What are the challenges of an ISO application?

In 1994, marketing professors Marian Friestad and Peter Wright introduced the concept of the Persuasion Knowledge Model (PKM) so we may understand how to interpret, evaluate and respond against any attempt by people who are trying to sell their products or services. The PKM tells us that persuasion is “developmentally contingent” on the quality of an individual’s work life.

For example, when we were young, I remember the advice of my parents and grandparents telling us not to take a bath on Good Friday. We were prohibited from taking a bath after 3 p.m. on that day because it was the hour of Jesus’ death. They believed that with Jesus’ death, there was no one to protect us when we took a dip in the river, a waterfall or wherever germs could enter our body through its pores.

Instead, we were told to do a “dry bath” using alcohol, calamansi (Philippine lime), or vinegar, whichever was available. Imagine our preferred choice when Good Friday happens during summertime. It was an interesting story to our young minds.

Over the years, when we became enlightened, we can only smile and yet be grateful to our parents for this religious belief even as they’ve been thrown away in the dustbin of our memories, especially when we’re happy now taking a bath in the comfort of our homes with medium hot shower enough to kill all types of germs with a bacterial soap bar.

Presenting ISO

I discovered sometime in 1993 when I studied Japanese management in Tokyo under a one-year international grant funded by Nippon International Cooperation Center (now merged with Japan Business Federation), my paranoid mindset metastasized to understand that big problems at the gemba (a workplace where we add value) are a result of an accumulation of unsolved and often ignored small problems.

The Japanese may have learned it from the American industrialist and business magnate Henry Ford (1863 to 1947) who said: “There are no big problems, there are just a lot of little problems.” Building from that wisdom, you’ll expect me to define and measure the extent of distrust, not only about a Good Friday non-bathing policy but also about established management theories and practices.

This time, let’s focus on ISO as a certificate of approval from a third-party organization following the rules of international standards developed and sanctioned by the International Organization for Standardization based in Geneva. Such a body is composed of at least 170 member countries.

Instead of the acronym IOS, they used the term ISO which means “equal” in Greek.

Also, it’s important to note that an ISO certification is not a legal requirement unless an organization is engaged in public safety, health and environmental protection. Generally, having an ISO certification is an assurance that its products or services comply with the highest performance standards toward quality improvement.

Five issues

ISO is a formal certification issued by third-party consultants who guide, evaluate and monitor the compliance of their client organizations to certain standards appropriate for their industry. ISO consultants are paid for their services. They’re important, but before jumping into it, you must be forewarned of certain issues that could derail an organizational plan.

Here are some problems you may want to know:

One, an ISO certification is an expensive process. It may not be affordable for small businesses. A typical cost is around $1,000 per day of consultation. Overall, the whole process could go as low as $9,000 to as high as $18,000 total. The amount varies in terms of the credibility and experience of ISO auditors and consultants.

Two, tedious requirements in documentation. Do you have a decent amount of documented work processes ready for review? Are they free from operational wastes or non-value-adding steps in the process? Have you done the requirements of 5S, waste elimination and standard work? How about the qualifications of your process owners and leaders?

Three, adverse effects to employee welfare. If you’re serious about implementing ISO, you should be aware of its negative effects on the workers’ morale, welfare and satisfaction level. All workers and their managers must follow the requirements of problem-solving that adhere to waste elimination, just-in-time production and strict timelines, among others.

Fourth, resistance to change. In relation to number three above, unionized companies would often encounter the usual concern of labor unions about job security, now with a palatable name called “just transition.” If an organization is bent on pursuing ISO, its management must reconcile its interest with the union, especially if an ISO is required in a competitive environment.

Five, difficulties in aligning current procedures with ISO. This could happen when process owners decide that their current system is still “the best in the West” in a serious gap analysis. If it happens, top management with the help of an ISO consultant must intervene to resolve the issue objectively.

After reading this article, I suggest evaluating your experience with your organization or the experience of your customers, suppliers, subcontractors, business partners or what have you done with ISO. On a scale of one to 10, with 10 being the highest, how do you evaluate ISO-certified organizations in terms of their profitability?

Is it worth the time, talent and treasure that you will spend in the process? Think about it using the PKM.

Rey Elbo is a quality and productivity management enthusiast. For a free consultation, email your concerns to [email protected] or via https://reyelbo.com reyelbo.com Anonymity is guaranteed.