agendaaacb.com.au/wp-content/uploads/2019/03/6e... · darryl yaniuk advised, he is preparing exam...

AGENDA

JAS-ANZ Technical Advisory Council

Meeting No. 25

Monday 18 February 2019

JAS-ANZ OFFICE CANBERRA AND WELLINGTON BOARDROOMS

Time: 9.30am Canberra / 11.30am Wellington

Agenda

Welcome and Apologies

Review and Approval of Agenda

Declaration of Conflict of Interest to any Agenda Item

Chair: Tony Evans

Minutes of Meeting No. 24: 20-08-2018 Chair

Actions arising from the Minutes Chair

1. Operations report JG

2. Stakeholder communications/media planning meetings and Issues

JG/KL/RS

3. Outcomes from use of Self declarations KL

4. Single Electrical Safety Scheme BA

5. Review of Sector Plans: Food Sector KL

6. Service model for Schemes KS/BA

7. Services for Certified organisations KS/MP

8. Upskilling of auditors: Delphi and related work JG/RAW

9. Next generation engagement JG

10. Creation of unified technical schedules SK

11. Statement of Corporate Intent JG/RS

12. Any other business All

13. Next Meeting - tba

14. Close of meeting

1

DRAFT Minutes

JAS-ANZ Technical Advisory Council (TAC)

Meeting No. 24

Monday 20 August 2018

Boardrooms JAS-ANZ Canberra & Wellington via video conference

9.30am – 2.30pm-Canberra & 11.30am – 4.30pm-Wellington

ATTENDEES:

TAC: Tony Evans (Chair), Enzo Alfonsetti, Tony Bennet, John Buchanan, Marie Colwell (via audio dial in), Ian McAlister, Shona Scott, James

Thomson, Hamish Wilson, Darryl Yaniuk

JAS-ANZ: James Galloway, Kylie Sheehan, Steve Keeling, Kathryn Lockyer, Brett Abraham, Kathryn Yates, Matt Pitt, Marisa Bialowas, Regan

McDonald, Peter Lee

External: Robert Wooley

Apologies: Geoff Overton, Adam McDean

2

Welcome by Chair to all

The Chair called for additional agenda items:

Darryl Yaniuk advised that he would like to raise PwC & certification under any other business.

Enzo Alfonsetti advised that he would like to raise gas scheme rules under other business

Conflicts of interest:

John Buchanan & Ian McAlister raised that in regards to item 4, they both declared an interest.

Darryl Yaniuk advised, he is preparing exam questions for Exemplar Global to transition their auditors from Iso19011 2011 to Iso19011 2018 &

wished for all to be aware of an interest.

Review of minutes 23 March 2018

The minutes were accepted as a true and accurate reflection from the meeting of 23 March 2018.

1 Operations report: Overview of Stakeholder meetings and Issues – James Galloway (JG)

James Galloway invited TAC members for input in regards to the Operations Report.

Input from TAC members especially in regards to:

26/6/18 – James Galloway raised the issue of dealings with MBIE in regards to CodeMark. A NZ radio announcer appears biased in his

reporting of same/CodeMark. TAC discussion ensued. There is to be media project starting in the coming weeks in regards to strategies of

informing NZ media re JAS-ANZ & CodeMark plus other issues.

23/7/18 Dept Industry meeting (James Thomson) sought more input. James Galloway provided an update on the technical governance review.

ACTION: All TAC members to be involved in communications/media & being proactive in getting the message out there.

3

2 Summary of Performance Data – Kathryn Lockyer (KL)

Update provided by Kathryn & please refer to slide pack.

No new applications are being taken from India.

It was noted that changes to the accreditation manual is underway.

ACTION: Self declarations. Provide update on strengths and vulnerabilities. Tabulate same. KL

3 NDIS Scheme – Matt Pitt (MP)

Legal discussions have taken place in regards to CABs & additional data has been sought from CABs re the roll out the scheme.

The JAS-ANZ management team is in agreement in regards to data collated.

Seven CABs have been approved by the Department of Health & Human Services.

Matt Pitt is coordinating training of staff & documentation has been finalised in this area.

Syd King (evaluation specialist with JAS-ANZ) will evaluate the scheme & is working closely with the operations team on how well the scheme is

being rolled out.

General observation by James Galloway: There will be challenges as the scheme is rolled out, especially are the delivery of care. Auditor &

assessor challenges have been noted as well.

The Chair advised that delivery information will be sent to CABs in late August. It was asked, has JAS-ANZ secured a media advisor to assist with

media delivery & messaging? Matt Pitt advised no & that currently, the Dept of Health & Human Services addresses adverse services &

adverse media by way of ignoring and explaining issues away. New strategies being implemented will mean that media releases will be

circulated if & when an adverse situation are noted.

Clarification sought from the Chair. Is JAS-ANZ the only organisation looking after the NDIS? Kylie Sheehan advised yes & an agreement is in

place.

4

4 Single Electrical Safety Scheme – Peter Lee (PL) & Robert Wooley (RW)

Introduction given by Peter Lee (Sector Manager for Product) and Robert Wooley (Contractor)

This session introduced the development of the scheme in a regulatory compliance manner.

EESS

• regulatory bodies issue approvals

• certification bodies issue certificates of conformity

• some certification bodies offer a more neutral system & as yet, not taken up by all states

In NZ electrical safety falls under the Dept of Commerce /MBIE

EESS is talking to the regulators in Australia and the Dept of Commerce/MBIE in NZ

Next steps of scheme:

• Consulting with industry & listen to & incorporate input

• Seek feedback from MBIE & input will be sought from certification bodies

• Timeframe: Peter advised that it’s a high priority to move forward & a technical committee is being sourced

• James Galloway advised that this scheme extends beyond electrical products (eg: gas/water)

Challenges were noted by Enzo Alfonsetti in the gas industry. A draft agreement of gas scheme rules was created.

5 Developing a Service model for Schemes – Kylie Sheehan (KS) & Brett Abraham (BA)

A verbal update was given by Kylie Sheehan. JAS-ANZ has been redeveloping the scheme endorsement process and portfolio schemes being

accredited. Rationalising/reducing the number of schemes that JAS-ANZ accredits has been completed.

Brett Abraham provided an update on the following:

New schemes & a process is being adhered to for scheme development which is being implemented

General questions and answers ensued between TAC members

5

Brett advised that CABs need to implement schemes & JAS-ANZ will give them the tools to assist & manage this.

Scheme management (eg: ANZEX, CodeMark) has been implemented by JAS-ANZ.

Also, it was noted, that training to industry groups can be provided by JAS-ANZ in regards in how to manage schemes.

6 NZ Infrastructure Review – Kathryn Lockyer (KL)

A verbal update was given by Kathryn & please refer to her slides

MBIE has undertaken a review of the conformance policy & infrastructure & the review has been finalised and soon to be released by MBIE.

JAS-ANZ is making a response to MBIE providing factual information.

7 Delphi Project on Auditor Knowledge – Kathryn Lockyer (KL)

Please refer to slide pack.

Second stage results to be available in next 10 days.

Upskilling of auditors is now under way and a further update/presentation will be provided at the next TAC meeting.

8 ISO 9001 & 14001 transitions – Kylie Sheehan (KS)

Kylie provided an update referring to her slide pack & advised that self-declarations allow the CABs to transition quickly.

Marketing and media pushes are noted to be important in pushing the point on audits. It was noted, that pressure/encouragement needs to

be stepped up.

Is it worth speaking with IAF a member enquired? It was agreed that it would be.

A question on process vs clause-based systems was asked & discussion ensued around this topic.

ACTION: The Chair requested an update from Kylie at the next TAC meeting

9 Testing & Certification Video – Kylie Sheehan (KS)

6

Regan McDonald provided an update on the product video on product certification and testing & how the two are interrelated.

There is a video in the making and smaller social media videos will be pushed out. The learning & development (L & D) aspect will be looked

out later in the year

Four hours of video footage has been collected thus far & a third filming day is being coordinated.

The Chair has asked for access to the video for the next TAC meeting so that all may view.

Distribution of the video currently can only be achieved by the L & D management system but security issues have arisen if access is given to

externals. Solutions are currently being looked at.

Finish time for video production is October/November 2018 & to be confirmed.

The AiGroup advised that they are very supportive of accreditation and certification initiatives currently being conducted by JAS-ANZ. James

Thomson then asked about the Next Gen initiative that Standards Australia are undertaking (appealing the to the younger generation working

in the world of assessing and auditing).

JAS-ANZ to work closely with AiGroup/James Thomson, Tony Bennett & John Buchanan for long term next generation engagement.

ACTION: Video to be available & viewed at next meeting.

10 Regulatory responses to 45001/4801 – Matt Pitt (MP)

Matt Pit spoke to the slide presentation noting that a new scheme had been created with the approval from the JAS-ANZ Management Review

team.

It was noted that JAS-ANZ will align in the future with bigger industry based organsiations (Master Builders Assoc., AiGroup etc..) to gain more

visibility. The AiGroup representative, James Thomson advised that he will introduce Matt to his AiGroup contacts in the area of OHS for

ongoing discussions

7

Action: Develop some ideas on how JAS-ANZ could be engaged in activities in developing ‘next generation in standards and conformity:

James Galloway, Tony Bennet, James Thompson.

11 Other business – All

Darryl Yaniuk

PwC has entered the certification business which could be a major disruptive influence on accredited certification.

Input from TAC members advised of the following:

• PwC will target other companies’ client lists (e.g: SAI Global, Lloyds).

• PwC are partaking in unaccredited work with Coles & will grow their portfolio in the next 12months.

• PwC are accredited by JAS-ANZ.

The issue of PwC’s pricing structure was raised.

Enzo Alfonsetti – New gas rules

Gas equipment scheme rules come into play on 01-01-2019.

Three main differences between existing gas scheme rules follow. These three points are additional to what is currently in use:

• Compliance gas mark

• Standard amended or revised & there will be a two-year time frame to amend

• Certificate holder advised that the product complies & is safe

An update at the next TAC meeting of a cost analysis will be available for distribution.

A member enquired as to resources for assessors & how is this progressing? Kathryn L advised that this is progressing well.

Action: Develop general profile of assessor pool (KL)

8

12 Next meeting

Input was sought from members by the Chair as to how regularly to hold meetings.

Consensus was that six monthly appeared to be working well.

February 2019 was earmarked for next meeting.

James G asked about the revised SharePoint TAC accessibility & Kylie to investigate this.

Meeting closed – 2. 20pm

9

Actions Arising from the Minutes 13 December 2017

Action No. Action Actioned By Progress

4 NDIS Scheme Environment: JAS-ANZ to provide the TAC members with updates on developments and particularly from the perspective of what an undertaking like NDIS might mean for scheme development. Kylie Sheehan (KS) and Kathryn Lockyer (KL) provided input:

KL & KS Ongoing

7 Certified Organizations: Summary Report & Projects: JAS-ANZ will have project briefs drawn up over early 2018 and these would be a useful input to further discussions with TAC about developing these important relationships.

JG Ongoing – project briefs to be collated with Monash

University input being sought.

Action No. Action

Actioned By Progress

23 March 2018

8 Introduction to Sector Plans: JAS-ANZ to provide access to sector plans for TAC members following completion of management review

KL Ongoing - Input from management review meeting

(28/8/18) then an update will be available

10

9 Outline of future work program: Outline of future

work program: James advised that a JAS-ANZ

template will be uploaded to the SharePoint site

which identifies a description, milestones,

stakeholder engagement & budget

JG Ongoing - Completed & to be presented to the Board

on 7/9/18

20 August 2018

1 Operations report: All TAC members to be actively

involved in communications/media strategy Being

proactive in getting the message out there (eg;

CodeMark).

All

2 Summary of performance data: Self declarations.

Provide update on strengths and

vulnerabilities/tabulate same.

KL

8 ISO 9001 & 14001 transitions. Update to TAC at

next meeting

KS

9 Testing & certification video: Video to be viewed at

next meeting.

KS

10 Develop some ideas on how JAS-ANZ could be

engaged in activities in developing ‘next

generation in standards and conformity:

(James Galloway, Tony Bennet, James Thompson)

JG

11

11 Develop general profile of assessor pool KL

JAS-ANZ Technical Advisory

Council

Date: 18 February 2019

Place: Canberra/Wellington

Prepared by: James Galloway

AGENDA Item No. 1

SUBJECT: Operations Report

BACKGROUND An update on meetings, stakeholder engagement, news & media, internal business etc..

ACTION: For discussion/information

1

Meetings

Date Description Comment Assessment Priority Relevance Created By

23/08/2018 Technical Infrastructure meeting

Meeting between DIIS and Technical Infrastructure organisations as an extension to CSCAG. It covers matters appropriate to a more confidential discussion: Outcomes from the Commonwealth Standards and Conformance Advisory Group Meeting Respective problems and challenges Outcomes of CSCAG that impact TIA members Standards development issues Cooperation/non-cooperation with regulators Activities of EU and US bodies in the Asia Pacific

Information Routine Management James Galloway

31/08/2018 Imported Foods Section of Dept of Agriculture

Meeting to be held with Dept of Ag regarding imported food legislation which is to be recognised Global Food Safety Initiative (GFSI) benchmarked certification schemes as a basis for acceptance of food imported into Australia.

Information Routine Board Kylie Sheehan

2/10/2018 Disability Services Australia

Brief meeting and subsequent correspondence on work with DSA to provide assessment work for registered users of DSA. Applicable to NDIS but also more generally.

Monitor Routine Management James Galloway

2

4/10/2018 Dinner with MFAT to welcome a delegation from New Caledonian Government

John Parr attended the above dinner on behalf of JAS-ANZ which was organized by MFAT to welcome a delegation from the New Caledonian Government, who are interested in developing improved regulatory / compliance structures for their local construction industry. Other attendees were MBIE building assurance personnel, BRANZ, IANZ and MFAT diplomatic staff. This dinner is a follow up meeting from a presentation that was provided in 2017 at the request of MFAT / MBIE regarding JAS-ANZ activities and linkage to the Australasian construction industry. This engagement is part of the new Labour Government's "Pacific Reset" strategy which represents a shift from previous administrations and reflects increasing awareness of New Zealand's modest economic size and sphere of influence: https://www.mfat.govt.nz/en/countries-and-regions/pacific/

Information Routine Board and Management

John Parr

9/10/2018 NATA work in progress

Meeting to update MOU with NATA and address work in progress including AANZFTA project, IAF/ILAC input and video production project. MOU to be renewed on the same terms.

Act on it Routine Management James Galloway

3

11/10/2018 Chairman's Advisory Group (Standards Australia)

Meeting of Standards Australia Council members to receive update on Standards Australia and SAI-Global impasse over the Publishing and licensing Agreement. Meeting considered possible scenarios and Standards Australia's prospective responses. These are expected to firm up with a more definite view to be put to Council on 16th November.


30/10/2018 Standards Australia - FT 024 Food Products Committee, review of aged standards

The meeting of the FT-024 Food Products Committee was undertaken to review 35 aged standards. The vast majority of these standards are concerned with methods of analysis for the dairy sector. For example, AS 2300.1.1-2008 is the reference method for determination of nitrogen by the Kjeldahl method. Non-dairy standards included AS/ISO 22000:2005; AS 4694-2007 Glycemic index of foods and AS 4884-2008 for histamine levels by fluorometric method. The majority of these standards have ISO equivalent standards and the committee recommended transitioning from AS to ISO. Four outdated standards have been recommended to be withdrawn, which includes ISO 22000:2005.

Information Routine Management Kim Leighton

4

9/11/2018 Australian General Practice Accreditation Limited (AGPAL)

Meeting (Stephen Clark, Wendy Shephard, Candice Tyrril) to discuss (1) general approach to health services accreditation and certification (2) APGAL's application for accreditation for NDIS. Main Points AGPAL and JAS-ANZ have a common problem with the Safety and Quality Commission. Stephen Clark has a prominent role in ISQUA and there are good grounds for cooperation. He emphasised that ISQUA does not offer accreditation to ISO 9001. Invitation considered for JAS-ANZ to present at next ISQUA international conference in Sth Africa (October 2019)


27/11/2018 Plumbing Products Industry Group

Meeting to discuss engagement with the accreditation system on WaterMark product certification, principal points covered were: (1) Industry participation in JAS-ANZ Product Reference Group for review of doubtful certificates (2) Engagement of Technical exerts for assessment teams (3) Future management and administration of Watermark


5

10/12/2018 Electrical Workers Registration Board (EWRB)

Previous contacts, Dr Simon Robb is on extended sick leave, and Phillip Anderson has resigned. So met with new personnel, Victor Ostapowicz and Vincent Kneebone (Section Manager). Generally discussed the EWRB - EL scheme and the accreditation processes. EWRB - EL is concerned as to approaching deadline of 1 Feb 2019 and no CB yet accredited. Post meeting I followed up with Telarc - this remains on their radar but has been subject to slippage. All parties now in contact with one another.

Monitor Routine Management Simon Bannock

22/01/2019 BRC and SQF regional group meetings with CBs

Meetings of the BRC Co-op Group and, separately, a meeting of the SQF Regional Group was held in Sydney on 22 January 2019. Agenda items focused on scheme operational issues and covered forthcoming changes. BRC - changes will be introduced to witness assessment requirements and witness evaluations with mandatory training for CABs in March 2019. A new version of Packaging and Packaging Materials standard, Issue 6 will be published in August 2019, and the Agents and Brokers Standard is currently undergoing review. SQF - noted that SQF is an approved program to support the Tokyo Olympics in 2020 but must be supported by a supplemental program. This supplement


6

does not require an extension to the scope of accreditation. SQF is now undertaking office assessment (separately this is an issue for discussion with JAS-ANZ). GFSI Local Group has been formally endorsed, chaired by Alex Holt (Woolworths). GFSI Auditor Exams - to be in place for all new SQF auditors for primary production and manufacturing from 2020, BRC will start applying the GFSI exam in July 2019. None of the Schemes have dropped their requirements for their own Auditor exams.

Stakeholders



Meeting between DIIS and Technical Infrastructure organisations as an extension to CSCAG. It covers matters appropriate to a more confidential discussion: Outcomes from the Commonwealth Standards and Conformance Advisory Group Meeting Respective problems and challenges Outcomes of CSCAG that impact TIA


7

members Standards development issues Cooperation/non-cooperation with regulators Activities of EU and US bodies in the Asia Pacific

26/08/2018 ADACAS Disability Advocacy

Meeting on role of advocacy groups in market surveillance or intelligence relevant to planning and conducting assessments within the NDIS scheme.


27/08/2018 NDIS launch The NDIS scheme preparations are complete and we're now in a position to launch. Additional assessment activities have been included in this scheme to address particular risks with implementation. JAS-ANZ has an agreement with the NDIS Quality and Safeguards Commission for the scheme and is the sole provider of accreditation under the scheme.


27/08/2018 Gluten Free Certification Program

After discussions with the scheme owner, they have agreed to allow JAS-ANZ to provide accreditation under the scheme against the requirements of ISO/IEC 17065 rather than ISO/IEC 17021-1. Preparations are being completed with a launch expected 27 September.


8

27/08/2018 HSQF scheme review

The technical committee formed to review the HSQF scheme has completed it's work and the revised scheme is now with the Department for review and sign-off. Launch date of end September expected. The HSQF scheme has been jointly developed by JAS-ANZ and three Queensland government departments (Department of Communities, Disability Services and Seniors; Department of Child Safety, Youth and Women; and Queensland Health). The scheme provides a mechanism for monitoring the quality and safety of services being delivered by human service organisations in areas such as child and family, community services, disability, and health.


29/08/2018 My Environment and Vic Forests

The case of an environmental advocacy group called My Environment and VicForests which ended up in court back in 2011. In short, it was decided against MyEnvironment on the narrow interpretation MyEnvironment gave to sustainability concepts, compared to the Victorian legislature (and by extension Commonwealth legislation gave). Along the way MyEnvironment took issue with SAI-Global which issued the certification for VicForests. MyEnvironment also sought to have JAS-ANZ withdraw SAI-

Information Routine Board Kathryn Yates

9

Globals’s accreditation for forestry management. Although the legal proceedings went against MyEnvironment, the controversy has resurfaced with MyEnvironment recently corresponding with SAI-Global and arguing that as a stakeholder they must be consulted (or even included in the audit team) in connection with VicForests continued certification. It is currently between MyEnvironment and Sai-Global,

29/08/2018 Complaint to MBIE

It was anticipated that there were likely to be four certifiers in Australia and New Zealand who would come under some accreditation sanctions. The first of these is coming into play now, one CAB was recently served with a Show Cause letter. The basis for the letter was their failure to adequately address a number of assessment findings that amount to justifiably serious concerns over the adequacy of the certification process. The CAB operates in the New Zealand CodeMark Scheme. The letter was discussed with MBIE staff before it was sent, they were comfortable with the process and understood the rationale behind it. Shortly after the letter was issued the CAB lodged, or indicated it would lodge a complaint against JAS-ANZ with MBIE.


10

29/08/2018 PwC Certification Business

he certification industry is waking up to the fact that PwC has now entered the certification business and is building on its extensive client network to establish itself. Objections are coming through that they are a consultant and so should not be accredited, but they don’t consult in management systems and as they point out, in reality they don’t get out of bed for less than $5.0 Mn in consulting projects. Their presence has the potential to be a major disruptive influence on accredited certification, especially on the big end of the certification market such as Lloyd’s, BSI, SAI-Global and the like. What they bring to the industry is a very forward-looking and progressive agenda, great technical depth in business methods and a very sophisticated approach to the governance and management issues associated with certification.


29/08/2018 Facilities Management Association (FMA)

Discussions have opened up with the Facilities Management Association on the development of a scheme to support certification in the industry. Interest is building within industry on certification against the 41000 series of standards which cover this domain. FMA has detailed knowledge of the standard from their role in its development and industry expertise relevant to developing scheme content. One indication of their seriousness in this undertaking is that


11

they have a definite interest in trying to build a revenue stream from certification through joint branding of certifications and training to industry.

29/08/2018 Product Certification

Rationalising the scheme portfolio is underway with work in progress to consolidate overlapping separate schemes aiming to service the same domain. We are starting with the multiple electrical product safety schemes operated by different certifiers. The approach is quite straightforward. • Prepare a basic ‘model’ scheme for product certification in this case electrical safety • Work with industry to identify additional scheme content that might be relevant to dealing with specific problems in the market: o like CAB shopping creating unhealthy competitive stresses, o misapplication/misuse of test reports, o Use of aged test data; or o whatever else might be considered as ‘dragging’ down certification performance and reliability • a similar discussion with regulators (Australia and New Zealand to promote


12

the idea of a single scheme and capture their views relevant to content • Inject this into a formal scheme development process to deliver a well-informed consensus-based scheme addressing electrical safety So far, it is fair to say that we have strong support from the certifiers and industry, but regulators is another issue.

13

29/08/2018 ISO 9001 and 14001 transitions

You will recall that the transition from earlier versions of these standards to the 2015 versions is due to conclude in September of this year. Early figures showed a very slow rate of transition, our figures are currently just under 80% completion for both standards. The best comparison data come from the end of June and that shows the global transition average for ISO 9001 at 68.22% as of 30 June 2018, up from 47.24% at 28 February 2018 and 36.94% at 31 December 2017 and for ISO 14001 at 69.94% as of 30 June 2018, up from 51.55% and 39.73% at 31 December 2018. We expect a fairly hectic month or so as the stragglers come in and possibly some complaints from those that have left it too late and whose certificates will be invalidated. The global policy is that any certificates invalidated can be reinstated if the certification is finalised within 6 months of 15 September.


29/08/2018 NZ Infrastructure Review

The working draft of the review report was provided by MBIE in recent weeks and some commentary and data was provided back to MBIE on aspects of the report, overall the conclusion is that the system works well and is fit for purpose.


14

29/08/2018 Video Production

We are now into video production to try and capture media and training content on the critical issue of how organisations and individuals use (mis-use) testing and certification data. This is a problem that plagues the building sector and others. Video represents the best medium we have to get something across about how this information can best be used. We had some very strong contributions from Certifiers, Energy Safe Victoria, AiGroup, Housing Industry Association, NATA and Windows and Glass Association. Content will go to social media, web content hosted by industry groups on their websites and future training material.


