

For industries that offer these devices directly to their customers, exciting developments can keep their brands on the cutting edge. But for all its hype, the Internet of Things comes with concerns, especially when it comes to privacy, security, and added complexity. These factors increase the risk for recalls – and make an already complicated regulatory landscape even more difficult to navigate.

2Recalls in the Digital Age: Impact of the Internet of Things

Background

From children’s toys to large appliances, companies are racing to connect products to the internet. Some estimate there will be 6.4 billion connected “things” this year, and up to 24 billion by the year 2020.

These advancements bring convenience and innovation to consumers and companies alike. By controlling appliances and electrical fixtures remotely, users can save energy and money. Tracking information online can also save valuable time and bring added convenience.

For businesses, the benefits may be even greater. Companies are increasingly adopting these new technologies to improve their systems, potentially saving huge sums of money and countless worker hours. Connectivity could also help businesses target marketing efforts at precisely the right audience. In fact, many analysts believe businesses will take the lead in implementing these tools to meet ever-increasing demands.

For industries that offer these devices directly to their customers, exciting developments can keep their brands on the cutting edge. But for all its hype, the Internet of Things comes with concerns, especially when it comes to privacy, security, and added complexity. These factors increase the risk for recalls – and make an already complicated regulatory landscape even more difficult to navigate.

From children’s toys to large appliances, companies here in Canada and around the world are racing to connect products to the internet. Some estimate there will be 6.4 billion connected “things” this year, and up to 24 billion by the year 2020.These advancements bring convenience and innovation to consumers and companies alike. By controlling appliances and electrical fixtures remotely, users can save energy and money. Tracking information online can also save valuable time and bring added convenience.

For businesses, the benefits may be even greater. Companies are increasingly adopting these new technologies to improve their systems, potentially saving huge sums of money and countless worker hours. Connectivity could also help businesses target marketing efforts to precisely the right audience. In fact, many analysts believe businesses will take the lead in implementing these tools to meet ever-increasing demands.

For industries that offer these devices directly to their customers, exciting developments can keep their brands on the cutting edge. But for all its hype, the “Internet of Things” comes with concerns, especially when it comes to privacy, security and added complexity. These factors increase the risk for recalls—and make an already complicated regulatory landscape even more difficult to navigate.

Page 3: Recalls in the Digital Age - Home - Stericycle · Recalls in the Digital Age: Impact of the Internet of Things 2 Background From children’s toys to large appliances, companies are

3Recalls in the Digital Age: Impact of the Internet of Things

Plugged-in Products

For many people, the very phrase “Internet of Things” brings to mind consumer products, and for good reason. At the 2016 Consumer Electronics Show (CES), manufacturers made headlines with everything from connected clothing to appliances.

Samsung unveiled a smart refrigerator that comes equipped with a large touchscreen and a camera that allows users to remotely see inside via their smart phones and take stock of the groceries they need. The Spün utensil, with its interchangeable fork and spoon heads, promised to count calories in real time by registering a photo of the food and measuring the weight of every bite. Digitsole unveiled smart shoes that track steps, warm up frosty feet, and even automatically tighten.

While these products have enormous potential, some also come with possible drawbacks for consumers – and headaches for the companies that make them. Appliances with lifespans that typically last years or even decades could become obsolete more quickly. And there are privacy and security implications. One major toymaker came under fire last year when experts found a Wi-Fi connected doll could easily be hacked to track children’s

movements and listen to their conversations. In some cases, internet-connected baby monitors have been hacked, resulting in frightening incidents of yelling and offensive language coming through the speakers.

As the Internet of Things evolves, so will its associated challenges and risks. As products become more complex, the potential for recalls increases – simply because there are more features that can go wrong. Once a recall occurs, executing the event and disposing of affected product is also more complicated, as technologically advanced products often include potentially hazardous materials that face additional regulations. At the same time, new tools and regulations are being developed that will defend and protect consumers and products from these sorts of threats. Safeguarding consumers – especially those who are the most vulnerable – should be at the forefront of manufacturers’ agendas as their products become progressively more plugged-in.

