Welcome!

News Feed Item

UL Releases Second Annual Global Study: "The Product Mindset" 2012

BANGALORE, November 29, 2012 /PRNewswire/ --

UL Releases Second Annual Global Study: "The Product Mindset" 2012

Findings Reveal a Sharp Decline in Overall Optimism, Ever More Transparent Supply Chains, and a Focus on Quality

UL (Underwriters Laboratories), a world leader in advancing safety, announced today the 2012 findings of its annual global study, The Product Mindset, which examines manufacturer and consumer perceptions about how products are made, sold, bought and consumed. This year's findings, culled from interviews with manufacturers and consumers in the U.S., China, Germany and India, show a steep decline in optimism and increased expectations around quality, safety and the environment. These expectations are driving more complex supply chain dynamics, where traceability and sourcing are the tools manufacturers are leveraging to help deliver reliable, cost effective products that consumers are demanding.

"The volatility in today's world is causing companies and people to look at the products they make and consume with more scrutiny than ever before. We are seeing manufacturers showcase aspects of their supply chain as consumers demand more transparency. Where a product's made, how it's made and what's in it are paramount," said Keith Williams, UL CEO.

The study reveals that product safety remains fundamental, and the environmental orientation of a manufacturer's operations and their product features are growing in importance. Specifically, the study highlights the growing concerns for the origins of manufactured products including where their components and raw materials are sourced.

"It is clear from this year's report that supply chain issues are top-of-mind for global manufacturers, but also in the line of sight of consumers in both developed and emerging economies. The report strongly suggests that these trends will accelerate in the coming years as manufacturers strive to meet consumer demand for increased quality and safety in the things they purchase and use," stated Clyde Kofman, UL Chief Strategy Officer.

Key insights from the study include:

  • Manufacturers are strategically managing increasingly complex supply chains to improve operations and quality, and to reduce costs. As a result, global sourcing is likely to expand to new countries in the coming years.
  • Consumers are becoming increasingly sophisticated about global supply chain issues including  where products and their components are made and whether global manufacturers and their suppliers are providing ethical working environments for employees. Furthermore, manufacturers are noting increased pressure for transparency related to product, component and raw material sourcing.  
  • Manufacturers believe that product safety is increasing in importance to consumers, and delivering it is critical to their business success.
  • Most consumers do not believe manufacturers use the best possible raw materials, ingredients or components in their products.
  • Manufacturers in both developed and emerging nations have a significantly more favourable opinion about the quality of materials sourced from developed markets than those from emerging markets.

Highlighted Findings from UL's 2012 Product Mindset  global report

Manufacturers feel the pressure from an increasingly complex, global supply chain 

  • Sourcing is becoming more global, with 46% of manufacturers increasing their sourcing from other countries over the next five years. Seventy-nine percent of those manufacturers note they will add additional countries to their roster versus replacing existing current sources.
  • Forty-three percent of manufacturers are not highly satisfied with their ability to expand into new markets.
  • Seventy-six percent of manufacturers believe global sourcing is a means to improve product quality; a 19 percent increase from what manufacturers noted last year, reflecting manufacturers' need to enhance competitiveness in a volatile and financially challenged global marketplace.
  • Only 30 percent of consumers strongly believe manufacturers use the best possible ingredients, raw materials or components in their products.
  • Fifty-seven percent of consumers are aware of which country the products they purchase are manufactured in; yet, 62 percent of consumers believe it is more important to know where a product's parts are from than where a product was assembled.
  • Over the next five years, 44 percent of consumers state that knowing where a product is from will become more important.
  • On average 48 percent of consumers feel manufacturers have not taken adequate steps to ensure both they and their suppliers are committed to workplace safety and the ethical and fair treatment of workers.
  • Less than one quarter (24 percent) of Chinese consumers and less than half of Indian consumers (40 percent) say manufacturers have not taken adequate steps to ensure that both they and their suppliers are committed to the ethical/fair treatment of workers and workplace safety compared with 65 percent of U.S. consumers and 64 percent of German consumers.

Quality remains a critical driver

  • Manufacturers rank quality as the number one most important driver of their success today and number one most important future driver.
  • Manufacturers think consumers care most about quality, with 38 percent stating it is the most important issue for consumers.
  • Ninety-one percent of manufacturers believe performance testing is becoming more important.
  • Consumers cite quality as the number one reason to explain why they select the products they buy.
  • Quality also ranks as the first or second most important type of product information for consumers across the food, building materials, high-tech and smart appliance categories.

