ISO 9000

Submitted by: Hernandez, Rose An R. Tapalla, Anna Coleene S. Viernes, Maribeth B. F4D

In The Beginning.

The quality movement can trace its roots back to medieval Europe in the late 13th century.

In the early 20th century manufacturers began to include quality processes in quality practices.

The Early Days In 1946, delegates from 25 countries met in London and decided to create a new international organization. The new organization, ISO, officially began operations on 23 February 1947. ISO is a network of the national standards institutes of 156 countries with a Central Secretariat in Geneva, Switzerland, that coordinates the system.

ISO stands for I nternational O rganization for S tandardization

ISO 9000 is about QUALITY Quality is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs Quality is: defined by customer needs

defined in terms of fitness for purpose achieved through continuous improvement managed through prevention not detection getting it right at the first time measurable ISO 9000 is a standard in which to conduct business It is a set of rules which should be followed in order to meet the needs and understand the wants of customers

The standard is generic ISO 9000 is a quality system. It is a set of rules which are meant to be followed

by an organization in order for the organization to understand the wants and needs of their customers. ISO 9000 is generic, allowing the standard to be applied in almost any situation.

The ISO 9000 Concept Represents an international consensus on good management practices for a systematic and generic application of principles and practices based on quality ISO 9000 is a written standard that defines the basic elements of a Quality management system that organizations should use to ensure that their products and/or services meet or exceed customer expectations Is a set of standardized requirements for Quality management system and is applicable to any organization regardless of its size or whether public or private sectors ISO 9000 is seen as a vehicle towards TQM

The principal goal of the ISO 9000 Standards is to demonstrate quality assurance

Quality culture refers to the degree of awareness, commitment, collective attitude and behaviour of the organization with regard to quality.

Self-manageable P-D-C-A

Plan what you do Do what you planned & Check the results Act on the difference record what you did

ISO 9000 REQUIRES : PLAN, DO, CHECK & ACT with CONSISTENCY : CUSTOMER SATISFACTION MANAGEMENT SUPPORTS RESOURCES MANAGEMENT PROCESS MANAGEMENT RESULTS ANALYSIS CONTINUOUS IMPROVEMENT

THE CONTINUOUS IMPROVEMENT MECHANISM

What are the ISO 9000 Principles? 1. A Customer Focus As stated before, the customer is the primary focus of a business. By understanding and responding to the needs of customers, an organization can correctly targeting key demographics and therefore increase revenue by delivering the products and services that the customer is looking for. With knowledge of customer needs, resources can be allocated appropriately and efficiently. Most importantly, a businesss dedication will be recognized by the customer, creating customer loyalty. And customer loyalty is return business. 2. Good Leadership A team of good leaders will establish unity and direction quickly in a business environment. Their goal is to motivate everyone working on the project, and successful leaders will minimize miscommunication within and between departments. Their role is intimately intertwined with the next ISO 9000 principle.

3. Involvement of people The inclusion of everyone on a business team is critical to its success. Involvement of substance will lead to a personal investment in a project and in turn create motivated, committed workers. These people will tend towards innovation and creativity, and utilize their full abilities to complete a project. If people have a vested interest in performance, they will be eager to participate in the continual improvement that ISO 900 facilitates. 4. Process approach to quality management The best results are achieved when activities and resources are managed together. This process approach to quality management can lower costs through the effective use of resources, personnel, and time. If a process is controlled as a whole, management can focus on goals that are important to the big picture, and prioritize objectives to maximize effectiveness. 5. Management system approach Combining management groups may seem like a dangerous clash of titans, but if done correctly can result in an efficient and effective management system. If leaders are dedicated to the goals of an organization, they will aid each other to achieve improved productivity. Some results include integration and alignment of key processes. Additionally, interested parties will recognize the consistency, effectiveness, and efficiency that come with a management system. Both suppliers and customers will gain confidence in a businesss abilities. 6. Continual Improvement The importance of this principle is paramount, and should a permanent objective of every organization. Through increased performance, a company can increase profits and gain an advantage over competitors. If a whole business is dedicated to continual improvement, improvement activities will be aligned, leading to faster and more efficient development. Ready for improvement and change, businesses will have the flexibility to react quickly to new opportunities.

7. Factual approach to decision making Effective decisions are based on the analysis and interpretation of information and data. By making informed decisions, an organization will be more likely to make the right decision. As companies make this a habit, they will be able to demonstrate the effectiveness of past decisions. This will put confidence in current and future decisions. 8. Supplier relationships It is important to establish a mutually beneficial supplier relationship; such a relationship creates value for both parties. A supplier that recognizes a mutually beneficial relationship will be quick to react when a business needs to respond to customer needs or market changes. Through close contact and interaction with a supplier, both organizations will be able to optimize resources and costs.

