History and Purpose of ISO 9001 Certification - Assignment Example

Introduction The emergence of global business has created the need for developing an approach of assessing the standards of goods and services marketed across the globe to ensure their safety. Different governmental and nongovernmental organizations have been established across the globe to access the standard of products supplied across the world to ensure that they conform to particular standards. The international organization for standardization is one such organization that is made of a conglomerate of organizations geared towards ensuring the safety and standards of goods and services produced and marketed in different parts of the world (Sivakumar, Devadasan & Murugesh, 2014). The development of the organization has enabled the development of a common standardization protocol for goods and services marketed in the international markets. The organization also collects different scientific, intellectual and economic information necessary for the development of new technological approaches to the development of standardization in the world. Standardization by ISO is applied to all fields including building and construction, electronic engineering, education, transport, telecommunication, food industry among other sectors (Tran, 2013). In this paper, the international standards organization will be discussed in length to demonstrate its development, historical progress since its inception. The paper will trace the historical development of the ISO and highlight how it has been helpful in the development of standard measures of quality. Despite the benefits and the achievement of the organization, critics have posted a negative picture on its achievement, details that the paper will provide to develop a position on the same. The paper will finally provide suggestions that can be helpful in the simplifying the certification process in the service driven sectors in the economy (Sivakumar, Devadasan & Murugesh, 2014). History and role of ISO After the formation of the United Nations, the need for a common standardization approach that would be applied to goods and services from all sectors of the economy arose. As a result, 65 delegates from across the world convened in London in 1946 to discuss the future and approaches to be adopted in international standardization. This marked the beginning of the international organization of standardization that was by then made up of committee of experts with experience in various disciplines whose role was to oversee the standardization processes. The international organization of standardization was established and it is headquartered in Geneva, Switzerland (Jong, Paulraj & Blome, 2014). The membership to the body differed with the United Nations membership that was based on delegates from member countries. The establishment of the ISO provided an opportunity for products from both the private and the public sector to be subjected to similar standardization protocols to ensure universal safety. The name ISO was developed despite the original having a different abbreviation as the use of the ‘IOS’ abbreviation would have resulted into the use of different abbreviations like ‘OIN’ for the French. The abbreviation ISO derived from the Greek word ‘isos’ meaning equal was used to ensure that a common abbreviation was used in all countries irrespective of the full name in the different languages (Wu & Jang, 2014). Other affiliate organizations followed and in 1926, the federation of the national standardization association was created. This organization was mandated with the safety and standard conformity within the mechanical engineering sector. The international organization of standardization was not to be until in 1946 when delegates from 25 countries convened in London to chart a way forward for an international body. This paved way for the formation of the international organization of standardization that officially began operations on the 23rd February of 1947 (Sivakumar, Devadasan & Murugesh, 2014). The international organization of standardization was developed to achieve a number of roles geared towards developing a common standardization protocol for companies and organizations across the globe. To achieve its different roles, the international organization of standardization has developed a consensus agreement between all economic players in different industrial and non-industrial sectors. Through this consensus, the different industry players have agreed on specification and criterion to be used in the classification and manufacture of products. International organization of standardization thus works towards the development of high product quality and the setting of reasonable prices based on the standards of the products (Psomas, Pantouvakis & Kafetzopoulos, 2013). Through the development of high quality products, the international organization of standards improves the health and safety of consumers and work towards the protection of the environment through the reduction of waste and development of better waste management approaches. The compatibility of products of different products is also essential in the management of quality, a role that ISO has aptly played to ensure conformity to international standards. The organization also works towards the simplification of products with an aim of improving their usability in different sectors of the economy (Wu & Jang, 2014). Different countries had their own standardization models