A

PROJECT REPORT

ON

“A STUDY ON EFFECT OF ISO 9001 ON AN ORGANISATION”

AT

CERTECH REGISTRATION INDIA

(LUCKNOW)

SUBMITTED TO
SIBAR

In Partial Fulfillment of Requirements

For the Award of Requirement of
PGDM (AICTE)

BY
AMIT SHARMA

PGDM (MKT) - III

Roll No:- 9

PROJECT GUIDE
SNEHAL GALANDE

ACADEMIC YEAR 2009-2011

SINHGAD INSTITUTE OF BUSINESS ADMINISTRATION &

RESEARCH
KONDHWA, PUNE- 48

1
 CERTIFICATE

This is to certify that Amit Sharma, student of SINHGAD INSTITUTE OF

BUSINESS ADMINISTRATION & RESEARCH, Pune has completed his/ her
summer training at CERTECH INDIA. on the topic of “A STUDY ON EFFECT OF ISO
9001 ON AN ORGANISATION” and has submitted the Summer Training Project Report
in partial fulfillment of PGDM (MKT) at SIBAR for the academic year 2009-2011.

He/she has worked under our guidance and direction. The said report is based on
bonafide information.

SNEHAL GALANDE PROF. AVADHOOT POL

Designation Director

2
SINHGAD INSTITUTE OF BUSINESS ADMINISTRATION
AND RESEARCH, KONDHWA (BK)

DECLARATION
I herby declare that the project titled “A STUDY ON EFFECT OF ISO 9001 ON AN
ORGANISATION” is an original piece of research work carried out by me under the
guidance and supervision of PROF. SNEHAL GALANDE. The information has been
collected from genuine & authentic sources. The work has been submitted in partial
fulfillment of the requirement of PGDM (MKT) at SIBAR.

Place: Lucknow Signature:

Date: Name of the student:- Amit Sharma

3
 ACKNOWLEDGEMENT

I express our deep sense of gratitude, indebtedness and regard to our project guide Mr.
MANISH PANDEY (Project guide in Certech Registration India) for his assiduous
guidance and inspiring suggestions during the project period.

I am also thankful to Mr. UMESH TIWARY (Managing director) for his kind co-
operation in this project.

.Last but not least I would like to thank almighty God and all our well wishers and
friends who supported us to do our project successfully.

We are also thankful to “CERTECH REGISTRATION INDIA” for providing some

lighter moments and made our stay pleasurable.

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 EXECUTIVE SUMMARY

This project was undertaken to understand the ISO 9001 series. The main purpose
was to analyze those strategies which were instrumental in the phenomenal success.. By
adopting the strategies that have been analyzed in this project that the company has a lot
of progress in terms of value, parties, TPM, products etc. The two main objectives of this
project were to ascertain the behavior and perception of the existing customer towards
the ISO 9001 and also the effectiveness of the strategies adopted by the factory. To serve
the purpose both primary and secondary data were collected. As the number of
respondents were not very large personal interviews and Questionnaire were the main
tools to collect the primary data.
Secondary data regarding the products and about the strategies were
collected from the annual report of the Certech registration india, through internal
sources of the factory and also from the factory books regarding products, marketing and
articles on innovative products and changing methodology in the factory scenario across
the world. All the data collected was analyzed and it was concluded that it was very
instrumental in improving the work environment among the employee and organization
itself, Which are all the vital and necessary ingredients for profitability.
After the analyzed and observation, it was the stage of suggestions where it was suggest
to the factory to set up and appointed a well qualified workers during the production
process and reducing the crape and to coordinate with the direct sales associates in
marketing products or constant and increase in quality, so that it shows the peak position
in the world.

5
 INDEX

Sr. No. Topics Pg. No.

