Weitere ähnliche Inhalte Ähnlich wie Counterfeit Risk & New Defense Regulations (20) Kürzlich hochgeladen (20) Counterfeit Risk & New Defense Regulations1. Welcome to Today’s Webcast
Counterfeit Risk & New
Defense Regulations
What You Need to Know About Counterfeit Risk, New
Regulations, and Semiconductor Cycles
April 19, 2012
Copyright © 2012 IHS Inc. All Rights Reserved.
2. Today’s Speakers
Kristal Snider
Vice President, ERAI, Inc
Rick Pierson
Senior Analyst, Semiconductors/CPT, IHS Inc.
Barry Hochfelder
Editor, Supply & Demand Chain Executive
Copyright © 2012 IHS Inc. All Rights Reserved. 2
3. We want your feedback
Win an Kindle Fire for completing today’s survey
Survey Offer:
Everyone who completes the survey at the
conclusion of today’s live event will be entered into
a drawing to win an Kindle Fire
Copyright © 2012 IHS Inc. All Rights Reserved. 3
4. Join the Conversation
Follow IHS on Twitter…
Get the latest supply chain news,
updates and trending topics from
@IHS_SupplyChain
Live Tweet today’s
webcast:
#IHSWebcast
Copyright © 2012 IHS Inc. All Rights Reserved. 4
7. What is the ERAI Executive Conference?
Copyright © 2012 ERAI Inc. All Rights Reserved.
8. What is H.R.1540: The National Defense
Authorization Act for Fiscal Year 2012?
“Counterfeit parts pose an
increasing risk to our
national security, to the
reliability of our weapons
systems and to the safety
of our men and women in
uniform.”
Arizona Senator John McCain
Nov 8th 2011
Copyright © 2012 ERAI Inc. All Rights Reserved.
9. What is NDAA Sec. 818. “Detection and
Avoidance of Counterfeit Electronic Parts”?
Copyright © 2012 ERAI Inc. All Rights Reserved.
10. What are “Trusted Supplier” requirements
to assess potential sources of supply?
• (e) IMPROVEMENT OF CONTRACTOR SYSTEMS FOR DETECTION AND AVOIDANCE OF COUNTERFEIT
ELECTRONIC PARTS
• IN GENERAL.—Not later than 270 days after the date of the enactment of this Act, the Secretary of Defense shall
implement a program to enhance contractor detection and avoidance of counterfeit electronic parts.
• ELEMENTS.—The program implemented pursuant to paragraph (1) shall—
• require covered contractors that supply electronic parts or systems that contain electronic parts to establish policies and
procedures to eliminate counterfeit electronic parts from the defense supply chain, which policies and procedures shall
address—
• the training of personnel;
• the inspection and testing of electronic parts;
• processes to abolish counterfeit parts proliferation;
• mechanisms to enable traceability of parts;
• use of trusted suppliers;
• the reporting and quarantining of counterfeit electronic parts and suspect counterfeit electronic parts;
• methodologies to identify suspect counterfeit parts and to rapidly determine if a suspect counterfeit part
is, in fact, counterfeit;
• the design, operation, and maintenance of systems to detect and avoid counterfeit electronic parts and
suspect counterfeit electronic parts; and
• the flow down of counterfeit avoidance and detection requirements to subcontractors; and (B) establish
processes for the review and approval of contractor systems for the detection and avoidance of
counterfeit electronic parts and suspect counterfeit electronic parts, which processes shall be
comparable to the processes established for contractor business systems under section 893 of the Ike
Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 124 Stat. 4311;
10 U.S.C. 2302 note).
Copyright © 2012 ERAI Inc. All Rights Reserved.
11. How does NDAA address a risk-based
approach to purchasing electronic parts?
Copyright © 2012 ERAI Inc. All Rights Reserved.
12. What are the “flow down” requirements in
the supply chain? What will this mean?
• (e) IMPROVEMENT OF CONTRACTOR SYSTEMS FOR DETECTION AND AVOIDANCE OF COUNTERFEIT
ELECTRONIC PARTS
• IN GENERAL.—Not later than 270 days after the date of the enactment of this Act, the Secretary of Defense shall
implement a program to enhance contractor detection and avoidance of counterfeit electronic parts.