and this still applies to countries that have not joined the ISO. To reduce the number of quality models and to gain price advantage, the international organization standards reduces the number of standard and quality models in the country. With increased international standardization and application by different countries, the liberalization of markets has been enhanced, as the quality of goods has been enhanced (International patterns in certification, 2013). This committee ensures that organizations develop building and transport products that meet the standard and quality level of the international body. This committee strives to achieve high quality engineering products to enable it achieve its second role of ensuring improved occupational safety and hazard control. The committee has therefore developed various symbols and signs used by organizations worldwide to show the presence of different types of danger within the workplace and in construction sites (Psomas, Pantouvakis & Kafetzopoulos, 2013). Certification bodies in Europe To ensure improve standardization in Europe, a number of accreditation and certification bodies have been created with independent jurisdiction but with affiliation to the international organization standardization. The functions of the accreditation bodies are however similar as they all seek to gain similar objective of ensuring improved quality goods and services in the continent. The certification bodies seek to increase the customer satisfaction by ensuring that high quality products are marketed to residents in the continent. The certification bodies also seeks to achieve an ethical environment through which the certification process is conducted by ensuring that the standardization protocols used are competent and capable of ensuring that the best result is achieved (Tricker & Publishing, 2006). The international accreditation board for the certification of bodies and laboratories is one of the certification boards that operate in Europe with affiliation to the international organization of standardization. Though the body is an international body without a country specific view, its presence is much felt in Europe where the headquarter is based and where it began its operations. The accreditation service for certifying bodies limited is one of the largest certification bodies operating in over 25 countries mostly in Europe. Established in 1995, the ASCB has developed consistent standards in accreditation of other bodies in an effort to develop universal standards in Europe. The ASCB has the role of accreditation of certifying bodies, training institutions and suppliers in Europe and other countries that it operates in (Wu & Jang, 2014). The European federation of association of certification bodies (EFAC) is a body made up of different certification agencies in Europe geared towards attaining excellence in certification processes. The organization was developed in 1998 following outcry on the low level of focus exhibited by certification agencies that affected their ability to deliver and improve the standardization processes in the continent. It has been a member of the international accreditation forum since 2003 and has therefore worked towards achieving the certification standards laid down by the IAF. With representation within the European co-operation for accreditation certification committee and the EA advisory board, EFAC has developed protocols that follow international standards (Tricker & Publishing, 2006). History, purpose and future of ISO 9001:2008 standard The history of quality assurance is believed to have developed from the need by the ministry of defense in the United Kingdom to ensure that products supplied to it by private companies met the right standards and qualities. To achieve this, the defense ministry developed a protocol for the companies to follow in servicing their contracts and meeting the standards set. To set the standard for the quality assurance, the ISO 9000 was established in 1987 as the ISO 9000:1987 borrowing from the structures of the previous BS 5750 standards established in the United Kingdom (Wu & Jang, 2014). The ISO 9000:1987 had twenty elemental structures, which acted as guiding requirements for the determination of quality in the countries that used it. The elemental structures emphasized the need for the development of conformity procedures that deviated from the overall management process that has originality in its intention (Psomas, Pantouvakis & Kafetzopoulos, 2013). However, the ISO 9000:1987 was considered ineffective and this led to its revision, which led to the creation of the ISO 9000:1994, an approach that sought to develop preventive actions as a means of quality assurance. The implementation of the ISO 9000:1994 by companies also affected its effectiveness as most companies adopted a shelf-loads approach of using the manuals and were affected by the bureaucratic approaches of the ISO. The difficulty in adapting and improving the ISO 9000:1994 led to the development of the ISO 9001:2000, a version that sought the adoption of more radical changes to the standardization approach (Wu & Jang, 2014). This version focused more the process of management as the essential objective of standardization, an approach that made it more effective than the previous versions. The use of ISO 9000:2000 emphasized the development of a documented system of standards as opposed to the use of systems of documents that proved ineffective in the previous versions. As a