Counterfeit components filtering into the supply chain are causing a huge economic impact on the electronics industry. Based on a review of various industry sources it is believed that approximately 30-35% of all components being sold are counterfeit. To address this problem, North Shore Components has implemented a proactive and comprehensive Counterfeit Electronic Parts Control Plan for the sourcing, procurement, detection and control of Electrical, Electronic, and Electromechanical parts purchased and sold from the Open Market. This plan includes the processing of OEM Consignment Inventory, Outright Buys of Excess Inventory and Product Returns. To help combat the spread of counterfeit components our plan addresses the following concerns:

1. Customer PO Review and Processing Guidelines – When in receipt of a Customer purchase order all requirements shall be reviewed and approved before the creation of an NSC purchase order. Due consideration shall be given to the sourcing of materials by a thorough review of industry sources such as GIDEP, ERAI and IDEA.
2. Supplier Approval and Source Selection – No materials will be procured from unapproved sources, all Suppliers will be approved in accordance with Customer and NSC requirements. A register of all unapproved and approved Suppliers will be maintained, including the scope of their supply and the criteria for approval.
3. Purchasing Requirements and Guidelines – All applicable Customer requirements shall be flowed down to the Supplier via an NSC purchase order and/or our Terms and Conditions of Purchase. All Suppliers must acknowledge and confirm the understanding of such requirements before a purchase order will be placed.
4. Verification of Purchased Product – All materials received from the Open Market shall be inspected and tested to conform to the Customer and or Manufacturer specifications.
5. Material Control – All materials deemed to be suspect, fraudulent or confirmed counterfeit shall be processed in accordance with the requirements of our Counterfeit Electronic Parts Control Plan
6. Reporting – All occurrences of suspect, fraudulent or confirmed counterfeit components shall be reported to internal personnel and as appropriate, to Customers, Government reporting organizations, industry sources and or those Organizations having authority or jurisdiction to address such issues.
7. Personnel Training – All relevant personnel, including Top Management, Department Heads and Key Area Personnel will be trained as appropriate in the avoidance, detection, mitigation and disposition of suspect, fraudulent or confirmed counterfeit parts. All personnel approving the shipment of materials will be certified as IDEA-ICE-3000 Certified Inspectors.

For more detailed information on North Shore Components Inc. Counterfeit Electronic Parts Control Plan please visit our website or contact a Customer Service Representative.