• ELEMENTS.—The program implemented pursuant to paragraph (1) shall—
• require covered contractors that supply electronic parts or systems that contain electronic parts to establish policies and
procedures to eliminate counterfeit electronic parts from the defense supply chain, which policies and procedures shall
address—
• the training of personnel;
• the inspection and testing of electronic parts;
• processes to abolish counterfeit parts proliferation;
• mechanisms to enable traceability of parts;
• use of trusted suppliers;
• the reporting and quarantining of counterfeit electronic parts and suspect counterfeit electronic parts;
• methodologies to identify suspect counterfeit parts and to rapidly determine if a suspect counterfeit part
is, in fact, counterfeit;
• the design, operation, and maintenance of systems to detect and avoid counterfeit electronic parts and
suspect counterfeit electronic parts; and
• the flow down of counterfeit avoidance and detection requirements to subcontractors; and (B)
establish processes for the review and approval of contractor systems for the detection and avoidance
of counterfeit electronic parts and suspect counterfeit electronic parts, which processes shall be
comparable to the processes established for contractor business systems under section 893 of the Ike
Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 124 Stat. 4311;
10 U.S.C. 2302 note).
Copyright © 2012 ERAI Inc. All Rights Reserved.
13. What does NDAA discuss regarding the
definition of “counterfeit electronic part”?
Copyright © 2012 ERAI Inc. All Rights Reserved.
14. How is industry reacting to legal and
contractual matters?
Copyright © 2012 ERAI Inc. All Rights Reserved.
15. What are the penalties of non-compliance?
Contractors Suppliers Penalties for non-
must… must… compliance
• Detect and Avoid • Obtain parts from original • Jeopardize ability to sell to
Counterfeits manufacturers or gov’t if fail to detect
authorized dealers when counterfeits or exercise
• Establish policies and possible adequate due diligence
procedures to eliminate • Criminal penalties for
counterfeits • Obtain obsolete parts from intentional trafficking
―trusted‖ suppliers when
• Report counterfeits to necessary • Individual: $2M + up to
govt. within 60 days 10 years jail
• For other sources: • Company: $5M
• Perform and bear cost of • inspect, test and
rework or corrective action authenticate electronic • Additional offenses
parts escalate penalties
• Notify DoD
Copyright © 2012 ERAI Inc. All Rights Reserved.
16. What are Supply Chain implications for..
• International Companies…
Are We In Scope?
• Ignorance…
If We Ignore Counterfeits, Will All This Eventually Go Away?
• Systems Integrators…
Why Should I Assess “black box” Items?
• Contract Manufacturers and Suppliers…
Can’t I pass all responsibility to them?
Copyright © 2012 ERAI Inc. All Rights Reserved.
17. What does ERAI offer to assist with NDAA?
• Part Sourcing
• Company Search and AVL Management / Enforcement
• Detailed Information Regarding Reported Suppliers
• Reported Companies Database & Supplier Screening Tools
• Detailed Information Regarding Reported Parts
• Reported Parts Database and Part Screening Tools
• Images and Test/Nonconformance Reports
• ERAI Member Search
• BOM Analysis, Monitoring, and Incident Alerting
• Complaint Filing & Incident Resolution
Copyright © 2012 ERAI Inc. All Rights Reserved.
18. Your Action Item: Join us May 17-18!
www.ERAI.com | ERAI Executive Conference
Featured Speakers Include:
•
Director Legal Affairs and Tax, AIA
•
Procurement Quality Assurance, NASA
•
Executive Director, IDEA
•
G-19 Committee Chairman, SAE International
•
Director of Advanced Technical Operations, IEC Electronics
•
Senior Semiconductors/CPT Analyst, IHS iSuppli
Presentation topics include:
• New reporting requirements
• The term ―counterfeit‖ as it is currently defined
• Processes to abolish counterfeit part proliferation
• New personnel training requirements
• Sourcing and procurement
• Obsolescence, compliance and counterfeit risks
• Component pricing forecasts, analysis, and benchmarking capabilities
• Health status and outlook of the overall supply and demand for
electronic components
• Supply chain traceability
• Identifying ―trusted sources‖
• Debarring sources who have failed to exercise due diligence
Copyright © 2012 IHS Inc. All Rights Reserved.