result, the version eliminated the need of using documented procedures as long as the process proved effective in providing better and effective standardization approaches. The ISO 9000:2000 developed eight sets of quality management that sought to improve consistency in the quality approaches (Tricker & Publishing, 2006). The version also emphasized the need for enhancing the customer focus and developed a focused leadership that involves the employees in an organization. The approaches to management by organization that followed the cores of the version were required to be systematic with room for continual improvement and factual decision-making processes. As opposed to the previous adjustments that were made when newer versions were created, the ISO 9000:2008 had minor changes compared to the previous version. It aimed to create clarity on the existing requirements, an approach that aimed at developing consistency in approach with other management standards like the ISO 14001:2004 (Cianfrani, Tsiakals & West, 2009). The development of the international organization standard version 9001:2008 has been attributed to the streamlining of the standardization process in different parts of the world. ISO 9001:2008 works towards the establishment and streamlining of different processes and procedures of documentation. The standards also seek to improve and establish training processes that lead to the definition of the roles and responsibilities of certification organizations. This has led to an increase in operational efficiency and the ability to troubleshoot in an effort geared towards improving efficiency of the system (Sampaio, Saraiva & Gomes, 2014). ISO 9001:2008 has also led to the development and building of working relationships and trusts that enables organizations attracts and retains existing customers. This has enabled the building of opportunities for global commerce with international recognition due to the application of universal standards and certification processes. The development of concise production standards has also led to an improvement in the relationship of organizations with their suppliers due to the development of consistencies in documentation and analysis. The improvement in performances is also performed using ISO 9001:2008 approaches that allows for the use of regular audits and reviews (Cianfrani, Tsiakals & West, 2009). The future of ISO 9001:2008 has drawn mixed reaction from different quality and certification professionals and some of these arguments have been based on the ISO survey conducted in 2011. Compared to the first version of the ISO, the current version is believed to lack recognition but having mote accessibility and straightforwardness as compared to the previous versions (Tigani, 2012). Europe is currently one of the continents using the ISO certification followed by the number of emerging and developing economies in Asia and South America. Others have however continued to ignore the system, led by North America which has adopted its own certification approach as compared to the ISO approach (Sampaio, Saraiva & Gomes, 2014). With the current review of the ISO 9002:2010, the ISO certification has a brighter and more productive future that will improve the process of certification and standardization. The development of new approaches and the emergence of new challenges have made it useful for the organization to develop a new version that can address the emerging issues in the market. As a result, the organization is currently developing a new version of ISO 9001 under the ISO 9001:2015 banner that will incorporate all the current inadequacies in the 2008 version. (Gaal, 2001) Advantages of ISO 9001:2008 ISO 9001 is an organization of quality management systems that was put in place by the International Organization for standardization which involve one hundred and thirty two countries and are not specific to products and services. It applies to the systemic way of creating these services offered by manufacturing companies or industries regardless of any part of the world they may be at. It was previously known as ISO 9000 but was changed to ISO 9001:2008 which also replaced the previous ISO 9001:2001. Its main function is to give quality management standards and systems that benefit organizations hence the advantage of helping businesses in terms of effective management. Globally, the used ISO 9001 standard is a document that gives quality system with specific requirements, guidelines and characteristics which are consistently used to make sure that products, materials services and processes are delivered in a quality way (Cianfrani, Tsiakals & West, 2009). A body also provides certification of independency of confirmation of organizational requirements with over a million organizations having attained the independency certificate making this organization a worldwide body in provision of managerial tools today. ISO accreditation gives organizations and companies the quality system that provides them with foundations for better satisfaction of the customers, motivation of staff and a continuous improvement. It provides companies with properly laid principles, which ensure a better approach to the management of businesses including their activities, which in turn leads to customer satisfaction (Tricker & Publishing, 2006). One of the moat and primary benefit of ISO 9001 is the increase of company’s eligibility and make it attractive to the current markets. Various researches have showed that firms