Principles of

Integrating
ISO 9000 & SA 8000
Presentation topic:
&
overview
INTERNATIONAL ORGANIZATION FOR
STANDERDIZATION
ISO 9000
ISO 9001
ISO 9002
ISO 9003
ISO 9004
SOCIAL ACOUNTABILITY
SA 8000
Integration of ISO 9000 & SA 8000
o After world war II, Europe was destroyed, they
were forming NATO as a precaution to another
world war
o European Community([EC] now the European union
[EU]) strived to unify Europe
o They commissioned the International
Organization for Standardization (IOS) to write
a set on quality standards that companies could
use to evaluate the quality management systems
Hist ry
o Over eight years, the organization wrote the ISO
9000 series of standards that the EU accepted as
single quality standards to be adopted by all member
countries
o ISO 9000 was released in 1987
o IOS became ISO, which is actually form isos, the
Greek word for equal
Histor of ISO 9000
o In U.S, the Registrar Accreditation Board(RAB), the
American National Standards Institute(ANSI) are all
working toward complete international recognition for
the United States.
o The U.S version of ISO 9000 is Q9000.
o The first update in 1994 , the second revision
released in December 2000, now referred to as ISO
9001:2000
Hist ry
INTRODUCTION
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
9000
o ISO 9000 is the structural framework of a
business system that specifies, in very broad
terms, the necessary components of a QMS
o ISO 9000 details the basic requirements of
the quality function for all industries
What is ISO 9000
What is ISO 9000
o It is important to note ISO 9000 is not a
product standard. Rather it is a system
standard.
o Its primary purpose is to provide
organizations with useful internationally
recognized models for operating a quality
management system.
What are the parts of ISO 9000?
o ISO 9000 is composed of 5 different, but
related parts:
ISO 9000
ISO 9001
ISO 9002
ISO 9003
ISO 9004
o ISO 9000 and 9004 are guidelines, while ISO
9001, 9002, and 9003 are the categories in
which a company may apply for certification
Part 1: ISO 9000
o ISO 9000: Quality Management and
Quality Assurance Standards Guidelines
for Selection and Use
o Written in order to determine
which category your
organization should
apply for
Qualit Management Principles
Its eight principles for quality
improvement are very general and do
not demand for any standard of social
practice.
ISO 9000
Qualit Management Principles
o Customer Focus
o Leadership
o Involvement of Staff
o Process Approach
Qualit Management Principles
o System Approach Management
o Continual Improvement
o Factual and Documented Approach
in Decision Making
o Mutually Beneficial Relationship with
Suppliers
Reasons For Implementing ISO 9000
o To operate efficiently
o To achieve customer satisfaction
o To improve financial results
o To satisfy stakeholder, employees and
partners
o To secure sustainability
ISO 9000 Implementation Hints
o 8 Step Approach
o Role of Top Management
ISO 9000 Implementation Hints
8 Step Approach
o Determination of customer needs and expectations
o Establishment of the organizations quality, policy
and objectives
o Determination of processes and responsibilities to
achieve the quality objectives
o Determination and provision of
resources to achieve the quality objectives
ISO 9000 Implementation Hints
8 Step Approach
o Definition of methods for measuring process
effectiveness and efficiency
o Implementation of measurement methods
o Determination of means for dealing with
complaints and non conformities
o Establishment and implementation of a
process for the continual improvement of
the QMS
ISO 9000 Implementation Hints
Role of Top Management
o Establish and maintain policy and set objectives
o Promote the quality policy in the organization
o Ensure focus on customer requirements
o Ensure the availability of needed resources
ISO 9000 Implementation Hints
Role of Top Management
o Review the QMS periodically
o Decide on improvement actions
o Ensure the implementation of appropriate
processes to enable achievement of objectives
and customer requirements
Part 2: ISO 9001
o ISO 9001: Quality Systems Model for
Quality Assurance in Development,
Production, Installation, and Servicing
o This is the category for companies which
are involved in manufacturing
or the creation and
delivery of a service.
Part 3: ISO 9002
o ISO 9002: Quality Systems Model for
Quality Assurance in Production and Installation
o Companies who perform many functions, with the
exception of design and development, may apply to
this category
o After the revision of ISO 9000 in 2000, this
category has been dispelled
Part 4: ISO 9003
o ISO 9003: Quality Systems Model for
Quality Assurance in Final Inspection and
Test
o This category is useful for outside of the
manufacturing sector, such as in distributors
o After revision of ISO 9000 in 2000, this
category has been dispelled
Part 5: ISO 9004
o ISO 9004: Quality Management and
Quality System Elements Guidelines
o Used in order to help interpret the
categories included in ISO 9000
certification
How can ISO 9000 Be Implemented Toda ?
o ISO 9000 is being used in many organizations
o If an organization implements ISO 9000 in order to
simply remain competitive and without mutually
beneficial goals in mind, it will most likely fail in the
long term
How can ISO 9000 be used in a business?
o ISO 9000 can benefit many industries, such as:
Banking
Health Care
Manufacturing, etc.
o ISO 9000 is generic, so it can be applied virtually
anywhere!
o Remember, ISO 9000 is just one part of an entire
system needed to create value for customers
o Once a commitment is made, what should an organization
do? How can the organization benefit from
implementation of ISO 9000?