Consumers are becoming more sophisticated

  • Consumers are able to demonstrate a nuanced understanding of product safety issues, picking online security as their number one high-tech safety concern, while selecting toxic emissions/indoor air pollution as the number one concern for home building materials.
  • Consumers prioritise product safety for products that are in or surrounding their bodies due to the immediate impact to their health or exposure over extended periods of time. Consumers rank product safety as most important to fresh (29 percent) and processed foods (27 percent) and home building materials (23 percent) versus high tech (10 percent) and smart appliances (9 percent). Product safety is also the information consumers most want when considering purchasing food or home building materials, but safety information is not among the top three types of information consumers want for consumer electronics or smart appliances.
  • Sixty-eight percent of manufacturers feel it is very important to clearly show consumers what ingredients/components are included in their products.

To obtain the full study with all key findings, visit:  www.ul.com/productmindset.

Methodology

Global quantitative research was conducted by an independent research firm during spring 2012. For the study, 1,201 consumers and 1,202 manufacturers in China, Germany, India and the United States were interviewed across an array of topics related to safety, performance, innovation and sustainability. Manufacturers were selected from the high technology/consumer electronics, food, smart appliances and building materials sectors and were interviewed by phone.  Consumers were interviewed through an online survey. 

About UL:

UL is a premier global independent safety science company with more than 118 years of history. Employing more than 10,000 professionals with customers in over 100 countries, UL has five distinct business units -- Product Safety, Environment, Life & Health, Knowledge Services, and Verification Services - to meet the expanding needs of our customers and to deliver on our public safety mission.  For more information on UL's family of companies and network of 95 laboratory, testing, and certification facilities, go to www.UL.com.

Primary Media Contact: Carla Slawson, [email protected], 1-847-6641812

Secondary Media Contact: Lavanya Chandra Bose, [email protected], 91-80-4138 4400


More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
"LinearHub provides smart video conferencing, which is the Roundee service, and we archive all the video conferences and we also provide the transcript," stated Sunghyuk Kim, CEO of LinearHub, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
"We're bringing out a new application monitoring system to the DevOps space. It manages large enterprise applications that are distributed throughout a node in many enterprises and we manage them as one collective," explained Kevin Barnes, President of eCube Systems, in this SYS-CON.tv interview at DevOps at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...
All organizations that did not originate this moment have a pre-existing culture as well as legacy technology and processes that can be more or less amenable to DevOps implementation. That organizational culture is influenced by the personalities and management styles of Executive Management, the wider culture in which the organization is situated, and the personalities of key team members at all levels of the organization. This culture and entrenched interests usually throw a wrench in the work...
@DevOpsSummit at Cloud taking place June 6-8, 2017, at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long developm...
In a recent research, analyst firm IDC found that the average cost of a critical application failure is $500,000 to $1 million per hour and the average total cost of unplanned application downtime is $1.25 billion to $2.5 billion per year for Fortune 1000 companies. In addition to the findings on the cost of the downtime, the research also highlighted best practices for development, testing, application support, infrastructure, and operations teams.
Updating DevOps to the latest production data slows down your development cycle. Probably it is due to slow, inefficient conventional storage and associated copy data management practices. In his session at @DevOpsSummit at 20th Cloud Expo, Dhiraj Sehgal, in Product and Solution at Tintri, will talk about DevOps and cloud-focused storage to update hundreds of child VMs (different flavors) with updates from a master VM in minutes, saving hours or even days in each development cycle. He will also...
When you focus on a journey from up-close, you look at your own technical and cultural history and how you changed it for the benefit of the customer. This was our starting point: too many integration issues, 13 SWP days and very long cycles. It was evident that in this fast-paced industry we could no longer afford this reality. We needed something that would take us beyond reducing the development lifecycles, CI and Agile methodologies. We made a fundamental difference, even changed our culture...
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
@DevOpsSummit taking place June 6-8, 2017 at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @DevOpsSummit at Cloud Expo New York Call for Papers is now open.
A look across the tech landscape at the disruptive technologies that are increasing in prominence and speculate as to which will be most impactful for communications – namely, AI and Cloud Computing. In his session at 20th Cloud Expo, Curtis Peterson, VP of Operations at RingCentral, will highlight the current challenges of these transformative technologies and share strategies for preparing your organization for these changes. This “view from the top” will outline the latest trends and developm...
SYS-CON Events announced today that Dataloop.IO, an innovator in cloud IT-monitoring whose products help organizations save time and money, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Dataloop.IO is an emerging software company on the cutting edge of major IT-infrastructure trends including cloud computing and microservices. The company, founded in the UK but now based in San Fran...
Discover top technologies and tools all under one roof at April 24–28, 2017, at the Westin San Diego in San Diego, CA. Explore the Mobile Dev + Test and IoT Dev + Test Expo and enjoy all of these unique opportunities: The latest solutions, technologies, and tools in mobile or IoT software development and testing. Meet one-on-one with representatives from some of today's most innovative organizations
SYS-CON Events announced today that Linux Academy, the foremost online Linux and cloud training platform and community, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Linux Academy was founded on the belief that providing high-quality, in-depth training should be available at an affordable price. Industry leaders in quality training, provided services, and student certification passes, its goal is to c...