recognized by the ISO 9001 are economical. It also helps in uplifting the management systems of companies, which improves staff grasps therefore specific needs in a unit and tasks are completed on time. With this, there is management of time as there will be no reason to question any task performed which conjointly means that fewer issues will be realized as waste in the company (Hallström, 2004). ISO 9001 ascertains specifically issues that are affecting area units of companies, organizations, and, industries hence quick and ready acknowledgement of these areas and proper improvement in them. This leads to prevention of loss of cash, as this is realized early and a long term resolution and drawback is made with specificity, instead of recurrent of similar problems. It also brings technological, societal, and, economic advantages, which help in harmonization of specific technicalities in products and services. ISO 9001 also helps industries in efficiency and cutting down of barriers realized in international trade therefore setting standards which are beneficial to consumers in receiving safe products, efficiently made, and a better environment for services (Sampaio, Saraiva & Gomes, 2014). ISO has created a materials describe economy and social benefits which set standards globally in regulation and has been used specifically for businesses, it has set international standards which provide strategic tools including guidelines which help in solving modern challenges affecting companies. This give companies a leeway in their operations and boost productivity hence accessing new markets. It is beneficial to companies as it helps in cost sharing and this is done by optimization of operations hence improving the bottom line (Chen & Cheng, 2012). It enhances customer satisfaction, which affects in increase of sales through quality products and getting newer markets globally. It increases market share through helping in increasing productivity and creating competitive advantages. Businesses also have beneficial advantage of taking part in standardized developed processes which is beneficial to the environment as it reduces negative impacts on the environment (Cianfrani, Tsiakals & West, 2009). Almost all aspects of life are touched by over 19500 ISO standards hence beneficial to the society. This is through the provision of products and services that conform to international standards and consumers have the confidence of receiving reliable, safe, and of high quality products. It supports the society through ISO standards including road safety, secure medical packages, and toy safety which are beneficial to the society in making the world better (Yaya, Marimon & Casadesus, 2013). ISO also supports the involvement of the consumers in standard developmental work through policy on consumer through the committee specifically formed for this that is COPOLCO. International standard on water, air, and quality of soil including emission of gases and radiations help in the process of preservation of environment and help in improving the health of individuals in a society (Sampaio, Saraiva & Gomes, 2014). ISO certification is also of great benefit to governments as it draws international expertise together with experience and therefore it is an important resource for governments in development of regulations. Through making ISO standards a regulatory requirement by governments, which is voluntary, national governments, benefit through a number of ways. One, they get an advantage of getting standardized expert opinions which are well integrated into standard national regulation without consulting their services directly. Secondly, through getting involved in opening up world trade as the ISO standards are internationally adopted by many governments hence regulations ensures that requirements involving imports and exports are equal and similar globally. This helps in facilitation of the free flow of goods, technology, and goods from country to country (Cianfrani, 2013). The existence of non-similar regional and national standards creates trade technical barriers that affect trade that leads to high cost of doing business. In reducing these technical barriers to trade, ISO standardization internationally provides technical basis where political and trade understandings are put in practical use both regionally and internationally (Levett & Burney, 2011). Criticism of ISO 9001:2008 ISO 9001:2008 has received a number of criticism from different sectors especially within the manufacturing units due to its lack of flexibility and other disadvantages. It possesses disadvantage of unnecessary paper work, which is a burden to the countries that are already in it, and those that need to join it. Quality managerial ethics argue that the excess paperwork is extremely inefficient. It is also claimed that it only involves documentation where companies document their quality systems with a lot of paperwork with this ISO standards increases the supervision and inspection of correct procedures, which contradicts the aspect quality. The work place is therefore viewed as oppressive and this reduces quality of work (Cianfrani, Tsiakals & West, 2009). Some studies give reasons for not adopting this certification and standardization to creation of risks of unknown direct relationship, which leads to lack of improved quality, and not known resources needed in performing tasks. It is also attributed to the risk of amount of certification costs due to increase in bureaucratic process and portrayal