30/08/2018 NZ Certification in Recreation Safety Auditing (Level 6)

The above NZ qualification is live - it was established as a qualification pathway to support resourcing of the Safety Audit Standard (Adventure Activity Certification Scheme). That qualification is undergoing forma review - coordinated by Skills Active. Simon B has provided input into that review, with emphasis to bolster alignment of that qual with the auditor competencies required by the NZAACS scheme.

Information Routine Management Simon Bannock


Meeting to be held with Dept of Ag regarding imported food legislation which is to recognised Global Food Safety Initiative (GFSI) benchmarked certification schemes as a basis for acceptance of food imported into Australia.


15

20/09/2018 Meeting with Hon Kris Faafoi

Briefing for NZ Minister on JAS-ANZ and the operation of the accreditation system, with Jim Robinson and Cathy James (MBIE). Covered scope of accreditation activity and sectors in New Zealand utilising certification and inspection services. Possible follow-up through Kathryn Lockyer to arrange a visit for the Minister to a certified organisation.


21/09/2018 Accreditation manual updates

Meeting with Bell Gully to review updates to the accreditation manual and process for finalisation. Consideration to be given to the application of a 'three-strikes and out' for recidivist CABS.


25/09/2018 Staff Workshop Staff workshop held 25-27 September. Program focussed on stakeholder involvement in JAS-ANZ with main inputs provided by Standards Australia, MBIE, AiGroup. A workshop was conducted by Grace PR on external communications and work on ideas about the language and ideas that were most useful in talking to stakeholders about accreditation. Main themes in JAS-ANZ's strategy were introduced to all staff.


28/09/2018 SAI-Global Meeting with John Rowley, CEO SAI Global Assurance, Kevin Goodwin, General Manager Technical Services and Heather Mahon, Certification Manager. Covered the internal overhaul of certification activities and relations to


16

other parts of the business. Major interest was in the Self-Evaluation trial and how JAS-ANZ might promote this to other accreditation bodies such as ANAB to assist SAI to improve relations.

28/09/2018 Wordflow on digitising existing assessment records

Meeting with staff from Wordflow to outline internal processes and information flow for reporting with the object of establishing a trial of how their platform could be used to convert existing PDF and Word files to useable data formats.


2/10/2018 Disability Services Australia

Brief meeting and subsequent correspondence on work with DSA to provide assessment work for registered users of DSA. Applicable to NDIS but also more generally.


2/10/2018 Meths Testing in New Zealand

A second article covering highly dubious conduct in the test and 'certification' space over environmental drug testing. The entities covered in the report have no connection to JAS-ANZ or IANZ.


3/10/2018 IEC National Committee

Meeting of IEC National Committee to progress work program on Smart Cities. Investigating role of standardisation in current IEC committees to determine where Australian effort might be invested.

Act on it Routine Board James Galloway

17

4/10/2018 Dinner with MFAT to welcome a delegation from New Caledonian Government

John Parr attended the above dinner on behalf of JAS-ANZ which was organized by MFAT to welcome a delegation from the New Caledonian Government, who are interested in developing improved regulatory / compliance structures for their local construction industry. Other attendees were MBIE building assurance personnel, BRANZ, IANZ and MFAT diplomatic staff. This dinner is a follow up meeting from a presentation that was provided in 2017 at the request of MFAT / MBIE regarding JAS-ANZ activities and linkage to the Australasian construction industry. This engagement is part of the new Labour Government's "Pacific Reset" strategy which represents a shift from previous administrations and reflects increasing awareness of New Zealand's modest economic size and sphere of influence: https://www.mfat.govt.nz/en/countries-and-regions/pacific/


John Parr

4/10/2018 Soft Power Review

The 2017 Foreign Policy White Paper committed the Australian Government to conducting a review of the nation’s soft power strengths and capabilities. A brief submission was made to DFAT on aspects of technical infrastructure and specifically Accreditation and Accredited Certification.

Opportunity Routine Management James Galloway

18

4/10/2018 Steel Mesh Sanctions

Release by Commerce Commission on fines imposed on Brilliance International Limited over misleading representations about the conformance of steel mesh products for the construction sector. The claims related directly to the fact that the company claimed product met relevant standards when it did not. The outcome adds to weight of problems with basic observance of product obligations in the sector


9/10/2018 NATA work in progress

Meeting to update MOU with NATA and address work in progress including AANZFTA project, IAF/ILAC input and video production project. MOU to be renewed on the same terms.


10/10/2018 Lead in drinking water

Several articles have been published in mid-October over concerns about lead in drinking water. No major commentary has raised questions about testing or certification. However, the matter is closely connected with concerns about non-compliant product reaching Australia and New Zealand.


11/10/2018 Chairman's Advisory Group (Standards Australia)

Meeting of Standards Australia Council members to receive update on Standards Australia and SAI-Global impasse over the Publishing and licensing Agreement. Meeting considered possible scenarios and Standards Australia's prospective responses. These are expected to firm up with a more definite view to be put to Council on 16th November.


19

15/10/2018 Qualcon Conference

Qualcon conference was held in Brisbane over 15 and 16 October. The conference focused on many of the changes introduced into quality through the new ISO 9001: 2015 standard. JAS-ANZ contributions covered: The transition to the new standard, Implementation in a public university, Improving CAB performance and Quality and Culture.


18/10/2018 APSCO launch for Talent Management Standard Scheme

The Talent Management Standard Scheme has been developed by the Association of Professional Staffing Companies and CERTEX as a means for the industry (predominantly IT professionals) to differentiate itself from the troubled labour hire sector. As part of a general industry wide function it was announced that the scheme was moving through the endorsement process and due for imminent release.


19/10/2018 Hospital accreditation Calvary Hospital Tasmania

Media commentary on the failure of Calvary Hospital in Tasmania to meet its audit conditions. The certifying body for Calvary is SAI-Global.


26/10/2018 ANSI-ASQ National Accreditation Body (ANAB)

Met with new CEO (interim) of ANAB to discuss prospects for cooperation. ANAB is interested in the self-evaluation trial and results to consider how it might deploy a similar approach. Also, interested in working to developing and trialling the terms for a maturity model.


20

26/10/2018 UKAS collaboration

Discussed further cooperative and joint activities. Also, interested in working to developing and trialling the terms for a maturity model. UKAS proposed work on Commonwealth Standards Network as one platform for cooperation.


26/10/2018 NABCB (India) NABCB expressed interest in an extended MOU. Also, interested in working to developing and trialling the terms for a maturity model. Will undertake a joint proposal to IAF on effective management of withdrawn/cancelled CABS.


27/10/2018 Singapore Accreditation Council (SAC)

Discussed AANZFTA capacity building project for the ASEAN technical infrastructure. SAC is interested in participating in the program subject to it being approved by ASEAN secretariat. Also, interested in working to developing and trialling the terms for a maturity model.


30/10/2018 Standards Australia - FT 024 Food Products Committee, review of aged standards

The meeting of the FT-024 Food Products Committee was undertaken to review 35 aged standards. The vast majority of these standards are concerned with methods of analysis for the dairy sector. For example, AS 2300.1.1-2008 is the reference method for determination of nitrogen by the Kjeldahl method. Non-dairy standards included AS/ISO 22000:2005; AS 4694-2007 Glycemic index of foods and AS 4884-2008 for histamine levels by fluorometric method.


21

The majority of these standards have ISO equivalent standards and the committee recommended transitioning from AS to ISO. Four outdated standards have been recommended to be withdrawn, which includes ISO 22000:2005.




22

9/11/2018 Delphi Project A first draft qualitative study has been drawn up based on the Delphi project into auditor knowledge and skills. Four rounds of survey were completed in the Delphi rounds. The project moved to rapid agreement on elements such as audit practice but showed a wide divergence in perceptions of the knowledge that auditors needed to perform under the most recent version of ISO 9001. A qualitative evaluation of the surveys is now being compiled by Roslina ab Wahid (our secondment from Technical University of Malaysia, Nigel Grigg, Massey University and Daniel Prajogo (Monash)


23

15/11/2018 Pilot Project with Wordflow

A pilot project with Wordflow < http://wordflow.info/>has been carried out to test the feasibility and expected outcomes from the digitisation of existing records. Wordflow converts stand alone documents and tags these with metadata that supports a very sophisticated level of search. It provides considerable opportunities for process improvement and introduces highly accurate document translate capabilities. Publishing capabilities are also strong with content able to be pushed to any web-based system The next steps will involve assessment of the feasibility of integration with SharePoint integration where WordFlow would exist as a module within SharePoint. This has been done for other clients such as Queensland Department of Education primary for reasons of single sign on, single level of security via Active Directory and familiarity. Before that we will complete an internal review and then open up discussion with our SharePoint developer on the work involved in integration · The orientation of documents - are they described as being held in lists, using metadata or a hybrid model · Levels of metadata available for each document


24

· Location of documents · Operation of Active Directory · Number of parties in your workflows – external and internal · Types of logins to SharePoint A full proposal will be developed for March 2019 to proceed with digitisation of Assessment records and Scheme documents. The main variable factor is the SharePoint integration

25

16/11/2018 Standards Australia (SA) Council Meeting

Council meeting held in Canberra to outline to SA members update on main initiatives. The primary issue of concern remains the publishing and licensing agreement with SAI Global. This continues to raise concerns from Members and occupies a major effort by SA in finding a satisfactory resolution given SAI rights over renewal of the PLA. A interesting incidental item of information relevant to our thinking about Trans-Tasman activity is the reported decline in Joint standards activity. In 2017 47% of the catalogue comprised joint standards, that is now down t 28% in 2018. The main explanation appears to be a commissioning fee for project work which Standards New Zealand passes on to proposers (industry), who appear reluctant to pay.


James Galloway

26

21/11/2018 NZ Adventure Activities Cert Scheme - WorkSafe meeting - Rafting

Simon Bannock met with Aidan Tansell at WorkSafe NZ. Key items: 1) WorkSafe/Maritime NZ intention to announce in approx. Feb 2019 that whitewater rafting will be managed within the NZAACS, with an effective date of ~ June 2020. Once confirmed, JAS-ANZ will need to onboard TEs etc, and document CB competencies in as an Addendum to Scheme. 2) Following review of options, Worksafe will likely publish scheme information concerning interpretation of 'shoulds and musts', and provide guidance on operator training systems where these are used in lieu of a nationally recognised qualification. Positive meeting, with the key matter being onboarding of the sizeable whitewater rafting industry. Note, there have been two separate commercial whitewater rafting fatalities in 2018.


21/11/2018 Endangered Forests are being stolen

ABC investigation report into alleged malpractices in forest management. Vic Forests is certified by SAI-Global under the Industry Australian Forestry Scheme. The controversy around this has led some firms such as Bunnings to declare that unless Vic Forests gains Forest Stewardship Council (FSC) certification (a rival NGO inspired scheme) then it will stop buying product sourced by Vic Forests by 2020.


27

SAI-Global and Vic Forests have been frequently criticised by NGOs over the certification.

23/11/2018 BEAL Certification Services

MBIE has published notice on its website of the revocation, to use the language of the Building Act, of accreditation for BEAL Certification Services. This follows suspension and an appeal against the suspension.


25/11/2018 IAF/ILAC Meetings

IAF ILAC meetings were held in Singapore over the period 22nd to 31st October. The main meetings of interest were the IAF Technical Committee and MLA committee as well as the respective General assemblies and Joint General Assemblies. Perhaps the most interesting item raised over the course of the meetings was the implementation of the IAF CERTSearch Database. Separate discussion were held with other accreditation bodies ANAB, NABCB, SAC, UKAS and noted separately.



Meeting to discuss engagement with the accreditation system on WaterMark product certification, principal points covered were: (1) Industry participation in JAS-ANZ Product Reference Group for review of doubtful certificates (2) Engagement of Technical exerts for assessment teams


28

(3) Future management and administration of Watermark

30/11/2018 Test pilot of Evaluation

A pilot project has been completed for evaluation work into the accreditation process. A general Self-evaluation Framework has been developed for application at critical points in the accreditation process, application and reaccreditation. CABs are required to self-evaluate their performance in conformity assessment. The mechanism developed and trialled in first half 2018 with progressive implementation from October 2018 . It draws on well tested evaluation principles and methods. The primary aim is to use evaluation to force CABS to understand and improve performance. JAS-ANZ verifies SEM results during surveillance activities and to inform surveillance activities and as an input into initial accreditation and re-accreditation decisions.


22/01/2019 BRC and SQF regional group

Meetings of the BRC Co-op Group and, separately, a meeting of the SQF Regional Group was held in Sydney on 22 January


29

meetings with CBs

2019. Agenda items focused on scheme operational issues and covered forthcoming changes. BRC - changes will be introduced to witness assessment requirements and witness evaluations with mandatory training for CABs in March 2019. A new version of Packaging and Packaging Materials standard, Issue 6 will be published in August 2019, and the Agents and Brokers Standard is currently undergoing review. SQF - noted that SQF is an approved program to support the Tokyo Olympics in 2020, but must be supported by a supplemental program. This supplement does not require an extension to the scope of accreditation. SQF is now undertaking office assessment (separately this is an issue for discussion with JAS-ANZ). GFSI Local Group has been formally endorsed, chaired by Alex Holt (Woolworths). GFSI AUditor Exams - to be in place for all new SQF auditors for primary production and manufacturing from 2020, BRC will start applying the GFSI exam in July 2019. None of the Schemes have dropped their requirements for their own Auditor exams.

30

29/01/2019 CodeMark Meeting with ABCB to discuss the future of CodeMark. Noted the continuing struggle for the scheme to gain acceptance beyond limited use. The scheme remains misaligned with the range of problems affecting the building and construction industry. Consequently it fails to achieve its own objectives. Discussed better use of 'appraisal' model by CSIRO Swinburne and RMIT. Also, discussed a future mandatory third-party scheme for high-risk products (structural and fire protection)

Monitor Routine Board and Management

James Galloway

30/01/2019 CodeMark NZ Conference with MBIE to discuss the framework for improving CodeMark. Agreed terms for a workshop and the priority issues including taking the scheme out of the international framework and the need for more effective competency definition associated with certification.


1/02/2019 Wordflow project proposal

Conference with workflow over their proposed implementation plan for Wordflow software. Discussed the general agreement about the benefit of the project. Feedback was that their costings were out of scale at $120,000 annual recurring license fee and $ 222,000 in establishment charges. Initial outcome is reduced license fee by 48,000 per annum and 40,000 from the one-off set up costs. A five day discovery exercise will be carried out in April to provide a


31

more refined proposal that can be considered in the context of 2019 SCI.

News & Media

Date Comment Assessment Priority Relevance Created By

2/10/2018 A second article covering highly dubious conduct in the test and 'certification' space over environmental drug testing. The entities covered in the report have no connection to JAS-ANZ or IANZ.


4/10/2018 Release by Commerce Commission on fines imposed on Brilliance International Limited over misleading representations about the conformance of steel mesh products for the construction sector. The claims related directly to the fact that the company claimed product met relevant standards when it did not. The outcome adds to weight of problems with basic observance of product obligations in the sector


10/10/2018 Several articles have been published in mid-October over concerns about lead in drinking water. No major commentary has raised questions about testing or certification. However, the matter is closely connected with concerns about non-compliant product reaching Australia and New Zealand.


19/10/2018 Media commentary on the failure of Calvary Hospital in Tasmania to meet its audit conditions. The certifying body for Calvary is SAI-Global.


32

21/11/2018 ABC investigation report into alleged malpractices in forest management. Vic Forests is certified by SAI-Global under the Industry Australian Forestry Scheme. The controversy around this has led some firms such as Bunnings to declare that unless Vic Forests gains Forest Stewardship Council (FSC) certification (a rival NGO inspired scheme) then it will stop buying product sourced by Vic Forests by 2020. SAI-Global and Vic Forests have been frequently criticised by NGOs over the certification.


5/12/2018 The America National Standards Institute has advised that ANSI and ANAB will combine to become the “ANSI National Accreditation Board”.


James Galloway

5/12/2018 Health news story concerning TUV Rheinland liability over medical device certifications.


30/12/2018 Report of NSW government proposed action on building certifiers following the Opal Building evacuation in December 2018. The Minister for Better Regulation, Matt Kean, is reported to have advocated a crackdown on inept or corrupt certifiers.


33

Internal Business

23/08/2018 Meeting between DIIS and Technical Infrastructure organisations as an extension to CSCAG. It covers matters appropriate to a more confidential discussion: Outcomes from the Commonwealth Standards and Conformance Advisory Group Meeting Respective problems and challenges Outcomes of CSCAG that impact TIA members Standards development issues Cooperation/non-cooperation with regulators Activities of EU and US bodies in the Asia Pacific


26/08/2018 Meeting on role of advocacy groups in market surveillance or intelligence relevant to planning and conducting assessments within the NDIS scheme.


27/08/2018 The NDIS scheme preparations are complete and we're now in a position to launch. Additional assessment activities have been included in this scheme to address particular risks with implementation. JAS-ANZ has an agreement with the NDIS Quality and Safeguards Commission for the scheme and is the sole provider of accreditation under the scheme.


27/08/2018 After discussions with the scheme owner, they have agreed to allow JAS-ANZ to provide accreditation under the scheme against the requirements of ISO/IEC 17065 rather than ISO/IEC 17021-1. Preparations are being completed with a launch expected 27 September.


34

27/08/2018 The technical committee formed to review the HSQF scheme has completed its work and the revised scheme is now with the Department for review and sign-off. Launch date of end September expected. The HSQF scheme has been jointly developed by JAS-ANZ and three Queensland government departments (Department of Communities, Disability Services and Seniors; Department of Child Safety, Youth and Women; and Queensland Health). The scheme provides a mechanism for monitoring the quality and safety of services being delivered by human service organisations in areas such as child and family, community services, disability, and health.


29/08/2018 The case of an environmental advocacy group called My Environment and VicForests which ended up in court back in 2011. In short, it was decided against MyEnvironment on the narrow interpretation MyEnvironment gave to sustainability concepts, compared to the Victorian legislature (and by extension Commonwealth legislation gave). Along the way MyEnvironment took issue with SAI-Global which issued the certification for VicForests. MyEnvironment also sought to have JAS-ANZ withdraw SAI-Globals’s accreditation for forestry management. Although the legal proceedings went against MyEnvironment, the controversy has resurfaced with MyEnvironment recently corresponding with SAI-Global and arguing that as a stakeholder they must be consulted (or even included in the audit team) in connection with VicForests continued certification. It is currently between MyEnvironment and Sai-Global,


35

29/08/2018 It was anticipated that there were likely to be four certifiers in Australia and New Zealand who would come under some accreditation sanctions. The first of these is coming into play now, one CAB was recently served with a Show Cause letter. The basis for the letter was their failure to adequately address a number of assessment findings that amount to justifiably serious concerns over the adequacy of the certification process. The CAB operates in the New Zealand CodeMark Scheme. The letter was discussed with MBIE staff before it was sent, they were comfortable with the process and understood the rationale behind it. Shortly after the letter was issued the CAB lodged or indicated it would lodge a complaint against JAS-ANZ with MBIE.


29/08/2018 The certification industry is waking up to the fact that PwC has now entered the certification business and is building on its extensive client network to establish itself. Objections are coming through that they are a consultant and so should not be accredited, but they don’t consult in management systems and as they point out, in reality they don’t get out of bed for less than $5.0 Mn in consulting projects. Their presence has the potential to be a major disruptive influence on accredited certification, especially on the big end of the certification market such as Lloyd’s, BSI, SAI-Global and the like. What they bring to the industry is a very forward-looking and progressive agenda, great technical depth in business methods and a very sophisticated approach to the governance and management issues associated with certification.


36

29/08/2018 Discussions have opened up with the Facilities Management Association on the development of a scheme to support certification in the industry. Interest is building within industry on certification against the 41000 series of standards which cover this domain. FMA has detailed knowledge of the standard from their role in its development and industry expertise relevant to developing scheme content. One indication of their seriousness in this undertaking is that they have a definite interest in trying to build a revenue stream from certification through joint branding of certifications and training to industry.


29/08/2018 Rationalising the scheme portfolio is underway with work in progress to consolidate overlapping separate schemes aiming to service the same domain. We are starting with the multiple electrical product safety schemes operated by different certifiers. The approach is quite straightforward. • Prepare a basic ‘model’ scheme for product certification in this case electrical safety • Work with industry to identify additional scheme content that might be relevant to dealing with specific problems in the market: o like CAB shopping creating unhealthy competitive stresses, o misapplication/misuse of test reports, o Use of aged test data; or o whatever else might be considered as ‘dragging’ down certification performance and reliability • a similar discussion with regulators (Australia and New Zealand to promote the idea of a single scheme and capture their views relevant to content • Inject this into a formal scheme development process to deliver a well-informed consensus-based scheme addressing electrical safety


37

So far, it is fair to say that we have strong support from the certifiers and industry, but regulators is another issue.

38

29/08/2018 You will recall that the transition from earlier versions of these standards to the 2015 versions is due to conclude in September of this year. Early figures showed a very slow rate of transition, our figures are currently just under 80% completion for both standards. The best comparison data come from the end of June and that shows the global transition average for ISO 9001 at 68.22% as of 30 June 2018, up from 47.24% at 28 February 2018 and 36.94% at 31 December 2017 and for ISO 14001 at 69.94% as of 30 June 2018, up from 51.55% and 39.73% at 31 December 2018. We expect a fairly hectic month or so as the stragglers come in and possibly some complaints from those that have left it too late and whose certificates will be invalidated. The global policy is that any certificates invalidated can be reinstated if the certification is finalised within 6 months of 15 September.


29/08/2018 The working draft of the review report was provided by MBIE in recent weeks and some commentary and data was provided back to MBIE on aspects of the report, overall the conclusion is that the system works well and is fit for purpose.


29/08/2018 We are now into video production to try and capture media and training content on the critical issue of how organisations and individuals use (mis-use) testing and certification data. This is a problem that plagues the building sector and others. Video represents the best medium we have to get something across about how this information can best be used. We had some very strong contributions from Certifiers, Energy Safe Victoria, AiGroup, Housing Industry Association, NATA and Windows and Glass Association. Content will go to social media, web content hosted by industry groups on their websites and future training material.


39

30/08/2018 The above NZ qualification is live - it was established as a qualification pathway to support resourcing of the Safety Audit Standard (Adventure Activity Certification Scheme). That qualification is undergoing forma review - coordinated by Skills Active. Simon B has provided input into that review, with emphasis to bolster alignment of that qual with the auditor competencies required by the NZAACS scheme.


31/08/2018 Meeting to be held with Dept of Ag regarding imported food legislation which is to recognise Global Food Safety Initiative (GFSI) benchmarked certification schemes as a basis for acceptance of food imported into Australia.


20/09/2018 Briefing for NZ Minister on JAS-ANZ and the operation of the accreditation system, with Jim Robinson and Cathy James (MBIE). Covered scope of accreditation activity and sectors in New Zealand utilising certification and inspection services. Possible follow-up through Kathryn Lockyer to arrange a visit for the Minister to a certified organisation.


21/09/2018 Meeting with Bell Gully to review updates to the accreditation manual and process for finalisation. Consideration to be given to the application of a 'three-strikes and out' for recidivist CABS.


25/09/2018 Staff workshop held 25-27 September. Program focussed on stakeholder involvement in JAS-ANZ with main inputs provided by Standards Australia, MBIE, AiGroup. A workshop was conducted by Grace PR on external communications and work on ideas about the language and ideas that were most useful in talking to stakeholders about accreditation. Main themes in JAS-ANZ's strategy were introduced to all staff.


40

28/09/2018 Meeting with John Rowley, CEO SAI Global Assurance, Kevin Goodwin, General Manager Technical Services and Heather Mahon, Certification Manager. Covered the internal overhaul of certification activities and relations to other parts of the business. Major interest was in the Self-Evaluation trial and how JAS-ANZ might promote this to other accreditation bodies such as ANAB to assist SAI to improve relations.