1 Introduction 7

2 Concepts & Definition 11

Research methodology 23

(a).research design 23

(b).Sampling 24

3 Company profile 25

4 Data Analysis 27

5 Finding 47

6 Conclusion 48

7 Recommendation 49

8 Bibliography 50

9 Annexure 51

6
 CHAPTER 1

Introduction
It is very interesting to note why the ISO series of standard regarding product
manufacture originated. It was after some wars that countries like Britain fought that they
faced strange problems… there were many arms that needed repairs but it became very
difficult to repair them, as the spares available would not fit in them easily. Then need for
a system to ensure consistency, repeatability, and quality of items was felt. This gave rise
to the British system of standardization BS5750 in 1979.
In 1987 the international organization for standardization amalgamated its 9000 series of
standards, European series 29000 series of standards to BS5750.
In 1994 came the first series of IS/ISO 9000which discarded 1987 version of BS5750 it
was popularly referred to as ISO 9001:1994.
In year 2008 the technical committee TC176 of ISO came out with ISO 9001:2008 which
preceded ISO 9001:2000 which was the revision of the older version of ISO i.e.
9001:1994.
The older standard how it is referred to today consisted of 20 clauses regarding various
activities that are performed in a company. The new standard contains only 5 elements.
Their has been very wide changes in the standard and the level of documentation
required for the new standard as compared to the earlier version of ISO 9001:1994.
These changes have very wide ramifications depending upon how a company had been
doing its processes. The new standard is very generic in nature and can be applied to any
activity anywhere, be it our daily activities or a small trader or a hospital or a big
corporate or a small industry in other words almost anything can be run on this principle.
The new standard is based on the process approach and insists on continual improvement
of the Quality Management System.

The process approach is also illustrated in the next pages…

7
 OBEJECTIVE OF THE STUDY

 To find the effect of ISO 9001 on any organization.

 To compare between an ISO certified organization and non ISO certified

organization.

 To know what are criteria to get certification of ISO 9001.

 To know the complete process of getting certificate of ISO 9001.

 To assess the ISO 9001 awareness among top management, and employees.

8
 SCOPE OF THE STUDY

The study provide significant benefits such as:

• Accurate and timely information.
• Introduction to basic Quality management issues.
• Gather and analyses information on ISO 9001.
• Information regarding existing system of ISO 9001.
• Facilitates the decision making process.
• Assesss the awareness about ISO 9001 amongst management and
employee.

9
 LIMITATIONS OF THE STUDY

• The project duration was 6-8 weeks that was set to complete the assignment.

• Lots of data had to be collected and analyzed for collecting the data regarding
ISO 9001.

• The secondary data collected from the internal sources of the company about
ISO9001 because there was huge work load on managers as well as on
supervisor.

• The project guide had less time to spend with us because of busy schedule of
Quality assurance department.

10
 CHAPTER – 2
CONCEPTS AND DEFINITION

The ISO 9000 family of standards relate to quality management systems and are
designed to help organizations ensure they meet the needs of customers and other
stakeholders.The standards are published by ISO, the International Organization for
Standardization and available through National standards bodies.

ISO 9000 deals with the fundamentals of quality management systems including the
eight management principles (Beattie and Sohal, 1999 ) on which the family of standards
is based. ISO 9001 deals with the requirements that organizations wishing to meet the
standard have to meet.

Independent confirmation that organizations meet the requirements of ISO 9001 may be
obtained from third party certification bodies. Over a million organizations
worldwide are independently certified making ISO 9001 one of the most widely used
management tools in the world today.

11
A Comparison of ISO 9000 Quality System Standards

ISO 9001:1994 (Quality Assurance Model) had the following clauses:

4.1 Management Responsibility

4.2 Quality System
4.3 Contract Review
4.4 Design & Development
4.5 Document & Data Control
4.6 Purchasing
4.7 Control of Customer Supplied Product
4.8 Product Identification & trace ability
4.9 Process Control
4.10 Inspection & Testing
4.11 Control of inspection monitoring & test equipment
4.12 Inspection & Test Status
4.13 Control of non-conforming product
4.14 Corrective & Preventive Actions
4.15 Handling, Storage, Packaging, Preservation & Delivery
4.16 Control of Quality records
4.17 Internal quality Audits
4.18 Training
4.19 Servicing
4.20 Statistical Techniques

12
ISO 9001:2008 (Quality Management System Model) has the following clauses:

1 Quality Management System

2 Management Responsibility
3 Resource Management
4 Product Realization
5 Measurement Analysis & Improvement

Though this system has only five elements, a closer look into the standard shows that this
standard covers all of the requirements in the old standard and also demands some new
things: The new standard demands more customer focus/customer satisfaction and also
continual improvement.

The Process Approach of new ISO 9001:2008

Process
Any activity using resources, and managed in order to enable the transformation of inputs
into outputs can be considered as a “Process”

Process Approach
The application of a system of processes within an organization, together with
identification and interactions of these processes, and their management, may be referred
to as the “Process Approach”

Each Process Should address

13
Inputs of the process
Including-source(s) of input, frequency, Reference Document, Review Criteria

Process Method
Covering how process shall be performed and controlled including responsibility for
performing and controlling

Process Output
Type of output (Product, Information, Service), Recipient of output, Reference
Document

