Critical factors for effective implementation of ISO 9001 in SME service companies

Quantifying the economic benefit of standard on auto-electric stove for Batik small medium enterprises in Indonesia

One of the important issues in standard implementation is its economic impact. This is because the economic benefits of the standard implementation are intangible and difficult to be measured. Therefore, this research aims to analyze the economic benefit of standard implementation in Indonesian auto – electric stove for batik SME by using the economic benefit of standard (EBS) approach developed by ISO. The data collection and the empiric case study analysis was performed through in-dept interview with the key informants are the owner of the SME, the SME's supervisors and experts in the field of standard implementation. This study uses a value chain approach to measure the economic impact of the implementation of SNI IEC 60335 and the SNI ISO 9001 standard. The research result showed that the standard implementation provided economic benefits of 5.432,5 USD per year. Furthermore, the economic benefits were obtained by the cost efficiency of the business function or the increased revenue from the production.

ISO-9001 implementation and critical success factors of the Jordanian consulting engineering firms

Purpose

This paper aims at studying the level of implementation of ISO 9001 in Jordanian consulting engineering firms and to what extent does the implementation effectiveness affect the success of the construction projects. Moreover, the paper seeks to identify the Critical Success Factors (CSFs) that directly influence the ISO 9001 effectiveness in Jordanian consulting engineering firms.

Design/methodology/approach

A questionnaire was constructed and distributed to a sample of 125 employees from six ISO 9001-consulting firms. After collecting the data, exploratory factor analysis was utilized to validate the latent constructs (CSFs, ISO 9001 Effectiveness, and Firm Performance).

Findings

The findings suggest that firms experience a high level of ISO 9001 effectiveness. Moreover, among the five identified CSFs; employee attributes, external environmental pressure and quality system attribute had a significant impact on the ISO 9001 effectiveness, while internal motivation and firm attributes were insignificant.

Originality/value

The significance of this study lies in exploring such topic in the developing countries, since most of current studies were focused on developed contexts such as the USA and UK. Therefore, this research acts as a response to calls in the current literature regarding considering different industries and contexts.

Improving service quality

Purpose

The purpose of this paper is to examine the mediating role of total quality management (TQM) internalization factors on the relationship between the proposed drivers (internal/external motives) and outcomes (external benefits and financial results).

Design/methodology/approach

Using a sample of quality managers, this study adopts a two-step methodological approach to explore the key components of TQM internalization via an initial exploratory study followed up with a quantitative study to examine the relationships between the proposed drivers using structural equation modeling.

Findings

The qualitative study revealed the key components of TQM implementation factors, namely top management commitment, middle management commitment and audits, training and employees’ commitment. The quantitative results show that a positive relationship between external motives and TQM internalization was not supported; yet, the results supported the influence of internal motives on TQM internalization. Further, the results revealed a significant relationship between TQM internalization and internal benefits but not financial benefits. Finally, a strong positive link between internal and financial benefits emerged.

Research limitations/implications

The study findings are only based on the perceptions of quality managers and future research could test the proposed model using other units of analysis in order to fully capture the role of TQM internalization.

Practical implications

The findings show that award model adoption is a significant tool for quality improvement in organizations, a procedure that drives both internal and financial benefits. Further, the study points out areas that companies should emphasize in order to successfully implement a quality award model and therefore harvest its potential benefits.

Originality/value

The paper proposes an empirically tested conceptual framework that examines vital issues concerning the internalization of the TQM approach through award models, thus providing valuable outcomes for decision makers to improve service quality.

Factors for improving performance in ISO 9001 certified small- and medium-sized service enterprises

Purpose

The purpose of this paper is to investigate the factors that are important for improving the performance of ISO 9001 certified small- and medium-sized service enterprises (SMSEs).

Design/methodology/approach

Preliminary research questions were set on the basis of a literature review and then submitted to a Delphi panel of experts. The results from the Delphi panel were transformed into hypotheses in the form of a survey. A sample comprising 115 Italian SMSEs answered the survey, which also included specific fields for qualitative notes. The hypothesis tests used 95% confidence intervals, and notes and suggestions from the respondents were also collected.