28/09/2018 Meeting with staff from Wordflow to outline internal processes and information flow for reporting with the object of establishing a trial of how their platform could be used to convert existing PDF and Word files to useable data formats.


2/10/2018 Brief meeting and subsequent correspondence on work with DSA to provide assessment work for registered users of DSA. Applicable to NDIS but also more generally.


2/10/2018 A second article covering highly dubious conduct in the test and 'certification' space over environmental drug testing. The entities covered in the report have no connection to JAS-ANZ or IANZ.


3/10/2018 Meeting of IEC National Committee to progress work program on Smart Cities. Investigating role of standardisation in current IEC committees to determine where Australian effort might be invested.

Act on it Routine Board James Galloway

41

4/10/2018 John Parr attended the above dinner on behalf of JAS-ANZ which was organized by MFAT to welcome a delegation from the New Caledonian Government, who are interested in developing improved regulatory / compliance structures for their local construction industry. Other attendees were MBIE building assurance personnel, BRANZ, IANZ and MFAT diplomatic staff. This dinner is a follow up meeting from a presentation that was provided in 2017 at the request of MFAT / MBIE regarding JAS-ANZ activities and linkage to the Australasian construction industry. This engagement is part of the new Labour Government's "Pacific Reset" strategy which represents a shift from previous administrations and reflects increasing awareness of New Zealand's modest economic size and sphere of influence: https://www.mfat.govt.nz/en/countries-and-regions/pacific/


John Parr

4/10/2018 The 2017 Foreign Policy White Paper committed the Australian Government to conducting a review of the nation’s soft power strengths and capabilities. A brief submission was made to DFAT on aspects of technical infrastructure and specifically Accreditation and Accredited Certification.


4/10/2018 Release by Commerce Commission on fines imposed on Brilliance International Limited over misleading representations about the conformance of steel mesh products for the construction sector. The claims related directly to the fact that the company claimed product met relevant standards when it did not. The outcome adds to weight of problems with basic observance of product obligations in the sector


9/10/2018 Meeting to update MOU with NATA and address work in progress including AANZFTA project, IAF/ILAC input and video production project. MOU to be renewed on the same terms.


42

10/10/2018 Several articles have been published in mid-October over concerns about lead in drinking water. No major commentary has raised questions about testing or certification. However, the matter is closely connected with concerns about non-compliant product reaching Australia and New Zealand.


11/10/2018 Meeting of Standards Australia Council members to receive update on Standards Australia and SAI-Global impasse over the Publishing and licensing Agreement. Meeting considered possible scenarios and Standards Australia's prospective responses. These are expected to firm up with a more definite view to be put to Council on 16th November.


18/10/2018 The Talent Management Standard Scheme has been developed by the Association of Professional Staffing Companies and CERTEX as a means for the industry (predominantly IT professionals) to differentiate itself from the troubled labour hire sector. As part of a general industry wide function it was announced that the scheme was moving through the endorsement process and due for imminent release.


19/10/2018 Media commentary on the failure of Calvary Hospital in Tasmania to meet its audit conditions. The certifying body for Calvary is SAI-Global.


26/10/2018 Met with new CEO (interim) of ANAB to discuss prospects for cooperation. ANAB is interested in the self-evaluation trial and results to consider how it might deploy a similar approach. Also, interested in working to developing and trialling the terms for a maturity model.


26/10/2018 Discussed further cooperative and joint activities. Also, interested in working to developing and trialling the terms for a maturity model. UKAS proposed work on Commonwealth Standards Network as one platform for cooperation.


43

26/10/2018 NABCB expressed interest in an extended MOU. Also, interested in working to developing and trialling the terms for a maturity model. Will undertake a joint proposal to IAF on effective management of withdrawn/cancelled CABS.


27/10/2018 Discussed AANZFTA capacity building project for the ASEAN technical infrastructure. SAC is interested in participating in the program subject to it being approved by ASEAN secretariat. Also, interested in working to developing and trialling the terms for a maturity model.


9/11/2018 Meeting (Stephen Clark, Wendy Shephard, Candice Tyrril) to discuss (1) general approach to health services accreditation and certification (2) APGAL's application for accreditation for NDIS. Main Points AGPAL and JAS-ANZ have a common problem with the Safety and Quality Commission. Stephen Clark has a prominent role in ISQUA and there are good grounds for cooperation. He emphasised that ISQUA does not offer accreditation to ISO 9001. Invitation considered for JAS-ANZ to present at next ISQUA international conference in Sth Africa (October 2019)


9/11/2018 A first draft qualitative study has been drawn up based on the Delphi project into auditor knowledge and skills. Four rounds of survey were completed in the Delphi rounds. The project moved to rapid agreement on elements such as audit practice but showed a wide divergence in perceptions of the knowledge that auditors needed to perform under the most recent version of ISO 9001. A qualitative evaluation of the surveys is now being compiled by Roslina ab Wahid (our secondment from Technical University of Malaysia, Nigel Grigg, Massey University and Daniel Prajogo (Monash)


44

15/11/2018 A pilot project with Wordflow < http://wordflow.info/>has been carried out to test the feasibility and expected outcomes from the digitisation of existing records. Wordflow converts standalone documents and tags these with metadata that supports a very sophisticated level of search. It provides considerable opportunities for process improvement and introduces highly accurate document translate capabilities. Publishing capabilities are also strong with content able to be pushed to any web-based system The next steps will involve assessment of the feasibility of integration with SharePoint integration where WordFlow would exist as a module within SharePoint. This has been done for other clients such as Queensland Department of Education primary for reasons of single sign on, single level of security via Active Directory and familiarity. Before that we will complete an internal review and then open up discussion with our SharePoint developer on the work involved in integration · The orientation of documents - are they described as being held in lists, using metadata or a hybrid model · Levels of metadata available for each document · Location of documents · Operation of Active Directory · Number of parties in your workflows – external and internal · Types of logins to SharePoint A full proposal will be developed for March 2019 to proceed with digitisation of Assessment records and Scheme documents. The main variable factor is the SharePoint integration


45

16/11/2018 Council meeting held in Canberra to outline to SA members update on main initiatives. The primary issue of concern remains the publishing and licensing agreement with SAI Global. This continues to raise concerns from Members and occupies a major effort by SA in finding a satisfactory resolution given SAI rights over renewal of the PLA. An interesting incidental item of information relevant to our thinking about Trans-Tasman activity is the reported decline in Joint standards activity. In 2017 47% of the catalogue comprised joint standards, that is now down to 28% in 2018. The main explanation appears to be a commissioning fee for project work which Standards New Zealand passes on to proposers (industry), who appear reluctant to pay.


James Galloway

21/11/2018 Simon Bannock met with Aidan Tansell at WorkSafe NZ. Key items: 1) WorkSafe/Maritime NZ intention to announce in approx. Feb 2019 that whitewater rafting will be managed within the NZAACS, with an effective date of ~ June 2020. Once confirmed, JAS-ANZ will need to onboard TEs etc, and document CB competencies in as an Addendum to Scheme. 2) Following review of options, Worksafe will likely publish scheme information concerning interpretation of 'shoulds and musts', and provide guidance on operator training systems where these are used in lieu of a nationally recognised qualification. Positive meeting, with the key matter being onboarding of the sizeable whitewater rafting industry. Note, there have been two separate commercial whitewater rafting fatalities in 2018.


46

21/11/2018 ABC investigation report into alleged malpractices in forest management. Vic Forests is certified by SAI-Global under the Industry Australian Forestry Scheme. The controversy around this has led some firms such as Bunnings to declare that unless Vic Forests gains Forest Stewardship Council (FSC) certification (a rival NGO inspired scheme) then it will stop buying product sourced by Vic Forests by 2020. SAI-Global and Vic Forests have been frequently criticised by NGOs over the certification.


23/11/2018 MBIE has published notice on its website of the revocation, to use the language of the Building Act, of accreditation for BEAL Certification Services. This follows suspension and an appeal against the suspension.


25/11/2018 IAF ILAC meetings were held in Singapore over the period 22nd to 31st October. The main meetings of interest were the IAF Technical Committee and MLA committee as well as the respective General assemblies and Joint General Assemblies. Perhaps the most interesting item raised over the course of the meetings was the implementation of the IAF CERTSearch Database. Separate discussion was held with other accreditation bodies ANAB, NABCB, SAC, UKAS and noted separately.


27/11/2018 Meeting to discuss engagement with the accreditation system on WaterMark product certification, principal points covered were: (1) Industry participation in JAS-ANZ Product Reference Group for review of doubtful certificates (2) Engagement of Technical exerts for assessment teams (3) Future management and administration of Watermark


47

30/11/2018 A pilot project has been completed for evaluation work into the accreditation process. A general Self-evaluation Framework has been developed for application at critical points in the accreditation process, application and reaccreditation. CABs are required to self-evaluate their performance in conformity assessment. The mechanism developed and trialled in first half 2018 with progressive implementation from October 2018. It draws on well tested evaluation principles and methods. The primary aim is to use evaluation to force CABS to understand and improve performance. JAS-ANZ verifies SEM results during surveillance activities and to inform surveillance activities and as an input into initial accreditation and re-accreditation decisions.


5/12/2018 Note from ABCB to advise of the intent to enter into discussion with the ABCB Board about the continued viability of CodeMark. This will include a worship with the ABCB Board on 7th March 2019.


5/12/2018 The America National Standards Institute has advised that ANSI and ANAB will combine to become the “ANSI National Accreditation Board”.


James Galloway

5/12/2018 Health news story concerning TUV Rheinland liability over medical device certifications.


5/12/2018 The Report has been welcomed by industry groups which see it as endorsing a number of proposals advanced by the Construction Product Alliance and as an important reference point for future action to address the non-conforming building product dilemma facing both industry and government regulators.


48

10/12/2018 Previous contacts, Dr Simon Robb is on extended sick leave, and Phillip Anderson has resigned. So met with new personnel, Victor Ostapowicz and Vincent Kneebone (Section Manager). Generally discussed the EWRB - EL scheme and the accreditation processes. EWRB - EL is concerned as to approaching deadline of 1 Feb 2019 and no CB yet accredited. Post meeting I followed up with Telarc - this remains on their radar but has been subject to slippage. All parties now in contact with one another.


10/12/2018 Discussion with Karen Batt at Standards Australia on a concept note prepared by the Pacific Islands Forum Secretariat on development of Quality Infrastructure in the Pacific. The concept note is based on the shared infrastructure model undertaken by Caribbean nations. It covers the full range of services. In general the proposal could be supported but would need funding from a source such as the World Bank. It was noted that BSI is undertaking work in PNG and Vanuatu under the auspices of the Commonwealth Standards Network. PIF Concept to be considered by TIA after SA briefs NATA and NMI.


11/12/2018 NZ cross-government strategy for technical barriers to trade (TBT). The key government agencies involved in the TBT work programme (MBIE, MFAT, MPI, NZTE and Standards NZ) have committed to a range of actions to deliver on this Strategy. Several of the actions in the Strategy are about better communicating with businesses and industry bodies. The document is not intended to be published because it is aimed at guiding how the relevant government agencies work together and covers technical areas of trade policy. Some classified content for future trade negotiation purposes has been removed.


49

30/12/2018 Report of NSW government proposed action on building certifiers following the Opal Building evacuation in December 2018. The Minister for Better Regulation, Matt Kean, is reported to have advocated a crackdown on inept or corrupt certifiers.


22/01/2019 Meetings of the BRC Co-op Group and, separately, a meeting of the SQF Regional Group was held in Sydney on 22 January 2019. Agenda items focused on scheme operational issues and covered forthcoming changes. BRC - changes will be introduced to witness assessment requirements and witness evaluations with mandatory training for CABs in March 2019. A new version of Packaging and Packaging Materials standard, Issue 6 will be published in August 2019, and the Agents and Brokers Standard is currently undergoing review. SQF - noted that SQF is an approved program to support the Tokyo Olympics in 2020 but must be supported by a supplemental program. This supplement does not require an extension to the scope of accreditation. SQF is now undertaking office assessment (separately this is an issue for discussion with JAS-ANZ). GFSI Local Group has been formally endorsed, chaired by Alex Holt (Woolworths). GFSI Auditor Exams - to be in place for all new SQF auditors for primary production and manufacturing from 2020, BRC will start applying the GFSI exam in July 2019. None of the Schemes have dropped their requirements for their own Auditor exams.


50

29/01/2019 Meeting with ABCB to discuss the future of CodeMark. Noted the continuing struggle for the scheme to gain acceptance beyond limited use. The scheme remains misaligned with the range of problems affecting the building and construction industry. Consequently it fails to achieve its own objectives. Discussed better use of 'appraisal' model by CSIRO Swinburne and RMIT. Also, discussed a future mandatory third-party scheme for high-risk products (structural and fire protection)


James Galloway

30/01/2019 Conference with MBIE to discuss the framework for improving CodeMark. Agreed terms for a workshop and the priority issues including taking the scheme out of the international framework and the need for more effective competency definition associated with certification.


1/02/2019 Conference with workflow over their proposed implementation plan for Wordflow software. Discussed the general agreement about the benefit of the project. Feedback was that their costings were out of scale at $120,000 annual recurring license fee and $ 222,000 in establishment charges. Initial outcome is reduced license fee by 48,000 per annum and 40,000 from the one-off set up costs. A five-day discovery exercise will be carried out in April to provide a more refined proposal that can be considered in the context of 2019 SCI.


51

Accreditation Bodies

29/08/2018 The case of an environmental advocacy group called My Environment and VicForests which ended up in court back in 2011. In short, it was decided against MyEnvironment on the narrow interpretation MyEnvironment gave to sustainability concepts, compared to the Victorian legislature (and by extension Commonwealth legislation gave). Along the way MyEnvironment took issue with SAI-Global which issued the certification for VicForests. MyEnvironment also sought to have JAS-ANZ withdraw SAI-Globals’s accreditation for forestry management. Although the legal proceedings went against MyEnvironment, the controversy has resurfaced with MyEnvironment recently corresponding with SAI-Global and arguing that as a stakeholder they must be consulted (or even included in the audit team) in connection with VicForests continued certification. It is currently between MyEnvironment and Sai-Global,


29/08/2018 It was anticipated that there were likely to be four certifiers in Australia and New Zealand who would come under some accreditation sanctions. The first of these is coming into play now, one CAB was recently served with a Show Cause letter. The basis for the letter was their failure to adequately address a number of assessment findings that amount to justifiably serious concerns over the adequacy of the certification process. The CAB operates in the New Zealand CodeMark Scheme. The letter was discussed with MBIE staff before it was sent, they were comfortable with the process and understood the rationale behind it. Shortly after the letter was issued the CAB lodged or indicated it would lodge a complaint against JAS-ANZ with MBIE.


52

29/08/2018 he certification industry is waking up to the fact that PwC has now entered the certification business and is building on its extensive client network to establish itself. Objections are coming through that they are a consultant and so should not be accredited, but they don’t consult in management systems and as they point out, in reality they don’t get out of bed for less than $5.0 Mn in consulting projects. Their presence has the potential to be a major disruptive influence on accredited certification, especially on the big end of the certification market such as Lloyd’s, BSI, SAI-Global and the like. What they bring to the industry is a very forward-looking and progressive agenda, great technical depth in business methods and a very sophisticated approach to the governance and management issues associated with certification.


28/09/2018 Meeting with John Rowley, CEO SAI Global Assurance, Kevin Goodwin, General Manager Technical Services and Heather Mahon, Certification Manager. Covered the internal overhaul of certification activities and relations to other parts of the business. Major interest was in the Self-Evaluation trial and how JAS-ANZ might promote this to other accreditation bodies such as ANAB to assist SAI to improve relations.


23/11/2018 MBIE has published notice on its website of the revocation, to use the language of the Building Act, of accreditation for BEAL Certification Services. This follows suspension and an appeal against the suspension.


53

30/11/2018 A pilot project has been completed for evaluation work into the accreditation process. A general Self-evaluation Framework has been developed for application at critical points in the accreditation process, application and reaccreditation. CABs are required to self-evaluate their performance in conformity assessment. The mechanism developed and trialled in first half 2018 with progressive implementation from October 2018. It draws on well tested evaluation principles and methods. The primary aim is to use evaluation to force CABS to understand and improve performance. JAS-ANZ verifies SEM results during surveillance activities and to inform surveillance activities and as an input into initial accreditation and re-accreditation decisions.


54

Certification Schemes



Meeting between DIIS and Technical Infrastructure organisations as an extension to CSCAG. It covers matters appropriate to a more confidential discussion: Outcomes from the Commonwealth Standards and Conformance Advisory Group Meeting Respective problems and challenges Outcomes of CSCAG that impact TIA members Standards development issues Cooperation/non-cooperation with regulators Activities of EU and US bodies in the Asia Pacific


26/08/2018 ADACAS Disability Advocacy

Meeting on role of advocacy groups in market surveillance or intelligence relevant to planning and conducting assessments within the NDIS scheme.


27/08/2018 NDIS launch The NDIS scheme preparations are complete and we're now in a position to launch. Additional assessment activities have been included in this scheme to address particular risks with implementation. JAS-ANZ has an agreement with the NDIS Quality and Safeguards Commission for the scheme and is the sole provider of accreditation under the scheme.


27/08/2018 Gluten Free Certification Program

After discussions with the scheme owner, they have agreed to allow JAS-ANZ to provide accreditation under the scheme against the requirements of ISO/IEC 17065 rather than


55

ISO/IEC 17021-1. Preparations are being completed with a launch expected 27 September.

27/08/2018 HSQF scheme review The technical committee formed to review the HSQF scheme has completed it's work and the revised scheme is now with the Department for review and sign-off. Launch date of end September expected. The HSQF scheme has been jointly developed by JAS-ANZ and three Queensland government departments (Department of Communities, Disability Services and Seniors; Department of Child Safety, Youth and Women; and Queensland Health). The scheme provides a mechanism for monitoring the quality and safety of services being delivered by human service organisations in areas such as child and family, community services, disability, and health.


56

29/08/2018 My Environment and Vic Forests

The case of an environmental advocacy group called My Environment and VicForests which ended up in court back in 2011. In short, it was decided against MyEnvironment on the narrow interpretation MyEnvironment gave to sustainability concepts, compared to the Victorian legislature (and by extension Commonwealth legislation gave). Along the way MyEnvironment took issue with SAI-Global which issued the certification for VicForests. MyEnvironment also sought to have JAS-ANZ withdraw SAI-Globals’s accreditation for forestry management. Although the legal proceedings went against MyEnvironment, the controversy has resurfaced with MyEnvironment recently corresponding with SAI-Global and arguing that as a stakeholder they must be consulted (or even included in the audit team) in connection with VicForests continued certification. It is currently between MyEnvironment and Sai-Global,


29/08/2018 Complaint to MBIE It was anticipated that there were likely to be four certifiers in Australia and New Zealand who would come under some accreditation sanctions. The first of these is coming into play now, one CAB was recently served with a Show Cause letter. The basis for the letter was their failure to adequately address a number of assessment findings that amount to justifiably serious concerns over the adequacy of the certification process. The CAB operates in the New Zealand CodeMark Scheme. The letter was discussed with MBIE staff before it was


57

sent, they were comfortable with the process and understood the rationale behind it. Shortly after the letter was issued the CAB lodged, or indicated it would lodge a complaint against JAS-ANZ with MBIE.

29/08/2018 PwC Certification Business

he certification industry is waking up to the fact that PwC has now entered the certification business and is building on its extensive client network to establish itself. Objections are coming through that they are a consultant and so should not be accredited, but they don’t consult in management systems and as they point out, in reality they don’t get out of bed for less than $5.0 Mn in consulting projects. Their presence has the potential to be a major disruptive influence on accredited certification, especially on the big end of the certification market such as Lloyd’s, BSI, SAI-Global and the like. What they bring to the industry is a very forward-looking and progressive agenda, great technical depth in business methods and a very sophisticated approach to the governance and management issues associated with certification.


58

29/08/2018 Facilities Management Association (FMA)

Discussions have opened up with the Facilities Management Association on the development of a scheme to support certification in the industry. Interest is building within industry on certification against the 41000 series of standards which cover this domain. FMA has detailed knowledge of the standard from their role in its development and industry expertise relevant to developing scheme content. One indication of their seriousness in this undertaking is that they have a definite interest in trying to build a revenue stream from certification through joint branding of certifications and training to industry.


59

29/08/2018 Product Certification Rationalising the scheme portfolio is underway with work in progress to consolidate overlapping separate schemes aiming to service the same domain. We are starting with the multiple electrical product safety schemes operated by different certifiers. The approach is quite straightforward. • Prepare a basic ‘model’ scheme for product certification in this case electrical safety • Work with industry to identify additional scheme content that might be relevant to dealing with specific problems in the market: o like CAB shopping creating unhealthy competitive stresses, o misapplication/misuse of test reports, o Use of aged test data; or o whatever else might be considered as ‘dragging’ down certification performance and reliability • a similar discussion with regulators (Australia and New Zealand to promote the idea of a single scheme and capture their views relevant to content • Inject this into a formal scheme development process to deliver a well-informed consensus-based scheme addressing electrical safety So far, it is fair to say that we have strong support from the certifiers and industry, but regulators is another issue.


60

29/08/2018 ISO 9001 and 14001 transitions

You will recall that the transition from earlier versions of these standards to the 2015 versions is due to conclude in September of this year. Early figures showed a very slow rate of transition, our figures are currently just under 80% completion for both standards. The best comparison data come from the end of June and that shows the global transition average for ISO 9001 at 68.22% as of 30 June 2018, up from 47.24% at 28 February 2018 and 36.94% at 31 December 2017 and for ISO 14001 at 69.94% as of 30 June 2018, up from 51.55% and 39.73% at 31 December 2018. We expect a fairly hectic month or so as the stragglers come in and possibly some complaints from those that have left it too late and whose certificates will be invalidated. The global policy is that any certificates invalidated can be reinstated if the certification is finalised within 6 months of 15 September.


29/08/2018 NZ Infrastructure Review

The working draft of the review report was provided by MBIE in recent weeks and some commentary and data was provided back to MBIE on aspects of the report, overall the conclusion is that the system works well and is fit for purpose.


61

29/08/2018 Video Production We are now into video production to try and capture media and training content on the critical issue of how organisations and individuals use (mis-use) testing and certification data. This is a problem that plagues the building sector and others. Video represents the best medium we have to get something across about how this information can best be used. We had some very strong contributions from Certifiers, Energy Safe Victoria, AiGroup, Housing Industry Association, NATA and Windows and Glass Association. Content will go to social media, web content hosted by industry groups on their websites and future training material.


30/08/2018 NZ Certification in Recreation Safety Auditing (Level 6)

The above NZ qualification is live - it was established as a qualification pathway to support resourcing of the Safety Audit Standard (Adventure Activity Certification Scheme). That qualification is undergoing forma review - coordinated by Skills Active. Simon B has provided input into that review, with emphasis to bolster alignment of that qual with the auditor competencies required by the NZAACS scheme.



Meeting to be held with Dept of Ag regarding imported food legislation which is to recognised Global Food Safety Initiative (GFSI) benchmarked certification schemes as a basis for acceptance of food imported into Australia.


