Why We All Need to be Involved in the Standards Development and Conformity Assessment Process

Fact: Standards Mean Business To industry, government and the bottom line The U.S Department of Commerce estimates that standards and conformity assessment impact 80% of global commodity trade. Standards and conformance provide significant value to society and government, are essential for an expanding national economy, and vital to the global competitiveness of U.S. industry. All aspects of American goods and services are affected at some point by standards. They cannot be ignored or put aside.  Standards mean Business - to government, industry, and the bottom line!  The U.S Department of Commerce estimates that Standards and Conformity Assessment impact 80% of global commodity trade¹. For more than a century, voluntary consensus standardization and conformity assessment activities have been coalescing markets and saving money for organizations in both the private and public sectors. However, there is still a marked lack of standards and conformance-related knowledge by decision makers in business and industry. ¹United States Department of Commerce, Standards and Competitiveness – Coordinating for Results. Washington, DC May 2004, p1 http://ita.doc.gov/td/standards/pdf%20files/Standards%20and%20Competitiveness.pdf

How Do Standards Boost Business? Public-Private Partnerships Competitive Advantage Efficiency/Cost Savings Innovation/R&D Customer Confidence/Loyalty Market Access/Trade

Public-Private Partnerships The U.S. standards system is diverse and inclusive in participation; promotes an open, consensus-based development process; and is fast, flexible, and completely market driven – resulting in more effective standards and a better trade environment for U.S. interests. Thousands of technical, industry, and scientific standards are developed each year, which support market growth and business innovation; promote health, safety, and the environment; and save time and money for companies, organizations, and governments at all levels. Public-private partnerships provide an opportunity for industry government and employees to network on issues relating to standards and to provide input on issues of specific concern and priority. The National Technology Transfer and Advancement Act (NTTAA), with implementation document OMB Circular A119, endorses public-private standards development partnerships to create solutions for meeting regulatory requirements that support national objectives and priorities through the use of voluntary consensus standards, whenever practicable and appropriate, to: eliminate the cost to the government of developing its own standard decrease the cost of goods procured and the burden of complying with agency regulation provide incentives and opportunities to establish standards that serve national needs encourage long-term growth for U.S. enterprises promote efficiency and economic competition through harmonization of standards further the policy of reliance upon the private sector to supply government needs for goods and services

Competitive Advantage Participating in standards development activities offer competitive advantages and positions the U.S. as a leader on the global stage Gain insider knowledge and early access to information Exert influence on technical content Develop new markets for products, services, and technologies; and strategic positioning within those markets On almost any given day, a standards group or technical committee is meeting and making decisions that could affect the bottom line of our national economy Shouldn’t we be involved?

Efficiency and Cost Savings Standardization lowers costs by eliminating redundancy, minimizing errors, and reducing time to market Beyond the bottom line: standards improve quality, lead- time, factory flexibility, and supply chain management Reliance on standards and conformance ensures quality, safety, and reliability, all of which provide cost savings and a better ROI

Innovation and R&D Builds on previously standardized technologies, systems, and terminologies which lowers R&D costs Shorten the cycle: research, prototyping, and standardization are symbiotic overlapping processes Gain insider knowledge and early access to key process and application information for developing new products, services, and technologies By participating in standards development activities, stakeholders have an opportunity to directly influence the requirements and guidelines for goods and services

Customer Confidence/Loyalty Consumers want products that are high quality, reliable and safe. They also want a greater selection of goods and services at continuously lower costs. Standards and conformance help make this possible. Standards and conformance efforts benefit public health, safety, and the environment. Consumers benefit from the development and design of new and improved requirements for the safety and quality of products and services we rely on every day. Industry and government rely on private-sector standards solutions that take consumer needs into account. Adopting these standards into regulation saves everyone time and money. Every agency or department in government has a need for standards, whether as an element of the regulatory process or as a key part of procurement policy and operations.

Market Access and Trade Build it here, sell it there: demonstrating compliance to standards helps our products, services, and personnel to cross borders and trade barriers Standards/conformity assessment are inextricably linked with the supply chain throughout multiple tiers of contractors and suppliers Market access: Standards and conformance make cross-border interoperability possible, ensuring that products manufactured in one country can be sold and used in another Standards and conformance foster innovation in the marketplace, shortening the cycle between initial concept and global market access

We All Need To… Understand that standardization and conformity assessment play a strategic role in industry and government initiatives and public policy implementation Leverage the public-private partnership of U.S. standards development to promote quality, safety, and an improved environment for the continued global competitiveness of U.S. industry Identify and support stakeholders participation in standardization efforts. Educate our younger generation and encourage them to participate in the standards development process Make a resource commitment – time, money, and manpower – to the U.S. standardization system

For More Information George Gulla Vice President, Publications American National Standards Institute Headquarters New York Office 1899 L Street, NW 25 West 43rd Street 11th Floor 4th Floor Washington, DC 20036 New York, NY 10036 T: 202.293.8020 T: 212.642.4900 F: 202.293.9287 F: 212.398.0023 www.ansi.org webstore.ansi.org www.nssn.org George Gulla Vice President, Publications ggulla@ansi.org Liz Neiman Senior Director, Communications and PR eneiman@ansi.org