of company image negatively. The compatibility of products of different products is also essential in the management of quality, a role that ISO has aptly played to ensure conformity to international standards. The organization also works towards the simplification of products with an aim of improving their usability in different sectors of the economy (Wu & Jang, 2014). Different countries had their own standardization models and this still applies to countries that have not joined the ISO. To reduce the number of quality models and to gain price advantage, the international organization standards reduces the number of standard and quality models in the country. With increased international standardization and application by different countries, the liberalization of markets has been enhanced, as the quality of goods has been enhanced (Sampaio, Saraiva & Gomes, 2014). ISO 9001 is criticized for promoting specification, control, and procedures instead of enhancing and creating understandings for improvement. This standardization creates a negative aspect of misleading organizations and companies that certification equal’s better quality that is not the case. This standardization is also seen to be specifically prone to failure if a company has an interest in certification before quality. Based on customer contractual requirements, certification tends to focus on this instead of desire to improve quality. For example, if an organization needs a certificate on the wall, it will be forced to create paper systems, which do not reflect they want to run the business (Cianfrani, 2013). A number of organisations view certification as an approach of increasing the cost of production through Certification through the introduction of consultation services from independent auditor’s point of view. Quality has a positive impact on profits of investment, market share, and growth of sales, which are believed to be unrelated to ISO 9001 registration whatsoever. The competitive and better sales advantage can be realized even without the registration to the body and having this certificate. Fashionable management according to Abrahamson says that discourses including quality circles come after lifecycles which form bottom curves which possibly leads to managerial interest of individuals for a shorter period (Psomas, 2013). ISO systems do not measure whether the processes laid down are being followed and do not gauge how advantageous these processes are or whether the right parameters needed are measured and controlled to realize quality and efficiency. I addition, when specific technical answers are required for the making of a new parts, ISO does not give or introduce the robustness of the technical skills which is a major component of advanced quality planning. It is not clear if an ISO-certified plant can deliver good quality performance due to better process selection and better technical impacts (Simon, Karapetrovic & Casadesús, 2012). It is very expensive to become an ISO 9000-certified company. These results in unclear estimation of the cost of ISO 9001 certification cost and due to this companies that need registrations have to consult greatly in order to get the true picture of the true costs (Cianfrani, 2013). The ISO 9000 certification process does not end with the final implementation of the initial certification but must be maintained throughout the lifespan of the organization or company, or at least the life span of the company as it pertains to the company being ISO 9000 certified (Cianfrani, Tsiakals & West, 2009). Importance and role of processes in ISO 9001:2008 certification The certification processes are essential in the development of clear and well laid down certification approach and this highlights the need for the ISO 9001 to adopt dynamic approaches for its certification approach. Its main function is to give quality management standards and systems that benefit organizations hence the advantage of helping businesses in terms of effective management. Globally, the used ISO 9001 standard is a document that gives quality system with specific requirements, guidelines and characteristics which are consistently used to make sure that products, materials services and processes are delivered in a quality way (Tricker, 2013). It is a body that also provides certification of independency of confirmation of organizational requirements with over a million organizations having attained the independency certificate making this organization a worldwide body in provision of managerial tools today. ISO accreditation gives organizations and companies the quality system that provides them with foundations for better satisfaction of the customers, motivation of staff and a continuous improvement (Cianfrani, 2013). It provides companies with properly laid principles, which ensure a better approach to the management of businesses including their activities, which in turn leads to customer satisfaction. The development of the organization has enabled the development of a common standardization protocol for goods and services marketed in the international markets. The organization also collects different scientific, intellectual and economic information necessary for the development of new technological approaches to the development of standardization in the world (Cianfrani, Tsiakals & West, 2009). Standardization by ISO is applied to all fields including building and construction, electronic engineering, education, transport, telecommunication, food industry