62




9/11/2018 Delphi Project A first draft qualitative study has been drawn up based on the Delphi project into auditor knowledge and skills. Four rounds of survey were completed in the Delphi rounds. The project moved to rapid agreement on elements such as audit practice but showed a wide divergence in perceptions of the knowledge that auditors needed to perform under the most recent version of ISO 9001. A qualitative evaluation of the surveys is now being compiled by Roslina ab Wahid (our secondment from Technical University of Malaysia, Nigel Grigg, Massey University and Daniel Prajogo (Monash)


63

15/11/2018

Pilot Project with Wordflow

A pilot project with Wordflow < http://wordflow.info/>has been carried out to test the feasibility and expected outcomes from the digitisation of existing records. Wordflow converts stand alone documents and tags these with metadata that supports a very sophisticated level of search. It provides considerable opportunities for process improvement and introduces highly accurate document translate capabilities. Publishing capabilities are also strong with content able to be pushed to any web-based system The next steps will involve assessment of the feasibility of integration with SharePoint integration where WordFlow would exist as a module within SharePoint. This has been done for other clients such as Queensland Department of Education primary for reasons of single sign on, single level of security via Active Directory and familiarity. Before that we will complete an internal review and then open up discussion with our SharePoint developer on the work involved in integration · The orientation of documents - are they described as being held in lists, using metadata or a hybrid model · Levels of metadata available for each document · Location of documents · Operation of Active Directory · Number of parties in your workflows – external and internal


64

· Types of logins to SharePoint A full proposal will be developed for March 2019 to proceed with digitisation of Assessment records and Scheme documents. The main variable factor is the SharePoint integration

65

16/11/2018

Standards Australia (SA) Council Meeting

Council meeting held in Canberra to outline to SA members update on main initiatives. The primary issue of concern remains the publishing and licensing agreement with SAI Global. This continues to raise concerns from Members and occupies a major effort by SA in finding a satisfactory resolution given SAI rights over renewal of the PLA. A interesting incidental item of information relevant to our thinking about Trans-Tasman activity is the reported decline in Joint standards activity. In 2017 47% of the catalogue comprised joint standards, that is now down t 28% in 2018. The main explanation appears to be a commissioning fee for project work which Standards New Zealand passes on to proposers (industry), who appear reluctant to pay.


James Galloway

21/11/2018 NZ Adventure Activities Cert Scheme - WorkSafe meeting - Rafting

Simon Bannock met with Aidan Tansell at WorkSafe NZ. Key items: 1) WorkSafe/Maritime NZ intention to announce in approx. Feb 2019 that whitewater rafting will be managed within the NZAACS, with an effective date of ~ June 2020. Once confirmed, JAS-ANZ will need to onboard TEs etc, and document CB competencies in as an Addendum to Scheme. 2) Following review of options, Worksafe will likely publish scheme information concerning interpretation of 'shoulds and musts', and provide guidance on operator training systems


66

where these are used in lieu of a nationally recognised qualification. Positive meeting, with the key matter being onboarding of the sizeable whitewater rafting industry. Note, there have been two separate commercial whitewater rafting fatalities in 2018.

21/11/2018 Endangered Forests are being stolen

ABC investigation report into alleged malpractices in forest management. Vic Forests is certified by SAI-Global under the Industry Australian Forestry Scheme. The controversy around this has led some firms such as Bunnings to declare that unless Vic Forests gains Forest Stewardship Council (FSC) certification (a rival NGO inspired scheme) then it will stop buying product sourced by Vic Forests by 2020. SAI-Global and Vic Forests have been frequently criticised by NGOs over the certification.


23/11/2018 BEAL Certification Services

MBIE has published notice on its website of the revocation, to use the language of the Building Act, of accreditation for BEAL Certification Services. This follows suspension and an appeal against the suspension.


67

25/11/2018 IAF/ILAC Meetings IAF ILAC meetings were held in Singapore over the period 22nd to 31st October. The main meetings of interest were the IAF Technical Committee and MLA committee as well as the respective General assemblies and Joint General Assemblies. Perhaps the most interesting item raised over the course of the meetings was the implementation of the IAF CERTSearch Database. Separate discussion were held with other accreditation bodies ANAB, NABCB, SAC, UKAS and noted separately.



Meeting to discuss engagement with the accreditation system on WaterMark product certification, principal points covered were: (1) Industry participation in JAS-ANZ Product Reference Group for review of doubtful certificates (2) Engagement of Technical exerts for assessment teams (3) Future management and administration of Watermark


68

30/11/2018 Test pilot of Evaluation A pilot project has been completed for evaluation work into the accreditation process. A general Self-evaluation Framework has been developed for application at critical points in the accreditation process, application and reaccreditation. CABs are required to self-evaluate their performance in conformity assessment. The mechanism developed and trialled in first half 2018 with progressive implementation from October 2018 . It draws on well tested evaluation principles and methods. The primary aim is to use evaluation to force CABS to understand and improve performance. JAS-ANZ verifies SEM results during surveillance activities and to inform surveillance activities and as an input into initial accreditation and re-accreditation decisions.


5/12/2018

Codemark viability Note from ABCB to advise of the intent to enter into discussion with the ABCB Board about the continued viability of CodeMark. This will include a worship with the ABCB Board on 7th March 2019.


5/12/2018

ANSI Acquires Full Ownership of ANAB

The America National Standards Institute has advised that ANSI and ANAB will combine to become the “ANSI National Accreditation Board”.


James Galloway

5/12/2018

Reuter Article on TUV Rheinland

Health news story concerning TUV Rheinland liability over medical device certifications.


69

5/12/2018

Non-conforming building products: the need for a coherent and robust regulatory regime

The Report has been welcomed by industry groups which see it as endorsing a number of proposals advanced by the Construction Product Alliance and as an important reference point for future action to address the non-conforming building product dilemma facing both industry and government regulators.


10/12/2018

Electrical Workers Registration Board (EWRB)

Previous contacts, Dr Simon Robb is on extended sick leave, and Phillip Anderson has resigned. So met with new personnel, Victor Ostapowicz and Vincent Kneebone (Section Manager). Generally discussed the EWRB - EL scheme and the accreditation processes. EWRB - EL is concerned as to approaching deadline of 1 Feb 2019 and no CB yet accredited. Post meeting I followed up with Telarc - this remains on their radar but has been subject to slippage. All parties now in contact with one another.


10/12/2018

Quality Infrastructure proposal for Pacific Island Nations

Discussion with Karen Batt at Standards Australia on a concept note prepared by the Pacific Islands Forum Secretariat on development of Quality Infrastructure in the Pacific. The concept note is based on the shared infrastructure model undertaken by Caribbean nations. It covers the full range of services. In general the proposal could be supported, but would need funding from a source such as the World Bank. It was noted that BSI is undertaking work in PNG and Vanuatu under the auspices of the Commonwealth Standards Network. PIF Concept to be considered by TIA after SA briefs NATA and NMI.


70

11/12/2018

NZ TBT strategy paper NZ cross-government strategy for technical barriers to trade (TBT). The key government agencies involved in the TBT work programme (MBIE, MFAT, MPI, NZTE and Standards NZ) have committed to a range of actions to deliver on this Strategy. Several of the actions in the Strategy are about better communicating with businesses and industry bodies. The document is not intended to be published because it is aimed at guiding how the relevant government agencies work together and covers technical areas of trade policy. Some classified content for future trade negotiation purposes has been removed.


30/12/2018

NSW crackdown on dodgy building certifiers

Report of NSW government proposed action on building certifiers following the Opal Building evacuation in December 2018. The Minister for Better Regulation, Matt Kean, is reported to have advocated a crackdown on inept or corrupt certifiers.


71

22/01/2019

BRC and SQF regional group meetings with CBs

Meetings of the BRC Co-op Group and, separately, a meeting of the SQF Regional Group was held in Sydney on 22 January 2019. Agenda items focused on scheme operational issues and covered forthcoming changes. BRC - changes will be introduced to witness assessment requirements and witness evaluations with mandatory training for CABs in March 2019. A new version of Packaging and Packaging Materials standard, Issue 6 will be published in August 2019, and the Agents and Brokers Standard is currently undergoing review. SQF - noted that SQF is an approved program to support the Tokyo Olympics in 2020, but must be supported by a supplemental program. This supplement does not require an extension to the scope of accreditation. SQF is now undertaking office assessment (separately this is an issue for discussion with JAS-ANZ). GFSI Local Group has been formally endorsed, chaired by Alex Holt (Woolworths). GFSI AUditor Exams - to be in place for all new SQF auditors for primary production and manufacturing from 2020, BRC will start applying the GFSI exam in July 2019. None of the Schemes have dropped their requirements for their own Auditor exams.


72

29/01/2019

CodeMark Meeting with ABCB to discuss the future of CodeMark. Noted the continuing struggle for the scheme to gain acceptance beyond limited use. The scheme remains misaligned with the range of problems affecting the building and construction industry. Consequently it fails to achieve its own objectives. Discussed better use of 'appraisal' model by CSIRO Swinburne and RMIT. Also, discussed a future mandatory third-party scheme for high-risk products (structural and fire protection)


James Galloway

30/01/2019

CodeMark NZ Conference with MBIE to discuss the framework for improving CodeMark. Agreed terms for a workshop and the priority issues including taking the scheme out of the international framework and the need for more effective competency definition associated with certification.


1/02/2019 Wordflow project proposal

Conference with workflow over their proposed implementation plan for Wordflow software. Discussed the general agreement about the benefit of the project. Feedback was that their costings were out of scale at $120,000 annual recurring license fee and $ 222,000 in establishment charges. Initial outcome is reduced license fee by 48,000 per annum and 40,000 from the one-off set up costs. A five day discovery exercise will be carried out in April to provide a more refined proposal that can be considered in the context of 2019 SCI.


73

Technical

10/12/2018 Quality Infrastructure proposal for Pacific Island Nations

Discussion with Karen Batt at Standards Australia on a concept note prepared by the Pacific Islands Forum Secretariat on development of Quality Infrastructure in the Pacific. The concept note is based on the shared infrastructure model undertaken by Caribbean nations. It covers the full range of services. In general the proposal could be supported, but would need funding from a source such as the World Bank. It was noted that BSI is undertaking work in PNG and Vanuatu under the auspices of the Commonwealth Standards Network. PIF Concept to be considered by TIA after SA briefs NATA and NMI.



Council



Prepared by: James Galloway,

Kathryn Lockyer &

Rebecca Sheehan

AGENDA Item No. 2

SUBJECT: Stakeholder communications/media planning meetings & issues

BACKGROUND A report will be provided on the engagement of Grace PR and JAS-ANZ will discuss stakeholder contributions from the TAC to progress the media and communications portfolio.

ACTION: For discussion and information


Council



Prepared by: Kathryn Lockyer

AGENDA Item No. 3

SUBJECT: Self Declarations

BACKGROUND Self declarations are currently being used for:

Product standard scope extensions and transitions for schemes & standards

Plan: to roll out for country scope extensions


Self Declarations 201818 February 2019

Kathryn Lockyer

Self Declaration process

• Self declarations are currently being used for:

- Product standard scope extensions

- Transitions for schemes and standards

Plan to roll out for country scope extensions

Self declaration options with transitions1 2 3 4

Audit Knowledge No new knowledge is

required by an auditor or

certification body to

apply the transition.

Knowledge required is

within the existing

capacity of a qualified

auditor operating within

an accredited CAB.

Knowledge required

could be readily obtained

from published

sources/commercial

services.

Knowledge required is

fundamentally different

to prevailing knowledge

required of an auditor or

CAB.

Audit Practice No change is required in

audit practice to apply

the transition.

No aspects of audit

practice are introduced

that could not be readily

applied by a qualified

auditor.

New practices are

required and are within

the capacity of an

accredited CAB to deliver

and validate.

New practices or

techniques are required

and are a significant

departure from existing

auditing techniques.

Certification/Inspec

tion Decision-

making

No new factors to be

taken into decision-

making or changes

required to decision-

making process.

Changes some aspects of

decision-making criteria

or process but these are

an elaboration or

qualification of existing

practice and readily

assimilated by an

accredited CAB.

New decision-making

elements are introduced

but are within the

capacity of an accredited

CAB to assimilate into its

existing process.

Changes the nature or

significance of decision-

making so that decisions

are now qualitatively

different through new

criteria or new processes.

Decision Guide

• If the sum of the three scores is:

• 3-7 - then a declaration is applicable, with no strict condition for validation. This transition is nothing more than a set of editorial changes with no material impact on knowledge, practice of decision-making.

• 8- 15 - then a declaration is applicable, but some form of post declaration validation should be specified. This transition is well within the capability of an accredited CAB. Validation might include confirming evidence of changed processes or internal training.

• 16-24 - then a declaration is applicable, some form of surveillance or witnessing or interview should be factored into the verification

• 25-33 the transition may require some form of gateway mechanism to confirm the proper application of major changes

Total Self Declarations processed 1 Jan – 31 Dec 2018 = 314

40

274

Self Declarations

Product Standards Schemes/Accreditation Standards

No. of Transitions utilising self declarations per CAB (96 CABs) processed in 2018

17

21

39

16

2 1

0

5

10

15

20

25

30

35

40

45

1 2 3 4 5 6

Opportunities for Improvement

- Administration time for processing

- Standardisation of transition policy formats

- Strengthen the process for reminding CABs of due dates

- Look into the lead times

- Reinforce with Assessors Transition deadlines

- Early issue was around CABs signing and not understanding implications

- Refine the process

- Roll out for Country Applications

- Be brave!

Wins

• Able to manage resources better especially

• CABs able to provide certifications sooner

• Earlier application of requirements

• Fewer CABs are missing deadlines

• Reduced onsite assessment activities

• Various options to address transitions

Thank you


Council



Prepared by: Brett Abraham

AGENDA Item No. 4

SUBJECT: Single Electrical Safety Scheme

BACKGROUND Consolidating electrical safety certification schemes


Impartiality – Separation of Testing from Certification .

Current Draft Wording in “Electrical Equipment Safety Certification (EESC) Scheme”

-The CB shall not have any linkages, be they financial considerations, ownership, partner or

exclusivity agreements or otherwise (except for the contract to assess and issue certificates) with

any designer, manufacturer, importer or supplier of electrical equipment . If there is some form of

ownership, financial or other linkage between the certifier and any other business involved in the

processes of issuing certification, such as but not limited to, a test house, consultancy business

or other agency function the CB shall;

a) have appropriate processes to ensure decision making by one entity is not influenced by the other;

b) there is no utilisation of staff of test house section by certification section and vice versa in relation to the equipment being certified.

The question of separation should be demonstratable, it is suggested that the above wording

provides this Outcome .

The Regulators take a more strict view of separation and prefer to preclude the interchange of

staff, whereas 17065 recognises that Testing and Certification if managed correctly can prevent

any conflict of Interest.

A CB can utilize a Test House Engineer for Evaluation of CB Applications as long as the Test

Engineer was not involved in the testing and reporting of the Test Report.

Electrical Equipment Safety Certification Scheme Page 1 of 2

Recognition of Certificates of Suitability Issued by JAS-ANZ Electrical CABS.

Household electrical equipment safety remains the constitutional responsibility of each State and Territory. The process for harmonising regulatory requirements and expectations across the jurisdictions has been ongoing for decades with varying levels of success. Perhaps what is common is that all jurisdictions recognise JAS-ANZ accredited certifications where they meet the Recognised External Approvals Scheme (REAS) requirements as administered by New South Wales or the Recognised External Certification Scheme (RECS) requirements administered by Queensland.

These external schemes (REAS and RECS) run in parallel to the internal approval processes run by the jurisdictions themselves.

For most jurisdictions, National Standards are used to identify common in-scope electrical equipment by risk category (Level 3, 2 or Level 1) and to harmonise the identification of the applicable standards this equipment. More significantly, out-of-scope electrical equipment as well as new and innovative products will always initially require a product specific examination to determine how electrical safety should be evaluated and tested for that particular product.

Harmonization

All Level 3 electrical products require an approval before being offered for sale in Australia.

All of the jurisdictions are required to recognise each other’s approved products.

The Electrical Equipment Safety System (EESS) commenced in Queensland on 1 March 2013 with Victoria recently increasing its level of participation in the EESS.

Most Australian jurisdictions are considering adoption of the EESS noting that South Australia, Tasmania and Western Australia already recognise the EESS.

NSW continues to operate its own REAS.

It is understood that New Zealand will have complementary legislation in due course.

Under the EESS (in Queensland and Victoria) it is mandatory for CABs to upload their Level 3 certificates onto the National database. They also have the option to upload their Level 2 and Level 1 certificates. It is also mandatory for Suppliers to register their Level 2 electrical products on the National Database.

Electrical Equipment Safety Certification Scheme Page 2 of 2

There is differing terminology used to illustrate compliance at different levels based on jurisdiction for example:

₋ Certificates of Approval (CoA) to meet the New South Wales (NSW) Recognised External Approval Scheme (REAS) regulations, and

₋ Certificates of Conformity (CoC) to meet the Queensland Recognised External Certification Scheme (RECS) regulations, as applicable, or

₋ or Certificates of Suitability (CoS) to meet the Queensland Recognised External Certification Scheme (RECS) regulations, only for CBs who have RECS accreditation.

Industry may also voluntarily obtain a Certificate of Suitability as a means of showing compliance.


Council



Prepared by: Kathryn Lockyer

AGENDA Item No. 5

SUBJECT: Review of Sector Plans: Food Sector

BACKGROUND JAS-ANZ will focus on key areas to provide high-quality service delivery, whilst also seeking to provide greater opportunities for industry & trade


SECTOR BUSINESS PLAN

FOOD AND BIOLOGICALS

2019

Contents

Executive Summary ............................................................................................................... 2

1. Overview of marketplace .............................................................................................. 5

Role of accreditation in trade ................................................................................ 5

JAS-ANZ accreditation of standards and schemes ...............................................6

Regional markets ................................................................................................... 8

The role of the conformity assessment body ........................................................9

Implications for auditing for food fraud ............................................................. 10

Emerging issues for accreditation services .......................................................... 11

SWOT analysis ...................................................................................................... 12

2. Sector Plan .................................................................................................................... 13

Improved support and availability of assessors ................................................... 13

Collaborate and engage with stakeholders to building stronger networks ........ 13

Engage with Scheme Owners to support improvement and opportunity ........ 14

Effective and appropriate costs to service conformity assessments .................. 14

Three Year rolling plan ......................................................................................... 15

EXECUTIVE SUMMARY

JAS-ANZ plays an important role in ensuring the trust and confidence of businesses,

regulators and international trading partners through the accreditation of certification

bodies that assess the compliance of food producers and manufacturers to internationally

accepted standards and to GFSI benchmarked food safety schemes such as SQF, FSSC

22000, BRC, GlobalGAP and IFS. In the Food and Biological Sector there are 39 accredited

schemes operating in Australia, New Zealand and globally.

JAS-ANZ seeks to ensure ongoing dialogue with Scheme Owners in the management and

development of the schemes, and the requirements for transition arrangements for both

clients and certification bodies to upgrade to the new scheme versions within the

timelines required by the scheme owners.

In addition, JAS-ANZ is providing assessment services to the Ministry of Primary

Industries (MPI) to facilitate its implementation of the Food Act 2014. Under the Act, MPI

has delegated the verification of Food Control Plans and National Programme’s to

agencies (mostly New Zealand councils), once they have been approved as a ‘recognised

agency’. In order to perform the verification services, the relevant staff of the agency must

be approved as a ‘recognised person’. One of the steps in the approval process is for the

agency and staff to be assessed by an accreditation agency. JAS-ANZ has been appointed

as an accreditation agency.

In 2018 the Global Food Safety Initiative (GFSI) agreed to the establishment of an

Australia-New Zealand Regional Group. The regional group will enable a locally focused

forum that brings together industry, certification bodies, trade associations, academia and

regulators to deliver the GFSI strategic objectives in a locally relevant context.

In assessing the potential opportunities for JAS-ANZ, it is important to consider how JAS-

ANZ can ensure that it is in a good position to support for third party accreditation

schemes that are recognised by industry and regulators, and aim to reduce the compliance

burden on industry.

The food and biologicals Sector Plan

The Food and Biologicals Sector Plan aims to focus on the following four key areas to

enable JAS-ANZ to provide a high quality service delivery, while also seeking to provide

greater opportunities for industry and trade:

• Improved support and availability of assessors

• Collaborate and engage with stakeholders to building stronger networks

• Engage with Scheme Owners to support improvement and opportunity

• Effective and appropriate costs to service conformity assessments

Improve support and availability of assessors

JAS-ANZ can assist our assessors and technical experts by ensuring that the Technical

Resources pages on the JAS-ANZ website are updated, providing materials and references

to assist and guide assessors and technical experts, CABs, and JAS-ANZ staff.

In 2019 JAS-ANZ will conduct monthly webinars which are recorded and available to JAS-

ANZ assessors. The webinars will provide a 45-minute discussion on latest scheme

developments and any changes or administrative requirements, topical issues affecting the

industry and provides an opportunity for JAS-ANZ assessors to raise issues.

JAS-ANZ will review the current workloads to assess the demand and opportunity to

engage contractors, ensure there is sufficient work to retain contractors and that a

contractor undertakes sufficient audits to retain currency and proficiency in the schemes.

JAS-ANZ will undertake a needs analysis across the schemes to identify areas where

additional personnel resources are required and determine if these can be met by seeking

to extend the scope of current assessor/TEs or if additional support is needed, and then

identify recruitment opportunities for contractors and TEs with relevant sector skills.

Collaborate and engage with stakeholders to building stronger networks

JAS-ANZ will engage with key government agencies in Australia and New Zealand to build

trust and confidence in the effectiveness of the accreditation system, identify new

opportunities to develop accreditation schemes with industry scheme owners, and seek to

collaborate with government and scheme owners in areas that increase trade

opportunities and address industry needs or consumer concerns.

JAS-ANZ will seek greater collaboration with key industry associations and professional

bodies through an engagement strategy to:

o Promote the benefits of accreditation to support trade and consumer trust. o Support mutual recognition of standards and certification, rather than regulatory

inspection and multiple audits. o Engage with the GFSI Australia and New Zealand Regional Group to encourage

SMEs in primary production and manufacturing sectors to take up certification to GFSI benchmarked schemes.

o Gain recognition for JAS-ANZ as an authorative and credible voice on the importance of internationally recognised certification systems that protect consumers and support export opportunities for SMEs.

JAS-ANZ will attend conferences, workshops and events relevant to food safety & auditing

and in particular, will participate in the Global Food Safety Initiative Conference, as well

as the FSSC harmonisation conference and the annual SQF Conference. These events

ensure that JAS-ANZ is engaged with scheme owners and industry over the latest

developments and trends affecting the sector.

Engage with Scheme Owners to support improvement and opportunity

JAS-ANZ will maintain effective engagement with Schemes Owners to ensure JAS-ANZ

has awareness of, and input to, developments of standards and guidelines for CABS and

businesses. JAS-ANZ will participate in the Joint Accreditation Bodies meeting with BRC,

IFS and GlobalGAP, and participate in regional meetings of SQF and BRC Co-op group as

a mechanism for engaging directly with Scheme Owners.

Following the implementation of scheme requirements to assess and manage risks for

food fraud, JAS-ANZ will seek to support the development of guidance and training

materials on scheme requirements. JAS-ANZ will also seek to collaborate with Scheme

owners to identify areas where there is greater need to focus in maintaining the integrity

and performance of Scheme requirements by CABs during surveillance and recertification

assessments.

Effective and appropriate costs to service conformity assessments

JAS-ANZ will seek to assess the costs and value in opportunity for business improvement

using JAS-ANZ staff to service overseas CABs. JAS-ANZ will seek to determine using local

contractors to undertake assessments for JASANZ is a more cost effective and reliable

model to service overseasCABs.

One way in which the costs could be reduced, while still maintaining a high level of

engagement with overseas CABs is through the use of digital technology, such as wearable

technology. JAS-ANZ will seek to explore collaboration with Scheme Owners and CABs to

assess the potential use and limitation of digital technologies and seeking interest in

conducting a trial for a remote assessment using wearable technology.

1. OVERVIEW OF MARKETPLACE

Role of accreditation in trade

It is vital that products and services can cross borders to meet global demand without

causing undue risk to the health and security of individuals or the environment. The

increasing importance of e-commerce and the influence of Amazon and Alibaba on trade

also raises the prospect of greater reliance on product standards and third-party

certification in meeting regulatory requirements for cross-border trade. Yet it is equally

important that the costs and burden for compliance on industry is kept to a minimum to

achieve these objectives.

JAS-ANZ plays an important role in ensuring the trust and confidence of government and

international trading partners through the accreditation of certification bodies that assess

the compliance of food producers and manufacturers to internationally accepted

standards and to the GFSI benchmarked food safety schemes such as SQF, FSSC 22000,

BRC, GlobalGAP and IFS.

