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Counterfeiting is a growing menace for brand owners and Government authorities alike. In the last decade the problem has expanded rapidly and is now not limited to luxury goods and developed economies alone. This activity now exists all over the world and covers pharmaceuticals, FMCG and even mobile phones, to name a few sectors, and causes huge losses to government, industry and the people at large. To counter this onslaught, the proactive brand owners have resorted to using authentication solutions to protect their brand. With the availability of various authentication solutions, the brand owners now have a wide range of technologies to choose from. And they need to very carefully decide the correct strategy and technology to reap the full benefits offered by the solution. Choosing an authentication solution needs careful risk assessment and the criteria for selecting the right solution to address these. Several aspects relating to cost, compatibility, feasibility and reliability have to be looked into, and then once the decision is taken, proper implementation and post implementation benefits reaped also need to be studied. Each brand owner implements a customised solution, so there aren’t any standard cure-all options available. ISO efforts…. Thankfully, the International Standards Organisation (ISO) recognised these issues, and has recently published a new ISO Standards entitled “Performance criteria for authentication solutions for anti-counterfeiting in the field of material goods”. This document can be procured from this link - http://www.iso.org/iso/catalogue_detail?csnumber=52210. This new standard, referenced as ISO 12931, sets out the performance criteria for customised authentication solutions for material goods. It is to be noted that ISO 12931 does not cover protection of id documents, banknotes and other similar financial documents. This also does not cover track and trace technology and mentions that track and trace technology solution on its own is not an authentication technology. The implementation of these standards will allow an organisation to learn from the collective good business practices adopted by companies and government authorities the world over, and determine the level of the reliability of the various solutions and assessment methods to test the efficacy of the solution. It addresses identification, implementation, integration and verification issues to provide a complete overview of the solution. This is a wonderful tool that ISO has provided to all brand owners and governments and with increasing implementation, the consumers will get the protection that has long been overdue. For more information, please write to us at [email protected].
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© 2013 HOMAI www.homai.org
ISO 12931
ISO 12931 - What is in it for Brand Owner and why Adopt it
By Pradip Shroff
© 2013 HOMAI www.homai.org
ISO 12931
ISO 12931 Performance criteria for Authentication solutions used to Combat counterfeiting of Material goods
© 2013 HOMAI www.homai.org
ISO 12931
Respect to copyright
Note: This presentation is a summary and is not
intended to serve as a substitute for purchasing and
reading the full ISO 12931 standard.
To fully understand ISO 12931 and the
recommendations made for authentication solutions
please purchase The Standard at:
http://www.iso.org/iso/home/store/catalogue_tc/cat
alogue_detailhtm?csnumber=52210
© 2013 HOMAI www.homai.org
ISO 12931
ISO (International Organization for Standardization) worldwide federation of national standards bodies.
ISO Tech committee prepares International Standards.
Each member body interested in a subject has the right to be represented on that committee.
Draft International Standards are approved only if at least 75 % of the member bodies casting a vote approve it.
ISO, Tech Committee, Standards
© 2013 HOMAI www.homai.org
ISO 12931
This International Standard sets out the performance criteria for purpose built authentication solutions.
These authentication solutions are designed to provide reliable evidence making it easier to assess whether material goods are authentic or counterfeit.
It was not drafted or designed to define a sole means of authentication.
It does not specify how technical solutions achieve these performance criteria.
It focuses on material goods and is not intended to apply to, for example, goods used in the financial sector, official administrative papers, identity documents or to downloadable products.
Track and trace on its own is not an authentication solution and is therefore outside the scope
It does not deal with economical criteria aiming to correlate performance and costs of the authentication solutions.
The Scope
© 2013 HOMAI www.homai.org
ISO 12931
Diagnosis – The risk assessment Prescription – Selection of The authentication elements
Post Prescription – Multi level Inspection Follow up – Review and Assessment of risk
Authentication Process
© 2013 HOMAI www.homai.org
ISO 12931
What are the counterfeiting issues, the consequences and likelihood of the counterfeiting threat?