Process Monitoring
Method of Monitoring, Frequency, Responsibility

Records
Records of inputs, outputs, process control and monitoring

The Four level Structure of Quality Management System Documentation in ISO

9001:2008

QUALITY
POLICY
MANUAL

QUALITY
SYSTEM
PROCEDURES

OPERATIONAL
INSTRUCTION
S
FORMS, LABELS AND OTHER OBJECTIVE
EVIDENCE THAT DEMONSTRATES CONFORMANCE 14
TO THE
SPECIFIED REQUIREMENTS
BACKGROUND

ISO 9001 was first published in 1987. It was largely based on the previous standard BS
5750 that was developed by BSI Group . BSI has been certifying organizations for their
quality management systems since 1978. Its first certification (FM 00001) is still extant
and held by the Tarmac company, a successor to the original company which held this
certificate. Today BSI claims to certify organizations at nearly 70,000 sites globally. The
development of the ISO 9000 series is shown in the diagram to the right.

Summary of ISO 9001:2008 in informal language

 The quality policy is a formal statement from management, closely linked to the
business and marketing plan and to customer needs. The quality policy is understood
and followed at all levels and by all employees. Each employee needs measurable
objectives to work towards.

 Decisions about the quality system are made based on recorded data and the
system is regularly audited and evaluated for conformance and effectiveness.

 Records should show how and where raw materials and products were processed,
to allow products and problems to be traced to the source.

 You need to determine customer requirements and create systems for

communicating with customers about product information, inquiries, contracts,
orders, feedback and complaints.

 When developing new products, you need to plan the stages of development, with
appropriate testing at each stage. You need to test and document whether the product
meets design requirements, regulatory requirements and user needs.

 You need to regularly review performance through internal audits and meetings.
Determine whether the quality system is working and what improvements can be
made. Deal with past problems and potential problems. Keep records of these

15
 activities and the resulting decisions, and monitor their effectiveness (note: you need
a documented procedure for internal audits).

 You need documented procedures for dealing with actual and potential
nonconformances (problems involving suppliers or customers, or internal problems).
Make sure no one uses bad product, determine what to do with bad product, deal with
the root cause of the problem seeking and keep records to use as a tool to improve the
system.

1987 version

ISO 9000:1987 had the same structure as the UK Standard BS 5750, with three 'models'
for quality management systems, the selection of which was based on the scope of
activities of the organization:

 ISO 9001:1987 Model for quality assurance in design, development, production,

installation, and servicing was for companies and organizations whose activities
included the creation of new products.

 ISO 9002:1987 Model for quality assurance in production, installation, and

servicing had basically the same material as ISO 9001 but without covering the
creation of new products.

 ISO 9003:1987 Model for quality assurance in final inspection and test covered
only the final inspection of finished product, with no concern for how the product
was produced.

ISO 9000:1987 was also influenced by existing U.S. and other Defense Standards ("MIL
SPECS"), and so was well-suited to manufacturing. The emphasis tended to be placed on
conformance with procedures rather than the overall process of management—which was
likely the actual intent.

1994 version

ISO 9000:1994 emphasized quality assurance via preventive actions, instead of just
checking final product, and continued to require evidence of compliance with
documented procedures. As with the first edition, the down-side was that companies

16
tended to implement its requirements by creating shelf-loads of procedure manuals, and
becoming burdened with an ISO bureaucracy. In some companies, adapting and
improving processes could actually be impeded by the quality system.

2000 version

ISO 9001:2000 combines the three standards 9001, 9002, and 9003 into one, called 9001.
Design and development procedures are required only if a company does in fact engage
in the creation of new products. The 2000 version sought to make a radical change in
thinking by actually placing the concept of process management front and center
("Process management" was the monitoring and optimizing of a company's tasks and
activities, instead of just inspecting the final product). The 2000 version also demands
involvement by upper executives, in order to integrate quality into the business system
and avoid delegation of quality functions to junior administrators. Another goal is to
improve effectiveness via process performance metrics — numerical measurement of the
effectiveness of tasks and activities. Expectations of continual process improvement and
tracking customer satisfaction were made explicit.

The ISO 9000 standard is continually being revised by standing technical committees and
advisory groups, who receive feedback from those professionals who are implementing
the standard.

ISO 9001:2008 only introduces clarifications to the existing requirements of ISO

9001:2000 and some changes intended to improve consistency with ISO 14001:2004.
There are no new requirements. Explanation of changes in ISO 9001:2008. A quality
management system being upgraded just needs to be checked to see if it is following the
clarifications introduced in the amended version.

17
Certification

ISO does not itself certify organizations. Many countries have formed accreditation
bodies to authorize certification bodies, which audit organizations applying for ISO 9001
compliance certification. Although commonly referred to as ISO 9000:2000 certification,
the actual standard to which an organization's quality management can be certified is ISO
9001:2008. Both the accreditation bodies and the certification bodies charge fees for their
services. The various accreditation bodies have mutual agreements with each other to
ensure that certificates issued by one of the Accredited Certification Bodies (CB) are
accepted worldwide.