The Global Food Safety Initiative (GFSI) was launched in 2000 to seek greater

collaboration of stakeholders representing the global food industry on food safety. An

essential part of that goal is to create a common and widely-accepted understanding of

what constitutes a good food safety system. That is precisely what GFSI's Benchmarking

Requirements, previously known as the GFSI Guidance Document, have done. This tool

has become the world's most widely accepted benchmark document for food safety

requirements.

In many respects a similar concern was recognised by industry with international

standards and as international trade has grown, so too has the number technical

regulations, standards, testing, inspection and certification procedures which are

necessary to meet market access conditions. While countries have been cognisant of the

WTO rules on creating technical barriers to trade, these requirements have been

introduced to meet the quality and safety requirements both by countries and by industry

as being necessary to protect consumers, businesses, regulators and other organisations

demand of goods and services.

In Australia, the major retailers, quick service restaurants, food service companies and

major manufacturers commission a large number of audits of suppliers of fresh products,

ingredients and finished retail ready products. Regulatory agencies (Commonwealth, State

and Territory and local government) also conduct food safety audits. Industry surveys

indicate that there is appreciable overlap between audits – that is individual companies

may be audited multiple times over short time periods on behalf on different customers. A

substantial commonality of elements between audits, particularly for food safety matters

and a lack of cross-recognition of audit reports represent a significant, and in many cases

unnecessary, cost burden on the companies despite the ability of some certification bodies

being able to perform one audit which comes the requirements for several schemes.

JAS-ANZ accreditation of standards and schemes

JAS-ANZ accredits Conformity Assessment Bodies (CABs) that are able to demonstrate

their competency to provide conformity assessments in accordance with the applicable

criteria including the JAS-ANZ Accreditation Deed and at least one of the following

overarching international standards for the competent operation of a CAB:

• ISO 14065 (for greenhouse gas validation and verification bodies)

• ISO/IEC 17020 (for the operation of various types of bodies performing inspection)

• ISO/IEC 17021-1 (for bodies providing audit and certification of management systems)

• ISO/IEC 17024 (for bodies operating certification of persons)

• ISO/IEC 17065 (for bodies certifying products, processes and services)

In February 2019 there are 39 accredited schemes in the food and biologicals sector of

which there are 11 are proprietary schemes and 30 are public schemes. The schemes

broadly fall into three areas with 9 inspection schemes, 5 management system schemes

and 24 product schemes, as shown in Table 1 below. In addition, JAS-ANZ undertakes

assessments for the New Zealand Ministry for Primary industries (MPI) on the

conformance of local governments and their assessors of retail and manufacturing

businesses.

Table 1. List of Schemes for food and biologicals sector (as at Feb 2019)

Name Program Scheme Type

AsureQuality Meat Inspection Scheme Inspection Proprietary

Independent Verification Agency for Import and Plant Export Certification Scheme Inspection Public

Inspection and verification of HACCP based Food Safety Programs Scheme Inspection Public

Official Assurance Programme Inspection Public

Official Organic Assurances Program Inspection Public

Recognised Agency - Bee Products Scheme Inspection Public

Recognised Agency - Dairy Products Scheme Inspection Public

Recognised Agency Program - Wine Inspection Public

JFS-C Certification Scheme Management Proprietary

FAMI-QS Certification System Management Public

Food Safety Management Scheme Management Public

FSSC 22000 Scheme Management Public

PrimeSafe Management Public

AsureQuality Animal Welfare Scheme Product Proprietary

AsureQuality Organics Certification Scheme Product Proprietary

BioGro Organics Certifications Scheme Product Proprietary

Fonterra Trusted Goodness Scheme Product Proprietary

HACCP International Food Safety Assurance Scheme Product Proprietary

ZQ Grower Programme Product Proprietary

AFFCO Farm Assurance Program Product Public

Alliance Group Farm Assurance Program Product Public

ANZCO Foods Farm Quality Assurance Programme Product Public

Brand Reputation Compliance Scheme Product Public

Florverde Sustainable Flowers Scheme Product Public

Freshcare Product Public

GLOBALGAP Chain of Custody Scheme Product Public

GLOBALGAP Integrated Farm Assurance Scheme Product Public

Gluten Free Certification Program Product Public

International Featured Standards Scheme Product Public

JBS Farm Assurance Program Product Public

LEAF Marque Certification Scheme Product Public

New Zealand Farm Assurance Programme Product Public

New Zealand GAP Scheme Product Public

Ovation Farm Assurance Programme Product Public

Silver Fern Farms Assurance Program Product Public

SQF Code Scheme Product Public

Synlait Lead With Pride Program Product Public

Many of the schemes require ongoing engagement with scheme owners in the

management and development of the schemes. Significant changes introduced in 2018 to

several schemes were requirements for food fraud and food allergen management, and

strengthen the responsibilities of senior management and food safety culture.

These changes and updates to scheme require that JAS-ANZ developing transition policies

and requirements to ensure that CABs are able to manage the requirements to update

schemes to the latest versions, update and transition their client businesses, and that

conformance of CABs managements systems, auditing and certification decisions is

assessed to meet the latest scheme versions.

Transition requirements for relatively straight forward updates and minor changes to a

version may be managed by self-declaration from the CABs along with supporting

evidence to demonstrate how they have responded to requirements. For more

complicated changes a full documentary review and onsite assessment may be required.

The timeline for the transition is often set by the scheme owner, with scheme that

introduce relatively simple changes requiring implementation within six months while

more complex requirements may allow 12 months or longer.

During 2018, transition requirements were introduced for SQF Code Edition 8, BRC Food

Safety Issue 8, FSSC 22000 Version 4.1, IFS Food Version 6.1, IFS Logistics V2.2, and ISO

22000:2018.

Regional markets

In some contexts, the international standards (ISO and Codex Alimentarius) can be too

generic and fail to provide certainty and guidance on dealing with the specific hazards

applicable to the businesses. In these circumstances, schemes have been developed to

provide the additional details and framework as to how the requirements of the

overarching international standards should be applied.

There are many guidance documents published by ISO/IEC to assist with the development

of a scheme as well as even more examples of publicly available schemes currently being

used. To ensure consistency, a scheme should be aligned with, but not seek to duplicate

the content of the international standard for conformity assessment that the CAB will

already have to comply with.

Business decisions on certification are likely to consider commercial requirements in

client contracts, although there are additional benefits for businesses in also minimising

their risks and working to international standards of best practice. Certification may also

be a condition placed on businesses by regulators in permitting a product to be supplied

for export and domestic markets.

Each type of conformity assessment can be tailored to achieve the level of confidence

required to manage the inherent risks and improve transparency. However, the

development of a variety of food safety schemes and requirements for businesses to

undertake separate audits for certification to these schemes was a factor in seeking to

reduce the costs and compliance burden on industry through the establishment of the

Global Food Safety Initiative (GFSI), and the development of GFSI Benchmarking of these

scheme. GFSI Benchmarking assesses the schemes, not individual food businesses, with

the objective of determining equivalency between food safety certification programmes

and provides recognition of the food safety scheme by GFSI. JAS-ANZ provides

accreditation assessments for CABs that undertake conformity assessments for the

following GFSI recognised food safety schemes:

• BRC Global Standards

• FSSC 22000

• GlobalG.A.P

• IFS

• SQF

While New Zealand GAP (GlobalGAP equivalent) is not a GFSI benchmarked scheme, it

has been benchmarked against GlobalGAP and has been recognised as an equivalent

scheme for fruits and vegetables, and is progressing towards seeking GFSI benchmarking.

Freshcare is an Australian primary produce standard and is currently undergoing GFSI

benchmarking.

Certification of various accredited schemes may be specified in commercial contracts

between producers, manufacturers and retailers, and conformity assessments may also be

required to meet regulatory requirements. For example, Victorian government regulation

requires that meat and seafood businesses be certified for compliance with PrimeSafe

standards, while New Zealand food regulations requires that food industry is verified as

compliance to national programs.

JAS-ANZ is providing assessment services to the Ministry of Primary Industries (MPI) to

facilitate its implementation of the Food Act 2014. Under the Act, MPI has delegated the

verification of Food Control Plans and National Programme’s to agencies (mostly New

Zealand councils), once they have been approved as a ‘recognised agency’. In order to

perform the verification services, the relevant staff of the agency must be approved as a

‘recognised person’.

One of the steps in the approval process is for the agency and staff to be assessed by an

accreditation agency. The agency’s quality management system is assessed against the

requirements of the Food Act 2014 and the Food Regulations 2015. The overall competence

of staff is assessed, including their legal and technical knowledge, verification skills, and

compliance with the quality management system. JAS-ANZ has been appointed as an

accreditation agency and completed its first assessment during the 2016-17 financial year.

The number of agencies to be assessed by JAS-ANZ will increase during the 2018-19

financial year and is expected to reach 20. The recognition assessment cycle is three-

yearly, with annual surveillance assessments.

An initiative led by the Australian Food and Grocery Council is seeking to undertake a

detailed study of low and high-risk food sectors (bakery products and dairy products) to

identify the actual the cost of compliance with multiple schemes and regulations, and

burden on industry from multiple audits in meeting the needs of clients. These studies

aim to develop a mechanism that will support greater recognition of certification of

production and management systems, reducing multiple audits and improving the trust

and confidence across the supply chain. Similar work has already been undertaken in the

horticulture sector through the Harmonised Australian Retailer Produce Scheme (HARPS)

where Freshcare and SQF certification provide the foundations for the scheme.

The role of the conformity assessment body

Accreditation assures businesses and end users that the Conformity Assessment Body

providing certification to a standard has the required competence and impartiality to do

so as evidenced by fulfilment of international standards and requirements.

Conformity Assessment Body (CABs) provide certification to a standard through

independent (3rd party) conformity assessment pf the performance of their clients against

the requirements of a standard. JAS-ANZ accreditation of the CABs assures businesses

and end users that the CAB providing certification to a standard has the required skills,

knowledge and impartiality to do so, providing trust and confidence in the rigour to which

both the business and the CAB are held to account.

The second purpose of the IAF is to establish Multilateral Recognition Arrangements

(MLA) between its accreditation body members. The object of these arrangements, as the

name suggests, is to ensure mutual recognition of accredited certification between

signatories to the MLA, and subsequently acceptance of accredited certification in many

markets based on one accreditation.

The benefits of an MLA to business is that, if standards, specifications and conformity

assessment methods are the same, one certificate or certification can be recognized

around the world, thus lowering the cost of accredited certification and reducing risk that

products or services could be rejected by international trading

partners.

The MLA contributes to the freedom of world trade by eliminating technical barriers. IAF

works to find the most effective way of achieving a single system to achieve the objective:

Certified once – accepted everywhere.

Implications for auditing for food fraud

The relevance of Food Fraud has grown over recent last years, not in the least following a

number of food scandals that have led to reduced consumer confidence across the Food

Industry globally.

Although the motivation for enacting Food Fraud may be economic gain it may

nevertheless result in a food safety risk. Such a risk is very often caused by negligence or

ignorance about the food safety consequences of their actions by fraudsters. For Food

Manufacturers, the economic impact of food fraud can be high (e.g. recall, loss of sales,

cost of re-building reputation etc.), but also the undermining of consumer trust is a

consequence when companies are seen to fail to take reasonable precautions to prevent

food fraud, invariably leading to media hype and political spin demanding greater

regulation and government oversight of industry.

Auditors will need to assess businesses that are certified to GFSI schemes such as SQF,

BRC, FSSC22000 and IFS for compliance with these requirements. Consequently, CABS

will need to consider developing guidance and protocols for auditors. For example,

guidance should be considered as to what is the appropriate action where the auditor

determines that:

• the FFVA is inadequate or insufficient

• the prioritisation of risks requiring monitoring and surveillance were incorrectly identified

• the training, monitoring and/or management to mitigate the risk is ineffective.

Emerging issues for accreditation services

Food traceability, food fraud and reduction in food waste are issues that are of interest to

logistics and transport, import agents and retailers. New scheme developments with SQF,

BRC, FSSC and IFS will help to address some of these concerns. Food fraud requirements

have been driven by significant “headline-grabbing” instances such as ‘melamine in infant

formula in China’, affecting food safety systems and causing the death or injury of infants.

The ability of food safety systems to detect food fraud as a systemic risk, rather than a food

safety risk is therefore a key component in the development and evolution of food safety

plans by scheme owners. This presents new and emerging opportunities for industry in

developing control management and systems, developing auditing protocols for food

fraud, and embracing digital solutions such as blockchain that help to restore consumer

trust and confidence in the brand and the authenticity and safety of the food supply.

In the 2017-18 financial year in New Zealand JAS-ANZ undertook the roll-out of

assessment services for MPI regarding the Food Act 2014 (see section 1.3). The coordination

of the JAS-ANZ assessment takes significant time and resources, partly due to the agencies

limited knowledge about the audit process, and partly due to the limited available

resources to undertake the work. The JAS-ANZ assessors must be first approved by MPI,

and that this stage only one assessor is approved to do the QMS assessment, and only one

assessor is approved to do the recognised person assessment.

Integrity Programs (IP) run by scheme owners have identified a range of issues, such as:

• Commons problems with CB auditors in meeting scheme requirements and best practice: o A lack of evidence from audits undertaken that provide sufficient details o The audit report, while covering essential requirements appear to be somewhat

generic, with many areas apparently cut and paste format. o Contract wording with CB clients that reinforces the need to permit authorised

witnessing of audits (by JAS-ANZ or Scheme owners), and unannounced audits. o Inadequate internal audits

• Most frequently occurring non-conformities with sites being certified: o Procedures for handling glass o Ineffective pest control o Accuracy of HACCP flow chart o Use of documented approved supplier o Lack of documented risk assessment of raw materials o Poorly maintained floors o Equipment design and construction o Program of internal audits

• Lack of effective assessment of food fraud o Lack of documented vulnerability assessment and control plan o ongoing issues of economic substitution in ingredients o poorly reported or investigated incidents of food fraud

SWOT analysis

The following table provides an assessment of the key issues for JAS-ANZ to be considered

in a Strengths -Weaknesses – Opportunities - Threats (SWOT) model.

Strengths Weaknesses

▪ Technical knowledge

▪ Professional standing and reputation

▪ International and domestic engagement

▪ Supports trust and confidence in the safety and integrity of the food supply and Australian and New Zealand food industry

▪ Limited number of assessors able to cover the 41 different schemes

▪ Lack of awareness of the role of JAS-ANZ by industry and regulators, and politicians, seeking to protect domestic producers against cheap imported products

▪ Lack of trust by retailers for third-party auditing services in domestic food supply

▪ Perceptions of increasing cost to producers that are competing with online/digital/low cost offerings

Opportunities Threats

▪ Increasing consumer demand for traceability and authenticity about the product

▪ Enable blockchain applications to use trusted and reliable data and management systems in combination with effective chain of custody management systems

▪ Working with the retail industry to improve industry performance overall

▪ Working with industry and regulators to reduce compliance burden and open greater opportunities for trade

▪ Regulator strategy to reduce foodborne disease (Salmonella & Campylobacter) and aligning standards to support industry measures.

▪ Lack of public confidence due to:

(1) outbreaks of foodborne disease (2) food fraud incidents (3) distrust of imported products (4) food recalls due to failure in

allergen management

▪ Increasingly complex and diverse supply chain that brings increased risks of food safety, food fraud and food defense

▪ Lack of transparency and confidence in the chain of custody and authenticity of goods

▪ Anti-competitive barriers preventing new CABs or auditors from entering markets

▪ Prescriptive regulations that are slow to change and prohibit the adoption of new innovative measures, such as Australian Export Regulations.

2. SECTOR PLAN

The Food and Biologicals Sector Plan is based on a three-year rolling cycle of activities

focused on four key areas, which are detailed below. These areas are:

• Improved support and availability of assessors

• Collaborate and engage with stakeholders to building stronger networks

• Engage with Scheme Owners to support improvement and opportunity

• Effective and appropriate costs to service conformity assessments

Improved support and availability of assessors

• Develop and update JAS-ANZ website and technical resources on schemes, ensuring that materials and references are up to date to assist and guide both industry and contractors in determining scheme requirements.

• Implement a monthly webinar series for assessors to provide updates on latest schemes and new requirements, new training, administrative requirements, and an opportunity for assessors to raise issues and comment on experiences.

• Review demand and opportunity for workloads with contractors to ensure that there is sufficient work provided to keep contractors engaged, and that minimum number of audits are conducted to retain currency and proficiency.

• Identify recruitment opportunities for contractors and technical experts undertaking a needs analysis and then identify potential contractors and technical experts to meet identified needs.

• Provide in-house and external training to extend competencies of assessors and technical expert in both new schemes and transitions for scheme updates.


• Identify and engage with key government agencies and develop an engagement and communications strategy to build trust and confidence in the effectiveness of the accreditation system.

• Identify new opportunities to develop accreditation schemes with industry and scheme owners, in areas that increase trade opportunities and address industry needs or consumer concerns.

• Seek collaboration with key industry associations and professional bodies to o Promote the benefits of accreditation to support trade and consumer trust. o Support mutual recognition of standards and certification, rather than

regulatory inspection and multiple audits. o Gain recognition for JAS-ANZ as an authorative and credible voice on the

importance of internationally recognised certification systems that protect consumers and support export opportunities for SMEs.

• Seek to actively engage with the newly established GFSI Regional Group for Australia and New Zealand in activities that support the take up of accredited certification to GFSI benchmarked schemes.

• Attend conferences, workshops and events relevant to food safety & auditing and in particular, will participate in the Global Food Safety Conference, as well as the FSSC harmonisation conference and the annual GLOBALG.A.P. Accreditation

Body Meeting. These events ensure that JAS-ANZ is engaged with scheme owners and industry over the latest developments and trends affecting the sector.

Engage with Scheme Owners to support improvement and opportunity

• Engage with Schemes Owners to ensure JAS-ANZ has awareness of, and input to, further developments standards and guidelines for CABS and businesses.

• Support the development of guidance and training materials in the assessment of food fraud by scheme owners, particularly the auditor evaluation and response protocols where the assessment, prioritisation of risks, or mitigation measure are determined to be inadequate.

• Collaborate with Scheme owners to identify areas where there is greater need to focus on in maintaining the integrity and performance of CABs during surveillance and recertification assessments

• Support the ongoing opportunities to introduce new schemes, such as Halal Certification or the allergen management scheme promoted by the Allergen Bureau

Effective and appropriate costs to service conformity assessments

• Assess competency, availablity and cost to use overseas contractors for JASANZ needs, and determine if this provides a more cost effective model to service overseas CABs

• Review the potential application of digital technology as a means of improving performance and value for overseas CABs

• Collaborate with CABs and Scheme Owners to undertake trials with digital technologies that support the assessment process by seeking interest in conducting a trial for a remote assessment using wearable technology, consistent with the new requirements of IAF MD 4.

Three Year rolling plan

The following table provides an list of the key objectives and activities for the Sector Plan

and what is the measure of success of the activity.

Objective Activity Measure

Improve JAS-ANZ support and availability of assessors

Develop and update JAS-ANZ website and technical resources on schemes

Materials and references are up to date and assist in determining scheme requirements

Implement a monthly webinar series for JAS-ANZ assessors

Provides updates on schemes, new training requirements, operational requirements, and opportunity to raise issues concerning assessments.

Review demand and opportunity for workloads with contractors and technical experts

Ensure that there is sufficient work to keep contractors engaged, and retain currency and proficiency in various schemes.

Undertaking a needs analysis across schemes to identify areas where additional resources are required

Targeted recruitment for contractors and technical experts to meet sector needs

Provide in-house and external training to assessors and technical experts as needed

Assessors and technical expert meet competency needs


Develop an engagement and communications strategy for Australian and New Zealand regulators

Key government agencies identified and engaged

Identify new opportunities to develop accreditation schemes

New schemes provide increased trade opportunity and/or meet consumer concerns

Seek collaboration with key industry associations and professional bodies

Greater support for third party certification and support for mutual recognition. Recognition of JAS-ANZ as authorative and credible voice.

Engage with the GFSI Regional Group for Australia and New Zealand

Support for activities on accredited certification of GFSI standards

Attend conferences, workshops and events relevant to food safety & auditing

Participate in the Global Food Safety Conference, FSSC harmonisation conference, and GLOBALG.A.P. Accreditation Body Meeting.

Ensure engagement with Scheme owners to support improvement and opportunity

Engage with Schemes Owners and regional scheme owner CB meetings

JAS-ANZ is aware of, and has input to, standard and guideline developments

Support the development new public schemes and standards for accreditation

Support the introduction of new schemes where there is a strong business case and industry demand

Collaborate with Scheme Owners integrity program to assess performance of CABs

Particular areas in CAB performance highlighted in surveillance and recertification assessments

Effective and appropriate costs by JAS-ANZ to service industry

Assess competency, availability and cost to use overseas contractors for JASANZ needs

Determine how overseas contractors could be used to provide a more cost-effective model to service overseas CABs

Review the potential application of digital technology

Review the use of digital technology, such as wearable technology and its application in assessments

Collaborate with CABs and Scheme Owners to undertake trials with digital technologies that support the assessment process.

Work with Scheme Owners and CABs to determine of there is interest in conducting a trial for a remote assessment using wearable technology.


Council



Prepared by: Kylie Sheehan/Brett

Abraham

AGENDA Item No. 6

SUBJECT: Service model for Schemes

BACKGROUND A scheme rationalisation strategy is being progressed to enable all schemes to be assessed on equal terms.



Council



Prepared by: Kylie Sheehan / Matt

Pitt

AGENDA Item No. 7

SUBJECT: Services for Certified organisations

BACKGROUND A progress update on the services for certified organisations initiative, itself a component of

‘Enhancing JAS-ANZ Online Service’ series of projects identified in the JAS-ANZ SCI. In concept

examples of tools, mock screen-shots, timeframes and milestones will be provided.

ACTION: For discussion and feedback


Council




AGENDA Item No. 8

SUBJECT: Upskilling of auditors: Delphi & related work

BACKGROUND Upskilling of auditors & update on the completed Delphi study



Council




AGENDA Item No. 9

SUBJECT: Next Generation Engagement

Overview The question has been raised about the ongoing viability of certification if new entrants are not recruited into conformity assessment particularly certification. This is part of a general problem within technical infrastructure services driven by factors such as:

o Ageing workforce leading to reduced pool of volunteers for committee and representative work

o Changing nature of work and technology o Lack of understanding of the role of infrastructure in industry o General problem of recruitment and retention in the technical infrastructure o Competitiveness and attractiveness of the sector o Visibility of the sector

If these conditions continue to develop then it could be expected that infrastructure services could be seriously disrupted if there is no replacement cohort.

Next Gen Program The most organised and successful program of aiming to build a next-generation cohort is the standards development. Specifically, the Next Gen program operated by Standards Australia is very well known and backed by industry https://www.standards.org.au/nextgen . The program gives selected individuals ready exposure to both committee work and other aspects of standards development. The same opportunities do not necessarily present themselves in other areas of technical infrastructure. However, the basic idea of opening up some activities to a next generation cohort can be adapted to the situation of accreditation and certification

Possible Actions Specific actions that JAS-ANZ could consider include

• Consider a TAC working group to assist in setting direction for future work

https://www.standards.org.au/nextgen

2

o Reserve some positions in TAC and working group for emerging industry nominees. This would best likely be done through nominees by industry groups to

o Focus engagement of Technical experts for assessment teams on next generation industry nominees

o Develop and deliver a workshop/communication and training materials targeting next generation cohort on relevant topics:

▪ Technical Infrastructure ▪ Obtaining and benefiting from certification

▪ Using test and certification reports ▪ Scheme specific content

o Establish a dialogue with AACB and IIOC on the feasibility of extending a program to the level of certification.

Options could also extend to joint work with NATA, NMI and Standards Australia. Serious consideration would need to be given to the scope of similar challenges and options for New Zealand.

