Picture the Canadian manufacturer buying parts from a European supplier. The Canadian manufacturer does its own quality controls, and its receiving department will ship back defective parts and wait for replacements. This system is expensive to administer and causes delays in production.
When each company has its own criteria for quality, it can create obstacles to trade. Universal systems eliminate these barriers because they provide global standards for production and technologies, and establish a common method of communication. The organization responsible for standards which benefit businesses worldwide is the International Organization for Standardization, ISO.
International standards are advantageous to everyone, because systems, machinery and devices are more reliable and compatible. For a Canadian business, ISO certification can reduce costs, increase productivity, stimulate growth and open markets.
Who is ISO?
International Organization for Standardization (ISO), produces standards accepted internationally by governments, business and the private sector. These standards have been adopted in 148 countries.
ISO is a non-governmental network based in Geneva, Switzerland. It acts as a bridging organization between business and the broader needs of society.
What are the ISO standards?
International Standards provide a reference framework, or a common technological language, between suppliers and their customers. Suppliers, users, government regulators and other interest groups, such as consumers agree on specifications and criteria to be applied consistently in the classification of materials, in the manufacture and supply of products, in testing and analysis, and in terminology. When the majority of products or services in a particular business or industry conform to International Standards, a state of industry-wide standardization exists. This facilitates trade and the transfer of technology.
With more than 13 700 International Standards, ISO's work program ranges from standards for activities such as agriculture and construction, to the newest information technology developments.
The majority of ISO standards are specific to a particular product, material, or process. The ISO 9001:2000 standard however, is a management system standard that can be applied to any organization, large or small, whatever its product or service.
What do ISO 9000 and ISO 14000 mean?
ISO 9000 is an international reference for quality requirements in business to business dealings. Quality Management Standards (QMS) are used by leading businesses worldwide to implement a management system that guarantees the conformity and quality of their products and services. It can potentially be adopted by any business. "Management system" refers to what the organization does to manage its processes, or activities.
Companies who are ISO 9000 certified demonstrate that their organizational processes meet international standards. This provides customer and potential trade partners with an assurance of quality.
ISO 9001:2000 is the latest version of the quality management system standard. It has been applied by more than 300,000 organizations worldwide.
ISO 14000 is primarily concerned with "environmental management". It is an international standard for what an organization does to minimize harmful effects on the environment caused by its activities, and to continually improve its environmental performance. It can also be potentially adopted by any organization.
How can ISO certification give you the winning edge?
Whether you are trading locally or internationally, your customers expect certain standards from your products and services. Being ISO certified helps reduce the risk of doing business with your company because potential customers know that your products measure up to specific, relevant standards. They understand that they can depend on you for quality and compatibility, so they are more likely to do business with you than with your competitors who are not ISO certified.
What are the advantages of ISO for small or medium-sized businesses?
- Processes are evaluated, standardized and explained to personnel
- Training new employees is easier
- Problems are detected more quickly and solutions/results are improved
- Customer satisfaction is increased
- Understanding of customer needs is increased
- Perception of your company is improved
- Suppliers become more like partners
- Communication is improved
- Employees' knowledge of your company is increased Participation of employees is enhanced
How is a business assessed for ISO certification?
A survey of your quality system, called a conformity or "gap" assessment, is done to establish the differences between your system and the ISO 9001:2000 requirements. This is usually performed by an ISO consultant or professional ISO auditor.
This assessment will tell you the shortcomings of your quality system and what you need to correct to be certified ISO 9001:2000.
Getting started in ISO certification
Implementing a quality management system involves a series of steps, which can take from 6 to 18 months, depending on the size and complexity of your organization.
The three main steps are:
- Planning, including setting goals and organizing training
- Implementing and documenting all procedures
- Certification, registration, and follow up
Implementing a quality management system requires constant attention. It is important to set up a project team led by a member of the management team. For smaller businesses, it may be difficult to allocate personnel to this endeavour. In this case, BDC Consulting services can be of help.
BDC offers tools to help you implement the ISO 9000 management standards and the ISO 14000 environmental standard. In addition, BDC offers a variety of formulas for financing the implementation of ISO standards, either in conjunction with or separately from the consulting services.