The applying organization is assessed based on an extensive sample of its sites,

functions, products, services and processes; a list of problems ("action requests" or "non-
compliance") is made known to the management. If there are no major problems on this
list, or after it receives a satisfactory improvement plan from the management showing
how any problems will be resolved, the certification body will issue an ISO 9001
certificate for each geographical site it has visited.

An ISO certificate is not a once-and-for-all award, but must be renewed at regular

intervals recommended by the certification body, usually around three years. There are
no grades of competence within ISO 9001: either a company is certified (meaning that it
is committed to the method and model of quality management described in the standard),
or it is not. In this respect, it contrasts with measurement-based quality systems such as
the Capability Maturity Model.

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EFFECTIVENESS

The debate on the effectiveness of ISO 9000 commonly centers on the following
questions:

1. Are the quality principles in ISO 9001:2000 of value? (Note that the
version date is important: in the 2000 version ISO attempted to address many
concerns and criticisms of ISO 9000:1994).

2. Does it help to implement an ISO 9001:2000 compliant quality

management system?

3. Does it help to obtain ISO 9001:2000 certification ?

Effectiveness of the ISO system being implemented depends on a number of factors, the
most significant of which are:

1. Commitment of Senior Management to monitor, control, and improve

quality. Organizations that implement an ISO system without this desire and
commitment, often take the cheapest road to get a certificate on the wall and
ignore problem areas uncovered in the audits.

2. How well the ISO system integrates into their business practices. Many
organizations that implement ISO try to make their system fit into a cookie-cutter
quality manual rather than create a manual that documents existing practices and
only adds new processes to meet the ISO standard when necessary.

3. How well the ISO system focuses on improving the customer experience.
The broadest definition of quality is "Whatever the customer perceives good
quality to be". This means that you don't necessarily have to make a product that
never fails, some customers will have a higher tolerance for product failures if
they always receive shipments on-time, or some other dimension of customer
service. Your ISO system should take into account all areas of the customer

19
 experience, the industry expectations, and seek to improve them on a continual
basis. This means taking into account all processes that deal with the three
stakeholders (your customers, your suppliers, and your organization), only then
will you be able to sustain improvements in your customer experience.

4. How well the auditor finds and communicates areas of improvement.

While ISO auditors may not provide consulting to the clients they audit, there is
the potential for auditors to point out areas of improvement. Many auditors
simply rely on submitting reports that indicate compliance or non-compliance
with the appropriate section of the standard, however, to most executives, this is
like speaking a foreign language. Auditors that can clearly identify and
communicate areas of improvement in language and terms executive
management understands allows the companies they audit to act on improvement
initiatives. When management doesn't understand why they were non-compliant
and the business implications, they simply ignore the reports and focus on what
they do understand.

Advantages

It is widely acknowledged that proper quality management improves business, often

having a positive effect on investment, market share, sales growth, sales margins,
competitive advantage, and avoidance of litigation. The quality principles in ISO
9000:2000 are also sound, according to Wade and also to Barnes, who says that "ISO
9000 guidelines provide a comprehensive model for quality management systems that
can make any company competitive implementing ISO often gives the following
advantages:

1. Create a more efficient, effective operation

2. Increase customer satisfaction and retention

3. Reduce audits

4. Enhance marketing

20
 5. Improve employee motivation, awareness, and morale

6. Promote international trade

7. Increases profit

8. Reduce waste and increases productivity.

Problems

A common criticism of ISO 9001 is the amount of money, time and paperwork required
for registration. According to Barnes, "Opponents claim that it is only for documentation.
Proponents believe that if a company has documented its quality systems, then most of
the paperwork has already been completed."

ISO 9001 is not in any way an indication that products produced using its certified
systems are any good. A company can intend to produce a poor quality product and
providing it does so consistently and with the proper documentation can put an ISO 9001
stamp on it. According to Seddon, ISO 9001 promotes specification, control, and
procedures rather than understanding and improvement. Wade argues that ISO 9000 is
effective as a guideline, but that promoting it as a standard "helps to mislead companies
into thinking that certification means better quality, ... [undermining] the need for an
organization to set its own quality standards."

Paraphrased, Wade's argument is that reliance on the specifications of ISO 9001 does not
guarantee a successful quality system.

While internationally recognized, most US consumers are not aware of ISO 9000 and it
holds no relevance to them. The added cost to certify and then maintain certification may
not be justified if product end users do not require ISO 9000. The cost can actually put a
company at a competitive disadvantage when competing against a non ISO 9000 certified
company.