• More…
20. Counterfeits Impact
Commercial Electronics
IHS iSuppli Table 1: Top-5 Most Counterfeited
Semiconductors in 2011 (Percentage of Counterfeit Part Majority of counterfeit incidents reported
were from the commercial sector
Rank Commodity Type Reported Incidents
% of
#1 Analog IC 25.2%
#2 Microprocessor IC 13.4%
#3 Memory IC 13.1%
#4 Programmable Logic IC 8.3%
#5 Transistor 7.6%
Source: IHS Parts Management 2012
IHS iSuppli Table 2: Percentage of Market Revenue for Most Commonly Counterfeited Product Types by
Application Market in 2011 (Percentage Share of Revenue in Millions of U.S. Dollars)
Part Type Industrial Automotive Consumer Wireless Wired Compute Other
Analog IC 14% 17% 21% 29% 6% 14% 0%
Microprocessor IC 4% 1% 4% 2% 3% 85% 0%
Memory IC 3% 2% 13% 26% 2% 53% 1%
Programmable Logic IC 30% 3% 14% 18% 25% 11% 0%
Transistor 22% 12% 25% 8% 10% 22% 0%
20
Source: © 2012iSuppli Rights Reserved.
Copyright IHS IHS Inc. All March 2012
21. Historical Cyclical Behavior
Indicates Bottom Reached in 2012
Return to growth from the
bottom of a cycle brings
increases in ASPs and a
tighter supply
Source – WSTS
Copyright © 2012 IHS Inc. All Rights Reserved.
22. Counterfeit Incidents vs.
Semi Revenues 2001 – 2011
ERAI Accounted for Over 90% of High Risk and Suspect Majority of counterfeit incidents reported were from
Counterfeit Parts Verified and Reported from 2001-2011 the commercial sector
Copyright © 2012 IHS Inc. All Rights Reserved.
23. Component Pricing on the Rise
•Signs are appearing that a rise in semiconductor
component pricing is in effect
•While broad-based price increases are not uncommon in
the semiconductor industry, most electronic components
are entering a phase of some sort of price increase
•This pricing situation should continue through 2012 – with
some exceptions
•When pricing trends upward, lead times tend to extend as
well moving out beyond normal levels
•This type of price & availability environment is the perfect
scenario for counterfeit components to thrive..
23
Copyright © 2012 IHS Inc. All Rights Reserved.
24. Component Update – Q212
2011 ERAI/GIDEP counterfeit High level classwise report
High level Class Major Class # of parts
Analog IC IC 191
Capacitor PAS 37
Diode DIS 45
Interface IC 63
Logic IC IC 30
Memory IC IC 163
Transistor DIS 81
Aluminum Ceramic Tantalum Grand Total 610
Lead Global Lead Global Lead Global
Flexibility Time Pricing Flexibility Time Pricing Flexibility Time Pricing
Amplifiers/Comparators Interface ICs Voltage Regulators/Ref ICs
(Weeks) Trend (Weeks) Trend (Weeks) Trend
Lead Global Lead Global Lead Global
Q4 2012 18 1.7% 18 1.3% 20 1.6% Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing
Forecast
(Weeks ) Trend (Weeks ) Trend (Weeks ) Trend
Q3 2012 18 4.1% 18 2.9% 20 3.7%
Q4 2012 14 0.7% 14 0.4% 14 0.4%
Forecast
Apr-12 14 14 18
Q3 2012 14 1.0% 14 1.1% 14 1.1%
Mar-12 14 -0.5% 12 -0.5% 18 -0.6%
Apr-12 12 12 12
Connectors Resistors Magnetics (Ferrite Beads) Magnetics (Fixed Inductors)