How is ISO 9000 Being Implemented Today? ISO 9000 is being used in many organizations with mixed results If an organization implements ISO 9000 in order to simply remain competitive and term ISO 9000 is an important standard in the industry today. When companies choose to implement ISO 9000, they must think of not only the shortterm transition period, but also the long-term future of the organization. Too often, companies do not see this, and implement ISO 9000 simply to remain competitive due to outside pressure. This can lead to failure of the implementation, and even to the point of failure of the company due to the loss in quality that may have existed before the implementation. without mutually beneficial goals in mind, it will most likely fail in the long

ISO Implementation Implementing ISO 9000 in an organization can be very beneficial The goal of this implementation is to achieve customer satisfaction at its highest level ISO 9000 allows an organization to follow guidelines that will not only improve the relationship with customers, but the relationships that exist within the firm. Improvements will allow a company to produce superior products for customers, while allowing the morale and worker productivity to improve inside the organization.

How can ISO 9000 be used in a business? ISO 9000 can benefit many industries, such as: Banking Health Care Manufacturing, etc.

ISO 9000 is generic, so it can be applied virtually anywhere! Remember, ISO 9000 is just one part of an entire system needed to create value for customers ISO 9000 can be implemented in virtually any business. It was written in such a way that the general guidelines used in the process can be integrated into any type of industry. The process may use simple words, but is not simple to implement. However, the rewards which are received after the implementation are more than worth the effort put into the system.

To begin the process, a commitment must be made Once a commitment is made, what should an organization do? How can the organization benefit from implementation of ISO 9000? A commitment to ISO 9000 is necessary in order for it to be successful. Once a commitment is made, it is only a matter of time until the organization is compliant with ISO 9000. Once the commitment is made, the organization must come up with a plan in order to see what is feasible. Implementation of the plan will commence, and then, once completed, a ISO 9000 certificate can be issued. Once ISO 9000 is implemented, it will benefit the organization. Customers will recognize the certification, and it holds an important place when most companies are looking to purchase from others. This will allow increased sales, while the actually implementation is contributing to higher quality and service. The organization on a whole will benefit, as it will allow the employees to operate in a more efficient way, and has shown to increase morale and team work efficiency.

ISO 9000: In Depth ISO is not an acronym ISO is a name used for the International Organization for Standardization The ISO was formed in 1947 in Geneva, Switzerland ISO is not an acronym. It is a nickname used for the International

Organization for Standardization. The word isos means equal in Greek, and that is what ISO 9000 attempts to establish. The ISO 9000 standard is used in order to create organizations which are equals when it comes to customer

service and meeting customer needs.

The International Organization for

Standardization was formed in 1947 in Geneva, Switzerland.

ISO 9000 is a European Standard The organization has two stated objectives: 1. To promote development of standardization to facilitate international exchange of goods and services. 2. To promote cooperation in intellectual, scientific, technological, and economic activity. ISO 9000 is a European Standard, however, it is being adapted throughout the world. They believe there are two main points which should be understood in order to undertake ISO 9000 implementation. One, to promote development of standardization to facilitate international exchange of goods and services. Basically, allow international companies to compete on the same level in regards to goods and services. Two, to promote cooperation in intellectual, scientific, technological, and economic activity. Sharing information allows companies to grow, and has been a key point in discussions from Robert C. Camp. His ideas of benchmarking are those of sharing information in order to allow both parties to benefit.

What are the parts of ISO 9000? ISO 9000 is composed of 5 different, but related parts: ISO 9000, 9001, 9002, 9003, and 9004 ISO 9000 and 9004 are guidelines, while ISO 9001, 9002, and 9003 are the categories in which a company may apply for certification

ISO 9000 is a series of parts in which guidelines and rules are presented in order to achieve ISO 9000 certification. Specifically, ISO 9000 and 9004 are the guidelines, while ISO 9001, 9002, and 9003 are the categories in which an organization can apply in order to achieve ISO 9000 certification. Part 1: ISO 9000

ISO 9000: Quality Management and Quality Assurance Standards Guidelines for Selection and Use

Written in order to determine which category your organization should apply for In part one of ISO 9000 documentation, ISO 9000 is the Quality Management and Quality Assurance Standards Guidelines for Selection and Use section. This section is an overview of ISO 9000 certification and allows a company to decide which category they can apply for in order to achieve ISO 9000 certification. Part 2: ISO 9001

ISO 9001: Quality Systems Model for Quality Assurance in Design/Development, Production, Installation, and Servicing

