Close contact keeps quality in check (hktdc.com)


	TUV Rheinland Director Lutz Frankholz oversees quality inspection in the Hong Kong laboratory

With terms like sustainability, green manufacturing and corporate social responsibility being buzzwords these days, it's no wonder inspection agencies such as TUV Rheinland finds that its services are in demand more than ever.

Director Lutz Frankholz said the 135-year-old German company, which has a one stop office cum laboratory in Hong Kong, has been doing inspection services for a long time but in recent years, certain issues are highlighted. "In view of the massive recalls initiated by well-known toy chains, the media and end users are more aware of the need for product safety testing and factory inspection," he explained.

TUV Rheinland, celebrating its 20th anniversary in Hong Kong next year, claims to be the first German organisation of quality inspection to set up in the city. The company has a global strategy of being as close as possible to its manufacturers and that is why the group has a dense network of 340 offices in 56 countries. Hong Kong, according to Mr Frankholz, is great for his industry.

Trading hub

"Hong Kong is a trading hub where all the global organisations have regional bases and all the decision makers are here. Added to that, it is also a services centre with efficient logistics and banking. Our retailing and manufacturing clients need a supporting services environment such as this," said Mr Frankholz.

About 10 per cent of the 200 strong staff in Hong Kong are foreign experts while the rest are local. "We are lucky that Hong Kong people are well educated, especially in chemistry. We need people with the right educational background to train up so that we can have good, knowledgeable staff," he added.

TUV Rheinland just launched its innovative TUV Rheinland STAR service to evaluate companies with five-star ratings in nine dimensions: corporate governance, social responsibility, occupational health and safety, quality, environment, information security, financial disclosure, brand, fair trade and competition.

"Your customer may know their products but how can they learn about other qualities such as innovation power, commitment to social responsibility and corporate governance integrity?" asked Mr Frankholz. "This five star rating system provides the necessary evaluation criteria to allow a comprehensive risk assessment. Based on this, you can make an informed decision on which company best matches your requirements."

Corporate education

He said that most of the product and inspection work done in Hong Kong is concentrated on three industries – electrical, toys and textiles. "We not only do testing for the retailers but also for the manufacturers. Most of our clients have been with us for a long time and are aware of product regulations. However, they are more and more concerned about the health and well-being of the end user," Mr Frankholz said.

TUV Rheinland believes in educating its clients, frequently holding meetings and seminars to update them on new rules and regulations governing their industries. Most Hong Kong companies, he said, are aware of the need for green manufacturing and the enforcement of WEEEs (Waste on Electrical & Electronic Equipment) and RoHS (Restriction on Hazardous Substances) introduced in the past two years.

"We often give seminars on preventing the use of toxic materials, examining the whole supply chain and how to change the selection process about the components used," he said. The city has already formed the Hong Kong Green Manufacturing Alliance, an organisation founded by major manufacturing and trade associations to help industries comply with overseas requirements and adopt a green manufacturing culture.

Time spent on testing a product varies from product to product. On an average about 15-20 working hours are spent on an electrical product but sometimes it can take up to four days for toys.

Risk minimsation

"The whole process has to be done very fast. You're taking a product out of the assembly line to be tested while the whole manufacturing process is still going on, and if changes are required, they have to be done very fast. At the end of the manufacturing process, one guy has to decide whether the product is okay or not. If these inspection steps are not taken, you have product recalls followed by massive problems," he said.

There is indeed an urgent need worldwide to carry out chemical as well as physical inspections and the entire production and supply chain can also be tested with regard to sustainable use of resources, labour conditions and social standards. It is small wonder than that the TUV Rheinland China office – Hong Kong and 24 offices on the mainland – has doubled growth every three years.