Traceability Technology is Crucial for Effective Product Recalls

Product recalls are an unfortunate but urgent reality. Workflows and measures will ideally prevent them, but they’re too common and disruptive to assume you’ll never experience one. They are more common than most people think.

There were 218 non-food consumer product recalls in 2021 alone, and that figure has remained above 200 since 2017. In March 2022, Soundboks recalled Bluetooth speakers because their lithium-ion batteries posed a fire hazard.

Thankfully, as frequent as these scenarios are, you can reduce and mitigate them. Traceability technology such as the Internet of Things (IoT), telematics, artificial intelligence (AI) and cloud computing can enable faster, more effective recalls.

Finding faulty products faster

One of the most important steps in product recalls is the initial discovery. Some defects are dangerous, with faulty fire alarms accounting for 16 percent of home fire deaths, despite being preventable. Traceability technology can highlight flaws and alert workers faster, enabling quicker, potentially lifesaving responses.

IoT connectivity in consumer electronics can monitor equipment performance, looking for instances when a component doesn’t function properly. When that happens, they can alert the manufacturer and end-user in real-time via the internet. That way, people can discover the defect before it affects end-users too dramatically.

These alerts rely on data, so they also streamline the investigation process. You won’t have to look into a news story to determine if it was a device flaw or user error.

Understanding where recalls come from

Traceability technology helps find the issue’s source more accurately. Some recalls happen because of damage during shipping, not a faulty component. Alternatively, they could arise from low-quality materials or defects from third-party suppliers. In February 2022, Western Digital’s Kioxa Corp. found contaminated chip materials. Manufacturers need to understand these sources to inform effective actions.

Data-sharing technologies on the cloud enable manufacturers to gain more insight into their operations, including those of their supply chain partners. Looking at recall data and contextual information from across the supply chain can reveal where the issue originates.

If all recalled products feature the same defect regardless of location or logistics route, it’s likely a manufacturing error like a faulty component. Conversely, if the only alerts come from one location from the same shipment, it could be shipping damage. Once you know this, you can adjust as necessary to prevent similar situations.

Accelerating communication

Traceability technologies enable faster communication once you know which products to recall and the issue’s source. First, cloud-based data sharing and IoT alerts let manufacturers tell any necessary parties about the defect. Workers on the faulty components’ line can then review operations and logistics partners can prepare to receive recalled products.

AI and software automation can then alert end-users that the defect might impact. These systems can review customer data to find and message only those who bought the item in question. Communication automation like this lets Costco call 3.8 million customers an hour when there’s a recall.

Manufacturers can experience similar benefits. AI-driven communication accelerates responses and mitigates confusion by quickly contacting only those the recall applies to.

Reviewing recall efficacy

Traceability technology makes it easier to review past recalls to improve future operations. Every recall will leave a digital “paper” trail, which, over time, will reveal trends that demand manufacturers’ attention.

AI analytic algorithms may highlight repeated recalls due to a specific component. This trend could indicate that past mitigation steps weren’t effective, and manufacturers may be missing the exact cause of the defect. They can then analyze that part of the production process and suppliers more closely to prevent further recalls.

Positive trends can be helpful, too. If past data shows that mitigation steps after a recall over one component successfully prevented further issues, similar steps could help address recalls of other parts. Data will help reveal the best way forward as companies compare and contrast the past and present.

The importance of traceability technology 

Manufacturers should ensure they have a quick, effective product recall system. That means implementing traceability technology like AI, the IoT and cloud computing. The visibility and control these innovations bring can help prevent an unfortunate situation from causing mass disruption.

Being competitive today typically means applying technology better than others in the industry. Capitalizing on these systems becomes increasingly critical as more companies embrace traceability technology for product recalls. Ignoring this potential could hinder a business’s growth and even endanger customers.

Author: Shannon Flynn

Shannon Flynn

Shannon Flynn is a technology writer and the Managing Editor at ReHack.com. Shannon’s written for sites like TechDayHQ, Re-Work, and Innovation & Tech Today. Follow ReHack on Twitter to read more of her work.

Source: https://epsnews.com/2022/04/28/traceability-technology-is-crucial-for-effective-product-recalls/