While only about a third of procurement professionals polled would term counterfeiting a widespread problem, the majority of buyers say they have a role to play in combating the issue.

The results of a recent Purchasing survey show the majority of buyers (42%) consider counterfeiting a "serious problem," only 32% would call the issue "widespread" and less than half (44%) report falling victim to counterfeiting.

Purchasers believe that as supply chain professionals they need to play a leadership role in helping combat counterfeiting. "Visit plants and distribution centers to ensure the seller really makes or has distribution rights for the components," says one survey respondent. "Buyers have responsibility for educating themselves on how to identify differences between original and counterfeit goods and equipment."

Another recommends that buyers "Be involved with the quality department to audit and confirm that goods meet specific requirements, and act accordingly when discrepancies are found."

Most often a counterfeiting problem was detected during routine quality tests, although some parts made it to a customer where application failed, survey results show. "Once the product was received and placed, it was discovered because the board did not operate as it was supposed to [within the same ranges]" says one respondent.

When made aware of the failed parts, purchasers say they immediately contact the supplier and asked for restitution. In most cases, they remove the supplier from preferred supplier lists. In others, they pursued prosecution when they could. One respondent says, "Basically, it was a six-month investigation that cost more than $100,000."

The most common commodity area to experience counterfeiting issues is semiconductors or other kinds of electronic components. It's a problem that's plagued the electronics industry for some time, so much so that speakers at the National Electronics Distributors Association annual meeting held this past fall in Chicago called for the industry to take a tougher stand on the issue. Counterfeiting reports also involve auto and aviation parts, as well as other components and hardware such as valves and toner and office supplies.