Alliance aims to harmonize requirements for store brand quality, safety and compliance
All retailers strive for the same goals in quality, safety and regulatory compliance. Their store brand name is synonymous with their reputation, which is built on trust. However, different retailers have different criteria, checklists and requirements for the manufacture of their own-brand products. Despite the many commonalities across these retailer requirements (whether mass merchandisers, club stores, drugstores or grocery stores), the focus for manufacturers has traditionally been on these differences.
Seeing the value of working together to harmonize these requirements, NSF International, a standards developer and certifier, in conjunction with leaders from retailers and store brand manufacturers, formed the Global Retailer and Manufacturer Alliance in July 2014. The GRMA is working to create consensus-based good manufacturing practice (GMP) standards for four industry sectors: dietary supplements, over-the-counter (OTC) drugs, cosmetics/personal care items and medical devices sold in retail outlets.
Developing and certifying to harmonized GRMA standards will allow the store brand industry to demonstrate compliance with a comprehensive list of certification requirements relevant and applicable to retailers and regulators. This ensures consumers get what they want, minimizes risk for retailers’ own products and provides data to substantiate label claims.
Why industry standards are important
Retailers are under constant pressure to reduce risk, protect their brand and ensure regulatory compliance. To achieve these goals, they must audit their store brand suppliers (“inspect what you expect”).
Likewise, store brand manufacturers want to meet the expectations of multiple retailers, which includes demonstrating regulatory compliance via GMP audits at least once per year. However, with each retailer having its own customized audit, this process is extremely time-consuming and costly in both dollars and resources.
Rigorous consensus standards, developed by industry, that cover the requirements of all major retailers will mitigate risk for both retailers and their store brand manufacturing partners. Combining the retailer and regulatory requirements into a single standard and auditing program for each industry sector also helps reduce audits and costs while strengthening safety, quality and trust throughout the supply chain. Importantly, these standards are being developed and defined with input directly from key retailers, industry regulators, applicable trade groups and other interested parties. This process ensures the standards are relevant and applicable to retailer-specific needs, and that they meet regulatory requirements.
How the GRMA is creating harmonized standards
In 2014, the “DNA” of what would become the GRMA met to discuss goals. Led by quality and safety experts from leading supermarkets, drugstore chains, mass merchandisers, club stores and manufacturers (including Walgreens Boots Alliance, Walmart, Wegmans Food Markets, Costco Wholesale, Perrigo and First Quality), the representatives developed a blueprint to create standardized requirements for each product category. The team also tapped into insights from industry experts such as the American National Standards Institute (ANSI), Council for Responsible Nutrition (CRN), Nutrition Business Journal (NBJ) and NSF International.
Retailers generally have similar overall requirements, but the auditing and testing components may differ slightly. Manufacturers welcome uniform standards because they provide a clear, consistent “roadmap” for meeting multiple retailer requirements with, at minimum, one annual site audit as part of the certification process.
Standardization of requirements across retailers is not a “one-size-fits-all” process where only shared criteria are incorporated. Instead, the standards will encompass retailer requirements, shared and unique, above and beyond regulatory requirements for GMPs. A single standard ensures retailers that all their unique specific requirements are being met. When one retailer has a requirement the others don’t, incorporating it benefits all retailers by strengthening criteria across the board. Manufacturers also benefit because they can meet ALL retailer criteria with one certification.
The GRMA is open to all retailers, store brand manufacturers, relevant trade associations, regulatory and public health institutions, and certification bodies with a formal application approval. For more information or if you would like to participate in the development of the standards, please contact Casey Coy, GRMA program manager, at [email protected].
In the second article of this two-part series, I'll provide more details about the four GRMA standards for different industry sectors, including certification criteria and how these standards benefit manufacturers, retailers and consumers.