1. Purpose:
At Inductors Inc, we are committed to delivering high-quality products and maintaining the trust of our customers. The purpose of this Counterfeit Avoidance Policy is to establish guidelines and procedures to prevent the introduction and circulation of counterfeit electronic components within our organization’s supply chain. Counterfeit components pose significant risks to product reliability, performance, and safety, and can damage our reputation and customer relationships. This policy aims to mitigate these risks by implementing robust measures to identify, report, and eliminate counterfeit items.

2. Scope:
This policy applies to all employees, contractors, suppliers, and partners involved in the procurement, handling, storage, and distribution of electronic components within Inductors Inc’s supply chain.

3. Definitions:

• Counterfeit Electronic Components: Parts that are deliberately misrepresented as authentic, often of inferior quality, and sourced from unauthorized or unreliable suppliers.
• Authorized Suppliers: Vendors and partners vetted and approved by Inductors Inc to supply genuine electronic components.
• Product Verification: The process of confirming the authenticity, origin, and quality of electronic components through documentation, inspection, and testing.

4. Compliance:
All individuals involved in procurement activities must comply with this policy and any relevant laws and regulations governing the purchase and distribution of electronic components, including anti-counterfeiting laws and intellectual property rights.

5. Procedures:

• Supplier Qualification: Prioritize sourcing electronic components from authorized suppliers with a proven track record of delivering genuine products. Conduct regular assessments and due diligence to verify supplier authenticity and reliability.
• Documentation Review: Require suppliers to provide traceable documentation, such as certificates of conformance, test reports, and supply chain records, to verify the authenticity and quality of electronic components.
• Physical Inspection: Implement comprehensive inspection protocols upon receipt of electronic components to detect any signs of counterfeiting, including discrepancies in packaging, labeling, markings, and product appearance.
• Testing: Utilize appropriate testing methods, such as electrical testing, X-ray inspection, and material analysis, to validate the authenticity, functionality, and performance of electronic components, especially for high-risk or critical applications.
• Reporting: Establish clear procedures for employees to report suspected counterfeit electronic components to designated authorities within Inductors Inc for further investigation and action.
• Disposition: In the event of confirmed counterfeit electronic components, take immediate steps to quarantine, segregate, or dispose of the items safely and responsibly. Notify relevant stakeholders, including customers and regulatory authorities, as necessary.
• Continuous Improvement: Continuously review and enhance procurement processes, supplier qualifications, inspection methods, and testing capabilities to strengthen counterfeit avoidance measures and adapt to emerging threats and industry standards.

6. Training and Awareness:
Provide comprehensive training programs to employees involved in procurement, quality assurance, and supply chain management to raise awareness of the risks associated with counterfeit electronic components and educate them on proper detection, reporting, and mitigation strategies.

7. Monitoring and Review:
Regularly monitor and evaluate the effectiveness of this policy through audits, inspections, and performance metrics. Conduct periodic reviews of supplier performance, product quality, and compliance with counterfeit avoidance measures.

8. Enforcement:
Violations of this policy may result in disciplinary action, including warnings, retraining, suspension, termination of employment, or legal action, depending on the severity and impact of non-compliance.

9. Communication:
Disseminate this policy to all employees, contractors, suppliers, and partners involved in the procurement and supply chain management of electronic components. Ensure understanding and adherence to their responsibilities in preventing counterfeit electronic components within Inductors Inc’s supply chain.

10. Conclusion:
By adhering to this Counterfeit Avoidance Policy and implementing proactive measures to identify and eliminate counterfeit electronic components, we reaffirm our commitment to delivering reliable, high-quality products and maintaining the trust and confidence of our customers and stakeholders. Together, we safeguard the integrity and reputation of Inductors Inc in the global marketplace.