Which of my material goods are being counterfeited or have the potential to be counterfeited?
In which locations are we experiencing counterfeiting and how are the counterfeits being distributed?
What is the manufacturing and supply chain environment?
How and by whom will the authentication process be performed?
What is the impact of human error on the solution (process and authentication)?
Assessment of counterfeiting risk
© 2013 HOMAI www.homai.org
ISO 12931
Typical logistic chain
Manufacturer
Regional W/H
Wholesale Dealer
Distributor
Retailer Consumer
Key Accounts
Transit Risk
A B C D E
© 2013 HOMAI www.homai.org
ISO 12931
1. Physical characteristics such as static, dynamic, durability, environmental, feature (overt, covert or machine readable)
2. Attack resistance of authentication element such as tampering resistance
3. Integration process (security, manufacturing, compliance etc.)
4. Attack resistance of authentication tools
Assessing Authentication Solutions –Basic Parameters
© 2013 HOMAI www.homai.org
ISO 12931
ISO has categorized authentication solutions as
ISO 12931 – Defined authentication solutions
Human Senses
Authentication Tool Forensic Analysis
Off the shelf
Purpose built
General audience OVERT COVERT - -
Restricted audience
OVERT COVERT COVERT COVERT
Track and Trace technology when used alone is not considered to be an authentication solution. As such is not covered by this International Standard.
© 2013 HOMAI www.homai.org
ISO 12931
Typical logistic chain
Manufacturer
Regional W/H
Wholesale Dealer
Distributor
Retailer Consumer
Key Accounts
Transit Risk
A B C D E
© 2013 HOMAI www.homai.org
ISO 12931
Authentication solution – Multi level inspection
Inspector / Authentication element
End user
Retailer
Whole seller
Authorised personnel
Accredited / notified laboratory
OVERT
COVERT
Forensic
© 2013 HOMAI www.homai.org
ISO 12931
The 5 Step Process (TIS)
Step 1
Risk Analysis and
Identification of
Issues
Step 2
Develop Solution
Step 3
Implement
Solution
Step 4
Multi Level
authentication/
inspection
Step 5
Evaluation and
Measurement
© 2013 HOMAI www.homai.org
ISO 12931
Beyond ISO from my experience
© 2013 HOMAI www.homai.org
ISO 12931
Value in the 21st century lies
in building brand. Brand Owner's
basic role is to SECURE
that brand
World Council for Corporate Governance
© 2013 HOMAI www.homai.org
ISO 12931
Team leader – CEO/ Brand Owner Members –Representative from
Marketing/ product development, marketing research, sales/logistic, packaging, manufacturing, regulatory and/or law, buyer, finance/accounts
Outside consultant
Brand risk management team
© 2013 HOMAI www.homai.org
ISO 12931
Do not tender for product - Tender for vendor Manufacturer should be using multiple
technologies Secure manufacturing operations Prefer Technologies - patented and/or
exclusive A research based innovative vendor Vendor to have a written ethical policy
Security buying – Important considerations
© 2013 HOMAI www.homai.org
ISO 12931
Annual Business plan – The brand plan to include Brand Protection plan
Review every quarterly as a business review
process. Progress made in implementation, Review any event, New Risks Plan for revising/ upgrading the solution.
Business review process
© 2013 HOMAI www.homai.org
ISO 12931
Counterfeiting must be fought
Effect
to G
ovt.
• Reduction in public health crisis / illness / life
• Loss of tax revenue
• Increased enforcement cost
• Funding of criminal activity*
• Loss of Government image
Eff
ect
to m
anufa
ctu
rer
• Lost revenue
• Liability crippling law suit as incident of counterfeiting increasing health and security problems for public
• Brand integrity
Eff
ect
to c
onsum
er
• Loss of life / illness: According to WHO a fifth of the one million annual death from malaria could be prevented if all medicines for it were genuine and taken properly.
© 2013 HOMAI www.homai.org
ISO 12931
Thank You
For more information, please contact
Pradip Shroff
HOMAI at [email protected]