Findings

The findings relate to the role and responsibilities of the quality manager, as well the entrepreneur and partners, the quality of the enterprise culture, training, awareness concerning process key performance indicators, visual management and modern digitised documentation and communication. Furthermore, criticisms emerged regarding the ISO 9001 standard in terms of cost of quality measurement, day-to-day improvement and problem-solving.

Research limitations/implications

This research is limited to SMSEs. The limitations of this research open avenues for further research. In particular, many suggestions from the respondents seem generalisable to other industries and also to large manufacturing firms.

Practical implications

The findings of this research could be used as a guideline for implementing ISO 9001 in the SMSE sector. Moreover, some of the criticisms could be taken into account for the next revision of the ISO 9001 standard.

Originality/value

This is one of the first papers to discuss important factors for improving the performance of ISO 9001 in the SMSE sector.

Motives for implementing ISO 9000 – does enterprise size matter?

Purpose

The purpose of this paper is to investigate the motives for obtaining an ISO 9000-certified quality management system in small and medium enterprises (SMEs) and whether such motives differ between large companies and SMEs.

Design/methodology/approach

This study employed a qualitative approach, using multiple case studies. The primary research consisted of interviews with top and middle managers in four organizations and was complemented with direct observation and documental analysis.

Findings

The research findings confirmed the existing literature. The most common motivations for certification came from external pressure such as customer demand and ability to participate in public tender. It therefore validates that the classification of motives adopted for large companies is also appropriate for SMEs. The research also brought to light one implication of ISO certification that has escaped mention in the literature, namely, the distinction between primary and secondary motives. That is, companies driven by externally-driven motives to pursue ISO 9000 certification appreciated other benefits once they realized the full potential of the standard, leading to additional motivations.

Practical implications

The study was restricted to a single region of Greece and a single sector, food and beverage industry. This study may provide key insight for managers to understand and appropriately evaluate motives for ISO 9000 certification and to save them from misinterpretation and hasty conclusions.

Originality/value

Because the data gathered were longitudinal, this study offered a deep understanding of the true motives for ISO 9000 certification.

Impacts of ISO 9000 on Greek SMEs business performance

Purpose

The purpose of this paper is to explore the association between ISO 9000 certification and business performance for small-to-medium enterprises in the food and beverage (F&B) industry.

Design/methodology/approach

The research employed a qualitative approach based on case studies to investigate in depth how companies perceive ISO 9001. More specifically, four enterprises were examined, and a total of 26 semi-structured in-depth interviews were conducted with top and middle managers from the companies. Questions were validated by experts and through pilot interviews. In total, 45 documents of a broad range related to the quality management system were examined. Personal observation and non-structured consultation with personnel were also used to evaluate the possible impacts and livelihood outcomes.

Findings

Research findings showed that the certified companies in the F&B industry gain a number of both internal and external benefits, including: quality awareness, increased productivity, increased personnel participation and efficiency, improved image and penetration into new markets. Regarding the financial benefits of certification, the findings are not as convincing, as one company reported no financial benefits, and the rest reported that financial benefits are indirect and intangible. Conclusively, it can be said that SMEs that wish to pursue certification should certainly expect benefits.

Practical implications

Although many studies have concentrated on analyzing the impact of the implementation of ISO 9001 certification, there is still a clear need for research in specific sectors. Practicing managers and researchers will be able to examine findings in order to evaluate benefits and weaknesses from certification, thereby identifying and acting before and after certification.

Originality/value

Although the F&B industry has shown a great preference for the ISO 9000 standard and has adopted it extensively, scant empirical evidence has been recorded on the subject. This paper contributes to a better understanding of the benefits for implementing the ISO 9001 certification and to the analysis of its application to the ever-important F&B industry in Greece, a country whose economy is particularly supported by SMEs and has been severely hit by the economic crisis. Researchers will therefore further their knowledge, understand benefits but also acknowledge weaknesses.

