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HPmag | Magazine | Summer 2002 | Guest Editorial

Guest Editorial

The True Test
There are ways to get around anything, but the consequences of illegitimate product testing affect the whole industry.

By Shaun Bolender


After considerable effort by government officials and industry leaders alike, Florida has a new Building Code. Within this new code there are many requirements for product approvals and certifications in various segments of the construction industry. While many feel that these new requirements (not so new in some jurisdictions) are onerous, others see the tremendous marketing opportunities created by quickly complying with these approvals and certifications.

In many cases approval, certification or eligibility of a product requires testing by an “independent lab” qualified in that particular area. The wise product marketers are fast to have their products qualified and seek to gain market share that previously might have been occupied by a competitor who either refuses to accept the imposition of independent testing or whose product simply won’t qualify when put to the test.

Like independent auditors (accounting firms), independent test labs are required to be just that, independent from any influences of their customers and to report only the facts about their customers’ products. These labs are prohibited from having any customer or potential customer as a stockholder or owner, even in those now famous “off-the-books partnerships.”

Providing reports as to a product’s performance that is, in any way, different than reality or was created by altering the protocols of test criteria so as to “create false results/the desired outcome,” reflects degradation not only of the lab’s integrity, but also the integrity of the product and its owners. Worse than any of that is the violation of public trust placed in a system that involves not only consumers and the construction industry but insurance company underwriters, risk managers and also public officials who examine these approvals and the results they ultimately bring about when a storm hits.

How would you feel, and what credibility would your stock offering have if the independent audit upon which the information was based had been performed recently by Arthur Andersen?

RUN, DON’T WALK

The marketplace isn’t very forgiving. Given the choice between legitimacy and the unknown (or even the questionable), the marketplace will gravitate to the legitimate known quantity every time!

If a company with the reputation that Arthur Andersen now has were the independent test lab of your choice, then consider the following questions:

• How would you feel if you were watching the nightly news and a reporter outlines the allegations of fraud by that lab?

• What happens to the balance of your orders when your customers see the same report? Or what happens to the pending deals your sales force is working on in a very competitive market? Remember the economic “rule of law”: The marketplace always seeks the known to be legitimate.

If a lab you are using has ever suggested that you can get the results you want, regardless of the actual performance of your product when put through the various rigors of the building code(s), run!

You may have to pay a little extra or spend a little more in re-engineering to get a legitimate certification for product approval, but there is no question as to the value of such a certificate.

Much like that mighty and powerful Category 5 hurricane, it is only a question of time, not a question of if. Even though the new Florida Building Code will go through many adjustments, there are a couple of certainties: the code will eventually be unified and it will certainly be enforced.

TRUTH OR CONSEQUENCES

There are two ways to get your product approved, legitimately or illegitimately. Let’s examine how either can come about and the consequences of each strategy.

• Legitimately: Test your product and reengineer it, if necessary, until it has reached the required standards for approval.

Consequences: You’ve invested in your product’s future and are able to legitimately market it as qualified. You engineered it to withstand the various rigors of the code and verified that quality by submitting to independent testing by a qualified and approved lab.

Now that you have product approval, you must compete against those products that either have no qualification or rely on the buyer’s wisdom to know what is legal and what is not as is the case when a competing product obtains an approval illegitimately. This is where code enforcement and the teeth in the code come in.

• Illegitimately: Create a product that might appear to the untrained eye to be legitimate. Seek a lab that will provide you the results you want regardless of the actual outcome of the true test when applied as required. Get a written and certified test report, albeit under less than appropriate conditions.

Consequences: You’ve spent plenty of time and oftentimes more money with an unscrupulous lab to obtain an illegitimate certification and now you can market to the uninformed that it is legitimate and you can continue to do so until the caper unfolds. Rest assured it will unfold, like that Category 5 hurricane, it is not a question of if, but when.

When it unfolds, your product will be caught up in the fray—even if you’ve obtained a legitimate certification—until the full circumstances unravel. Like the other Arthur Andersen customers whose books are in order and who function legitimately, their books now are called into question by the jury of the marketplace.

You may well be legally enjoined from marketing your product until such time as the investigations are complete. Your best option at that point would be to invest and test again (not knowing what the outcome will be), get re-certified and then send your sales force out to attempt to retain or, worse yet, regain market. That’s what many of Arthur Andersen’s customers are now doing—re-auditing with other firms at tremendous additional expense.

RESPONSIBILITY

Legitimate independent test labs cannot and will not provide you with the results that you are looking for. Putting your products through the required rigors of the code is what independent labs do. Then they create the reports that actually describe the true outcome of those tests. Those reports are your proof to the world.

To do otherwise would jeopardize both the future credibility and marketability of all manufacturers and their products. It would virtually eliminate the lab’s own future, and it would be a criminal disservice to the public that relies on that independent status and fiduciary responsibility.

Unannounced visits from building officials, independent certifying agencies and clients should be welcome at any time by the independent testing laboratory that has the client’s interest and that of the consuming public at heart.


Shaun Bolender, vice president, American Test Lab of South Florida, Ft. Lauderdale, FL, 888-973-0808.


 

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