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The role of Obsolescence Management in reducing the threat of Counterfeits Stuart Kelly Anti Counterfeiting Forum 19 th February 2015.

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Presentation on theme: "The role of Obsolescence Management in reducing the threat of Counterfeits Stuart Kelly Anti Counterfeiting Forum 19 th February 2015."— Presentation transcript:

1 The role of Obsolescence Management in reducing the threat of Counterfeits Stuart Kelly Anti Counterfeiting Forum 19 th February 2015

2 Me!  Ex Obsolescence Management Subject Matter Expert for the Ministry of Defence  Ensuring proactive OM implemented as part of the Defence acquisition process  Advice & Guidance to >200 projects  Currently Obsolescence Management Specialist  MD Through Life Support Limited  OM Advice, Guidance & Training to multiple sectors  Visiting Fellow at Cranfield University  Chairman of Component Obsolescence Group - IIOM

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4 IIOM Mission: Advance the science and practice of Obsolescence Management Promote and recognise high standards of practice and professional competence Open opportunities for development and career paths for practitioners of Obsolescence Management Generate widespread awareness and understanding of the discipline.

5 Training for Obsolescence Managers

6 Obsolescence Management  Is there a role to play for Obsolescence Management to reduce Counterfeits?  Counterfeit Avoidance has been a prominent topic at Obsolescence Management meetings & conferences for the past several years.

7 Obsolescence Management  Major equipment now has an increasingly long service life  Defence, Oil and Gas, Nuclear, Rail, …..  Over their life in service, a substantial number of components required to produce and support such systems will become no longer available from the Original Component Manufacturers

8 Obsolescence Management  What is the purpose of Obsolescence Management?  To understand the obsolescence risk to a component  What is the likelihood of a component becoming unavailable from original manufacturer?  Mitigate obsolescence risk by ensuring:  Continuation of supply of original component  Approved resolution options are available

9 Understanding Obsolescence Risk  Probability & Impact  Probability of becoming obsolete and turning into an obsolescence issue.  Operational impact of the obsolescence issue on the system’s function and performance. It represents the potential loss of a systems availability or capability

10 Obsolescence Management

11 Source – IHS iSupply (COG Conference 2011)

12 Obsolescence Management

13 Obsolescence Risk

14  Low Risk  Already established that there will be an easy cost effective implementable solution when obsolescence strikes  Get this wrong – open to counterfeits

15 Obsolescence Risk  High Risk  These are the parts that will be critical to a system and should be continually monitored using a pro-active OM strategy  complex functions such as processors, memories, programmable logic, A to D converters etc  Counterfeiters will target high risk items that are:  Declared Obsolete  Hard to Find  No approved sources

16 Probability  How?  Component Monitoring  Using tools  Will propose alternatives  Supplier Monitoring  Continual engagement with Supplier

17 Design Refresh Planning

18 Obsolescence Management  A poor OM programme can:  increase the use of the open market or other independent supply chains  Cause an increased risk of counterfeits from widening their supplier bases  Force electronic parts to be purchased from suppliers other than the original component manufacturer (OCM) or its authorized dealers

19 Obsolescence Management  A good, robust OM programme can reduce risk of counterfeits:  Reacting quickly to EOL’s, PDN, PCN’s to ensure continued source of supply by  LTB’s  Continuing production by original manufacturer  Engaging with an approved aftermarket supplier

20 Obsolescence Risk  For High Risk components – those that are most likely to be subject to Counterfeit  A good Obsolescence Manager should  Understand the Risk  Mitigate the Risk  Detailed Risk Analysis  Design Considerations  Technology Transparency  Modular Design  Design Refresh Planning  Obsolescence Monitoring  Authorised Alternative / Substitute  Risk Mitigation Buy  Die Banking  Authorised Continuing Manufacturer

21 Summary  Counterfeits are a growing concern  A good OM plan can reduce the risk of searching the non-approved routes  OM itself is only one part of the solution  Anti counterfeiting standards  AS5553A, AS6081, Def Stan 05-135

22 Obsolescence Management Obsolescence Risk Understood and Mitigated

23 Summary  We might not be able to stop them becoming obsolete, but we can reduce the impact they have on our systems

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25 IIOM Conference  Inaugural IIOM Conference 16 th to 18 th June 2015

26 Technical programme Workshops Two day Conference Agenda

27 IIOM Conference  Visit COG web site for link to IIOM Conference site:  Social and Technical Programme  Sponsorship Details  Exhibitor Registration  Register as a Delegate www.cog.org.uk

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