Modeling critical factors for assessing Indian food safety practices

Purpose

India is in the process to achieve an important place in $2,000bn global food trade. In order to achieve this goal, there is a need to develop a food safety system which is well written down in line with international practices that are highly coordinated based on self-compliance to assure consumer protection. Accordingly, many organizations undergo assessment of their food safety system to verify compliance internally as well as externally. The purpose of this paper is to provide insight on the critical factors and benefits by evaluating the food safety assessment practices.

Design/methodology/approach

A questionnaire-based survey is conducted among 96 Indian food business operators and regulators involved in assessment practices to obtain critical factors for the assessment of food safety practices. The questionnaire captures indicators for motivations or challenges and benefits of food safety assessment to identify critical factors using exploratory factor analysis. Model for the food safety assessment practices was developed based on multiple regression analysis by determining the impact of factors on the benefits of food safety assessment.

Findings

This paper identifies four factors responsible for assessing food safety practices, namely, business-centric approach, legislative needs, technical practices and organization resentment as a combination of reasons and challenges along with two benefits risk: protection and organization reinforcement. The regression analysis indicates that the organization reinforcement gets positively impacted by business and technical practices and negatively by organization resentment. Risk protection has a significant relationship with legislative needs.

Originality/value

This is the first attempt to systematically explore the factors around the assessment of food safety practices in India. This study provides inputs for the practical application of managers and regulators.

Assessment of ISO 9001:2015 implementation factors based on AHP

Purpose

The purpose of this paper is to discuss factors to support ISO 9001:2015 implementation. A framework for identification and prioritization of factors is applied in Brazilian power train suppliers (Tier 1). Brazil is the eighth largest vehicle manufacturer in the world.

Design/methodology/approach

The data analysis presented in this paper is grounded in an empirical study involving ISO 9001 certified Brazilian companies (47 plants) that supply auto parts to power train assembly plants. They represent almost 50 percent of the Tier 1 Brazilian power train suppliers. Data collection and analysis is performed with the participation of managers who are experts in quality management systems and ISO 9001. Analytic hierarchy process (AHP) supports the mixed methods approach. The data analysis is broken down by electrical components, machining, sub-components and small parts manufacturers.

Findings

The factors assessed are top management commitment, team commitment, training, responsibilities and authorities defined, schedule for implementation, quality culture, resource availability, integration between departments, level of bureaucracy as well as level of awareness regarding the ISO 9001 significance. A new factor was identified, which was not cited in the literature, quality staff reliability.

Research limitations/implications

The research is applied to suppliers of powertrain manufacturers and could reflect other sectors. It is important observe that the automotive sector represents a microcosm of the organization in general and many production models stem from there.

Practical implications

Understanding the critical factors is important to ensure that managers allocate resources appropriately during implementation and maintenance of ISO 9001:2015.

Social implications

Organizations around the world have, until 2018, to upgrade their quality systems to ISO 9001:2015 and the results of this paper can support strategies and decision making about that.

Originality/value

This paper evidences the relative importance among factors and ranks item in order of importance for ISO 9001:2015 implementation. Prior studies indicate the need to develop a mixed methods study to examine the role of the critical factors to support the ISO 9001:2015 implementation as done in this paper.

Contradictions in TQM implementation

Purpose

The purpose of this paper is to confirm the existence of contradictions in total quality management (TQM) implementation among some Ghanaian companies and to provide a framework for balancing these contradictions.

Design/methodology/approach

Closed-ended questionnaires were used as a survey instrument. A sample of 80 managers from 40 Ghanaian multinational companies implementing TQM responded to the questionnaires.

Findings

The results showed that the implementation of TQM comes with inherent contradictions, which may hinder the success of TQM if not checked. Three pairs of contradictions were established in this study, namely “Standardization vs Innovation,” “Manipulation vs Empowerment,” and “Collectivism vs Individualism.” A framework was proposed to balance these contradictions in order to ensure TQM success.

Research limitations/implications

The study used all the 40 ISO certified firms in Ghana, but this number is quite small relative to ISO certified firms worldwide. Further, the study was done in Ghana and, for these reasons, generalization to the rest of the world is limited.

Practical implications

The proposed framework when applied by managers to balance the contradictions will achieve success in TQM implementation.

