Materials Compliance for Green Product Development

Improving materials compliance can contribute significantly to new market opportunities.

Top performing manufacturers were able to dramatically reduce their number of product recalls and stop shipments, while increasing new market opportunities by utilizing effective materials compliance measures, according to a new report by Aberdeen Group.

Ensuring the safety of consumers, while protecting the environment, has been a core priority among product companies - and as such, their focus on the raw materials and substances used to make their products.

It has been three years since Aberdeen has researched this aspect of product development, during which the regulations and compliance issues were just percolating and becoming "real" through the introduction of penalties, fines, and new customer demands. In recent months, Aberdeen has seen an acceleration of interest and challenges for companies that strive to achieve materials compliance in Green product development. Superior compliance performance among these companies is the result of implementing best practices and enabling those practices within the appropriate compliance infrastructure.

"Implementing or improving materials compliance can contribute significantly to new market opportunities, but many organizations lack the initiatives, capabilities, and technological enablers to realize these opportunities. The primary reason for this is their fear of compliance cost translating into higher product prices, causing them to lose ground to competitors," explains William Jan, Senior Research Analyst for the Product Innovation and Engineering at Aberdeen Group. "However, top performing manufacturers are able to effectively align materials compliance initiatives with their product development processes and customer requirements. The result is an impressive return on their compliance investment."

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