REPORT FROM DIRECTOR GENERAL About IFIA A federation of - PowerPoint PPT Presentation

ANNUAL GENERAL MEETING 2012 REPORT FROM DIRECTOR GENERAL

About IFIA • A federation of organizations that provide testing, inspection and certification (TIC) services, internationally • Established in 1982 • Global membership of 40 TIC companies A combined turnover of over € 12 billion and 200,000 - employees - Approximately 44% of membership turnover in Europe, 26% in Asia Pacific, 20% in North America and 10% Rest of World

Objectives • To improve the methods, standards, safety procedures and rules used by its members • To establish legally defensible terms and conditions of business • To promote global recognition of the profession as being associated with trust and integrity • To defend the interests of its members and promote the value of their services

IFIA Membership 2012 A1 (turnover > € 800 Million) C2 turnover (< € 10M) ALS Group Abeni Surveyors Bureau Veritas Baltic Control Intertek Cargo Inspections Group SGS Coastal Gulf & International TŰV Rheinland Control Union International Underwriters Laboratories Control Quality Inspecoes Cugnier Certificadora CWM Survey & Inspection B1 ( € 300M - € 500M) Engineering Bureau Franke Canadian Standards Association Helmsman QTS Inspecta International B2 ( € 100M - € 300M) Inspekt RGH Cotecna Maloney Commodity Services Saybolt National Marine Consultants Oil Test Internacional C1 ( € 10M - € 100M) P T Carsurin Alfred H Knight Ravi Energie Amspec Seatrans Consulting Camin Cargo Control SGT Services (Thailand) Certispec SOEX Control Union World Group Superinspect Geo Chem Universal Inspectorate & Services Overseas Merchandise Inspection (OMIC) Schutter Rotterdam Sucofindo

Finances • Range of subscription £4150 (C2) - £40,000 (A1) (constant for nine years) • Member subscriptions for 2013 estimated to generate £450,000 • Projected total income 2013: £700,500 • Projected expenditure 2013: c £695,200 • Main additional income generator (balanced by expenditure): Inspector Certification (Petroleum) • Reserves at start of 2012: £412,864

Committees Agricultural & Vegetable Oils Petroleum & Petrochemical Metals & Minerals Government Services Industrial Services Consumer & Industrial Products Social Auditing Accreditation Compliance Legal

Membership/corresponding members • All IFIA members active in a sector are encouraged to participate as committee members • Those unable to do so in sectors where the committees is developing material that is binding on the membership automatically become corresponding members

Agriculture & Vegetable Oils • Code of Practice covering key elements of the service members provide under development to replace old Guidelines. Particular emphasis on the contractual context • New bulletins • The issuing of Phytosanitary Certificates • Certification of “Sound, loyal and merchantable” • Inspector Certification Programme in vegetable oil inspection area to be available on-line as from next year • Active participation in GAFTA, FOSFA and through ASCB (Brazil) with ANEC (Brazil)

Petroleum & Petrochemicals • One Committee with two Regional Technical Committees (i) Americas (ii) Africa/Asia/Europe (AAE) • Code of Practice underway to cover key elements of the service with particular emphasis on safety • Set of nearly 30 bulletins under review/update • Collection of safety data • Inspector Certification becoming available on-line globally. Now self financing in the Americas as well as AAE

Metals & Minerals • Draft Code of Practice in relation to the integrity of data handling and Umpire Analysis under preparation in a sub- committee • When this is agreed, the full Committee will be asked to identify what should be covered in a broader Code of Practice to replace the existing Guidelines

Government Services • The IFIA Code of Practice on Consignment Based Conformity Assessment has now been published. • An auditor check list has been developed for this, and the five IFIA member companies presently engaged in this service will undergo annual audits starting in 2013 (as for PSI) • Liaison with WTO, WCO and EU DG Trade to give a positive impression of independent inspection to the parties that are developing international trade agreements

Industrial Services • Newly re-formed Committee identifying areas where conflicting standards, or the absence of standards, inhibits business • To be followed by prioritizing actions to develop needed solutions with appropriate parties • Discussion with Shell over unreasonable demands on internationally organized inspection companies under their new Supplier Qualification System

Consumer & Industrial Products • Survey of consumer products 1) submitted to CIPC members for testing and 2) purchased on the European market with CE marking but no independent testing now completed over three years • Results demonstrate high level of non-compliance (82%), including 8% significant safety failures • These results being used to spearhead a campaign (including forming alliances with consumer groups and “good” industry) for mandatory third party testing for regulated products as against supplier’s declaration. Contribution to partnership with CEOC • Action in US towards OSHA, CPSC, NIST etc • Consideration of a mutual recognition program for certain product certification

Social Auditing • The five IFIA Members engaged in his service find that – the procedures they have in place – the communications they have with each other – they can demonstrate that they have tackled corruption now enable them to deliver this service effectively • The IFIA system is therefore being maintained and expanded beyond China

Accreditation • Key principles based on opposing accreditation activities that cause unnecessary cost reconfirmed as IFIA’s input to the accreditation system • Worked with CEOC to prevent ILAC (international accreditation) imposing its own requirements over and above the new ISO/IEC 17020 on inspection companies • New IFIA representation on EA Advisory Board (European Accreditation) provides basis for alliances in pursuing our aims

Compliance • The IFIA Compliance Code has been updated • to specifically require that IFIA companies in group membership demonstrate to their auditors that their compliance programmes are being properly implemented throughout every branch of their organisation • to clarify the business relationships to which members are expected to extend their compliance programme (Intermediaries, J V Partners, Agents, Subcontractors, Franchisees, but NOT Contractors or Suppliers)

Legal • The IFIA Membership requirements have been tightened to include: • An absolute requirement that subsidiaries may not become members unless any parent or sister company engaged in TIC joins as part of the same membership • New provisions to include Health and Safety management • Clearer definition of the “organization” that constitutes a member’s group membership, all of which has to be subject to IFIA’s membership requirements

Issues addressed in Council • MoU with CEOC • Brazilian Association of Supervisors and Controllers (ASCB) • Systems Certification and IFIA • Government owned/controlled TIC organizations and IFIA • Use of IFIA’s Associated Membership and Affiliated Body categories • Lobbying Strategy

International Federation of Inspection Agencies 1 Paternoster Square London EC4M 7DX United Kingdom T: +44 20 7653 1604 F: + 44 20 7236 1977 www.ifia-federation.org