“Once a recall occurs, executing the event and disposing of affected product is also more complicated, as technologically advanced products often include potentially hazardous materials that face additional regulations.”

3Recalls in the Digital Age: Impact of the Internet of Things

Plugged-in Products

For many people, the very phrase “Internet of Things” brings to mind consumer products, and for good reason. At the 2016 Consumer Electronics Show (CES), manufacturers made headlines with everything from connected clothing to appliances.

Samsung unveiled a smart refrigerator that comes equipped with a large touchscreen and a camera that allows users to remotely see inside via their smart phones and take stock of the groceries they need. The Spün utensil, with its interchangeable fork and spoon heads, promised to count calories in real time by registering a photo of the food and measuring the weight of every bite. Digitsole unveiled smart shoes that track steps, warm up frosty feet, and even automatically tighten.

While these products have enormous potential, some also come with possible drawbacks for consumers – and headaches for the companies that make them. Appliances with lifespans that typically last years or even decades could become obsolete more quickly. And there are privacy and security implications. One major toymaker came under fire last year when experts found a Wi-Fi connected doll could easily be hacked to track children’s

movements and listen to their conversations. In some cases, internet-connected baby monitors have been hacked, resulting in frightening incidents of yelling and offensive language coming through the speakers.

As the Internet of Things evolves, so will its associated challenges and risks. As products become more complex, the potential for recalls increases – simply because there are more features that can go wrong. Once a recall occurs, executing the event and disposing of affected product is also more complicated, as technologically advanced products often include potentially hazardous materials that face additional regulations. At the same time, new tools and regulations are being developed that will defend and protect consumers and products from these sorts of threats. Safeguarding consumers – especially those who are the most vulnerable – should be at the forefront of manufacturers’ agendas as their products become progressively more plugged-in.

“Once a recall occurs, executing the event and disposing of affected product is also more complicated, as technologically advanced products often include potentially hazardous materials that face additional regulations.”

For many people, the very phrase “Internet of Things” brings to mind consumer products, and for good reason. At the 2016 Consumer Electronics Show (CES), manufacturers made headlines with everything from connected clothing to appliances.

Samsung unveiled a smart refrigerator that comes equipped with a large touchscreen and a camera that allows users to remotely see inside via their smart phones and take stock of the groceries they need. The Spün utensil, with its interchangeable fork and spoon heads, promised to count calories in real time by registering a photo of the food and measuring the weight of every bite. Digitsole unveiled smart shoes that track steps, warm up frosty feet and even automatically tighten.

While these products have enormous potential, some also come with possible drawbacks for consumers—and headaches for the companies that make them. Appliances with lifespans that typically last years or even decades could become obsolete more quickly. And there are privacy and security implications. One major toymaker came under fire last year when experts found a WiFi-connected doll could easily be hacked to track children’s movements and listen to

their conversations. In some cases, internet-connected baby monitors have been hacked, resulting in frightening incidents of yelling and offensive language coming through the speakers.

As the Internet of Things evolves, so will its associated challenges and risks. As products become more complex, the potential for recalls increases—simply because there are more features that can go wrong. Once a recall occurs, executing the event and disposing of affected product is also more complicated, as technologically advanced products often include potentially hazardous materials that face additional regulations. At the same time, new tools and regulations are being developed that will defend and protect consumers and products from these sorts of threats. Safeguarding consumers—especially those who are the most vulnerable—should be at the forefront of manufacturers’ agendas as their products become progressively more plugged-in.

Page 4: Recalls in the Digital Age - Home - Stericycle · Recalls in the Digital Age: Impact of the Internet of Things 2 Background From children’s toys to large appliances, companies are

4Recalls in the Digital Age: Impact of the Internet of Things

The Future of Food

While food may be the last thing most people think of when it comes to the Internet of Things, developments in connectivity are expected to change the way food and beverage manufacturers do business as well.

This is especially true as the implementation of the Food Safety Modernization Act (FSMA) continues. FSMA requires that manufacturers evaluate potential safety issues, implement preventative and corrective measures, and document those efforts. As a result, companies are seeking new ways to operate, monitor, and record their systems – and the Internet of Things could provide many of those solutions.