Originality/value

Previous studies have talked about the existence of the contradictions. This paper proposes a framework to balance the existing contradictions. This framework is new and has never been proposed in the literature to minimize the adverse effects of these contradictions on a firm’s profit generation.

Effects of total quality management in local authorities

Purpose

The purpose of this study is to determine the main total quality management (TQM) factors adopted and the respective results achieved by local authorities – municipalities. Determining the degree to which TQM influences the respective results is also an aim of the present study.

Design/methodology/approach

A research study was designed to be carried out in Greek local authorities – municipalities, 125 of which were approached through interviews with chief executive officers (CEOs) based on a structured questionnaire. The TQM practices and results identified in the literature were used as measured variables of the questionnaire. Descriptive statistics and linear regression analyses were applied for the purpose of the study.

Findings

The TQM philosophy is not highly adopted by the Greek local authorities participating in the present study. Moreover, the Greek local authorities do not seem to derive significant TQM benefits. Finally, adopting TQM strongly and positively influences, first, operational and quality performance of the local authorities; second, citizen satisfaction and society results; and third, employee satisfaction.

Research limitations/implications

Subjective data were collected from the CEOs of a small sample of local authorities operating in a European Union country, under circumstances of financial crisis. Based on these limitations, future research studies are recommended.

Practical implications

Areas for improvement are identified for a local authority to develop a robust TQM model, approach business excellence and derive significant benefits.

Originality/value

This is the first research study in the field of TQM to be conducted at city-level administration in Greece.

Operational or strategic benefits

Purpose

The purpose of this study is twofold: identifying important determinants for effective adoption of internet technologies in an organizational supply chain context and examining and classifying benefits yielded from internet adoption in supply chain.

Design/methodology/approach

A structured Web-based questionnaire was designed and administered to respondents to collect the primary data. With two reminders, this study managed to obtain 236 respondents from different industries in Malaysia. Structural equation modelling was applied to test the seven hypotheses.

Findings

Four of five factors were significant for successful implementation of internet technologies in organizations. In addition, results suggested that internet technologies contribute more to operational activities rather than strategic initiatives, which would be one of the main contributions of this study.

Research limitations/implications

This study is limited by its being based on organizational perception rather than absolute value for measuring the benefits of internet adoption. Moreover, this study applied the cross-sectional technique which may limit generalizability of the findings.

Practical implications

This study provides in-depth knowledge about internet adoption and benefits for the organization by combining both theoretical and empirical knowledge. It helps managers to understand the importance and process of internet adoption.

Originality/value

Organizations who are interested in adopting the internet in their supply chain may feel that these results will guide them in making their final decision.

The moderating effect of motivations on the relationship between obtaining ISO 9001 certification and organizational performance

Purpose

– The purpose of this paper is threefold, first to investigate if ISO 9001 certified companies in an Iranian province (Kermanshah) perform better than non-certified ISO 9001. Second, what is the main motivation of the manufacturing companies of Kermanshah province on obtaining ISO 9001 certification, i.e., internal or external motivations. And finally, if ISO 9001 certified companies with high scores of internal motivations, show better levels of performance in comparison with certified companies obtaining low scores of internal motivations.

Design/methodology/approach

– A survey questionnaire was distributed to the 350 companies with ISO 9000 certification, and a total of 287 usable responses were returned. Using a structural equation model, this study empirically examines the relationship between ISO 9000 implementation and firm performance, and the moderating role of firm motivation on organizational performance.

Findings

– The results demonstrate that ISO 9001 certified companies show better organizational performance than non-certified ISO 9001 companies and internal motivations play more important role on obtaining ISO 9001 certificate than external motivations. Also ISO 9001 certified companies with high scores of internal motivations show better levels of performance than those ISO 9001 certified companies with low scores of internal motivations.

Research limitations/implications

– The sample is restricted to only a single region and manufacturing, so it would be strongly recommended that data be gathered from various parts of Iran including both manufacturing and service industries. As in this study the data gathered were cross-sectional, it is recommended in order to gain deeper understanding of the cause-and-effect relationship among the variables data to be gathered longitudinally.

