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Strategic Standards Management
It Takes a Plan Copyright © 2003 Clyde R. Camp All Rights Reserved 3/15/02 Ver 6.0
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WORLD CLASS APPROACH Being A World Class Company
means compliance with Global Standards Or you let others write the standards for you: Positive - cost avoidance for immediate profit improvement Negative - others determine your product destiny You either influence the standards Positive - you control/influence standards affecting your product lines Negative - short-term costs with weak traceability on long-term return Either way, business strategies must take global standards into account to ensure international acceptance of product and to successfully address meta-issues such as Quality, Environment, Conformity Assessment, Health, Safety and Human Factors Either way, it is a business decision you must make as part of your corporate strategy and culture
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AGENDA Strategic Standards Management A Corporate Standards Program
Standards Environment Overview Strategic Standards Management (and why it is important to global business) The technical and management roles A Corporate Standards Program Why it is needed Characteristics and considerations Patent and Other IPR Considerations
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Change in the Power Structure
25 years ago, 80+% of International standards were essentially US National Standards that were “thrown over the wall” into the international community Today, that number is less than 40%. It is estimated that by 2020, the number will be less than 20% The US still has a strong influence, but it no longer commands the field US Industry has not, in general, come to realize this The ISO 9000 quality standard drove the point home
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THE GLOBAL STANDARDS ARENA
Attempting to force National Standards into the international arena is no longer acceptable to global marketplace INFLUENCING ORGANIZATIONS EU COS WTO/ GATT MITI International Standards Bodies Regional Standards Bodies CANENA ECMA AECMA CEN/ CENELEC ETSI ICAITI PASC COPANT National Standards Bodies IEC ISO AFNOR DGN SCC GOST SCS JISC BSI DIN Other Adopting international standards as National Standards works when industry participates in their development Influence Adopt JTC1 ITU RS TS DS American National Standards Institute IEEE NCITS NEMA ACM T1 NFPA ASME SAE UCC IETF Certification and Conformity Assessment Non-Tariff Trade Barriers (e.g. Standards) One Country - One Vote.
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WHAT IS STRATEGIC STANDARDS MANAGEMENT?
Recognizing that standards are more a business issue than than a technical one and explicitly managing them in the formal strategic planning and global design review processes. Recognizing that a philosophy of “You write standards and we’ll build to them” results in a competitive disadvantage in today’s global marketplace. Utilizing standards as a fundamental tool in developing marketing strategies. What new products can be developed to standards that already exist? What new standards are under development which affect existing products? How can new standards be used to enlarge or create the market space? Utilizing standards as a basic vehicle for communicating requirements to both customers and suppliers - worldwide. Utilizing standards as a key early warning tool for sounding the alert in such areas as quality certification, environmental mandates, health and safety regulations, etc.
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IDEAL STANDARDS PROGRAM
Has an appropriate level of technical participation and strategic planning from the product divisions Has an appropriate level of guidance, education, marketing and policy participation from upper management Promotes a top-down desire to manage the standards activity rather than just let it happen Actively works to improve the national and international process Actively promotes national industry and standards in the international arena Increasingly Global Thinking
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Patents and Standards National and international standards organizations generally require that IF a patent is required for the implementation of the standard (by definition an essential patent), then the patent holder is required to "...license the patent on a non-discriminatory basis for a reasonable fee. " Working Groups may seek to formalize this by seeking statements or Letters of Assurance to this effect before the standard is finalized or before the project is even begun. If the holder of an essential patent refuses to agree to this, then either The writers of the standard must find another way of accomplishing their task that does not infringe on the patent holder’s rights or The standard must be forgone
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