For example, one of the most important areas of focus for food manufacturers is refrigeration. Temperature has a huge impact on food safety, as small variances in degrees can cause spoilage, create a breeding ground for contaminants, or result in adverse changes in taste and texture – all of which can lead to costly recalls. By

connecting systems to the internet, manufacturers may be better able to control and maintain temperature. These techniques could also be used across the supply chain to monitor issues that commonly arise during other stages of production, such as exposure to light and jostling that can occur during shipping.

The Internet of Things can monitor• Temperature

• Shipping conditions

• Other supply chain issues

While food may be the last thing most people think of when it comes to the Internet of Things, developments in connectivity are expected to change the way food and beverage manufacturers do business as well.

Food manufacturers continuously evaluate potential safety issues, implement preventative and corrective measures, and document those efforts. As a result, companies are seeking new ways to operate, monitor and record their systems—and the Internet of Things could provide many of those solutions.

For example, temperature has a huge impact on food safety, as small variances in degrees can cause spoilage, create a breeding ground for contaminants or result in adverse changes in taste and texture—all of which can lead to costly recalls. By connecting systems to the internet, manufacturers may be better able to control and maintain temperature. These

techniques could also be used across the supply chain to monitor issues that commonly arise during other stages of production, such as exposure to light and jostling that can occur during shipping.

4Recalls in the Digital Age: Impact of the Internet of Things

The Future of Food

While food may be the last thing most people think of when it comes to the Internet of Things, developments in connectivity are expected to change the way food and beverage manufacturers do business as well.

This is especially true as the implementation of the Food Safety Modernization Act (FSMA) continues. FSMA requires that manufacturers evaluate potential safety issues, implement preventative and corrective measures, and document those efforts. As a result, companies are seeking new ways to operate, monitor, and record their systems – and the Internet of Things could provide many of those solutions.

For example, one of the most important areas of focus for food manufacturers is refrigeration. Temperature has a huge impact on food safety, as small variances in degrees can cause spoilage, create a breeding ground for contaminants, or result in adverse changes in taste and texture – all of which can lead to costly recalls. By

connecting systems to the internet, manufacturers may be better able to control and maintain temperature. These techniques could also be used across the supply chain to monitor issues that commonly arise during other stages of production, such as exposure to light and jostling that can occur during shipping.

The Internet of Things can monitor• Temperature

• Shipping conditions

• Other supply chain issues

4Recalls in the Digital Age: Impact of the Internet of Things

The Future of Food

While food may be the last thing most people think of when it comes to the Internet of Things, developments in connectivity are expected to change the way food and beverage manufacturers do business as well.

This is especially true as the implementation of the Food Safety Modernization Act (FSMA) continues. FSMA requires that manufacturers evaluate potential safety issues, implement preventative and corrective measures, and document those efforts. As a result, companies are seeking new ways to operate, monitor, and record their systems – and the Internet of Things could provide many of those solutions.

For example, one of the most important areas of focus for food manufacturers is refrigeration. Temperature has a huge impact on food safety, as small variances in degrees can cause spoilage, create a breeding ground for contaminants, or result in adverse changes in taste and texture – all of which can lead to costly recalls. By

connecting systems to the internet, manufacturers may be better able to control and maintain temperature. These techniques could also be used across the supply chain to monitor issues that commonly arise during other stages of production, such as exposure to light and jostling that can occur during shipping.

The Internet of Things can monitor• Temperature

• Shipping conditions

• Other supply chain issues

Page 5: Recalls in the Digital Age - Home - Stericycle · Recalls in the Digital Age: Impact of the Internet of Things 2 Background From children’s toys to large appliances, companies are

5Recalls in the Digital Age: Impact of the Internet of Things

Modernizing Medicine

With the growing popularity of wearable devices and home health monitoring, the Internet of Things is already having an impact on the medical device sector. As baby boomers age and healthcare continues to shift its focus from sick care to wellness, these advancements will bring additional benefits to patients and providers alike.

