Conflict minerals are necessary for the functionality or the manufacture of a product.

Situation

In regards to conflict minerals, Section 1502 of the Dodd Frank Act states that:

“It is the sense of the Congress that the exploitation and trade of conflict minerals originating in the Democratic Republic of the Congo is helping to finance conflict characterized by extreme levels of violence in the eastern Democratic Republic of the Congo…” All companies under the control of the U.S. Securities and Exchange Commission (SEC) need to provide “disclosures relating to conflict minerals originating in the Democratic Republic of the Congo.”

The pressure on Companies is growing: The Dodd-Frank Act requires that affected companies declare their use of certain raw materials such as gold, columbite-tantalite (coltan), cassiterite, wolframite, and their derivatives such as tantalum, tin, and tungsten – the so-called ,3 T’s’ –, as well as any other mineral and its derivatives originating from and financing conflict in the Democratic Republic of the Congo or an adjoining country. The reporting requirements are passed by the OEMs through the global supply chains, so that ultimately it is estimated that more than 280.000 companies worldwide will be affected.  

Challenge

The world has a severe scarcity of mineral resources, and there is a distinct difference between the interests of users and suppliers of these raw materials. Therefore, it must be in everyone’s interest to create a peaceful, fair and sustainable use of our global resources.

Between the extraction of raw materials and the completion of the final product, there are many intermediate steps, which makes tracking the origin of minerals extremely difficult.

In addition, each company faces a large number of inquiries from its customers, which need to be managed, answered, and then sent back in an aggregated form. Manual data management is not a feasible solution for most companies. No company can afford to ignore the related inefficiencies and the potential for errors.

Solution

The iPoint Conflict Minerals Platform (iPCMP) builds on established standards, allowing businesses affected by the Dodd-Frank Act to efficiently manage the reporting processes. The platform is based on iPoint’s extensive experience in creating and implementing product-related environmental compliance solutions within value chains (for example, the REACH iPoint solution for communication in the supply chain).

By working closely with industry and associations, iPoint can offer a tailored solution for the fulfillment of the conflict minerals legislation.

 

The following functions are supported by the software:

• Create and aggregate (“roll-up”) reports according to the EICC / GeSI reporting standard
• Track and manage incoming and outgoing requests
• Automatic update the EICC / GeSI “Conflict-Free Smelter” list already integrated into the solution
• Import and export reports in Excel format
• Create & manage new smelters
• Ensure that the necessary information is complete and consistent via comprehensive real-time validation checks
• Sophisticated security concept to maintain confidentiality of trade relations
• Personalized user accounts with rights management
• Online data storage and management

iPoint’s added values:

• Easy and intuitive user interface
• Significantly increased efficiency compared to manual data entry
• Adequate data quality is ensured through validation
• Browser-based, “on demand” application
• Coverage of the entire supply chain through licensing options, adapted to the needs of large companies (premium version) and smaller companies (basic version).
• Flexible system architecture enables rapid adjustments of our solution to changing reporting requirements
• Free trial period