This is the category for companies which are involved in manufacturing or the creation and delivery of a service. ISO 9001 is the Quality Systems Model for Quality Assurance in Design/Development, Production, Installation, and Servicing companies involved in the creation and delivery of a service. Part 3: ISO 9002 category within ISO 9000. This category is for companies within the manufacturing sector or

ISO 9002: Quality Systems Model for Quality Assurance in Production and Installation

Companies who perform many functions, with the exception of design and development, may apply to this category ISO 9002, Quality Systems Model for Quality Assurance in Production and Installation is the category in which companies who perform many functions, with the exception of design and development. A job shop would be a good example of a company who would apply for ISO 9002 Part 4: ISO 9003

ISO 9003: Quality Systems Model for Quality Assurance in Final Inspection and Test

This category is useful for outside of the manufacturing sector, such as in distributors

ISO 9003 is being used less and may be dropped in the future ISO 9003, Quality Systems Model for Quality Assurance in Final Inspection and Test is used by non-manufacturing firms, such as distributors and warehouses. This standard is not being used as much as in the past, as quality is now being built into a product. It is expected to be dropped from the ISO 9000 certification sometime in the future. Part 5: ISO 9004

ISO 9004: Quality Management and Quality System Elements Guidelines Used in order to help interpret the categories included in ISO 9000 certification ISO 9004, Quality Management and Quality System Elements Guidelines is the guidelines a company use to implement and interpret what category to apply for within ISO 9000. It helps the company seek direction and achieve what ISO 9000 has set out to create: quality and unity.

The costs of implementing ISO 9000 Implementing ISO 9000 can be beneficial, but costly. The cost can be affected by: Multiple Locations Design Non-existence of a Quality Program Significant Corporate Changes ISO 9000 has various costs associated with implementation and registering. The costs may seem high at first, but once implemented, ISO 9000 certification provides benefits that more than outweigh the up front costs. Costs which can be incurred in the implementation phase surround: Multiple Locations, Design, Non-existence of a Quality Program, and Significant Corporate Changes. Multiple Locations charges are incurred if there is more than one location for the organization. Design involves how much needs to be done in order to achieve ISO 9000 certification. Non-existence of a Quality Program charges would occur if the organization does not have a current quality program already implemented within their company. Finally, Significant Corporate Changes are a cost factor if the company is changing in other ways besides for certification which can drastically affect the service of the company. example of a significant corporate change. Chapter 11 bankruptcy is an

Registering for ISO 9000 creates additional costs which vary based upon: Design Responsibility Number of Locations Size of Facility in Terms of Employment

Once implementation of ISO 9000 standards are complete, in order to achieve full certification, you must register for ISO 9000 certification. The costs associated with registering are: Design Responsibility, Number of Locations, and Size of Facility in Terms of Employment (Employees). Design Responsibility is how far the company has and will continue to go in order to achieve ISO 9000 certification. Number of Locations is simply a matter of more locations, the more cost which will be incurred by the organization. Finally, the size of the facility matters in terms of employment, as the more employees a firm has, the more money it will cost to achieve ISO 9000 certification.

Other ISO Programs ISO 9000:2000 ISO 9000 upgraded for 2000 ISO 14000 ISO 14000 is environmental certification for an organization Not as prominent, as environmental issues are more complex than ISO 9000 issues ISO 9000:2000 is ISO 9000 updated. Some of the changes include the integration of ISO 9001, 9002, and 9003, and the important issues within ISO 9000 being clarified. ISO 14000 is an extension of ISO 9000. It is an environmental certification. The support for ISO 14000 is not as great as ISO 9000, as integrating ISO 14000 can cause conflicting interests within an organization, due to opinions over environmental issues.

Why is ISO 9000 important? The importance of ISO 9000 is the importance of quality. Many companies offer products and services, but it is those companies who put out the best products and services efficiently that succeed. With ISO 9000, an organization can identify the root of the problem, and therefore find a solution. By improving efficiency, profit can be maximized. As a broad range of companies implement the ISO 9000 standards, a supply chain with integrity is created. Each company that participates in the process of developing, manufacturing, and marketing a product knows that it is part of internationally known, reliable system. Not only do businesses recognize the importance of the ISO 9000, but also the customer realizes the importance of quality. And because the consumer is most important to a company, ISO 9000 makes the customer its focus.

ISO makes the world better They make trade between countries easier and fairer. They provide governments with a technical base for health, safety and environmental legislation. They aid in transferring technology to developing countries. ISO standards also serve to safeguard consumers, and users in general, of products and services - as well as to make their lives simpler. ISO standards contribute to making the development, manufacturing and supply of products and services more efficient, safer and cleaner.