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The ISO 9000 international quality registration: An empirical analysis of implications for business firms

International Journal of Applied Quality ManagementPublished 1 January 1999
Srinivasan Ragothaman, Leon Korte
Citations50

Abstract

The purpose of this article is to explore managerial perceptions of ISO 9000 standards. Previous surveys found general agreement that ISO 9000 registration influenced supplier selection, improved customer satisfaction, and enhanced operating efficiency. The present survey of production managers in 212 U.S. locations gathered data related to the perceived impact of registration on their businesses. Data analysis suggests strong agreement with benefits provided by improved documentation, the use of ISO 9000 as a marketing tool and greater export potential as a result of implementing these standards. Respondents did not agree that ISO 9000 provides positive benefits in product development or reduces production time. Annual sales were included to determine if there is a difference in perceived impacts based on firm size. Managers of smaller firms held a stronger belief that ISO 9000 registration results in cost reduction and increases export potential than did large firm managers. Small firms with less well developed export connections may find ISO 9000 registration useful in helping to establish a reputation that will help make the necessary connections in the export markets. The improvements in documentation of products and process may highlight areas of potential production efficiencies and possible cost reductions.

Keywords

Business, Management and Accounting