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Q12. What is the new IAF CertSearch funding model proposed by the DMC?

02 Nov 2021

A key principle for IAF CertSearch is that it is self-financing and not-for-profit. As there is no requirement on IAF, ABs or CBs to fund IAF CertSearch; the most viable mechanism available is through voluntary user-pays services.  
The proposed user pays model is funded through two voluntary paid-for-services– Analytical Services (for CBs and ABs and institutional users) and Verification Services (for supply chain verifiers). 
Analytical Services (CBs/ABs) – through a digital dashboard CBs and ABs can choose to access anonymized and aggregated data analysis on the management systems certification by market, standard, accreditation, industry sector and other key variables.
Analytical Services (Institutional Users) – Using the certification data and accreditation data, anonymized and aggregated analysis reports will be offered to pre-approved Professional Bodies/Research Bodies/Standards Development Bodies.
Verification Services – Through an account portal, users of accredited certification could verify information relating to their supply chains as well as adding suppliers onto a certification watch list. Small and medium sized enterprises will be able to validate up to 100 certificates per annum free of charge.
Eighty percent of the revenue IAF Database LLC will receive for these services will be paid to QualityTrade compensating them for the hosting, security, maintenance, and future development of IAF CertSearch. At year end, any surplus (net of the costs for hosting, security, maintenance, and development) will be split with QualityTrade 50/50 so that IAF Database LLC receives the greater amount of either the twenty percent revenue or fifty percent of the net surplus. It is important to highlight that QualityTrade remains a financially viable partner for IAF Database LLC. As part of the new agreement, QualityTrade will financially underwrite the full costs for the development and maintenance of the system for the term of the contract and for a minimum of five years.