21
The standard is seen as especially prone to failure when a company is interested in
certification before quality. Certifications are in fact often based on customer contractual
requirements rather than a desire to actually improve quality.

"If you just want the certificate on the wall, chances are, you will create a paper system
that doesn't have much to do with the way you actually run your business," said ISO's
Roger Frost. Certification by an independent auditor is often seen as the problem area,
and according to Barnes, "has become a vehicle to increase consulting services." In fact,
ISO itself advises that ISO 9001 can be implemented without certification, simply for the
quality benefits that can be achieved.

Another problem reported is the competition among the numerous certifying bodies,
leading to a softer approach to the defects noticed in the operation of the Quality System
of a firm.

Abrahamson argued that fashionable management discourse such as Quality

Circles tends to follow a lifecycle in the form of a bell curve, possibly indicating
a management fad.

22
 RESEARCH METHODOLOGY

For any research the methodology used has got very great significance. The effective use
or non-use of the methodology will prove the validity of the findings. The success of the
research depends mostly on the methodology adopted.

Research design:
Research Design is needed because it facilitates the smooth sailing of the various
research operations, thereby making research as efficiently as possible yielding maximal
information with minimal expenditure of effort, time and money. Research design stands
for the advanced planning of the methods to be adopted for collection of relevant data.
Moreover it explains the techniques to be used in the analysis, keeping in view the
objective of the research and availability of staff, time and money.

Type of Research :
The type of research design used in the project was Descriptive research,
because, it helps to describe a particular situation prevailing within a company. Careful
design of the descriptive studies was necessary to ensure the complete interpretation of
the situation and to ensure minimum bias in the collection of data.

Sample Technique:
The items which are selected is called sample and the process which involves in selecting
the sample is called sample technique. In this research, technique which is used for the
collection of data is judgmental sampling. Before starting rational judgment is taken
and the sample should be the representative.

23
Sample Size:
This refers to the no. of items to be selected. It should be neither excessively large nor
too small, it should be optimum. The optimum sample is one which fulfills the
requirement of efficiency, representatives, reliability and flexibility. The samples which
are selected for the information collection are:-
- Board of Directors
- Employees of the company and other company also.
Total sample size is 30.

Data Collection Method:

The key for useful systems is the selection of the method for collecting data and linking it
to analysis and decision issue of the action to be taken. The accuracy of the collected data
is of great importance for drawing correct and valid conclusions from the detailed
investigations.
The primary and secondary data collected in this research was through:
- Observation Method.
- Interview Method.
- Scheduled questionnaire Method

24
 CHAPTER – 3
COMPANY PROFILE

CERTECH REGISTRATION INC., CANADA

INDIA OFFICE- C-37/6, Paper Mill Colony, Nishatganj, Lucknow
Certech is a privately owned company offering Quality, Environmental, Health & Safety,
Cosmetics, and Food Safety Management Systems and Practices Certification services.

Certech was founded on June 1, 2001 in Guelph Ontario, and is now located at 260
Edgeley Blvd. Unit 4, Vaughan Ontario L4K 3Y4.

Certech achieved accredited status for ISO 9001 with the ANAB in February 2002, and
ISO 14001 in January 2003.

Our Mission is to develop new businesses that leverage our people's specific knowledge
and experience to create superior value to our Clients, Shareholders, and Partners. Our
Guiding Principals are:

• Conformance to accreditation requirements in an effective business manner,

• Satisfaction, making the client happy is our number one aim,

• Impartiality - Services will be free from any form of bias,

• Value, the services we offer will provide real value to our clients,

• Integrity, we will be above reproach,

• All members will have equity,

25
 • All members will be encouraged to grow within Certech, and,

• Innovation and change will be our only constant

ISO 9001 Registration/Certification Services

Certech Registration Inc. has been accredited by ANAB since early 2002 to provide ISO
9001 Registration/ Certification services.

ISO 14001 Registration/Certification Services

Certech Registration Inc. is accredited to provide ISO 14001 Registration/Certification
by ANAB, and all certificates internationally recognized and accepted.

Certech's registration processes were developed with you in mind. We offer a friendly,
responsive, service for ISO 9001, ISO 14001, ISO 22000, HACCP (Food Safety),
Organic Certification, Food and Cosmetics GMP, OHSAS 18001, ANSI Z10:2005, CSA
Z1000-06 (Health & Safety Systems), RoHS, QC08000 (Hazardous Substances in
Electronic Product and Components), Excellence in Service Quality Certification
(ESQC) and ISO 22716 (Cosmetics GMP). All registration that is focused on your needs.