among other sectors. Despite the benefits and the achievement of the organization, critics have posted a negative picture on its achievement, details that the paper will provide to develop a position on the same. The paper will finally provide suggestions that can be helpful in the simplifying the certification process in the service driven sectors in the economy (Cianfrani, 2013). One of the moat and primary benefit of ISO 9001 is the increase of company’s eligibility and make it attractive to the current markets. Various researches have showed that firms recognized by the ISO 9001 are economical. It also helps in uplifting the management systems of companies, which improves staff grasps therefore specific needs in a unit and tasks are completed on time. With this, there is management of time as there will be no reason to question any task performed which conjointly means that fewer issues will be realized as waste in the company (Tricker, 2013). ISO 9001 ascertains specifically issues that are affecting area units of companies, organizations, and, industries hence quick and ready acknowledgement of these areas and proper improvement in them. This leads to prevention of loss of cash, as this is realized early and a long-term resolution and drawback is made with specificity, instead of recurrent of similar problems (Tricker, 2013). Elements that need to be changed To improve the effectiveness of the ISO 9001:2008, a number of changes and simplifications must be done in line with the challenges that the version has faced. The ISO 9001:2008 focused on the development of quality management in organization, a process that is more than mere certification issue as highlighted in this version. The ISO organization is currently undertaking a full review of its ISO 9001 version to ensure that it works towards the development of proper management standards (Cianfrani, 2013). Others have however continued to ignore the system, led by North America, which has adopted its own certification approach as compared to the ISO approach. With the current review of the ISO 9002:2010, the ISO certification has a brighter and more productive future that will improve the process of certification and standardization. The development of new approaches and the emergence of new challenges have made it useful for the organization to develop a new version that can address the emerging issues in the market. References Cianfrani, C. A. (2013). ISO 9001:2008 explained & expanded: Making your quality management system sustainable. Milwaukee, WI: Asq Quality Press. Cianfrani, C. A., Tsiakals, J. J., & West, J. (2009). ISO 9001:2008 explained. Milwaukee, WI: Asq Quality Press. Levett, J. M., & Burney, R. G. (2011). Using ISO 9001 in Healthcare: Applications for quality systems, performance improvement, clinical integration, and accreditation. Milwaukee, WI: Asq Quality Press. Tricker, R. (2010). ISO 9001:2008 for small businesses. London: Routledge. Tricker, R. (2013). ISO 9001: 2000 in brief. New York, NY: Taylor & Francis. Tricker, R., & Publishing, V. H. (2006). ISO 9001:2000: The quality management process. London: The Stationery Office. Sivakumar, V., Devadasan, S. R., & Murugesh, R. R. (2014). Theory and practice of knowledge managed ISO 9001:2000 supported quality system. TQM Journal, 26(1), 30-49. Doi: 10.1108/TQM-10-2011-0063 Psomas, E. L. (2013). The effectiveness of the ISO 9001 quality management system in service companies. Total Quality Management & Business Excellence, 24(7/8), 769-781. doi:10.1080/14783363.2013.791099 Psomas, E. L., Pantouvakis, A., & Kafetzopoulos, D. P. (2013). The impact of ISO 9001 effectiveness on the performance of service companies. Managing Service Quality, 23(2), 149-164. Doi: 10.1108/09604521311303426 Tigani, O. (2012). For a Brighter ISO 9001:2008 Certification. Journal for Quality & Participation, 35(3), 1-4. Chen, H., & Cheng, B. (2012). Applying the ISO 9001 process approach and service blueprint to hospital management systems. TQM Journal, 24(5), 418-432. Doi: 10.1108/17542731211261575 Simon, A., Karapetrovic, S., & Casadesús, M. (2012). Difficulties and benefits of integrated management systems. Industrial Management & Data Systems, 112(5), 828-846. Doi: 10.1108/02635571211232406 Sampaio, P., Saraiva, P., & Gomes, A. (2014). ISO 9001 European Scoreboard: an instrument to measure macro quality. Total Quality Management & Business Excellence, 25(3/4), 309-318. doi:10.1080/14783363.2013.807683 Wu, S., & Jang, J. (2014). The impact of ISO certification on consumers' purchase intention. Total Quality Management & Business Excellence, 25(3/4), 412-426. doi:10.1080/14783363.2013.776770 Jong, P., Paulraj, A., & Blome, C. (2014). The Financial Impact of ISO 14001 Certification: Top-Line, Bottom-Line, or Both? Journal of Business Ethics, 119(1), 131-149. Doi: 10.1007/s10551-012-1604-z Yaya, L., Marimon, F., & Casadesus, M. (2013). Can ISO 9001 improve service recovery? Industrial Management & Data Systems, 113(8), 1206-1221. Doi: 10.1108/IMDS-03-2013-0150. International patterns in certification. (2013). ENDS (Environmental Data Services), (462), 09-10. Tran, A. (2013). Miyachi Unitek Announces Renewal of ISO 9001:2008 Certification. Automotive Industries, 193(4), 1. Gaal, A. (2001). ISO 9001: 2000 for small business: Implementing Process-Approach quality management. Boca Raton: Crc Press. Hallström, K. T. (2004). Organizing international standardization: ISO and the IASC in quest of authority. Cheltenham: Edward Elgar Publishing. Read More