Today we find ourselves in the era when consumer electronics have become the main driver in an industry that touches everyone on the planet in some way. REACH and ROHS are being implemented across the consumer electronics spectrum and are now affecting every aspect of the Electronics Industry from IC’s to final box build.

I had a chance to speak with Mike Zepp, the global compliance guru for Dassault Systemes at the DFMA manufacturing conference in Warwick, RI on June 9th and to better understand how IC and semiconductor packaging were managing the complicated and sometimes convoluted process of compliance as it applies to electronic manufacturing.

Today we find ourselves in the era when consumer electronics have become the main driver in an industry that touches everyone on the planet in some way. REACH and ROHS are being implemented across the consumer electronics spectrum and are now affecting every aspect of the Electronics Industry from IC’s to final box build.

I had a chance to speak with Mike Zepp, the global compliance guru for Dassault Systemes at the DFMA manufacturing conference in Warwick, RI on June 9th and to better understand howI asked Mike to describe what the compliance challenge really is for a semiconductor manufacturer. “With the world’s attention focused on green issues, manufacturers are facing increased societal pressure beyond EU, Chinese and Korean regulations.

"Given the thousands of parts and multitude of suppliers necessary to bring a car or semiconductor to market, complying with these regulations is an incredibly complex process; companies need to be taking this to the next level by building compliance and, ultimately green initiatives into the entire product lifecycle, starting with product design.”

At its most basic level the problem should be approached at the initial design level. Mike and his company have coined the phrase “Eco Design” and describe it this way, “Eco-Design provides real-life visualization and simulation of the entire product lifecycle(procurement, manufacture, use, and disposal) as part of the design process and design decisions.

"This cradle to grave approach enables the enterprises to optimize the use of raw materials, ensure compliance to environmental norms, and improve energy efficiency wherever possible.”

Companies have begun to utilize compliance enabled Product Lifecycle Management (PLM) systems to gain control of the impact these regulations have on the design of their products. Mike describes these tools as, “providing full product regulatory compliance visibility across their entire eco-system of suppliers, customers, and partners.

This broad scope of visibility into the world of environmental compliance allows companies to improve time to market, enhance customer satisfaction, and effectively and efficiently meet the constantly changing landscape of regulatory directives.”

As more companies implement PLM systems compliance enabled tools should be seen as a critical aspect of the implementation. Mistakes and missteps related to compliance issues can be costly, in some cases costing manufacturers millions of dollars in revenue and lost time.

A business value assessment on the labor and cost savings potential of a compliance enabled PLM solution, at a major tier one automotive supplier, showed time savings improvements of 40% to 95% across various roles, and cost savings greater than $20 million dollars over three years.

Mike’s view is that, ”It is critical that the environmental compliance be managed early in the product development process because the cost impact of design changes in manufacturing, or late in the product design process, can be enormous. True Eco Design leverages PLM to effectively manage all the elements necessary for:

• Eliminating synchronization of data between disparate system
• Improving compliance declaration collection efficiencies
• Streamlining compliance declaration analysis and management
• Maximizing reuse of compliant components and suppliers
• Removing compliance reporting inefficiencies

Environmental regulations have become a global mandate, what may have started out with skepticism and as an engineering challenge fifteen years ago, has become a way of life for the electronics industry.

Companies like Intel, Nokia, Samsung, Sony, Apple, Acer, Motorola and other large electronics manufacturers make up a growing cadre of companies that are leading in global green manufacturing efforts. In many cases share holder value has improved as a result of their focus.

While the ability to get control of compliance early in the design cycle can help companies avoid production and financial losses down the line. it is important to note the intangible gains in market share, consumer awareness and goodwill that a company’s green reputation can generate.

Recent studies identify a new generation of consumers who have been educated in the importance ecological awareness, and will make purchasing decisions based on their perception of a company’s focus on the environment.