Internet-connected medical devices can help improve outcomes, better manage chronic diseases, and lower overall healthcare costs. And it isn’t just medical device companies. The pharmaceutical industry is also increasingly turning to this technology to tackle issues such as counterfeit drugs by investing in new systems to improve track-and-trace methods.

Within the healthcare industry, privacy and security are frequently top-of-mind, and the Internet of Things is no exception. Any weakness could put highly sensitive

information at risk. But connected healthcare issues go beyond confidential data breaches. As with other industries, hacking is a growing concern – one that could put patients’ lives at risk. Last year, students at the University of Alabama were able to hack into a robot that simulates human functions, disabling its pacemaker. The example clearly demonstrates the potentially deadly consequences of such vulnerabilities.

“Internet-connected medical devices can help improve outcomes, better manage chronic diseases, and lower overall healthcare costs.”

5Recalls in the Digital Age: Impact of the Internet of Things

Modernizing Medicine

With the growing popularity of wearable devices and home health monitoring, the Internet of Things is already having an impact on the medical device sector. As baby boomers age and healthcare continues to shift its focus from sick care to wellness, these advancements will bring additional benefits to patients and providers alike.

Internet-connected medical devices can help improve outcomes, better manage chronic diseases, and lower overall healthcare costs. And it isn’t just medical device companies. The pharmaceutical industry is also increasingly turning to this technology to tackle issues such as counterfeit drugs by investing in new systems to improve track-and-trace methods.

Within the healthcare industry, privacy and security are frequently top-of-mind, and the Internet of Things is no exception. Any weakness could put highly sensitive

information at risk. But connected healthcare issues go beyond confidential data breaches. As with other industries, hacking is a growing concern – one that could put patients’ lives at risk. Last year, students at the University of Alabama were able to hack into a robot that simulates human functions, disabling its pacemaker. The example clearly demonstrates the potentially deadly consequences of such vulnerabilities.

“Internet-connected medical devices can help improve outcomes, better manage chronic diseases, and lower overall healthcare costs.”

With the growing popularity of wearable devices and home health monitoring, the Internet of Things is already having an impact on the medical device sector. As baby boomers age and healthcare continues to shift its focus from sick care to wellness, these advancements will bring additional benefits to patients and providers alike.

Internet-connected medical devices can help improve outcomes, better manage chronic diseases and lower overall healthcare costs. And it isn’t just medical device companies. The pharmaceutical industry is also increasingly turning to this technology to tackle issues, such as counterfeit drugs, by investing in new systems to improve track-and-trace methods.

Within the healthcare industry, privacy and security are frequently top-of-mind, and the Internet of Things is no exception. Any weakness could put

highly sensitive information at risk. But connected healthcare issues go beyond confidential data breaches. As with other industries, hacking is a growing concern—one that could put patients’ lives at risk. Last year, students at the University of Alabama were able to hack into a robot that simulates human functions, disabling its pacemaker. The example clearly demonstrates the potentially deadly consequences of such vulnerabilities.

“Internet-connected medical devices can help improve outcomes, better manage chronic diseases and lower overall healthcare costs.”

Page 6: Recalls in the Digital Age - Home - Stericycle · Recalls in the Digital Age: Impact of the Internet of Things 2 Background From children’s toys to large appliances, companies are

Prepare for the inevitability of a recall

Train employees for their recall managment roles

Have a recall plan in place

Consult a recall expert

CRITICAL SUCCESS FACTORS

Mapping Out a Strategy

Copyright © 2016 Stericycle. All rights reserved.

stericycleexpertsolutions.com • 1.888.732.3901 • [email protected]

No matter the size of a company or the popularity of its products, recalls are a very real, very commonplace risk.

It is for this reason every business should have a strategy in place that lays out the action plan should a crisis occur. In addition, every business must ensure its employees are well-versed in this recall protocol and fully comprehend the role they play in mitigating the potential for disaster.

Despite best efforts, however, mistakes do hap-pen. And odds are a recall will eventually occur. When it strikes, the preparation and training executed now will help alleviate the need for hurried, stress-influenced decision making and needless errors – paving the way for not only recall survival, but recall success.

