The Impact of ISO 9000 Certification to the Organization Performance

ISO 9000 Standards have become an important tool for an organization to enhance its market share in both local and overseas market. However, little empirical studies have been conducted to determine the impact of ISO 9000 certification on the financial performance of the company. In this study,...

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Main Author: Siaw, Ching Foon
Format: Project Paper Report
Language:English
English
Published: 1998
Subjects:
Online Access:http://psasir.upm.edu.my/id/eprint/8115/
http://psasir.upm.edu.my/id/eprint/8115/1/GSM_1998_28_A.pdf
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author Siaw, Ching Foon
author_facet Siaw, Ching Foon
author_sort Siaw, Ching Foon
building UPM Institutional Repository
collection Online Access
description ISO 9000 Standards have become an important tool for an organization to enhance its market share in both local and overseas market. However, little empirical studies have been conducted to determine the impact of ISO 9000 certification on the financial performance of the company. In this study, a survey questionnaire has been designed to collect some information from the quality assurance personnel through telephone interviews. On the hand, company financial data was gathered to analyze the relationships of the ISO 9000 certification and the company financial performance. Descriptive statistics namely frequencies, percentage and mean were used in describing the some of the finding. In addition, simple regression analysis was carried out to analyze the significance of ISO 9000 certification on the financial performance of the company. Findings showed that the companies registered with ISO 9000 were mainly driven by external forces, such as market trend and statutory requirements. The study also found that the most quality assurance personnel perceived that they gained all the benefits (competitive edge) after pursuing ISO 9000 certification. However, the profitability ratio analysis did not support such conclusion. It revealed that the business performance of a company have indicated a declining trend instead of improvement after achieving ISO 9000 certification status. This study also highlighted the necessity of Total Quality Management in a company and the integration of both in order to achieve the ultimate goal of the company.
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publishDate 1998
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spelling upm-81152012-05-28T02:32:49Z http://psasir.upm.edu.my/id/eprint/8115/ The Impact of ISO 9000 Certification to the Organization Performance Siaw, Ching Foon ISO 9000 Standards have become an important tool for an organization to enhance its market share in both local and overseas market. However, little empirical studies have been conducted to determine the impact of ISO 9000 certification on the financial performance of the company. In this study, a survey questionnaire has been designed to collect some information from the quality assurance personnel through telephone interviews. On the hand, company financial data was gathered to analyze the relationships of the ISO 9000 certification and the company financial performance. Descriptive statistics namely frequencies, percentage and mean were used in describing the some of the finding. In addition, simple regression analysis was carried out to analyze the significance of ISO 9000 certification on the financial performance of the company. Findings showed that the companies registered with ISO 9000 were mainly driven by external forces, such as market trend and statutory requirements. The study also found that the most quality assurance personnel perceived that they gained all the benefits (competitive edge) after pursuing ISO 9000 certification. However, the profitability ratio analysis did not support such conclusion. It revealed that the business performance of a company have indicated a declining trend instead of improvement after achieving ISO 9000 certification status. This study also highlighted the necessity of Total Quality Management in a company and the integration of both in order to achieve the ultimate goal of the company. 1998 Project Paper Report NonPeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/8115/1/GSM_1998_28_A.pdf Siaw, Ching Foon (1998) The Impact of ISO 9000 Certification to the Organization Performance. [Project Paper Report] ISO 9000 Series Standards. Organizational effectiveness. English
spellingShingle ISO 9000 Series Standards.
Organizational effectiveness.
Siaw, Ching Foon
The Impact of ISO 9000 Certification to the Organization Performance
title The Impact of ISO 9000 Certification to the Organization Performance
title_full The Impact of ISO 9000 Certification to the Organization Performance
title_fullStr The Impact of ISO 9000 Certification to the Organization Performance
title_full_unstemmed The Impact of ISO 9000 Certification to the Organization Performance
title_short The Impact of ISO 9000 Certification to the Organization Performance
title_sort impact of iso 9000 certification to the organization performance
topic ISO 9000 Series Standards.
Organizational effectiveness.
url http://psasir.upm.edu.my/id/eprint/8115/
http://psasir.upm.edu.my/id/eprint/8115/1/GSM_1998_28_A.pdf