Certech supports and conforms fully to the requirements of ISO 17021 Conformity
assessment - Requirements for bodies providing audit and certification of management
systems.

Certech is committed to providing a fair and impartial service to all of its clients. The
services offered by Certech are free of bias and are reviewed by independent
professionals, clients and Certech's own personnel to ensure that this is achieved.

Certech is accredited to provide ISO 9001 and ISO 14001 registrations by The ANSI-
ASQ National Accreditation Board (ANAB).

26
 CHAPTER – 4
DATA ANALYSIS

The objective of this questionnaire is to assess the quality consciousness amongst the
management of the company. You are requested to go through the following questions
and answer them:

1. Your company’s quality management system if certified to comply with:

OPTION NUMBER OF EMPLOYEE

ISO 9001:1994 1
ISO 9002:1994 1
ISO 9001:2008 26
ISO9001:2000 2
TOTAL 30

INFERENCE:- From the figure it is clear that 87% of the employees said that
company’s quality system if certified to comply with ISO9001:2008.

27
 2. You got your system certified from the following body:

OPTION NUMBER OF EMPLOYEE

TUV 02

DNV 03

CERTECH REGISTRATION 24

PCMS 01

TOTAL 30

INFERENCE:- From the figure it is clear that 80% of the employees said that the
company is registered from certech registration .

28
 3. Your certification is valid up to:

OPTION NUMBER OF EMPLOYEE

AUGUST 2013 02

JANUARY 2019 01

FEBRUARY 2011 27

MARCH 2020 0

TOTAL 30

INFERENCE:- From the figure it is clear that 90% of the employees knew the validity
of their system.

29
 4. NC means:

OPTION NUMBER OF EMPLOYEE

NON CONSISTENT 2

NON COMMITTAL 24

NON CONFORMANCE 3

NO CASUALTY 1

TOTAL 30

INFERENCE :- From the figure it is clear that most of the employees was wrong about
the full form of NC. About 80% of the employees were unknown about full form of NC.
Only 10% of the employees knows the correct full form of NC.

30
 5. There are following kinds of NC:

OPTION NUMBER OF EMPLOYEE

TRUE AND FALSE 02

EASY AND TOUGH 01

MAJOR AND MINOR 27

NONE OF THESE 0

TOTAL 30

INFERENCE:-From this figure it is clear that 90% of the employee said that there are
two tips of NC that is major and minor .

31
 6. An NC should not be repeated because:

OPTION NUMBER OF EMPLOYEE

IT CAUSES FINES BY CERTIFICATION 02

IT MEANS THAT THERE HAS BEEN NO MRM 01

IT MEANS AUDITOR HAS POOR EXPERIENCE 27

IT MEANS QUALITY SYSTEM IS BEING VIOLATED 0

TOTAL 30

INFERENCE:-From this figure it is clear that 90% response for the auditor has poor
experience which is high on the other side 0% response for the quality system is being
violated.

32
 7. Management review meeting is held in your company:

OPTION NUMBER OF EMPLOYEE

ONCE IN A YEAR 02

TWICE IN A YEAR 25

FOUR TIMES IN A YEAR 02

WHEN NECESSARY 01

TOTAL 30

INFERENCE:-From this figure it is clear that 83% said that meeting was held twice in
a year only 3% people given response that when it is necessary meeting will be
conducted.

33
 8. Management review meeting is tool for:

OPTION NUMBER OF EMPLOYEE

DISPOSING NC 01

LODGING COMPLAINT 09

HAVING A MEETING 00

CHECKING HEALTH OF QUALITY SYSTEM 20

TOTAL 30

34
INFERENCE:-From this figure it is clear that 67% of the employees said that
management review meeting is held for checking health of system. 30% of the
employees responded to lodging complaints.

9. Internal audits are carried out:

OPTION NUMBER OF EMPLOYEE

ONCE A YEAR 00

EVERY MONTH 09

EVERY 3 MONTHS 18

EVERY 4 MONTHS 03

TOTAL 30

INFERENCE:-From this figure it is clear that 60% of the employees responded to the
every 3 months and 30% of the employee responded to the every month.

35
 10. A Non-Conformance observed during internal audit should be:

OPTION NUMBER OF EMPLOYEE

ACTED ON AS DESIRED 22

HIDDEN FROM AUDITOR 00

NOTED AND LEFT 00

NOTED AND REMOVED 08

TOTAL 30

INFERENCE:-From this figure it is clear that 73% of the employees said that non
conformance during the internal audits should result in as acted on as desired and 27 %
of the employees responded to fourth option i.e noted and removed.

