“Right to Repair” Movement Gets a Biden Boost: New Legislative Moves in the U.S. and EU Mean Manufacturers Must Prepare for Sustainable Change
What is driving the move towards giving consumers the “right to repair”?
“There’s a lot of sustainability buzz around the “Right to Repair” driven by two new legislative moves in both the U.S. and Europe. On July 9th, President Joe Biden signed a historic executive order aiming to increase competition across many U.S. industries by encouraging the FTC to stop manufacturers imposing repairs restrictions, to give consumers the right to repair their own equipment. Biden’s decisive action puts new impetus behind what has only previously been addressed in state-level legislation.
“On the other side of the pond, the European Commission has announced that manufacturers must now make spare parts available for consumers buying electrical appliances. Both signify a major victory for the right to repair movement, consumer rights – and of course for sustainability and the circular economy.”
How will the “right to repair” legislation impact U.S. manufacturers?
“For manufacturers that once held a tight grip on how their devices can be repaired, the legislative actions present a real opportunity to bring a new sustainable business model. They will be welcomed by many as a significant step forwards in the transition towards a circular economy.
“The new right to repair legislative moves across the U.S. and EU will help manufacturers transform customer relationships with servitization offerings and significantly reduce waste to benefit the environment. But in order for manufacturers to truly reap the benefits of a circular economy, they must invest in disruptive technologies that can build products and long-term customer relationships that last.”
How will the “right to repair” legislation change the way manufacturers do business with their customers?
“Where the legislation will have the greatest impact – at least in the short term – is in transforming the relationship between manufacturers and consumers. Right to repair will pave the way for a new kind of business model for manufacturers, in which they focus on selling outcomes or services rather than products.
“By providing consumers with a service after the initial transaction, manufacturers have scope to build a longer-term relationship with customers that extends far beyond the initial transaction—for example, offering regular servicing, insurance or additional capabilities. This not only benefits the customer, but provides manufacturers with scope to grow their business. While the Executive Order and EU legislation will be viewed as a step-change for consumer rights advocacy in the U.S. and Europe, it should therefore also be seen as a pivotal moment for manufacturers and how they engage with consumers.”
Cindy Jaudon, Regional President, Americas, IFS
As regional president for the Americas, and a member of the IFS Senior Leadership Team, Cindy Jaudon is responsible for growing the IFS footprint in the world’s largest and most demanding markets.
During her tenure, Cindy has been instrumental in four key IFS acquisitions: WorkWave, a leading provider for the Field Service and Last Mile Delivery in the SMB market; Mxi, a leading provider of maintenance management software for the global aviation industry; Metrix LLC, a best of breed service management supplier and LatinIFS, an IFS reseller in South America.
She has also led the IFS Americas team to steady organic growth and achieved unprecedented satisfaction and retention levels in the North American customer base.
Prior to assuming the role of president and CEO, Cindy was the global industry director for IFS’s Industrial Manufacturing and Aerospace and Defense solutions, where she helped IFS assume a dominant position in both sectors. Cindy has more than 25 years of consulting, sales and management experience in the enterprise software market.
In recent years, IFS’s North America business has been recognized as a Top 50 Best Companies to Watch by The Silicon Review with Cindy at the helm. Cindy has also been named a two-category finalist in the Stevie® Awards for Women in Business: Female Executive of the Year – Business Products – Less Than 2,500 Employees and Woman of the Year – Technology.