Decision To establish a TAC working group to work with L&D Manager, Melinda Varley, to investigate the feasibility and design of activities based on possible actions (and any others)


Council



Prepared by: Steve Keeling

AGENDA Item No. 10

SUBJECT: Service model for Schemes

BACKGROUND JAS-ANZ accredits many type 5 product certification schemes. Type schemes rely on the CB

developing intermediary documents e.g. technical schedules, which provides, among other

things, conformity assessment requirements for surveillance, e.g. batch testing. Because the

schemes are unique to each CB, so too are the intermediary documents. Therefore, we have

similar products being e.g. motorcycle helmets, being certified to the same standard, by CBs

accredited by JAS-ANZ which have outcomes with different levels of confidence


Technical Advisory Council meeting

18 February 2019, Canberra

Steve Keeling

Conformity assessment functions and activitiesa within product certification schemes

Types of product certification schemesc

1a 1b 2 3 4 5 6 Nd,b

I) Selection, including planning and preparation activities, specification of requirements, e.g. normative documents,and sampling, as applicable

x x x x x x x x

II) Determination of characteristics, as applicable by:a) Testingb) inspectionc) design appraisald) assessment of services or processese) other determination activities, e.g. verification

x x x x x x x x

III) ReviewExamining the evidence of conformity obtained during the determination stage to establish whether the specifiedrequirements have been met

x x x x x x x x

IV) Decision on certificationGranting, maintaining, extending, reducing, suspending, withdrawing certification

x x x x x x x x

V) Attestation, licensinga) Issuing a certificate of conformity or other statement of conformity (attestation) x x x x x x x x

a) Granting the right to use certificates or other statements of conformity x x x x x x x

c) Issuing a certificate of conformity for a batch of products x

c) granting the right to use marks of conformity (licensing) is based on surveillance (VI) or certification of a batch. x x x x x x

VI Surveillance, as applicable (see 5.3.4 to 5.3.8), by:a) testing or inspection of samples from the open market x x x

b) testing or inspection of samples from the factory x x x

c) assessment of the production, the delivery of the source or the operation of the process x x x x

c) management systems audits combined with random tests or inspections x x

Conformity assessment requirements in Product standards

• All documents containing requirements for products, processes, services, persons, systems and bodies shall not include requirements related to conformity assessment other than requirements which are necessary to provide repeatable and reproducible conformity assessment results.

• Committees wishing to specify additional conformity assessment requirements for the product, process, service, persons, systems or bodies may only do so in a separate document or in a separate part of the document provided that the separate parts can be applied independently.

• ISO/IEC Directives, Part 2, 2011

Scheme documentation when the scheme includes surveillance

2012-09-26

Technical schedulefor

AS/NZS 2712


AS/NZS 1698


AS/NZS 4859


AS/NZS 2887

Primary schemedocument e,g, Product Compliance Program

(PCP)

Comparison between three schedules for the same productBatch test has two options:Batch testing at manufacturers lab,Once 10 batches have been tested by an independent lab with no product failures, then this will qualify for the use of manufacturers own lab, sample rate is 4/500Use of independent lab,Sample rate for new helmets is 4/500, after 10 successful batches sample can go out to 4/1000 If option one is selected, then product will be subjected to marketplace sampling. Annually four samples taken for comparison tests

Batch testing:4/400 same size selected at random,If less than 400, sample remains at 4. Batch shall be based on a consistent outer shellProvides accept/reject criteria. One failure requires a further 8 to be tested and further failure the batch is rejected.

Batch testing1:500 or 1/month production tested in accordance with the test schedule in the document (not all aspects tested). No mention of accept/reject or reworking.

THANK YOU


Council




AGENDA Item No. 11

SUBJECT: Statement of Corporate Intent

BACKGROUND The Statement of Corporate Intent controls activities and undertakings which JAS-ANZ enters into

as public commitments to the Australian and New Zealand Governments. It is submitted annually

on or before 31 May in each year.

The option is open for TAC to work with management in identifying and proposing actions that

might progress each of the organisation’s themes.

ACTION: For discussion and proposal

2

Overview The Statement of Corporate Intent (SCI) is JAS-ANZ’s basic planning document – it is the

organisation’s top-level plan. It is a three-year rolling plan and is the basic control document for the

organisation.

The SCI is required to include, in detail for the coming financial year and in outline for a further two

years:

• Objectives

• Nature and scope of the activities to be undertaken

• Targets and measures by which performance may be judged in relation to objectives

• The kind of information to be provided to the Australian and New Zealand ministers

• Any activities for which the Governing Board seeks compensation from the Australian and

New Zealand ministers

• Anything else as agreed by the Australian and New Zealand ministers and the Governing

Board

Discussion of the Issues Past TAC meetings have considered the content of published statement but have not been engaged in the development of prospective content. Given the depth and range of interest now engaged in the TAC, there is substantial benefit for the accreditation system to explicitly involve TAC in the development process. This could extend to important aspects of the SCI such as:

• Examining the operating environment for the accreditation system

• Framing proposals for inclusion in the SCI A set of themes determined by the Governing Board sets the broad boundaries for the content of the SCI. These have been previously presented and in summary they cover the following: • improve the performance of Conformity Assessment Bodies (CABs) so that end users are more

confident in conformity assessment outcomes • support positive relationships between certified organizations and CABs • develop and maintain a portfolio of viable accredited conformity assessment schemes that are

well managed and meet users’ genuine needs • improve product certification delivery to address non-compliant products • educate the broader business sector, particularly service organizations about the benefits

of effective management systems • build JAS-ANZ’s global profile to strengthen our capacity to influence positive change in

international conformity assessment • identify and implement improved protections for the JAS-ANZ brand against fraudulent misuse

to enhance confidence in conformity assessment • develop a more dynamic and progressive approach to accreditation practice • use our data resources to improve internal performance and external outcomes. A review of the attached copy of the SCI will show that for each of these themes the SCI aims to give an indication of more specific actions that are to be carried out over the next three years to progress each theme.

3

Action For review and discussion

1. Role of the SCI 2. The anticipated operating environment for accredited certification over the next 2-3 years 3. Proposals from TAC members specific actions JAS-ANZ might publish in its SCI 2019-22 to

advance its themes. 4. Consider the above as a recurring annual item in the TAC calendar

Attachments

1. SCI 2018-21

STATEMENT OF CORPORATE

INTENT

2018–21

HELPING MARKETS WORK BETTER

31 May 2018

Senator The Hon Michaelia Cash Minister for Jobs and Innovation House of Representatives Parliament House Canberra ACT 2600 AUSTRALIA

The Hon Kris Faafoi Minister of Commerce and Consumer Affairs The Beehive Parliament Buildings Wellington NEW ZEALAND

Dear Ministers

I am pleased to submit to you the Statement of Corporate Intent for the Joint Accreditation System of Australia and New Zealand (JAS-ANZ) for the period 1 July 2018 to 30 June 2021.

The SCI operates as a three-year rolling plan and outlines the objectives of the accreditation system and the scope of the activities to be undertaken. The SCI provides the basic framework for the work plans by individual business units and staff.

Yours faithfully

Justin Roberts-Smith Chairman

Joint Accreditation System of Australia and New Zealand (JAS-ANZ)

ABBREVIATIONSAANZFTA ASEAN-Australia-New Zealand Free Trade AgreementAFGC Australian Food and Grocery CouncilAMS Asset Management SystemANZEx Australian New Zealand Explosive Atmospheres SchemeAOQ Australian Organisation for QualityAPLAC Asia Pacific Laboratory Accreditation CooperationARB Accreditation Review BoardASEAN Association of Southeast Asian NationsAS/NZS Australian Standard/New Zealand StandardATIC Australian Technical InfrastructureCAB Conformity Assessment BodyCRM Customer Relationship ManagementFSMA Food Safety Modernization ActFSSC Food Safety System CertificationFTA Free Trade AgreementGFSI Global Food Safety InitiativeGLOBALG.A.P. GLOBAL Good Agricultural PracticeIAF International Accreditation ForumIEC International Electrotechnical CommissionIECEE IEC Conformity Assessment for Electrotechnical Equipment and ComponentsIECQ IEC Quality Assessment System for Electronic ComponentsILAC International Laboratory Accreditation CooperationISEAL International Social and Environmental Accreditation and Labelling AllianceISMS Information Security Management SystemISO International Organization for StandardizationIT Information TechnologyJAS-ANZ Joint Accreditation System of Australia and New ZealandLMS Learning Management SystemMBIE Ministry of Business, Innovation and EmploymentMFAT Ministry of Foreign Affairs and TradeMLA Multilateral Recognition ArrangementMOU Memorandum of UnderstandingMPI Ministry for Primary IndustriesMRA Mutual Recognition ArrangementNDIS National Disability Insurance SchemeNGO Non-governmental OrganisationNZAAC New Zealand Adventure Activities Certification SchemeNZTE New Zealand Trade and EnterpriseOH&S Occupational Health and SafetyOHSAS Occupational Health and Safety Assessment SeriesPAC Pacific Accreditation CooperationQMS Quality Management SystemRAWS Registered Automotive Workshop SchemeRTAC Reproductive Technology Accreditation CommitteeSCI Statement of Corporate IntentTAC Technical Advisory CouncilTBT Technical Barriers to TradeUK United KingdomUSA United States of America

CONTENTSJAS-ANZ CHAIRMAN’SINTRODUCTION 6

EXECUTIVE SUMMARY 9

JAS-ANZ CORE PURPOSE 10

INTRODUCTION 13

JAS-ANZ CONTEXT 15

ACCREDITATION IMPACTS 17

JAS-ANZ OPERATING ENVIRONMENT 19

STRATEGIES, OBJECTIVES AND FOCUS FOR 2016/19 23

FINANCIAL PLAN 39

JAS-ANZ STATEMENT OF CORPORATE INTENT 2018–21 | 5

CONTENTSJAS-ANZ CHAIRMAN’SINTRODUCTION 6

EXECUTIVE SUMMARY 9

JAS-ANZ CORE PURPOSE 10

INTRODUCTION 13

JAS-ANZ CONTEXT 15

ACCREDITATION IMPACTS 17

JAS-ANZ OPERATING ENVIRONMENT 19

STRATEGIES, OBJECTIVES AND FOCUS FOR 2016/19 23

FINANCIAL PLAN 39

CONTENTSEXECUTIVE SUMMARY 7

JAS-ANZ PURPOSE 10

CHAIRMAN’S INTRODUCTION 12

THE EFFECTS OF ACCREDITATION 15

STRATEGIES, OBJECTIVES AND FOCUS FOR 2018–21 23

CLIENTS 26

STAKEHOLDERS 33

INTERNAL 44

FINANCIAL 51

BUDGET AND PROJECTIONS 53

EXECUTIVE SUMMARYJAS-ANZ provides a Statement of Corporate Intent (SCI) to the Australian and New Zealand governments each year as part of its obligations under the JAS-ANZ Treaty.


JAS-ANZ will address the following challenges over the next three years:

• improve the performance of Conformity Assessment Bodies (CABs) so that end users are more confident in conformity assessment outcomes

• support positive relationships between certified organisations and CABs

• develop and maintain a portfolio of viable accredited conformity assessment schemes that are well managed and meet users’ genuine needs

• improve product certification delivery to address non-compliant products

• educate the broader business sector, particularly service organisations, about the benefits of effective management systems

• build JAS-ANZ’s global profile to strengthen our capacity to influence positive change in international conformity assessment

• identify and implement improved protections for the JAS-ANZ brand against fraudulent misuse to enhance confidence in conformity assessment

• develop a more dynamic and progressive approach to accreditation practice

• use our data resources to improve internal performance and external outcomes.

8

JAS-ANZ PURPOSEJAS-ANZ’s key value proposition is to deliver an innovative agile accreditation system that enhances national, trans-Tasman and international trade; and achieves international recognition of Australian and New Zealand goods and services.

The Australian and New Zealand governments established JAS-ANZ by treaty in 1991. JAS-ANZ’s purpose is specific and its goals are clear. An overview of its mission, vision, goals and values is presented in Figure 1. The JAS-ANZ Treaty also sets out the three chief components of the organisation’s structure:

• Governing Board Appointed by the Australian and New Zealand governments.Responsible for the operation of JAS-ANZ.

• Technical Advisory Council (TAC) Appointed by the Governing Board. Represents JAS-ANZ stakeholders and provides advice on matters relating to JAS-ANZ.

• Accreditation Review Board (ARB) Responsible for providing input and deliberation on accreditation decision-making.

A Secretariat carries out the day-to-day operations and management of the organisation.

Currently JAS-ANZ comprises 30 full-time staff based in Canberra, Australia (21); Wellington, New Zealand (7); Brisbane and Sydney (2).

TABLE 1: JAS-ANZ KEY PROFILE FACTS

Accreditation programs offered Management systems certification

Product certification

Personnel certification

Inspection

Validation and verification

Conformity assessment schemes 142 public and proprietary schemes

Principal schemes Quality management systems (ISO 9001)

Environmental management systems (ISO 14001)

OH&S management systems (AS/NZS 4801, OHSAS 18001)

Food safety management systems (ISO 22000, FSSC 22000)

Number of accredited bodies 134

Key markets Australia, New Zealand, Korea, India, China, Turkey and Vietnam

Regional and international recognitions

IAF MLA, PAC MLA, ILAC MRA, and APLAC MRA

Number of accredited certificates > 130,000

As of 1 April 2018

10

OVERVIEW OF JAS-ANZ’S MISSION, VISION, GOALS AND VALUES

FIGURE 1:

CHAIRMAN’S INTRODUCTIONAs a progressive organisation JAS-ANZ continually monitors and reviews its direction, concerns and priorities in an ever-changing economic and technological environment. This SCI proposes a range of activities that address key issues recently identified by the Governing Board.

The Governing Board recently considered the future directions for JAS-ANZ against the background of known performance issues and the outcomes of several trials and exploratory engagements over the last 18 months. We have implemented a set of nine themes under the following headings.

1. Improve CAB performance.2. Build a portfolio of viable schemes.3. Engage certified organisations.4. Protect brand and identity.5. Engage with external environment:

Non-Compliant Product.6. Engage with external

environment: Management Systems and Quality.

7. Build a global profile via international networks and schemes.

8. Respond to technology.9. Improve system performance.

Although these cover a range of topics, they focus on certified organisations and their clients as the intended beneficiaries of accreditation.

Conformity assessment schemes provide the framework for delivering services that meet user needs. Schemes provide the structure and methods to make standards effective.

We will be working over the course of this SCI to improve the level of performance of the system through engagement between JAS-ANZ and certified organisations. We will put in place measures to deliver relevant information and tools to end-users so that they are better equipped to work with their certifier.

In the area of scheme management and development, we will establish an evaluation program to ensure that JAS-ANZ is able to give a sound account of the impact of conformity assessment schemes. This will be supported by rationalising those schemes where there is overlap and removing those schemes that have not been adequately maintained.

We welcome Dr Roslina Ab Wahid to JAS-ANZ for a 12-month industry secondment. Roslina brings some valuable expert skills with her that will enable us to work on key projects in auditor education. Her experience in implementing a major quality management system at her home institution highlights the continuing relevance of management systems as a platform for organisational performance.

The budget that accompanies this SCI shows that JAS-ANZ is well placed to meet its objectives and to deal with any contingent matters independent of any need for public funds.

Justin Roberts-Smith Chairman

Joint Accreditation System of Australia and New Zealand (JAS-ANZ)

12

JAS-ANZ


THE EFFECTS OF ACCREDITATIONOur SCI has been developed to support the organisation to deliver the most effective services and provide a path for continual improvement. To do this, we must continually forge in-depth understanding of the operational environment, challenges and long-term objectives of each sector.

HOW THE ACCREDITATION SYSTEM WORKSFIGURE 2:

JAS-ANZ works collaboratively with key networks, stakeholders and end-users to drive priority accreditation impacts. Figure 2 illustrates how the accreditation system works.

Our key networks, stakeholders and end-users are:

• Australian and New Zealand governments that provide the general framework within which we operate to support international and trans-Tasman trade while fostering strong market confidence within the goods and services sector.

• Industry and Professional organisations that are both the primary impetus driving conformity assessment scheme development and chief users of such schemes as leverage to support market access.

• Membership organisations including: » International Accreditation

Forum (IAF), which provides the framework for mutual recognition between accreditation bodies around the world

» International Laboratory Accreditation Cooperation (ILAC), which establishes laboratory and inspection body accreditation requirements. It also manages the Mutual Recognition Arrangement (MRA) for inspection body accreditors

» Pacific Accreditation Cooperation (PAC), which is the regional member organisation for IAF members in the Asia-Pacific region

» Asia-Pacific Laboratory Accreditation Cooperation (APLAC), which is the regional group member of ILAC.

• Accreditation bodies to which JAS-ANZ provides individuals to assist in peer evaluation activities. Examples include the IAF, ILAC, PAC and APLAC. Likewise, other accreditation bodies periodically assess JAS-ANZ. Such cooperative evaluations play a key role in keeping all accreditation bodies honest, accountable and functioning at their peak.

• Technical Infrastructure organisations involved in standards setting, laboratory accreditation and metrology represent closely aligned interests in providing the technical underpinnings for commerce and trade.

• Conformity Assessment Bodies (CABs) that are JAS-ANZ’s primary clients, being accredited by us to provide certification, inspection, verification and validation services

• Certified organisations and individuals—both Australian and New Zealand nationals as well as consumers in key international economies for JAS-ANZ.

Such consumers are the ultimate end-users of goods and services certified by CABs. As such, maintaining consumer confidence and trust is paramount to JAS-ANZ’s organisational objectives.

• Scheme owners of the 142 public and proprietary schemes, each of which has its own dedicated owner with final authority over the certification criteria (usually a government agency or industry body).

• Technical committees that provide the industry and community perspectives on the application of standards to market challenges.

Stakeholders also have a strong representative voice within the accreditation system through the Technical Advisory Council (TAC). The TAC is chaired by Mr Tony Evans and is currently engaged with JAS-ANZ on work related to the scheme portfolio.

JAS-ANZ’s core accreditation network is summarised in Figure 3.


JAS-ANZ’S CORE ACCREDITATION NETWORKFIGURE 3:

OUTLOOKThe plans and strategies outlined in this SCI are linked to the global and national market environments. JAS-ANZ monitors these trends and builds upon these to ensure opportunities and challenges arising from these are acted upon.

OPERATING ENVIRONMENT

The operating environment for JAS-ANZ and the accreditation system remains stable but reveals some trends that require attention.

During 2017 the number of CABs decreased, mainly because of action taken by JAS-ANZ in 2016–17 to

investigate reports of malpractice by some CABs. There were also some voluntary withdrawals. We expect a small number of similar withdrawals in 2018 when current investigations conclude.

Alongside these challenges there remain a steady stream of inquiries, applications and new accreditations. During 2017 JAS-ANZ received over 100 applicant enquiries through the website. Of these, 10 moved to full applications with another three applications being received outside of the website leading to a total of 13 applications accepted during the 2017 year.

Our expectation over the term of this SCI is that we will process five new applications for accreditation in each year. The National Disability Insurance Scheme (NDIS) rollout may result in an increased number of applicant bodies in 2018–19.

Figure 4 illustrates the distribution of CABs as at 1 April 2018. Australia remains the largest centre of activity followed by India and New Zealand.

FIGURE 4: THE DISTRIBUTION OF ACCREDITED ORGANISATIONS AS AT 1 APRIL 2018


Despite the reduction in the number of CABs, the number of certificates issued under JAS-ANZ accreditation

continues to grow. The distribution of certificates across programs shows the continuing strength of management

systems and product certification as the mainstay of the accreditation system.

FIGURE 5: THE DISTRIBUTION OF ACCREDITED CERTIFICATES BY PROGRAM

Personnel certification is an area of potential growth and JAS-ANZ will host an international workshop in late 2018 to support personnel certification training for regional bodies from the Asia-Pacific.

The major management systems schemes based on ISO 9001 and ISO 14001 are both undergoing transitions from earlier versions of the standard to new versions published in 2015.

The new versions extend several important management system concepts with emphasis on aligning management systems with the strategy of the organisation; enhanced leadership involvement in the management system; and the importance of risk-based thinking. ISO 14001 further addresses environmental protection, improving environmental performance, and considers the environmental impact of all stages of a product’s life-cycle.

The transition period is three years and is due to finish in September 2018.

The rate of transition for both standards is relatively slow and may have an impact on demand and revenue after September 2018.

20

FINANCIAL ENVIRONMENT

The financial environment in which JAS-ANZ operates is stable; however, it is not without exposure to risk. To mitigate any risk, JAS-ANZ manages and maintains cash reserves at a level that is equivalent to six months of operating expenditure.

There are two main sources of risk:

• Trade debt arising from some operations In terms of trading relationships this is managed through a standard process based on reasonable terms and conditions. Trade debt can also arise because of actions taken by JAS-ANZ to terminate dealing with a client where they have been engaged in malpractice. These are less certain and are managed through formal collection or legal processes as they arise.

• Operating environment changes For example, the transition for two major standards is moving at a relatively slow rate and may have an impact on revenue after September 2018 when outdated certificates must be cancelled. Over time any loss would be expected to recover and would also be offset by growth in other areas.

As well as these two factors, JAS-ANZ has minimal exposure to other financial risks such as interest rate variability and exchange loss. As with any business there is some regulatory risk which may arise if relevant laws, regulations or financial standards change.

This financial risk management strategy ensures JAS-ANZ is well positioned to deal with an adverse change in the operating environment.


JAS-ANZ STATEMENT OF CORPORATE INTENT 2018–21 | 23JAS-ANZ STATEMENT OF CORPORATE INTENT 2018–21 | 23

STRATEGIES, OBJECTIVES AND FOCUS FOR 2018–21The JAS-ANZ objectives describe what the organisation aspires to achieve as a result of implementing its SCI strategies, which also fulfil the JAS-ANZ Treaty goals. Table 2 highlights our objectives over this three-year cycle and the focus of activities for 2018–21.

STRATEGY OBJECTIVE IMPLEMENTATION FOCUS

Integrity and confidence

A1. Providing accreditation that is at the forefront of conformity assessment trends and adapts to shifting market needs.

1. Continue to develop our capacity and processes to deliver efficient and effective market outcomes.

• Improve CAB performance • Engage with certified organisations • Develop viable schemes

2. Refine, strengthen and align our capacity to service demand in key markets/sectors requiring accredited certification.

• Participate in AANZFTA project as required

• Improve CAB performance

A2. Delivering conformity assessment programs that offer a demonstrated value proposition (benefit).

3. a. Develop programs, products and services that meet market demands and add demonstrable benefit.

• Develop viable schemes • Management Systems and Quality • Non-compliant product

b. Develop the recognition and value of the JAS-ANZ brand as a mark of integrity and confidence in certification.

• Protect brand and identity

A3. Building our skills, capabilities and competence in learning, training and knowledge use (Learning and Growth).

4. Establish a learning and development capability that will support workplace development and a training program for CABs to improve system performance.

• Improve performance through training

• Develop behavioural competency framework

Trade support

B1. Providing timely and expert advice on conformity assessment matters in trade facilitation and regulation to Australian and New Zealand government agencies.

5. Aid in reducing the impact of technical barriers to trade (TBT).

• Provide trade support • Participate in AANZFTA as required • Implement TBT chapters of free

trade agreements

TABLE 2: JAS-ANZ’S STRATEGIES, OBJECTIVES AND FOCUS FOR 2018–21

24

STRATEGY OBJECTIVE IMPLEMENTATION FOCUS

Linkages

C1. Improving linkages with government, industry and non-governmental organisations (NGOs) that have interests in conformity assessment.

6. Build stakeholder relationships that improve our ability to deliver services that meet their needs.

• Engage certified organisations • Management Systems and Quality • Non-compliant Product • Implement measures from the NZ

Review of Conformance Policy and Infrastructure

C2. Creating alliances with other providers of accreditation services and related bodies.

7. Establish key alliances and strategic partners that will lead to: » more effective programs

and services » formal arrangements that

lead to mutual benefits and improved outcomes.

• Emerging MOUs and Alliances • Build a Global Profile

International acceptance

D1. Promoting national and international confidence in the outcomes of conformity assessment.