36
 11. Material required should be:

OPTION NUMBER OF EMPLOYEE

TAKEN IN MORE QUANTITY 22

BOUGHT FROM MARKET 03

ISSUED FROM STORE 03

NONE OF THESE 02

TOTAL 30

INFERENCE:-From this figure it is clear that 73% of the employees replied that when
material is required it should be bought in more quantity.10% of the employees replied
that it should be bought from the market.

37
 12. Unused material in the production should be:

OPTION NUMBER OF EMPLOYEE

KEPT WITH YOU 23

THROWN AWAY 01

RETURNED TO STORE 06

NONE OF THESE 00

TOTAL 30

INFERENCE:-From this figure it is clear that 77% of the employee said that unused
material during the production should be kept with them, while 20% of the employees
said that it should be returned to the store.

38
 13. All material should be checked only at:

OPTION NUMBER OF EMPLOYEE

FINAL STAGE 02

BEFORE DISPATCH 02

ALL STAGES OF PRODUCTION 25

PACKING 01

TOTAL 30

INFERENCE:-From this figure it is clear that 83% of the employees responded

correctly by opting for all stages of production , the material should be checked .

39
 14. All material found wasted should be:

OPTION NUMBER OF EMPLOYEE

REJECTED 02

REWORKED 02

STORED 04

SCRAPPED 22

TOTAL 30

INFERENCE:-From this figure it is clear that 22 employees said that all wasted material
should be scrapped which 73% .

40
 Assessing Work/performance improvements in
the company.
Product deliveries met on time:

S.No. Month Number of Number of Efficiency %

orders orders on time
1 March 100 40 40

2 April 50 30 60

3 May 20 20 100

4 June 20 20 100

5 July 40 30 75

6 August 14 14 100

7 September 13 13 100

8 October 45 45 100

9 November 50 40 80

10 December 50 40 80

11 January 66 58 89

12 February 30 30 100

14 March 44 44 100

15 April 56 56 100

16 May 60 59 98

17 June 80 78 97.5

18 July 68 68 100

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42
 Assessing work environment changes in the
company.
Below depicted is the organization structure of the company before ISO certification. We
can clearly observe the following:

Director

Managing
Partn
er

Store Production Testing

/purchase In- incharge Incharge
charge

Workers

OBSERVATIONS:
a. The Management of the company interacts with the workers directly for all the
day-to-day activities of the company.
b. This also means that the assembly in-charge has limited responsibility towards
production and accountability is not affixed, as it should be for a production head.
The organization structure has caused erosion of responsibility of the production
in-charge.

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c. Similarly for the store in-charge, he is looking after the store activity and the
purchase activity. Any person looking after both the activities together has the
liberty of managing the store to his whims and fancies. You can hardly have a
check on his activities.
d. Secondly the function of inspection is not evident from the organization chart. It
was verified from the employees and the management that the function was
formally non-existent and that the production head usually carried out this
function. Even so if the quality levels were being maintained at the in-coming
stage the controls are non-existent at the other stages namely: in process and
final…
e. There is no separate QC or QA department therefore the function of quality
assessment is not being carried out as a function.
f. The persons responsible here have a limited authority since these persons are
looking after every specialized activity in their purview and the same activity also
being looked after by the management of the company.
g. This in turns causes a major time of the company’s management being invested in
looking after daily chores, instead of concentration on the management and
growth of the company as a whole.

44
The Quality manual of the company was checked for the purpose of assessing the work
environment changes because it is the only document that could be had for showing the
present work environment. Looking at this structure one could easily look deep inside the
various departments and probe the work environment changes from the relevant persons
heading various departments.

Below given is the new Organization structure of the company after

ISO certification. We can clearly observe the following:

Director

Managing
Partn
er

Store In Head Head Head QA MR for

charge Production Purchase ISO

Production
Analyst QC
Analyst

Workers

OBSERVATIONS:
a. In the organization chart after implementation of ISO we can see that the
Management of the company no longer interacts with the workers directly for all
the day-to-day activities of the company but does so through the head production
or the foreman.
b. This also means that the assembly in-charge now called as the head production
has more control over all the production activities. He has a defined
responsibility and accountability towards production activities.