Lead Global Lead Global Lead Global Lead Global Mar-12 12 -0.2% 12 -0.2% 12 -0.2%
Flexibility Time Pricing Flexibility Time Pricing Flexibility Time Pricing Flexibility Time Pricing
(Weeks) Trend (Weeks) Trend (Weeks) Trend (Weeks) Trend DRAM NAND Flash NOR Flash
Lead Global Lead Global Lead Global
Q4 2012 12 1.7% 12 1.7% 12 1.4% 12 1.7%
Forecast
Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing
Q3 2012 12 4.1% 12 3.7% 12 2.9% 12 2.9% (Weeks ) Trend (Weeks ) Trend (Weeks ) Trend
Q4 2012 5 -0.3% 5 -4.1% 3 -5.6%
Forecast
Apr-12 10 10 12 12
Q3 2012 6 -0.1% 6 -2.9% 3 -4.6%
Mar-12 10 0.6% 10 -0.6% 12 -0.4% 12 -0.4%
Apr-12 3 4 2
Bipolar Power Power MOSFETs Small Signal Rectifiers Mar-12 3 0.0% 3 -3.2% 2 -2.6%
Lead Global Lead Global Lead Global Lead Global
Flexibility Time Pricing Flexibility Time Pricing Time Pricing Flexibility Time Pricing TCXO VCXO XO
(Weeks) Trend (Weeks) Trend (Weeks) Trend (Weeks) Trend Lead Global Lead Global Lead Global
Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing
Q4 2012 18 0.4% 20 0.4% 18 0.5% 18 0.5%
Forecast
(Weeks ) Trend (Weeks ) Trend (Weeks ) Trend
Q3 2012 18 1.2% 20 1.2% 18 1.4% 18 1.2% Q4 2012 12 1.9% 12 1.9% 12 1.9%
Forecast
Apr-12 14 18 14 16 Q3 2012 12 4.4% 12 4.5% 12 4.0%
Apr-12 10 10 10
Mar-12 14 -0.2% 18 -0.2% 14 -0.5% 16 -0.2%
Mar-12 10 -0.8% 10 -0.7% 10 -0.5%
Filters Crystals (kHz) Crystals (MHz) CMOS BiCMOS Bipolar
Lead Global Lead Global Lead Global Lead Global Lead Global Lead Global
Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing Flexibility Tim e Pricing
(Weeks ) Trend (Weeks ) Trend (Weeks ) Trend (Weeks ) Trend (Weeks ) Trend (Weeks ) Trend
Q4 2012 12 1.7% 12 1.2% 12 1.3% Q4 2012 18 0.4% 18 0.4% 18 0.5%
Forecast
Forecast
Q3 2012 12 3.9% 12 3.1% 12 3.2% Q3 2012 18 1.1% 18 1.0% 18 1.1%
Apr-12 8 8 8 Apr-12 14 14 14
Mar-12 8 -0.5% 8 -0.3% 8 -0.5% Mar-12 14 -0.2% 14 -0.2% 14 -0.2%
Source – IHS iSuppli Component Price Tracker (CPT), Component Health Watch (CHW)
24
Copyright © 2012 IHS Inc. All Rights Reserved.
25. Risk Scenario
• Semiconductor ―Silicon Cycle‖ Effect
• Demand Soars, Prices and Lead-Times Increase
• Ensuring Continuity of Supply Becomes Number One Priority
• Shortage of Critical Components Occurs
• Best in Class Procurement Breaks from Disciplines and Procures
Components Outside of Qualified Supply Chain
• This Environment and Subsequent Actions Continue to Fuel the Counterfeit
Component Market and Give Rise to the Growth
Copyright © 2012 IHS Inc. All Rights Reserved.
26. Develop a Continuity
of Supply Plan
Create/Update
Continuity of Supply Profile for Every Supplier
Update
Product, Market & Supply Chain Suppliers
Information Part/Materials
Life Cycles
Flow (IHS Tools)
Logistics
Internal Ops
Continuity of
Supply
Execute
Disciplined
Business
Continuity Plan
Implement Pre-Silicon Cycle Downturn Create/Update
Mitigation Plan Best Practice
Mitigation
Learning
Plan
26
Copyright © 2012 IHS Inc. All Rights Reserved.