Prepare for the inevitability of a recall

Train employees for their recall managment roles

Have a recall plan in place

Consult a recall expert

CRITICAL SUCCESS FACTORS

Mapping Out a Strategy

Copyright © 2016 Stericycle. All rights reserved.

stericycleexpertsolutions.com • 1.888.732.3901 • [email protected]

No matter the size of a company or the popularity of its products, recalls are a very real, very commonplace risk.

It is for this reason every business should have a strategy in place that lays out the action plan should a crisis occur. In addition, every business must ensure its employees are well-versed in this recall protocol and fully comprehend the role they play in mitigating the potential for disaster.

Despite best efforts, however, mistakes do hap-pen. And odds are a recall will eventually occur. When it strikes, the preparation and training executed now will help alleviate the need for hurried, stress-influenced decision making and needless errors – paving the way for not only recall survival, but recall success.

Mitigating the Threat of Things

www.stericycleexpertsolutions.com 1.888.732.3901 [email protected]

The future of technology is constantly shifting, and while many have an idea of what’s to come, there is no way to definitively predict the improvements – or the potential pitfalls – that lie ahead.

The Internet of Things shows no sign of slowing down, and nor do the capabilities of hackers and other threats. As more technology is added and new materials are used, both the likelihood and complexity of recalls rises. That’s why manufacturers must examine the security implications of new advancements and consider what they mean for their recall management capabilities. By preparing to tackle potential problems quickly and effectively, companies can ensure they are known for their innovations – and not for any issues that come with them.

Prepare for the inevitability of a recall

Factor recall preparation into your annual budget

Work with a recall expert

CRITICAL SUCCESS FACTORS

Copyright © 2016 Stericycle. All rights reserved.

Mitigating the Threat of Things

www.stericycleexpertsolutions.com 1.888.732.3901 [email protected]

The future of technology is constantly shifting, and while many have an idea of what’s to come, there is no way to definitively predict the improvements – or the potential pitfalls – that lie ahead.

The Internet of Things shows no sign of slowing down, and nor do the capabilities of hackers and other threats. As more technology is added and new materials are used, both the likelihood and complexity of recalls rises. That’s why manufacturers must examine the security implications of new advancements and consider what they mean for their recall management capabilities. By preparing to tackle potential problems quickly and effectively, companies can ensure they are known for their innovations – and not for any issues that come with them.

Prepare for the inevitability of a recall

Factor recall preparation into your annual budget

Work with a recall expert

CRITICAL SUCCESS FACTORS

Copyright © 2016 Stericycle. All rights reserved.

Mitigating the Threat of Things

www.stericycleexpertsolutions.com 1.888.732.3901 [email protected]

The future of technology is constantly shifting, and while many have an idea of what’s to come, there is no way to definitively predict the improvements – or the potential pitfalls – that lie ahead.

The Internet of Things shows no sign of slowing down, and nor do the capabilities of hackers and other threats. As more technology is added and new materials are used, both the likelihood and complexity of recalls rises. That’s why manufacturers must examine the security implications of new advancements and consider what they mean for their recall management capabilities. By preparing to tackle potential problems quickly and effectively, companies can ensure they are known for their innovations – and not for any issues that come with them.

Prepare for the inevitability of a recall

Factor recall preparation into your annual budget

Work with a recall expert

CRITICAL SUCCESS FACTORS

Copyright © 2016 Stericycle. All rights reserved.

The future of technology is constantly shifting, and while many have an idea of what’s to come, there is no way to definitively predict the improvements—or the potential pitfalls—that lie ahead.The Internet of Things shows no sign of slowing down, and nor do the capabilities of hackers and other threats. As more technology is added and new materials are used, both the likelihood and complexity of recalls rises. That’s why manufacturers must examine the security implications of new advancements and consider what they mean for their recall management capabilities. By preparing to tackle potential problems quickly and effectively, companies can ensure that they are known for their innovations—and not for any issues that come with them.

To learn how Stericycle can help you manage a recall in the digital age, visit stericycle.ca/internetofthings.

stericycle.ca/internetofthings • 1.877.474.3778 • [email protected]

Copyright © 2017 Stericycle. All rights reserved.