IJCA - Volume I - Flipbook - Page 54
54 The International Journal of Conformity Assessment
In anticipation of potential product accidents, a
system should be implemented to respond smoothly
to claims and measures should be taken to minimize
company losses caused by product liability
accidents.
One example of a product liability defense measure
is an in-house claim response system. If a proper
claim response system is established, consumer
complaints about product safety are appropriately
fed back to the design and manufacturing
departments. Building an in-house claim response
system is very important because it benefits product
liability prevention countermeasures, as well as
various methods for developing new products.
While it is true that the customer’s trust is
temporarily lost when product accidents occur, once
the appropriate claim measures are taken, it may be
possible to restore trust as well as strengthen and
improve customer relationships.
In modern society, where corporate responsibility
is becoming more stringent, the attitude of
corporations toward society is drawing attention
in all aspects. In this sense, it is the responsibility
of companies to improve their in-house systems
with the perception that an appropriate, rapid claim
response is the standard for indicating a company’s
social attitude.
(2) Pre-Accident Product Liability Defense Measures
1) Establishment of an In-House Product Liability
Response System
Clarification of the authority and responsibility of the
department in charge of product liability:
In Korea, after the enforcement of the Product
Liability Act, there may be a situation in which
lawsuits increase significantly like in the United
States.
Under the conventional negligence liability, it would
have been difficult to prove the requirements for
liability for damages, so there have been many cases
of giving up filing a lawsuit. After the enforcement
of the Product Liability Act, however, a constant
increase in the number of claims is inevitable as the
liability requirements for damages are changed and
eased to meet requirements for no-fault liability.
Therefore, companies should have systems that
can more quickly respond to increasing claims by
clarifying the authority and responsibility of the
department in charge of product liability.
2022 | Volume 1, Issue 1
2) Matters to be Considered When Reorganizing the
Organization
There are various methods—such as the
establishment of a dedicated organization or a
temporary organization, or the use of an existing
organization—to determine the type of organization
in which a product liability department should
operate.
It is necessary to review each option individually
as this determination must factor in the size of
the company, any present in-house organization,
and expected number of claims, but it is better to
consider the following matters when reorganizing an
organization.
Participation of the Technology Sector
In product liability claims, technical or
professional discussions about product safety
will be developed frequently. Cooperation of staff
related to product design, development, and
manufacturing is essential for the operation of
the product liability response organization.
Therefore, regardless of the form of the
organization, experts in the technology sector
should be included in the product liability team.
Establishment of an Enterprise-wide System
Even if a dedicated product liability organization
is installed in-house, it is impossible for this
organization to handle all product liability
problems.
This is because they can respond effectively only
if they obtain the cooperation of sales and aftersales service departments located throughout
the country. In addition, there will be many claims
from customers against related companies
outside the organization, such as retailers and
sales agents. To resolve claims smoothly, it is
necessary to establish an enterprise-wide system
linking related sectors across the country and
parties outside the company.
Similarly, it is also necessary to review the
placement of full-time persons in charge of
activities such as the preparation of accident
handling manuals, accident reporting forms, and
the education and training of internal and external
related systems.
Institution of a Reporting System to Top
Management
A sufficient understanding of a company’s top
management team is necessary to promote
product safety measures effectively, and the
same is true for a smooth claim response.
In particular, in the cases of serious Product
Liability claims that developed through litigation,
a quick decision by the Top management is
required to solve the problem, and a reporting
system must be established to receive an
immediate judgment from the Top management if
necessary.
Support from Outside Experts
As claim responses progresses, it is desirable
to establish a system that can easily obtain
support from outside experts, such as lawyers,
erudite experienced persons, engineers belonging
to public institutions outside the company,
or in cases of insurance involvement, staff of
insurance companies.
4. Preventive Countermeasures Using the Design
Management System of the Quality Management
System
If there is a problem with the design itself, all
products will become defective products, and a large
amount of liability for damages may occur due to a
number of product liability accidents.
Therefore, product safety measures are extremely
important during design and development stages.
Above all, companies should first try to supply
defect-free and accident-free products to the market
through safety-conscious designs.
Concretely, it is important to meet various safety
standards and rules required at the product design
and development stages, and to predict product
risk in any way and devise accident prevention
measures. Product safety should be reviewed and
set at the development and design stages, and the
product should be manufactured after it is circulated
for each process—such as raw material purchase,
outsourcing, and manufacturing—reflecting all
design specifications, design drawings, and order
specifications.
(1) Design and Development Planning
Organizations should plan and manage all facets
of product design and development. During the
planning period for these phases, the organization
should determine the following.
55
verification activities for the requirements of
each design and development stage
3. Responsibility and authority for design and
development activities
To ensure effective communication and clarity
of responsibility, organizations must manage the
linkages between the different groups participating
in design and development. If applicable, the
planning output should be updated according to the
design and development progress..
• Management Point
1) General matters included in the design and
development plan:
1. Identification of customer requirements and
the market’s request of quality identifications
when reviewing contracts
2. Design and development feasibility
assessment
3. Design expense and product cost price
4. Development schedule and design review,
design verification, design verify validity plan
5. Market evaluation
6. Measurement, test method, and acceptance
criteria of the product
7. Selection of the designers, reviewers, and
verification and validation representatives.
8. Design and update of development plan (or
devise renewal regulations)
9. Design input/output documentation and
storage methods
2) Organizational and Technical Connectivity
1. Organizational connectivity: Participation
in related departments when using
manufacturing lines for factory experiments,
supporting model production personnel, and
reviewing designs.
2. Technical connectivity: Interference
in functions, physical properties, and
appearance’s mutual interference; introduction
of new technologies; discovery of new
materials; training of service personnel, etc.
3. Establishment of Connectivity
• Information obtained and delivered
1. Stages of the design and development process
• Clarification of sending and receiving groups
2. Appropriate review, verification, and feasibility
• Clarification of the purpose and method of