Originality/value

– This study represents a first attempt to construct a conceptual framework that integrates the motivations behind implementing ISO 9000 certification, and ISO 9000 performance in the context of Iran and gives a particular focus on the Iran manufacturing companies.

ISO 9001 overall performance dimensions: an exploratory study

Purpose

– The purpose of this paper is to validate and assess the performance dimensions reflecting ISO 9001 benefits in service companies and to determine their relationships.

Design/methodology/approach

– A research study was carried out in 198 ISO 9001:2008 certified Greek service companies. Data were obtained through a structured questionnaire and have been analyzed with exploratory and confirmatory factor analyses.

Findings

– Four performance dimensions reflecting ISO 9001 benefits are extracted and validated, namely, product/service quality, operational, market and financial performance.

Research limitations/implications

– The research sample is limited to small and medium-sized enterprises operating in a specific European country. Further research may confirm the findings of this study to other countries as well.

Practical implications

– By determining and evaluating the performance dimensions and their inter-relationships, the ISO 9001 certified service companies are assisted to select an appropriate strategy to further improve their performance and competitiveness. The suggested model can be also used as a self-assessment and benchmarking tool for managers and practitioners alike.

Originality/value

– The present study provides a comprehensive model of performance dimensions reflecting ISO 9001 benefits in service companies.

Synergising total productive maintenance elements with ISO 9001:2008 standard based quality management system

Purpose

– The purpose of this paper is to conceptualize the integration of total productive maintenance (TPM) and ISO 9001 certification by contributing a model named as TPM 9001:2008.

Design/methodology/approach

– In the beginning of the paper, the origin, growth and capabilities of TPM and ISO 9001 certification in enabling the organizations to perform at world class level are appraised by citing research outcomes reported in literature arena. The information and knowledge thus gathered from literature arena are used to conceptualize TPM 9001:2008 model. Through this conceptualization, the eight TPM pillars are fitted into the five major clauses of ISO 9001:2008 standard. In order to illustrate this conceptualization, the contents of a sub-clause of TPM 9001:2008 model are presented and the rationale behind designating it is appraised.

Findings

– TPM 9001:2008 model brings out synergy from the two renowned world class strategies namely “TPM” and “ISO 9001 certification”.

Practical implications

– The paper points out that the practical validity of TPM 9001:2008 model shall be established by conducting real time case studies in various organizations.

Originality/value

– This paper presents a unique approach for integrating TPM elements with ISO 9001:2008 standard based quality management system, as a single framework benefiting the contemporary organizations.

Gotzamani K, L. Psomas E. The impact of employees’ attributes on the quality of food products

Purpose

– The purpose of this paper is to analyse the importance of specific, quality-related employees’ attributes to the enhancement of product quality in food companies. The main goal is to examine the synergistic relationships between specific employees’ attributes, which have been related in literature to ISO 9000 successful implementation, to continuous improvement, operational performance and product quality.

Design/methodology/approach

– The analysis includes an initial exploratory factor analysis, followed by confirmatory factor analysis and structural equation modelling, in order to investigate the relations between the constructs of the proposed model.

Findings

– The findings reveal that although the examined quality-related “employees’ attributes” do not directly contribute to “product quality”, they influence both “continuous improvement” and “operational performance” of food firms. The results also confirm the impact of both “continuous improvement” and “operational performance” on “product quality” and also that “continuous improvement” helps explain “operational performance”.

Research limitations/implications

– The domain in which the model has been validated, the restricted use of moderators in the model and lack of empirical validation of the model in non-food sector companies, based on various respondents from each company, are a number of limitations associated with this study which suggest future research proposals.

Practical implications

– The findings of this study can motivate managers of food companies to focus on certain quality-related employees’ attributes in order to boost continuous improvement of ISO 9001 systems and operational performance of their companies, leading to product quality enhancement.

Originality/value

– This study finds particular relevance in emphasizing that although specific quality-related employees’ attributes, as these are detected in literature, have a significant contribution towards continuous improvement and operational performance, they are not the only critical factor leading to product quality. More complex relationships need to be considered by integrating other constructs as major antecedents of food product quality.