Archive for the ‘Uncategorized’ category

Five Reasons Why Your Product Planning Needs to Cover Legal Risks

July 11th, 2022

Here are just five examples (out of many that may be relevant) which you should definitely consider:

1. It’s a fancy new product or service, so you’ll be wanting a fancy new name for it. A bit of brainstorming in the office produces a list of names, from which the CEO picks one to settle the issue. However, two weeks after the (extensive) marketing material has been printed, thousands of dollars have been spent on designing a logo to incorporate the new name, and the ad campaign is about to kick off, you discover the same name being used by another business operating in your area. This is similar to what happened to a major Australian brewing company who were forced to change the name of a whole range of beers, a dispute which ended up in Court but which could have been avoided if proper steps were taken initially to research and trademark the new name.

2. You genuinely believe that people who use your new product or service will be much better off. You say this in your advertising. However, a few months later you are served with a claim, brought by a disgruntled customer who says he was misled by your advertising. To top things off he has also made a complaint to the ACCC, who are investigating whether your advertising was deceptive behaviour under the Trade Practices Act 1974 (now known as the Competition and Consumer Act 2012). This is what happened to a large telecommunications business in Australia recently, who ended up paying out about $5.26 million due to customers having been misled by ‘false’ advertising.

3. Is your product safe? Are you really sure of that? Do you have control over every aspect of manufacturing and distribution so as to be sure that negligence by a contractor or supplier is not exposing you to liability risk? Think outside the square – this is not just about the core product itself, but the possibility of liability arising from accessories or fittings, or even from packaging materials. I doubt that UK and US blind makers were prepared for the heartache, reputational risk and financial cost which arose from young children being caught around the neck by the strings from window blinds manufactured and sold in those countries.

4. Consider carefully the lifetime risk profile of your product or service. In relation to products the law generally expects that spare parts will be available for the whole of the reasonable life of the product, or that some other arrangements are in place to compensate consumers who experience product failure during the reasonably expected life of the product. While a limited guarantee period may appear to protect you from some claims, consumer legislation often includes statutory rights that effectively extend the guarantee period. In relation to services it is important to ensure that your insurance coverage remains in force long enough to protect your business from claims that arise years after the service was provided or carried out. In one case an architectural practice had to pay a substantial claim itself, as its insurance cover no longer covered claims for negligence arising from a building designed by them several years earlier. They saved a modest sum by changing insurers after the building was finished, but that saving paled into insignificance against the cost of the claim.

5. Be careful who you employ. Due to a legal principle known as “vicarious liability” you are generally liable for the negligence of your employees during periods when they are employed by you or carrying out tasks specified by you. Responsibility for the actions of employees who mislead your customers, or whose work is sub-standard, rests with you as far as your customers are concerned. Even if you have some entitlement to recover your losses from an errant employee, that is unlikely to result in full recovery of the financial losses or repair the reputational damage suffered by your business.

Optimizing Your Logistics and Distribution

June 24th, 2022

Undeniably, the most crucial role of a company following the production is the distribution and logistics of the final goods so that they reach the end consumers at the right time. Clearly, logistics and delivery both have an unmatched role to play in the performance of the business. Hence, a steadfast and seamless mechanism for your goods distribution will ensure that your customers are satisfied with you. While the system of logistics and distribution varies with companies depending on the kind of products they deal in, optimizing it means following some discrete approach. However, here are discussed some easy and tacit ways to simplify distribution operations to make sure customers get a satisfying service.

Resource efficient packaging

Most of the times, courier and delivery services companies deploy a uniform packaging system, irrespective of what they are distributing. Many times, we see a simple consumer good, which is not as fragile as an electronic item, arriving with layers of packaging. So, you need to make sure that your packaging do not become excessive and as per the product nature from you logistics service provider. This way not only wastes will be reduced but also the costs of packing.

Bring forth new delivery options

Just not the products but there are many things that matter in delivery like the weight, dimension, nature or type of product, or whether it needs cold storage. While all this have a huge impact on the customers’ satisfaction and state of the product when it will arrive at them, you need to find out whether you own delivery system have options to take care of all the aspects well.

Turning on automated processes for delivery

Another way you can assure that your delivery systems are fulfilling all expectations of customers is automation. Tracking of delivery route, time and vehicles/driver details, will help customers relax back while their orders are out for delivery. This further reduces the random calls and inquiries from the customers regarding their products.

Picking a logistics and delivery partner

The most befitting way to streamline your logistics and delivery mechanism is joining hands with a full-fledged delivery and courier services company who will help you through and out. From special handling of the products to warehousing management, products packaging to dispatch, doorstep deliveries to customers services, they will be in charge of all.

You need to realize that the logistics role is hard and it is that significant part of your business, which can hold back your customers providing them right delivery facilities. Whichever business you are into, just make sure your logistics support is well optimized and automated to get your products aptly to your end customers.