8. Strengthen the development of international and regional cooperation and mutual recognition.

• International linkages and partners • AANZFTA project


CLIENTSSatisfied and loyal clients are key to an organisation’s continued success. Efficient accreditation services, competent technical services, proactive business development and effective scheme management are just some of the ways to assure clients of JAS-ANZ’s commitment to them.

IMPROVING CAB PERFORMANCEThere is a continued interest from new organisations wishing to become accredited to provide conformity assessment activities across a wide range of schemes. Approximately 50 per cent of applications are being rejected via JAS-ANZ’s initial pre-application process either because they are poorly prepared or because applicants have other activities that conflict with conformity assessment obligations.

A streamlined, risk-based assessment process is critical for delivering effective assessment outcomes. It must meet the needs of various stakeholders and provide confidence in the accreditation process. We will complete our program for implementing process-based assessment

across our assessor pool and move this to a standard induction and training activity for all assessors.

Over the term of this SCI the primary focus is to enhance our current tool box of assessment options while recognising that different assessment approaches are required for different schemes and environments.

Based on trials completed in 2017 we will formalise the use of declarations as a means for our clients to self-administer some processes such as scope extensions and transitions.

As part of our continued focus on improving performance we will introduce a self-evaluation program. The intention is to support and better prepare CABs for undertaking

conformity assessment activities and meeting their accreditation obligations.

The framework will assist CABs to self- identify areas where they perform well and where they need to lift performance to meet the relevant requirements or qualify for continued accreditation by JAS-ANZ. Trials of the framework are currently under way, and the use of the framework is expected to be implemented from early 2019. Both offer potentially useful tools to improve CAB performance.

In addition to this work we will undertake a redesign of our administration services process. This is based on the study of similar processes in other organisations, which has given us valuable insights into how the administration of assessment services can be delivered more efficiently.

TABLE 3: MAJOR ACCREDITATION SERVICES AND THEIR ASSOCIATED TIMEFRAMES

2018–19 2019–20 2020–21

Refine and streamline assessment scheduling and planning

Formalise self-administration by declaration for nominated processes

Complete trial of self-evaluation framework

Complete process-based assessment

Incorporate self-evaluation into assessment routine

Develop and trial tailored assessment methods at scheme level

Roll out revised assessment methods across key schemes

Evaluate work on self-administration by declaration of some processes.

26

With the introduction of the National Disability Insurance Scheme (NDIS) in Australia we will see an increase in the number of CABs operating in the Health and Human Services Sector. Work is also being planned to develop customised assessment practices which recognise the uniqueness of schemes and the environments they operate in. The NDIS is a prime example of where customised practices are highly relevant.

JAS-ANZ will also explore with scheme owners and CABs the potential and limitations of digital technologies to help to reduce costs while still maintaining a high level of engagement

with overseas CABs. In addition to assessment activity we will conduct a program of workshops for CABs across our network.

MONITORING THE PERFORMANCE OF CABS: AN ONGOING RESPONSIBILITY

Although one of JAS-ANZ’s core tasks is to accredit CABs, its responsibility does not end there; it must ensure that each CAB continues to carry out its assessment roles impartially and consistently. Additional time and resources are needed to do this as JAS-ANZ accredits more CABs.

After the first accreditation cycle, a CAB’s surveillance cycle may be extended depending on its performance and observed risks. As can be seen in Figure 6, most CABs are assessed every six or twelve months. Over the past year, however, the number of CABs being placed on an extended eighteen-month assessment cycle has increased.

The number of poor performers being changed to a three-month cycle has also increased slightly; in general, most of those CABs that are placed on a shorter assessment cycle improve quickly and move back to a six-month cycle within the year.

FIGURE 6: THE CURRENT ASSESSMENT FREQUENCY OF JAS-ANZ-ACCREDITED CABS


A substantial number of Australian CABs are due for re-accreditation during 2018–19, which will contribute to the considerable increase in re-accreditation assessments generally.

Table 10 lists the number of CABs—many more than usual—due to be re-accredited over the period 2018–19. This will take more than 300 assessment days to complete. At least 1,000 assessment days will be needed to carry

out surveillance activities and an additional 800 assessment days will be necessary for witnessing. These numbers may increase when IAF MD 17:2015, which came into effect in January 2018, starts to have an impact.

TABLE 4: NUMBER OF CABS DUE FOR RE-ACCREDITATION DURING 2018–19

Australia 21 Malaysia 1

China 1 New Zealand 1

India 2 Singapore 2

Korea 4 Turkey 1

USA 1 Vietnam 1

EXPECTED ASSESSOR AND TECHNICAL EXPERT REQUIREMENTS

The growth in the number of assessors and technical experts deployed and the expected numbers that will be needed to complete our assessment work program over the next two years are shown in Table 11.

A range of training programs will be needed to effectively and efficiently increase the number of trained personnel in this sector. Customised assessment practices which recognise the uniqueness of schemes and the environments they operate in will also be developed.

The principal areas requiring additional assessors and technical experts are expected to be in the Health and Human Services sector for the NDIS; in the Reproductive Technology Accreditation Committee Scheme (RTAC); and in the Business and Innovation sector for the Information Security Management Systems Scheme (ISMS).

TABLE 5: ESTIMATE OF ASSESSORS AND TECHNICAL EXPERTS NEEDED

ESTIMATED DATE MAY 2017 MARCH 2018 DECEMBER 2018 DECEMBER 2019

Assessor 36 40 45 50

Technical Experts 97 98 120 130

28

DEVELOPING A PORTFOLIO OF VIABLE SCHEMESScheme owners can best be thought of as the primary customer of the accreditation system. JAS-ANZ offers scheme owners a number of different ‘services’ to support their objectives.

1. Scheme development—full development of basic ideas undertaken by JAS-ANZ managed technical committees.

2. Scheme endorsement—review and endorsement of schemes prepared by scheme owners against JAS-ANZ criteria.

3. Scheme management—management or administration functions necessary to keep schemes operating and to maintain their relevance.

JAS-ANZ currently offers 142 schemes, with demand for schemes continuing at a steady rate. There are three broad categories:

• JAS-ANZ regulatory schemes • industry schemes (international

or domestic) • CAB schemes or proprietary schemes.

Early in 2018 the first steps in rationalising JAS-ANZ’s scheme portfolio were taken. A comprehensive scheme performance review process can now begin; we expect this to lead to a reduction in the number of schemes as some may be withdrawn and others amalgamated to remove overlap and duplication.

In addition to rationalising the portfolio, JAS-ANZ will trial an online portal system that will provide a general communication tool for scheme owners, sector managers, scheme review project teams and other internal stakeholders.

SCHEME DEVELOPMENT

Scheme development can often be a lengthy process. To improve this situation JAS-ANZ will provide scheme owners with an initial assessment of the material changes necessary to ensure the scheme is sound.

Scheme owners will then be able to determine whether they undertake the necessary work, or they can engage JAS-ANZ to support the scheme development under an agreed project plan. We will publish a guide to what should be submitted to ensure that the scheme owner is able to provide what is necessary to complete the task efficiently.

The major anticipated scheme development activities for the coming year are:

• New Zealand Adventure Activities Certification Scheme (NZAAC)

• Registered Automotive Workshop Scheme (RAWS)

• Good Environmental Choice Australia

• National Disability Insurance Scheme (Australia)

• Recognised Agency Scheme for Wine Products (New Zealand)

• CodeMark (New Zealand) • Occupational Health and Safety—

Consolidation of schemes to recognise ISO 45001

• Australian Technical Infrastructure Committee (ATIC)

• Revision and extension to Health Services Quality Framework

• Human Services Scheme part 1.

SCHEME ENDORSEMENT

Certification schemes are developed or endorsed with the expectation that they will deliver some stated benefit and that the benefit outweighs any constraints imposed by the scheme. Determining the extent of any benefits requires the application of a sound evaluation methodology. In the early part of this SCI work program we will develop, trial and apply a scheme evaluation methodology which will support analysis of the impacts of certification schemes.

We will also examine what data will be needed to better determine scheme performance post-implementation. This will require significant inputs from all stakeholders but in the long term will improve the standing of those schemes endorsed by JAS-ANZ, which will in turn support their effectiveness.

Effective schemes underpin trade and provide consumers with confidence in the performance of traded goods and services. To achieve this, schemes must be managed effectively. In the past year JAS-ANZ has taken on the management of the CodeMark Australia and ANZEx schemes under contracts with scheme owners.


SCHEME MANAGEMENT

Scheme management supports owners with contracted services for:

• establishing and operating scheme technical committees responsible for scheme development and maintenance

• management of scheme databases • scheme performance monitoring

and reporting • scheme evaluation, including

measuring delivery on stakeholder needs.

There is a need for these types of services since scheme owners may not always have the expertise or capacity to effectively manage the scheme.

TABLE 6: DEVELOPING A PORTFOLIO OF VIABLE SCHEMES

2018–19 2019–20 2020–21

Reassess proprietary schemes against a purpose-built risk assessment tool

Develop a scheme development/endorsement guide

Develop and trial evaluation model for scheme performance

Develop a scheme management value proposition for discussion with scheme owners

Develop online services and support for scheme owners

Implement an ongoing review program for endorsed schemes

Finalise an implementation plan for scheme management expansion

Launch rolling scheme evaluation program.

30

ENGAGING CERTIFIED ORGANISATIONSCertified organisations and their clients are the intended beneficiaries of accreditation. Feedback consistently highlights that not all end-users are adequately informed to get the best out of their relationship with their CAB.

There is evidence however, that accreditation masks variations in performance to the extent that organisations can be confused by

claims that accreditation means reliable consistent performance even if CAB performance varies.

Our objective is to ensure that holders of accredited conformity assessment can identify readily the characteristics of CABs that are relevant to making ‘good’ choices and act on this to influence CAB behaviour.

Following a round of consultation in 2017 we will put in place measures

that will deliver relevant information and tools aimed at better equipping end-users to work with their certifier. A central feature of this work will be the development of a weighted rating system which will highlight the comparative performance of certifiers for end users.

This may be extended to cover searchable information services on schemes, regulation and standards.

TABLE 7: ENGAGING CERTIFIED ORGANISATIONS

2018–19 2019–20 2020–21

Develop and trial content aimed at certified organisations

Develop rating model and trial with CABs

Develop web-space for certified organisations

Implement expanded complaints/feedback system

Product certification and scheme information for public access

Implement the CAB rating model into website.


IMPROVING CAB PERFORMANCE THROUGH TRAININGFrom 2019 we will refocus our Learning and Development on external training services. Based on feedback from our clients there is sufficient interest in, and need for, developing and commercialising external training options. We expect this to lead to gains in CAB and auditor performance.

Demand for training is strongest in program standards and certification schemes, particularly product

certification. Feedback also supported topics such as process approach to auditing in quality environment and food safety management. There is also support for using training to settle potentially difficult topics such as audit durations and competency management. Online delivery is only marginally preferred over other forms of delivery.

With existing resources available we will aim to deliver an initial group of 4–6 courses by mid-2019.

These would support CABs, holders of accredited conformity assessment and scheme owners with the overall aim of contributing to enhanced accreditation system performance.

An implementation plan will be completed to support the staged roll-out of offerings such as workshops and blended delivery of program level standards, scheme requirements and transition training.

TABLE 8: TRAINING ACTIVITIES

2018–19 2019–20 2020–21

Implementation plan and provision of initial training services to external stakeholders

Roll out video content suitable for learning and development and marketing/social media usage

Deliver training program for CABs on:

• Program level standards • product certification schemes • auditing practice.

Release two additional packages

Internal evaluation of first external training programs.

32

STAKEHOLDERSPro-active partners and willing collaborators are essential for JAS-ANZ to maintain, improve and expand the conformity assessment infrastructure both locally and globally. In addition to JAS-ANZ’s direct interactions, stakeholders also have a strong representative voice within the accreditation system through the Technical Advisory Council (TAC).

MANAGEMENT SYSTEMS AND QUALITYThe performance of accreditation and certification is challenged by shifts in the broader ‘quality’ environment. Changes in the content of standards and in market conditions create new performance expectations of auditors and certifiers.

Our own work with Monash University has studied the extent of demands for ‘value-add’ as a major performance expectation.

In some respects, the standing and performance of the quality movement and the qualification of auditors are beyond JAS-ANZ’s remit; however, JAS-ANZ can have a positive impact on the performance of audit and in the general understanding of what effective management systems can deliver for business performance.

Over the term of this SCI we will partner with stakeholders that have an interest in this space with the aim to expand on

the significance of management systems certification, focusing on the services sector, particularly education and health. One undertaking will be to explore with industry experts the knowledge rather than techniques, essential to deliver on the expectations that certified organizations have for ‘value-add’ from audit and certification. JAS-ANZ will support the project which will have contributions from Monash University, Massey University, Quality organisations and Exemplar Global.

TABLE 9: MANAGEMENT SYSTEMS AND QUALITY ACTIVITIES

2018–19 2019–20 2020–21

Undertake Delphi project with industry experts to identify themes for auditor qualification

Support International Audit Symposium as an online conference for the audit profession

Presentation program at Qualcon 2018

Marketing and communication targeting management systems application to health and education sectors

Develop and deliver workshops for CABs addressing identified performance problems

Deliver training for CABs.


NON-COMPLIANT PRODUCTThere are several opportunities to develop and expand product certification in response to non-compliant product concerns. Our objective here is to improve the performance of product certification to meet these rising external expectations.

Importantly we anticipate a greater emphasis on differentiated assessment strategies for different product groups

based on risk and market characteristics. This work will also be supported by general measures to improve certifier performance and our approach to product certification scheme design and management. A major initiative will be the use of external expertise in the form of a Product Reference Group to adjudicate on disputed certifications and conflicting expert opinion.

We will work with a range of interested parties including, AiGroup, Consumer Electronics Suppliers’ Association, plumbing industry representatives and Construction Product Alliance Members to develop activities and to deliver seminars and presentations as requested in support of their members.

TABLE 10: NON-COMPLIANT PRODUCT ACTIVITIES

2018–19 2019–20 2020–21

Complete internal review of product certifications

Video release on product testing and certification reports

Product certification and scheme information for public access

Marketing and communication targeting the use of conformity assessment data by industry users

Implement product reference group for peer and expert evaluation of product certifications

Develop assessment routines tailored to performance needs of specific schemes

Continued training for certifiers and certified organisations.

34

ENGAGING WITH INDUSTRY SECTORS JAS-ANZ activities relate to five broad industry groups or sectors that all utilise conformity assessment to support their aims and objectives. Although the sectors share some interests and goals, each sector faces unique challenges that require different approaches and applications of conformity assessment.

JAS-ANZ will engage with key government agencies in Australia and New Zealand to:

• build trust and confidence in the effectiveness of the accreditation system

• identify new opportunities to develop accreditation schemes with industry scheme owners

• collaborate with government and scheme owners in areas that increase trade opportunities and address industry needs or consumer concerns.

JAS-ANZ is committed to working closely with these sectors to continue providing solutions to their individual requirements.

Asset Management Systems

Civil Contractors Federation

Free Trade Agreement Certificate of Origin Recognition

Information Security Management Systems

Information Technology Security Management Systems

New Zealand Adventure Activities Certification

Quality Management Systems

Registered Automotive Workshop Scheme

36

BUSINESS AND INNOVATION

Business and Innovation covers a broad range of schemes that have a common aim of improving business performance and setting conditions for performance.

Current growth includes Information Security Management Systems (ISMS) and Asset Management System (AMS). These schemes are aligned with global demands for increased focus on corporate management of assets and the need for organisations to create systems to securely manage information in all its forms.

The Registered Automotive Workshop Scheme (RAWS) will be updated during the year. JAS-ANZ will also continue its participation in to the major standards that are deployed in the sector such as ISO 9001:2015 and the work of IT 041 for Blockchain technologies.

Early discussions are under way with MBIE concerning the possibility of extending the scope of activities in the New Zealand Adventure Activities Certification (NZAAC) scheme to

include a few activities currently covered under other regulations, but which would sit more appropriately under the NZAAC scheme.

A major impact in the sector will be the completion of the transition to the Quality Management System (QMS) Standards ISO 9001:2015. This represents a significant and challenging change in management systems thinking.

The transition will close on 15 September 2018. In association with this JAS-ANZ will undertake several projects aimed at promoting the business and organisational value of management systems. The main effort will be focused on developing an education program emphasising the content of auditor knowledge.

Australian Wood Packaging Certification

Energy Management Systems

Environmental Management Systems

E-WASTE

Forest Management Systems

Good Environmental Choice Australia

Greenhouse Gas Validation and Verification

Responsible Wood – Chain of Custody Certification

Ship Recycling Management Systems


ENVIRONMENT

Over several years, JAS-ANZ-endorsed schemes and accreditation standards in the environment sector have expanded beyond environmental management systems to encompass:

• environmental labelling • electronic waste • greenhouse gas inventories • ship recycling • energy management • sustainable forest certification.

Associated with this expansion are several challenges in shaping the environmental sector portfolio to the needs of the market, and ensuring that accreditation offerings guarantee credible environmental improvement above ‘business as usual’ practices.

Global environmental, sustainability and ethical considerations, and how these can be integrated into traditional trading mechanisms, are part of

greater, more general growing concerns about the state of the environment such as greenhouse gas emissions and climate change; water availability and quality; air quality; contaminants in the food chain; and biodiversity loss.

Over the term of this SCI we expect that certifications for environmental management systems, environmental labelling and sustainable forest management will continue to grow, and that we will witness an increased demand for accreditation services. Our emphasis for 2018–19 will be on building a larger pool of expert assessors to meet continued growth in the current portfolio and positioning ourselves to support new services.

Additional accreditation services will be offered based on more rigorous testing of claimed environmental benefits and market need.

Brand Reputation Compliance Product Certification Schemes

Food Safety Management Systems

Food Safety System Certification 22000

GLOBAG.A.P. Integrated Farm Assurance

Independent Verification Agency Export Inspection for Plant and Plant Products

International Featured Standards

Linking Environment and Farming Marque Product Certification

Official Assurances Program for Live Animals and Animal Germplasm

Official Organic Assurances Program

Recognised Agency – Bee Products

Recognised Agency – Dairy Products

Recognised Agency – Wine

Safe Quality Food

38

FOOD AND BIOLOGICAL

A notable change for 2018 is the implementation of food fraud, food defence assessments and food allergen management requirements for Global Food Safety Initiative (GFSI) schemes. JAS-ANZ will support the development of a GFSI Regional Group for Australia and New Zealand.

We will also seek discussions with industry and regulatory interests on a range of issues, including:

• the potential costs and opportunities of seeking recognition as an Accreditation Body by the US Food and Drug Administration under the Food Safety Modernisation Act (FSMA)

• the development of international standards through CODEX and ISO

• collaboration with peak industry bodies and scheme owners to identify demand for accreditation of new schemes by JAS-ANZ

• the possibility of working with key industry associations and professional bodies in the evaluation of certification and auditing costs of major food schemes.

Following the implementation of scheme requirements to assess and manage risks for food fraud, JAS-ANZ will aim to support the development of guidance and training materials in the assessment of food fraud, particularly the auditor evaluation and response protocols in the assessment of scheme requirements.

JAS-ANZ will also seek to collaborate with scheme owners to identify areas where the focus on maintaining the integrity and performance of scheme requirements by CABs during surveillance and recertification assessments needs to be improved.

In addition to accreditation of food safety schemes, JAS-ANZ undertakes assessment for the New Zealand Government through the Ministry for Primary Industries (MPI) which includes surveillance assessments of local governments and their assessors. This work will result in JAS-ANZ making recommendations to MPI about whether local councils meet the requirements for recognition as an Agency to conduct verification services, and whether Council verifiers of National Programmes meet competency requirements. There is also proposed new work item to be developed for MPI in 2018. This is a Recognised Agency Scheme for Wine Products in New Zealand.

JAS-ANZ continues to participate in GFSI’s Global Food Safety Conference, as well as the FSSC harmonisation conference and the annual GLOBALG.A.P. Accreditation Body Meeting. These events ensure that JAS-ANZ keeps engaged with scheme owners and industry about the latest developments and trends affecting the sector.

Attendant Care Industry Certification

Designated Audit Agency

Electrical Workers Registration Board – Employer Licence

Health Care Services Management Scheme Parts 1–3

Human Services Scheme Parts 1–5

Medical Device Quality Management Systems

National Employment Services Association

Occupational Health and Safety Management System

OHSMS Scheme for Class A Asbestos Removal in New Zealand

Public Safety Management Systems

Reproductive Technology Accreditation Committee Certification

Urgent Care Certification Scheme

HEALTH AND HUMAN SERVICES

The Health and Human Services sector needs reliable and robust statements of conformity. Statements are widely used to authorise service providers and allow them to access public funding.

Accredited certification provides a structured program that assesses the ‘fit’ between a certifier’s capability and the needs of each scheme. The core values underpinning the approach emphasise the value of independent evidence-based audit. This is further supported by a program of surveillance to maintain levels of certifier performance.

The outcome of this is a rigorous system initiative that will result in a reduction in risks from excessive familiarity between scheme owners, providers, and audit personnel in the health and human services schemes.

We consider that the approach taken must always be weighed against:

• how effective it is in guiding consumers in discerning the quality of services provided

• how those choices influence the allocation of public funds.

Over the term of this SCI the major developments in the sector will involve the National Disability Insurance Scheme (NDIS).

Implementing a certification program for the NDIS offers a set of challenges because of its scale, the level of expectation about the scheme, and the difficulties in supporting effective consumer choice. The certification scheme will be delivered under a contractual arrangement. Although current activities are focused on clarifying the intent and confirming the content of the scheme, we expect to move very quickly to qualifying certifiers and delivering service.

We are taking care to put in place mechanisms so that the scheme’s integrity is maintained and its performance can be evaluated, and which will enable us to identify where improvements can be made as the implementation evolves.

Our emphasis in 2018–19 will be on building a larger pool of expert assessors and auditors and extending our accreditation model to meet the specific challenges of the scheme.

We also anticipate further work in facilitating the development of a globally-relevant, evidence-based standard for voluntary alcohol and other drug rehabilitation services.


Australian and New Zealand Electrical Equipment Safety System

Australian Technical Infrastructure Committee Scheme 10

Australian/New Zealand Certification Scheme for Explosion-protected Electrical Equipment

CemAssure

CodeMark (Australia)

CodeMark (New Zealand)

Telecommunications Equipment Certification Scheme

WaterMark

40

PRODUCT CERTIFICATION

The Product Sector covers tangible products in the non-food sector not elsewhere classified.

Third-party attestation of product conformity with standards and regulations has been relied on in Australia and New Zealand for more than 50 years to demonstrate to consumers that the products they purchase conform with minimum safety and functional requirements.

There is currently a resurgence of interest by industry and government in product certification because of growing product recalls and several high-profile product failures around the world.

The variety of CABs offering product certification to the same range of standards has led to challenges in the form of inconsistent competencies and approaches to conformity assessment practice exacerbated by inadequate information on certification schemes to enable informed choice.

At the same time, industry and government alike are actively developing conformity assessment frameworks for product segments where issues have arisen, and these frameworks will open opportunities for existing certification bodies and encourage new participation with consequent need for JAS-ANZ accreditation services.

Through better scheme design and enhanced technical competency, JAS-ANZ-accredited CABs can more easily meet the expectations of key stakeholders while enabling us to better focus our resources on emergent schemes and new participants.

Concurrently, enhancing our internal resources will improve assessment outcomes, and better communication will mean that the community will understand more clearly the benefits of accredited product certification. As a result, certification will be more reliable and there will be greater confidence in the JAS-ANZ brand.

EMERGING MOUS OR ALLIANCESImproving linkages with government, industry and non-Governmental organisations (NGOs) that have interests in conformity assessment supports better understanding of the needs of industry, and optimising the accreditation process.

Crucial elements in this include our working relationships with DIIS in Australia and MBIE in New Zealand. During 2018, JAS-ANZ has been involved in a Review of Conformance Policy and Infrastructure in New Zealand. We expect to be further engaged with MBIE on completion of the Review in implementing any recommendations on improving infrastructure services in support of the business and trading environment.