45
c. The new organization structure causes installation of responsibility gives
authority and freedom of work decisions to the production head.
d. Similarly for the store in-charge, now he is looking after only the store activity.
The purchase activity is being looked after by the managing director himself
under the realization that a separate person is required by the organization and
that only till the organization gets a separate person looking after all the purchase
activities the managing director shall continue to look after the same.
e. Since now two separate persons are looking after activities of storage and
purchase there is always a second check on all the purchases.
f. With the inception of QA department in the organization chart the function of
quality control and assurance now becomes evident. A full time employee was
now carrying out the function and now the QA head was using the specifications
and drawings of the product at different stages for inspection. Now the acceptance
quality levels are being maintained at all levels in the company. Now the controls
for QC are existent at all the stages namely: In coming, in process and final…
g. Now with a separate QA department the function of quality assessment is being
carried out as a function.
h. The persons responsible in the QA have full authority since these persons are
looking after specialized activity in their purview at all stages of the product
manufacturing.
i. This frees the company’s management from the chore of looking after production
and QA together but rather now the concentration of the management is towards
the growth of the company as a whole.
j. The company has also appointed a MR for the purpose of ISO activities. This also
gives the company’s management relief from the ISO activities daily follow up.
As now the management of the company only has to look after the work on ISO
activities as scheduled.

FINDINGS

46
 Overall the managing director and the managing partner score 90 % correct
responses to the questions in the questionnaire. This shows the management of
the company had good awareness of the Quality management system adopted by
the company. The questionnaire had inbuilt questions to assess the quality
conscious, the management of the company shows a very positive outlook
towards quality of its products and the awareness level of the management is also
good.

 In general, in corporate companies and large industries the managements of the

company are generally more quality conscious and are able to put in more energy
and effort in the Quality Management.

 The low score on the part of two senior employees was diagnosed to be the result
of their lesser interest in ISO related activities and busier in coordinating
production. Also it was observed that the persons possessed comparatively lower
intelligence and had difficulty in understanding and interpreting the things. Both
the low scorers were also very old aged i.e. more than 65 years of age.

CONCLUSION

47
 I can infer from the above observations that employees of the company possess a
generally good level of Quality consciousness amongst themselves it also can be
confirmed from the very less number of non-conformances in products and in
process.

 The quality consciousness also reflects very well from the correct responses made
by the management members. As the chairman forms the part of a non-functional
management of the company; therefore I would advocate not counting in the
responses of the chairman into the exercise results.

 There has been a considerable change in the work environment and performance
among the employee.

 Last but not the least I conclude that the impact of ISO 9001 has positive impact
on an organization.

RECOMMENDATIONS

48
 One and Only One thing I would like to suggest that once the ISO 9001 has been
implemented in any organization it should be honestly carried out to make it
successful.

 Training should be continuously undertaken mainly for the employees to make it

successful. This will have positive impact on the work performance of any
organization.

BIBLIOGRAPHY

49
 www.wikipedia.com

 www.iso.com

Company journals and books

ANNEXURE

50
 Questionnaire
The objective of this questionnaire is to assess the quality consciousness amongst the
management of the company. You are requested to go through the following
questions and answer them:

1. Your Name:

2. Position in the company:

3. Date of Birth:(DD/MM/YYYY)

4. Education:

5. Experience in years:

1.Your company’s quality management system if certified to comply with:

a. ISO 9001:1994 b. ISO 9002:1994 c. ISO 9001:2008 d. ISO9001:2000

2. ISO 9001:2008 has:

a. 5 Elements b. 20 Elements c. 20 Clauses d. 5 Clauses

3. You got your system certified from the following body:

a. TUV b. DNV c. CERTECH REGISTRATION d.
PCMS

4. Your certification is valid up to:

a. August 2013 b. January 2019 c. February 2011 d. March 2020

5. NC means:
a. Non consistent b. Non committal c. Non conformance d. No casualty

6. There are following kinds of NC:

a. True and false b. Easy and tough c. Major and minor d. None of these
7. An NC should not be repeated because:
a. It causes fines by certification body b. It means that there has been no MRM
c. It means auditor has poor experience d. It means quality system is being violated

8. Management review meeting is held in your company:

a. Once in a year b. Twice in a year c. Four times in year d. When necessary

9. Management review meeting is tool for:

51
a. Disposing NC b. Lodging complaint c. Having a meeting d. Checking health of
quality system

10. Internal audits are carried out:

a. Once a year b. Every month c. Every 3 months d. Every 4 months

11. A Non-Conformance observed during internal audit should be:

a. Acted on as desired b. Hidden from auditor c. Noted and left d. Noted and removed

12. Material required should be:

a. Taken in more b. bought from market c. Issued from store d. None of these
quantity

13. Unused material in the production should be:

a. Kept with you b. Thrown away c. Returned to store d. None of these

14. All material should be checked only at:

a. Final stage b. Before dispatch c. All stages of production d. Packing

15. All material found wasted should be:

a. Rejected b. Reworked c. Stored d. Scrapped

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