What is the value added by certification of an established QMS? These would include:
- Marketing of business with other Businesses.
- Product / Service Marketing.
- Control through external independent audit.
1. Marketing of business with other Businesses: For example, when you are part of the OEM supply chain, certification by an external agency is largely seen as an additional feather in the cap. This is particularly true when the OEM encourages or mandates external third party independent certification. In such scenario, for the Organisation, Certification of the established management system definitely opens the doors of the OEM’s for doing business. Thus, it amounts to crossing of at least one hurdle. In such cases, without hesitation, it can be concluded that the value added by the certification is paramount & incomparable.
But, does it amount to any feat on the part of the supplier? This was true, maybe some years back. Today, ‘buying’ certification to ISO 9001:2008 is largely a non-event, particularly with the advent of “affordable, beautiful, quick, durable” certification providers in the market.
Does just certification, in any way enhance the value of the product supplied by the supplier? A strict – ‘No’. It may, at the most affect the ‘perceived’ value of products / services as seen by some uninitiated customers.
Which customer, that knows about these “quick, cheap, dirty”, Ops! I am sorry!! “quick, cheap, durable” certificates would subscribe any weight-age to certification status? As a customer, would you?
It seems as if the entire business of certification of the established Quality Management System is based on a mythical, deceptive, and fallacious propaganda. The flawed business model will last only till truth is unrevealed. And what happens when truth is revealed… ? Let me narrate a true event.
A & B Owners of two independent businesses sought to get their respective organisations attuned to the changing times through the adoption of Quality Management System. Both of them religiously implement the systems. However when it came to certification of the system, Mr. A thought that there was no additional value associated with the certification & accreditation board, and thus chose the ‘quick, easy, cheap’ option. Mr. B – always wanting top notch in quality and credibility choose certification / accreditation body accordingly. After three years cycle of being certified, Mr. A choose not to initiate recertification for the organisation and simply follow the Systems laid. While Mr. B moved to ‘quick, easy, cheap’ option in certification / accreditation body. Today six years have passed. Both the organisations value their QMS. If you haven’t already guessed, both the organisations do not believe in certification.
2. Product / Service Marketing: ISO 9001 is not product certification. Consequently its usage is not allowed on products or product packaging. Whether it should be allowed is a different debate. The reasoning being that “it is not the product that has been certified, but the management system covering the processes through which it has been realized.” (However with some rider like “The management system governing the manufacture of this product is ISO 9001:2008 certified”, some leniency will be appreciated by all concerned. What pains me is to see this group of users being denied the advantage available to the earlier group of users dealing with OEM). All said, it’s not allowed at present, is reality. The result – hardly any value addition, through certification status, in here.
3. Control through external independent audit: In certain cases, Top management may choose to exercise additional controls on the operations through the application of audits by independent external third party. This is particularly true when top management understands its own limitations, owing to the size and or diversity of businesses. The value added in such scenarios, directly relate to ‘increased control’, as perceived by the management. As witnessed by me at numerous instances, ‘value’ of such controls is hardly open for discussion. Nevertheless, let’s assume that it’s significant. What will that ‘value’ depend on? The ‘Name’ of the certification body, the country of origin, accrediting body origin’? Rational thinking will clearly indicate that it is none of these factors that influence the value in such scenarios. The most critical aspect influencing ‘value’ the most is the auditor’s competence. We will return to this issue of auditor competence, a bit latter.
Thus, so far in this discussion we somehow seem to be reaching a point that the only credible ‘value’ associated with certification is that relating to the top management’s perceived enhanced ‘controls’ associated with independent audits. But this is true only when the management has sought of spread itself too thin. This happens with the businesses which are sizeable. However today, where is the bulk of new certifications happening? Ask any certification body and accreditation boards for this data? If you are able to lay your hands on this, you will realize that bulk of new certifications are happening in small and medium enterprises. In such organisations the aspect of “control through external independent audit” is not required in the first place, as management is very much hands on involved.
Bio:
Arvind Chavan: With more than a decade of experience in the field of management systems, Arvind has seen quality management system implementation exercise from every angle. He has served at all designations from an Assistant to Management Representative, Internal Auditor, Junior Consultant, Consultant, Project Leader, Auditor, Lead Auditor and Trainer. In all this endeavours he has not lost focus of Value addition through Management Systems standards. He routinely appeals, “When Quality hurts, knock on my door”.