CSIRO DATA 61

Following some exploration of digitisation impacts on our operations JAS-ANZ will undertake some additional work with CSIRO Data61. The aim of this will be to interpret and understand the data obtained through the accreditation process; to evaluate

the quality of the data; and to develop a suite of data reports to highlight trends and performance. Work to be carried out in 2018 will help inform future decisions on larger data projects.

AUSTRALIAN FOOD AND GROCERY COUNCIL (AFGC)

JAS-ANZ will aim to partner with the AFGC to improve food safety and reduce the compliance burden on industry by determining and mitigating the costs and auditing burden on industry, and to strengthen support through the establishment of a Regional Australia–New Zealand Forum under the GFSI.

NATIONAL DISABILITY INSURANCE SCHEME (NDIS) QUALITY AND SAFEGUARDS COMMISSION

JAS-ANZ expects to enter into a formal agreement with the NDIS Quality and Safeguards Commission under which JAS-ANZ will administer a scheme that ensures registered disability service providers meet quality and safety

requirements in the NDIS Act 2013. JAS-ANZ accreditation will be a pre-condition for approval as a ‘quality auditor’ under the scheme.

The Commission will rely on this basic framework to register a provider.

AUSTRALIAN TECHNICAL INFRASTRUCTURE COMMITTEE (ATIC)

ATIC has developed a suite of certification schemes to support procurement in public works. The scheme has not been formally launched pending settlement of outstanding governance issues affecting the ownership and maintenance of the schemes. These have now been resolved and over the coming year we anticipate the rollout of the ATIC Schemes 10 (Structural Steel) & 21 (mechanical) fasteners.

INMETRO

Inmetro is the accreditation body for Brazil and we anticipate a possible working arrangement with them to assist their scheme development activities.

TABLE 11: EMERGING ALLIANCES ACTIVITIES

2018–19 2019–20 2020–21

Collaboration with Data61

Work with ATIC on construction products certification

Work with MBIE on outcomes of Review of Conformance Policy and Infrastructure

Develop work program with AFC on improving food safety

Finalise agreement for services to NDIS.






BUILDING A GLOBAL PROFILE

INTERNATIONAL LINKAGES AND PARTNERSHIPS

JAS-ANZ is an active member of the International Accreditation Forum (IAF) and the International Laboratory Accreditation Cooperation (ILAC). Regionally, JAS-ANZ is the Pacific Accreditation Cooperation (PAC) and Asia Pacific Laboratory Accreditation Cooperation (APLAC) member body.

During the year JAS-ANZ will take over as chair of the IAF Technical committee which acts as the main interpretive body for the application of accreditation standards. This will be for a three-year term.

We will continue to provide support to the International Electrotechnical Commission (IEC) conformity assessment activities by carrying out the responsibilities for IEC Quality

Assessment System for Electronic Components (IECQ) and IEC Conformity Assessment for Electrotechnical Equipment and Components (IECEE) schemes. In the case of IECEE we work closely with Standards New Zealand in coordinating contributions to ensure that Australia’s and New Zealand’s standardisation is correctly notified.

Our International engagement group comprising Board and Management will help to establish JAS-ANZ’s priorities and monitor the impacts of engagement.

One of major challenges for accreditation globally is to develop a more dynamic and progressive model for accreditation practice and improving the relevance of the network of cooperation.

Our aim over this SCI and beyond is to

work towards ensuring accreditation is driven by a more sophisticated model of process and maturity that offers progressive well-formulated solutions to the challenges of providing tokens of trust. We will document a model of accreditation that incorporates: improvement, agility, maturity. Apply and trial the model to demonstrate the effect and promote it to the wider network.

Over the next three years, JAS-ANZ’s level of involvement in international networks of accreditation bodies will increase and participation in the international conformity assessment schemes and engaging with the International Social and Environmental Accreditation and Labelling Alliance (ISEAL) will be maintained.

TABLE 12: INTERNATIONAL ENGAGEMENTS ACTIVITIES

2018–19 2019–20 2020–21

Participate in IAF, ILAC, APAC activities.

Provide support for IAF Technical Committee Chair.

Maintain Member body status for IECQ and IECEE.

Develop descriptive maturity model for accreditation and certification bodies.

Develop measures for process capability.

Expand association with IEC.

Apply model within control group and assess outcomes.

42

TRADE SUPPORT

JAS-ANZ provides support for trade support as requested by the appropriate agencies of the Australian and New Zealand governments.

During 2018 we have been involved with the Ministry of Foreign Affairs and Trade (MFAT) and Ministry of Business, Innovation and Employment (MBIE) in New Zealand on developing responses to the implementation of technical barriers to trade (TBT) chapters of free trade agreements. We expect that as a result of this there will be some work to be undertaken that will focus on extracting the full

value from New Zealand’s TBT activities for business and consumers.

Subject to confirmation of final funding for the project, JAS-ANZ will support a technical services program for the standards and conformance infrastructure organisations across Australia, New Zealand and Association of Southeast Asian Nations (ASEAN) to meet the needs of trade liberalisation. The project will focus on conformity assessment capability in two priority sectors:

• Food and Beverage • Cosmetics.

The project will analyse performance of infrastructure organisations and develop performance improvement strategies for infrastructure services in support of the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA).

The development of a stronger technical services program service will allow JAS-ANZ to better position itself as a leader in the region and influence the way accreditation is regarded and accepted by regional stakeholders. This in turn will support the trading of goods and services in the region—one of the goals of the JAS-ANZ Treaty.

TABLE 13: TRADE SUPPORT ACTIVITIES

2018–19 2019–20 2020–21

Complete project proposal with Department of Industry, Innovation and Science, and The Ministry of Business, Innovation and Employment.

Complete problem definition stage.

Work with MBIE on New Zealand’s TBT activities for business and consumers.

Undertake GAP analysis of participating economies.

Carry out benchmarking of essential processes.

Complete road mapping workshop on future development.


INTERNALJAS-ANZ continues to focus on how it manages its internal information systems, how it approaches marketing and communications, how it implements information systems and infrastructure, and how it monitors development of staff and their learning and development environment for the ultimate benefit of clients and stakeholders.

44

GOVERNANCE, RISK AND COMPLIANCEJAS-ANZ and its accreditation system are held in place through a combination of rigorous governance, carefully managed risk, and vigilant attention to compliance obligations.

GOVERNANCE

During 2017 the Governing Board established a revised working program for the Technical Advisory Council (TAC) aimed at expanding its traditional role as a stakeholder forum and using it to support JAS-ANZ management to develop the scheme portfolio. This major step has bolstered the role of one of the three governance entities established in the JAS-ANZ Treaty. As a stakeholder group the TAC is well placed through its representative membership and expertise to bring valuable insights to several important initiatives over the year, including:

• scheme management • brand and identity • auditor development • activities associated with product

certification and management systems development.

RISK

Several environmental and market factors pose a range of risks to the accreditation system. Risk management is one of the primary tools used by the Governing Board to understand such risks and devise corresponding risk mitigation strategies. Under this SCI, our aim is to tailor a strategic response to perceived risks and opportunities.

The major risks confronting the accreditation system are that:

• accreditation will fail to keep pace with changing conditions

• technologies such as distributed ledgers will present an alternative pathway for trust and assurance

• demand for main services will decline as market for management systems matures

• certified organisations will fail to meet transition deadlines for major reissues of ISO 9001 (Quality Management Systems) and ISO 14001 (Environmental Management Systems)

• efforts to counter brand exploitation, fraud and misappropriation will not succeed

• the supply of auditors entering the certification industry will decline.

These are all captured within our formal risk profile. Against these we see significant opportunities to be developed in the following areas:

• expanding technical services program to support capacity building within regional infrastructure services

• establishing stronger ties with the International Electrotechnical Commission (IEC) certification schemes and the International Social and Environmental Accreditation and Labelling Alliance (ISEAL)

• responding to new domestic demand in product certification and personnel certification

• developing new methods and tools that can deliver increased benefit and reduced cost

• expanding scheme management services • developing links to certified

organisations for new services and improved system performance.

COMPLIANCE

JAS-ANZ manages its compliance obligations through a compliance module in the TriLine GRC program. All contracts, Memorandum’s of Understanding (MOUs) and agreements are entered into the system, and the management tasks and service level agreements associated with each are recorded and allocated for attention.

We expect to have this module of the system completed early in 2018–19.

MARKETING AND COMMUNICATIONSThe marketing and communications program of work will include:

• continuing to build JAS-ANZ’s social media presence

• creating a portfolio of explanatory and educational materials

• developing marketing materials for specific sectors.

JAS-ANZ will release the first of a series of videos providing guidance to users of conformity assessment services. The expected release will target a need for greater understanding of the use of test and product certification reports.

This is against the background of concerns over non-compliant product. Partners in this project include NATA, AiGroup and CRUX Media. Video is an ideal means for making complex content accessible and subsequent releases will focus on the needs of different stakeholders. Video content will be developed with the aim of meeting marketing and training demands.

By developing a presence on Twitter, JAS-ANZ will be able to provide accredited organisations and certified

organisations information and news about changes to standards and certification schemes that they need to know about, and take action on.

Sector specific communications strategies will aim to develop materials explaining the relevance and application of accredited certification to the differing needs of the sectors we are engaged. This will be linked closely to the development of tailored assessment methods at scheme level as past of our effort in improving CAB performance.

TABLE 14: JAS-ANZ MEDIA-RELATED ACTIVITIES

2018–19 2019–20 2020–21

Video release (product testing and certification) and development.

Develop a website portal for media and communications.

Twitter roll out.

Product certification and scheme information for public access.

Implement sector-specific communications strategies and develop endorsement materials.


PROTECTING BRAND AND IDENTITY

To date the JAS-ANZ brand has received high recognition and a strong reputation within the accreditation industry. JAS-ANZ continues to be a leader in the market, strengthening its presence through domestic and international engagements; expanding work program and scheme portfolio; and online mediums. Technological advancements such as the JAS-ANZ register continue to strengthen trust.

The JAS-ANZ accreditation symbol has been susceptible to fraudulent misuse which has become a greater concern in the past couple of years. This poses a significant risk to JAS-ANZ’s ability to continue to meet its organisational objectives and maintain trust in the system. As a result, JAS-ANZ is reviewing its current position with a view to rebranding.

The rebranding project, which was first outlined in the SCI for 2017–20, will continue as projected with the development of a visual identity that maintains links to the existing identity but is substantially different to set it apart from the current brand. JAS-ANZ

will also take this opportunity to extend its trademark registration to several jurisdictions around the world and will consider technological safeguards that may be applied to the symbol as a way of validating authenticity.

TABLE 15: JAS-ANZ RE-BRANDING ACTIVITIES

2018–19 2019–20 2020–21

Undertake stakeholder consultations, develop options for new logo/assessment mark, and commence registration process for trademark designs

Roll out new logo/assessment mark and communication strategy

Evaluate technology options for managing certificates

Implement preferred technology option.

INFORMATION SYSTEMS AND INFRASTRUCTUREJAS-ANZ uses several discrete information systems to support the work of staff, contractors, clients and other stakeholders. Systems are usually based on off-the-shelf products that provide specific solutions for functions within the organisation. This reduces the need to rely on developers of bespoke systems and provides flexibility regarding the selection of service providers.

Continuous investment in these systems provides the basis for internal productivity gains. Over the next 12 months we will focus on migrating to SharePoint Online and take this opportunity to redevelop our use of the system. Our main service delivery system is Microsoft Dynamics CRM and this will be extended by incorporating a scheduling tool to support process improvements in the planning of our assessment workload.

The JAS-ANZ register is one of the primary tools for understanding the scale and scope of certification activity. An extension of its capability will be considered in connection with our efforts to manage the JAS-ANZ brand. This is likely to extend to distributing certificates from the register to certified organisations.

TABLE 16: INFORMATION SYSTEMS AND INFRASTRUCTURE ACTIVITIES

2018–19 2019–20 2020–21

Develop the Scheduling Tool within CRM to improve assessments process.

Change from current SharePoint on-premises environment to SharePoint Online.

Register capability review. Implement register upgrade.

Full systems review leading to possible upgrade in 2022.


RESPONDING TO TECHNOLOGY

The impact of technology on accreditation and certification over the next five years could be quite profound. Some of the potential benefits include:

• more meaningful and dynamic assessment and audit results

• greatly improved transparency along supply chains

• reduction in system costs • greater credibility to scheme

owners, regulators and the public • improved engagement with

smaller entities in supply chains.

For example, systems such as distributed ledgers could change how the compliance of organisations, products and people is determined and managed. JAS-ANZ sees potential for accreditation and certification to provide trusted data about product, process or personnel as a primary input to a public distributed ledger.

Over the term of this SCI we will work with partners such as RIBIT, Data61 and QualityTrade to develop our data resources and capacity to work with other organisations with similarly useful data holdings. We will complete a review of our data holdings and determine how these can be better structured and applied to management decision making.

Existing records such as assessment reports and scheme documents will be digitised so they can be tagged, searched and made greater use of as data. Developing specifications for an assessment application will support this by ensuring future records are prepared in a digitised form.

Through Data61 there is a future prospect that data sets held by JAS-ANZ could be applied to other data sets to create more meaningful information about firm and industry capabilities.For example, JAS-ANZ holds a substantial register of certifications

related to food safety. These records could be applied to developing resources such as the Australian Food Catalogue to support ‘credentialing’ of firms to export markets.

This will cover the work which we consider necessary to put JAS-ANZ in a position to seriously examine the impact of Blockchain technology on our activities. These steps will provide the basis for us to develop insights that will help us determine the feasibility of participating in a public register development.

TABLE 17: TECHNOLOGY-RELATED ACTIVITIES

2018–19 2019–20 2020–21

Evaluate the depth and quality of data we hold.

Digitise records such as reports and scheme documents.

Improve our data use and holdings.

Develop specifications for an assessment application.

Work with holders of other data sets in data sharing trial.

Expand register capability and implement CAB ranking system.

Blockchain feasibility study.

Blockchain decision.

STAFFING AND CAPABILITIESChanges to standards, new schemes and consumer expectations mean that JAS-ANZ personnel must be selected, developed and managed in a way that best equips them to deal with demands for adaptability and delivering user-oriented services. With this in mind, JAS-ANZ established an internal human resources function in 2017.

The major goal for 2019 will be to develop and implement a behavioural competency framework. This will align closely with those behaviours and skills we believe we will need so that we can meet our objectives in the foreseeable future.

The framework will direct our internal development program so that opportunities for personal development are created, and new initiatives and services can be delivered more easily and effectively.

The HR function will also help us:

• review and update procedures, and develop new induction materials for the Learning Management System (LMS) that explain company policies and procedures

• develop training modules to cover behavioural competencies and knowledge and skills requirements

• work towards online programs that support HR processes, self-service tools for staff

• support service delivery with a program for training and development of contractors, including a mentoring program.

A Technical Services Manager is to be appointed and will focus on managing technical services support for the development and review of schemes as well as managing scheme evaluation activities.

TABLE 18: STAFFING AND CAPABILITIES ACTIVITIES

2018–19 2019–20 2020–21

Develop and implement a behavioural competence framework aligned with organisational needs.

Map roles and functions at both contractor and staff level against a behavioural competency framework.

Develop training modules to cover behavioural competencies and knowledge and skills requirements.

Review and update scheme specific competency requirements.

Develop evaluation tools for individual competencies.

Online programs that support HR processes, self-service tools for staff.

Develop structure for training and development of contractors, including a mentoring program.

INDUSTRY SECONDMENT

During the year Dr Roslina Ab Wahid from Universiti Teknologi MARA in Malaysia will join JAS-ANZ for a 12-month industry secondment. Roslina will lead the development

of the ‘delphi’ study which will explore the training and education of certification auditors based on ideas developed from our market research and the new management systems model promoted by the International Organization for Standardization (ISO).

The study will be guided by contributions from the following organisations: Monash University, Australia; Massey University, New Zealand; the Australian Organisation for Quality (AOQ), and Exemplar Global.


LEARNING AND DEVELOPMENTDemand for training products and services continues to increase across the full breadth of the organisation’s programs.

The Learning and Development function will continue to provide a suite of customised training offerings (workshops/webinars/online LMS resources) as well as develop several new projects that meet demand and provide demonstrable benefit to both internal and external stakeholders.

During this SCI period, a new LMS will be launched, the benefits will be:

• a new visually impactful and easy-to-navigate dashboard home page

• ease of external access, self-enrolment, recording and reporting of learner activity

• new organisational, soft-skill and compliance content offerings within LMS

• improved integration with current JAS-ANZ systems.

REFOCUS ON IMPROVING CAB PERFORMANCE

From 2019 we will refocus our Learning and Development on external training services. Based on feedback from our clients there is sufficient interest in, and need for, developing and commercialising external training options. We expect this to lead to gains in CAB and auditor performance and to also support the needs of certified organisations for training in conformity assessment and certification schemes.

TABLE 19: LEARNING AND DEVELOPMENT ACTIVITIES

2018–19 2019–20 2020–21

Launch new LMS platform with expanded content.

Implementation plan and provision of initial training services to external stakeholders.

Work program shifts to Improving Performance through Training.

50

FINANCIALJAS-ANZ will continue its effective financial management as a self-funded, not-for-profit, fee-for-service organisation.

FINANCIAL OBJECTIVESJAS-ANZ adheres to a sustainable financial model with three key principles.

1. Self-fund the organisation’s operations.

2. Operate in accordance with guidelines set mutually by the Australian and New Zealand governments with respect to the setting of chargeable fees.

3. Apply risk premiums to activities which have a higher-than-average cost profile.

Consistent with our three key principles, JAS-ANZ operates on terms to ensure:

• the Australian and New Zealand governments are insulated from any claims, monetary and otherwise, arising from operations

• continued investment in expanding our capacity to provide service to our clients

• sufficient cash reserves to facilitate payment of six months of operating expenditure and to meet future commitments and unforeseen liabilities.

FUTURE APPLICATION OF FUNDS

JAS-ANZ is committed to maintaining a minimum holding in cash reserves. However, operating cashflow is anticipated to be focused on the following areas for 2018–21:

• learning, development and training at the client level to ensure conformity and best practice

• provision of technical services to clients at scheme inception and throughout lifetime

• continual improvement of information systems, processes and procedures

• development of evaluation capability relating to clients, schemes and sector performance.



BUDGET AND PROJECTIONS

STATEMENT OF INCOME AND EXPENDITURE AS AT 30 JUNE

BUDGET 2017/18

BUDGET 2018/19

BUDGET 2019/20

BUDGET 2020/21

REVENUE

Operating Revenue

Trading Income – Services 7,757,000 7,638,812 7,845,012 8,167,409

Trading Income – Other 185,000 175,000 215,000 315,000

Total Operating Revenue 7,942,000 7,813,812 8,060,012 8,482,409

Cost of Sales 1,492,064 1,735,715 1,790,404 1,884,233

Gross Operating Margin 6,449,936 6,078,097 6,269,607 6,598,176

Other Revenue

Corporate Income – Interest 100,000 100,000 100,000 100,000

Total Other Revenue 100,000 100,000 100,000 100,000

TOTAL NET REVENUE 6,549,936 6,178,097 6,369,607 6,698,176

EXPENSE

Office Expenditure 524,833 564,300 541,526 531,211

Travel, Accommodation and Meals 426,997 415,800 428,400 441,500

Professional Consultants 150,566 284,000 205,100 166,208

Marketing and Events 136,000 211,700 243,800 364,310

Hire Purchase and Leasing 128,600 13,200 7,100 4,900

Information Technology 336,594 352,550 296,621 419,815

Professional Bodies Expenditure 74,003 113,300 115,600 118,002

Staff and Board Expenditure 4,111,756 4,072,714 4,093,213 4,191,448

Governance Expenditure 106,965 92,400 94,200 96,004

Insurance Expenditure 46,680 48,000 49,000 49,900

Reporting Expenditure 15,000 14,000 14,300 14,600

Contractor Support Expenditure 130,000 130,000 120,100 120,200

Other Expenditure 56,772 37,000 37,300 37,600

TOTAL EXPENSE 6,244,766 6,348,964 6,246,260 6,555,698

SURPLUS / (DEFICIT) 305,170 (170,867) 123,348 142,478

54

STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE

ACTUAL 2016/17

BUDGET 2017/18

BUDGET 2018/19

BUDGET 2019/20

BUDGET 2020/21

ASSETS

Current Assets

Cash and Cash Equivalents 5,521,764 5,666,399 5,461,679 5,511,268 5,572,961

Trade and Other Receivables 1,452,334 1,522,217 1,497,647 1,544,836 1,625,795

Prepayments 888,108 959,157 1,035,889 1,118,760 1,208,261

Total Current Assets 7,862,206 8,147,772 7,995,215 8,174,864 8,407,018

Non-Current Assets

Property, Plant and Equipment (Net of Dep’n)

397,925 390,728 325,847 291,802 279,524

Deferred Tax Assets 98,095 98,095 98,095 98,095 98,095

Total Non-Current Assets 496,020 488,823 423,942 389,897 377,619

TOTAL ASSETS 8,358,226 8,636,595 8,419,157 8,564,761 8,784,636

LIABILITIES

Current Liabilities

Trade and Other Payables 469,160 520,397 529,080 520,522 546,308

Provisions 494,483 534,042 576,765 622,906 672,739

Financial Liabilities 235,482 116,474 16,972 - -

Total Current Liabilities 1,199,125 1,170,913 1,122,817 1,143,428 1,219,047

Non-Current Liabilities

Provisions 17,644 19,056 20,580 22,226 24,004

Deferred Tax Liabilities 86,134 86,134 86,134 86,134 86,134

Total Non-Current Liabilities 103,778 105,190 106,714 108,360 110,138

TOTAL LIABILITIES 1,302,903 1,276,102 1,229,531 1,251,788 1,329,185

NET ASSETS

TOTAL NET ASSETS 7,055,323 7,360,493 7,189,626 7,312,973 7,455,451

EQUITY

Current Earnings 392,737 305,170 (170,867) 123,348 142,478

Retained Earnings 6,662,586 7,055,323 7,360,493 7,189,626 7,312,973

TOTAL EQUITY 7,055,323 7,360,493 7,189,626 7,312,973 7,455,451


FORECAST CASH MOVEMENTS AS AT 30 JUNE

ACTUAL 2016/17

BUDGET 2017/18

BUDGET 2018/19

BUDGET 2019/20

BUDGET 2020/21

Opening Balance 4,505,099 5,521,764 5,666,399 5,461,679 5,511,268

Add: Surplus / (Deficit) 392,737 305,170 (170,867) 123,348 142,478

Add: Non-cash Items and changes in Assets and Liabilities

Depreciation 217,484 45,000 102,000 65,000 40,000

Decrease/(Increase) in Prepayments

43,562 (71,049) (76,733) (82,871) (89,501)

Decrease/(Increase) in Trade and Other Receivables

364,749 (69,883) 24,569 (47,188) (80,960)

Decrease/(Increase) in Property, Plant and Equipment

(134,798) (37,803) (37,119) (30,955) (27,721)

Increase/(Decrease) in Trade and Other Payables

132,615 51,237 8,683 (8,559) 25,787

Increase/(Decrease) in Provisions 111,075 40,970 44,248 47,788 51,611

Increase/(Decrease) in Non-current Liabilities

(110,759) (119,008) (99,502) (16,972) -

Net Cash Movement 1,016,665 144,635 (204,721) 49,590 61,693

Closing Balance 5,521,764 5,666,399 5,461,679 5,511,268 5,572,961

56

JAS-ANZ Australia

Level 1

FECCA House

4 Phipps Close

Deakin ACT 2600

Tel +61 (0)2 6232 2000

Fax +61 (0)2 6262 7980

[email protected]

JAS-ANZ New Zealand

Level 4

Berl House

108 The Terrace

Wellington

Tel +64 (0)4 473 4426

Fax +64 (0)4 473 4428

jas-anz.orgjas-anz.org

http://www.jas-anz.org/

agendaaacb.com.au/wp-content/uploads/2019/03/6e... · darryl yaniuk advised, he is preparing exam...

Documents