Anti Counterfeiting in the Retail environment a perspective Dr - - PowerPoint PPT Presentation

Anti‐Counterfeiting in the Retail environment – a perspective

Dr Graham Wright On behalf of the Consumer Goods Council of South Africa

Overview

• Introductory comments

Introductory comments

• The Consumer Goods Council of South

Africa Africa

• Counterfeiting and the retail sector
• Closure

Introductory comments

• Appreciation for an opportunity to participate in

this forum;

• Characterised by:

– Breadth of engagement; – Intensity of effort; A i i i – Action orientation.

• Built on a foundation of many years of

engagement and commitment engagement and commitment.

The Consumer Goods Council of SA

• A membership‐based organization representing over 12 000

members in the retail, wholesale and manufacturing of consumer goods consumer goods advocacy

• Seek action through advocating on policy.
• Negotiate on behalf of sector: legislation,

advocacy

g g , labour issues, environmental initiatives.

• Create awareness and favourable

spokesperson

Create awareness and favourable industry PR.

• Represent industry on topical issues,
• ften ad‐hoc.

act

• Execute collective action, economy of

scale or anti‐trust concerns

act

scale or anti‐trust concerns

CGCSA Board Members

• Willowton Group
• Massmart Holdings
• Spar Group
• BAT
• Nestle SA
• Smollan Holdings

BAT

• Woolworths

I i l L i i Smollan Holdings

• Tiger Brands

Pi F d

• Imperial Logistics
• Pioneer Foods
• Maponya Group

Affiliations

Locally member of Business Unity South Africa The Consumer Goods Forum Global platform for the consumer goods industry industry. GS1 A leading global organization dedicated to the design and implementation of global standards and solutions to improve efficiency and visibility in the supply chain. FIRAE Forum for International Retail Association Executives.

Initiatives include:

• Industry Affairs – Advocacy & Lobbying with

respect to economic legislative and regulatory respect to economic, legislative and regulatory issues affecting the industry

• Food Safety – Industry spokes person
• Crime Risk Initiative – Network, Liaison & Solutions
• GS1

Global standards managing collective action

• GS1 – Global standards, managing collective action

Consumer Goods Risk Initiative

Risk and loss due to the impact of crime has an immense impact on businesses in South Africa. In 2001 th j t il j i d f t iti t 2001 the major retailers joined forces to mitigate crime within the retail industry through the Consumer Goods Risk Initiative (CGRI). ( )

• Direct losses average an

estimated R18 million per annum;

• 5 major retail groups signed up

j g p g p as members of the Consumer Goods Risk Initiative to reduce Crime in the industry.

Initiative currently under review:

• Align with emerging needs of the industry;
• Enhance value proposition
• Enhance value proposition.

Consumer Goods Risk Initiative (Cont.)

Employee Crime Incident Employee Reference Site Crime Incident Management System Instant alerts - Amavuso Special Projects Formulation of best ti Forums and SAPS practises Liaison

A Formidable and Respected Industry Voice in South Africa

GS1 South Africa and WCO

• Does the physical object have

the expected digital covert

• Technology agnostic
• Global Location Number (GLN)

the expected digital, covert (hidden) and/or overt (obvious) deterrents to prove authenticity?

• Global Location Number (GLN)
• Global Trade Item Number

(GTIN)

• Specific forensic features

authenticity?

• Who is the authoritative and

trusted source to verify the

• bjects authenticity?

Specific forensic features

• Lab or field analysis
• Hologram, label, overt seal

information

10

The role of GS1 South Africa

GS1 is a not‐for‐profit organisation dedicated to the design and implementation of global d d i h ffi i d i ibili standards to improve the efficiency and visibility

• f supply chains globally and across sectors
• 111 member organisations
• 40 years of experience
• Neutral platform for all supply chain stakeholders

Neutral platform for all supply chain stakeholders

• Over a million companies doing business across 150

countries O 6 billi t ti d

• Over 6 billion transactions a day

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Counterfeiting and Retail

• Billions lost annually through the counterfeit industry
• Seizures up annually
• Challenges:

Inter‐Agency cooperation l l Slow criminal justice processes Intelligence capacities Awareness and corruption Awareness and corruption

• Consumer Goods Council of South Africa members take action

Forum in place with the support of key stakeholders p pp y Study to be commissioned

12

Government/Business Partnerships

• Codentify and Microdot parallels;

Microdots are small (0,5 mm diameter) dots with unique inscribed codes applied to vehicles; codes applied to vehicles; Purpose – to secure the identity of motor vehicles as a deterrent to theft/hijackings/cloning;

• i l l b l

l i k h fi Potential global solution – SA taken the first step; Extract lessons and best practices and apply.

• The challenges:

g

Long lead times; Roles and responsibilities (lead and critical support agencies); Alignment (government & business); Alignment (government & business); Solution development ‐ independence; Legislation; Implementation risks.

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Closing comments:

• A united, coordinated and well directed front in

tackling the illicit market is clearly growing in importance;

• CGCSA, as an important and influential industry

body, is engaging with stakeholders to determine its role, along with others; ( f f

• Current capabilities (GS1, information platforms,

networks and forums) and associated best practices clearly should be exploited; clearly should be exploited;

• Leveraging our synergies and objectives.

14

Source – Trade Intelligence