27. 2012 Pricing Outlook Shows Change
• Suppliers reporting recent positive book-to-bill
• This is a sign of a return to growth and suppliers will adjust their pricing
strategies accordingly
• Manufacturing run rates will increase as bookings increase
• Orders are being placed now to replenish channel inventory
• Companies are focusing on Continuity of Supply and Inventory
Management
Copyright © 2012 IHS Inc. All Rights Reserved.
28. Conclusions
• Counterfeit Suppliers are in Lock-Step with the Market
• As the market tightens for specific components, counterfeit will saturate it
• Capacity for counterfeit manufacturing has been expanded to meet current
demand
• Constant Vigilance and Discipline are Critical
• 24/7 Monitoring of the Global Market and Trends are Mandatory
• Key Performance Indicators such as Price, Availability and Part Life Cycle
Maturations Provide Critical Market Intelligence into specific ―at-risk‖
products
Copyright © 2012 IHS Inc. All Rights Reserved.
29. Receive Component Price Tracker &
Component Health Watch
Complimentary Research for Attending Today
How to Receive Research?
1) Complete the Survey and Specify ―YES‖ to ―Are you
interested in the CPT / CHW trial offer?‖
2) Or send Email with Subject Line “CPT / CHW” to
Webcasts@ihs.com*
29
*Offer limited to qualified entities until May 31st, 2012.
Copyright © 2012 IHS Inc. All Rights Reserved.
30. Receive Trial Access to ERAI
Complimentary for Attending Today
How to receive this offer?
1) Complete event Survey & Specify “YES” to the ERAI
trial offer
2) Or send Email with Subject Line “April 19th
Webcast” to Webcasts@ihs.com*
Copyright © 2012 IHS Inc. All Rights Reserved.
31. One IHS Counterfeit Risk
Mitigation Solution Set
Your Critical Solution Workflow Elements:
4DOnline & CAPSTM Electronics Database & Tools: The largest and most-advanced component
selection, lifecycle-planning, BOM management, and procurement information and analysis solutions.
ERAI Counterfeit and High Risk Parts & Supplier Screening: The industry’s only leading source for
databases and tools to proactively mitigate the risks of counterfeit and substandard parts and suppliers.
Haystack Gold : Logistics Management System with parts and sourcing data for 100+ million items in
the U.S. Federal Supply Catalog and over 70 U.S. Army, Navy, Air Force and related databases.
PCNalert : PCN, EOL, and Counterfeit BOM Alerting Services to actively monitor BOM, AML, and part
lists for critical incidents which pose risks to design, sourcing, manufacturing, and compliance.
Component Health Watch (CHW)™ : Component supply and demand health status and outlook and
forecasts of key commodities for electronic components.
Component Price Tracker (CPT)™ : Price analysis and benchmarking service which provides current
global component pricing and forecasts for high-volume, multi-sourced electronic components.
Teardown Analysis Service: BOM design, cost model, component pricing and component
identification for the highest quality view available for the design and manufacturing of products.
IHS Standards Expert: Access to critical standards including SAE AS5553: Counterfeit Electronic
Parts; Avoidance, Detection, Mitigation, and Disposition
IHS Military Specs & Standards: More than 107,000 specs from US DoD and related agencies.
31
Copyright © 2012 IHS Inc. All Rights Reserved.
32. Questions?
Kristal Snider
Vice President, ERAI, Inc
Rick Pierson
Senior Analyst, Semiconductors/CPT, IHS Inc.
Barry Hochfelder
Editor, Supply & Demand Chain Executive
Copyright © 2012 IHS Inc. All Rights Reserved. 32
33. We want your feedback
Win an Kindle Fire for completing today’s survey
Survey Offer:
Everyone who completes the survey at the
conclusion of today’s live event will be entered into
a drawing to win an Kindle Fire
Copyright © 2012 IHS Inc. All Rights Reserved. 33
34. For More Information
Send questions and requests for information to:
Webcasts@ihs.com
Follow IHS on Twitter
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Copyright © 2012 IHS Inc. All Rights Reserved. 34