Question

what would be a specific law or legal problem that affect operational policies within supply chain and logistics? how would you compare and contrast these issues?

Answer 1

Answer: The Government rules and regulations affects every supply chain management whether it's a public or private company. There is always a government interventions for a company to fill out paperwork or prepare for an audit by other outside party. Few of the issues faced by the companies in the supply chain management process.

(a) Rule of Hazardous Substances (RoHS):

A company is governed by various set rules. European Union's RoHS rule restricts the use of hazardous substances like lead, mercury, cadmium, hexavalent chromium, etc. EU sets the percentage of a chemical in something by separating the object into parts that are homogenous. The EU also enforces a strict recycling policy.

(b) Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH Rule):

This rule regulates chemicals "substances of very high concern (SVHC)", which is already listed by EU. Almost any company that imports from outside EU has some responsibility and accountability under REACH.

(c) Conflict minerals as defined under the Dodd-Frank Act:

In this conflict, a company has to be careful about sourcing of the minerals from the places that are financing conflict.Some minerals that has financing conflicts are tantalum, tin, gold, and tungsten. Companies that want to source these minerals must ensure their origins are cleared by the US.

(d) Waste from Electrical and Electronic Equipment (WEE):

In this rule, the manufacturer must be able to collect the items itself to recycle the products.

(e) Traceability of pharmaceuticals and medical equipment:

In this rule, the data kept by the manufacturer must also include information about how the product was sent to the final retailer or distributor.

(f) Title 21 CFR Part 11:

It is a complex rule that does not feature an easy compliance solution. A company must have multiple steps and different procedures in place to meet compliance with the regulations.