The costs of implementing ISO 9000
Implementing ISO 9000 can be beneficial, but costly.
The cost can be affected by:
Multiple Locations
Design/structure
Non-existence of a Quality Program
Significant Corporate Changes
The cost of registering for ISO 9000
Registering for ISO 9000 creates additional
costs which vary based upon:
Design Responsibility
Number of Locations
Size of Facility in Terms
of Employment
The standard Requirements SA8000 was launched in
1997 by CEPAA - Council on Economics Priorities
Accreditation Agency, an NGO, later renamed to
SAI Social Accountability International.
Social Accountability 8000 (SA8000) is the first
global standard for corporate social responsibility.
SA 8000, its beginning
SA8000 is based on both international human rights and
the UN conventions
(International Labor Organization, the
International Declaration of Human Rights and the UN
Convention on the Rights of the Child)
and satisfying relevant
local legislation. It aims to guarantee basic rights of
workers involved in the production processes
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SA 8000, its beginning (CONT..)
SA 8000 Social Accountabilit
Builds on the proven merits of ISO, specifying
corrective actions, encouraging continuous
improvement and focusing on management
system.
9 main requirements of the standard
SA 8000
o Child labor is not permitted
o Forced labor is not permitted
o Health and safety have to be assured
o Freedom to organize and collective bargaining have to Be
guaranteed
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o Discrimination is not permitted
o Disciplinary practices are not permitted
o Working hours shall not exceed 48 hrs a week, with a maximum
of12 hrs overtime
o Remuneration shall be sufficient
o Management systems shall guarantee that the requirements are
effectively satisfied
9 main requirements of the standard
SA 8000
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The SA 8000 Standard Overview
How Companies can implement SA8000
o Certification to SA8000
o Involvement in the Corporate
Involvement Program (CIP)
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Certification to SA8000
Companies that operate production facilities can
seek to have individual facilities certified to
SA8000 through audits by one of the accredited
certification bodies. Since the SA8000 system
became fully operational in 1998, there are
certified facilities in 30 countries on five
continents and across 22 industries.
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Benefits for business
o Putting company values into action
o Enhancing company and brand reputation
o Improving employee recruitment, retention and
performance
o Better supply chain management and performance
Benefits of implementing SA 8000
o Clear and credible assurance for ethical
purchasing decisions
o Identification of products made
ethically and companies
committed to ethical sourcing
o Broad coverage of product categories
and production geography
Benefits of implementing SA 8000
Benefits for Consumers and Investors
o Coop Italia (Italy)
o WE Europe (Netherlands)
o Dole Food Products (USA)
o Toys R Us (USA)
o Vogele (Switzerland)
o Timberland (USA)
o Gap Inc. (USA)
o Switcher (Switzerland)
o Tex Line (Singapore)
o Social Compliance International (Pakistan)
o Tata (India)
oTNT (United Kingdom)
o Business Social Compliance Initiative (EU)
SA 8000 Certified Companies
o Compliance with applicable laws and regulations
o Universal Declaration of Human Rights
o Universal Convention on the Rights of the Child
o Various ILO Conventions
o ISO Management Systems
SA 8000/Normative Elements
o Written and publicly available policy
that defines social accountability
and labor conditions in conformance
with SA 8000 and applicable laws
o Internal control system to support
conformance to policy
o Designated representative to enforce policy
SA 8000/Management S stems
SA 8000/Management S stems
o Assure implementation of policy
o Routine managerial review and
updating of policy
o Written statement and documented
evidence from suppliers and
subcontractors of commitment to
social accountability
SA 8000/Management S stems
o Investigation of concerns regarding
conformance and nonconformance to
policy and appropriate corrective action
o Communication with all interested parties
performance against the requirements of
policy
o Access to records on conformance to
policy by interested third parties
o An integral aspect of market competitiveness
o Provides employees with secure and safe work
environment
o Creates consumer confidence
o Mitigates risk and improves product quality
Social Accountabilit Summar
integration
Integrated means combined; putting all
the internal management practices into
one system
Integrated Management S stems
The integrated management systems are viewed
as a connection between the different standards,
where the standards have a number of similarities
and common activities
Integrating ISO 9000
(Quality management and quality
assurance standards guideline for
selection and use)
&
SA 8000
(Social Accountability)
ISO 9000 & SA 8000
oBoth are management systems
Management system Set of interrelated or
interacting elements to establish policy and objectives
and to achieve those objectives
oBoth require policies and procedures and
documentation systems that demonstrate
ongoing compliance with the requirements
ISO 9001:2000 & SA 8000
ISO 9000 SA 8000
Management s stem Management s stem
Customer Focus Child labor
Leadership Forced labor
Involvement of Staff Health & safety
Process Approach Compensation
System Approach Management Working hours
Continual Improvement Discrimination
Factual and Documented Approach Discipline
in Decision Making
Mutually Beneficial Relationship with Freedom of association
Suppliers
Taste is a Matter of Choice; but Quality is a Matter
of Fact
ISO 9000 & SA 8000
o ISO 9000
End Result: Customers & profitability
Focus: External & internal
o SA 8000
End Result: Employees (Workers)
Focus: Internal
ISO 9000 & SA 8000
Documentation requirements Record
Management commitment Management commitment
Quality policy Social policy
Planning Planning & implementation
Management representative Management
representative
Worker representative
Competence, awareness, and training Health & safety training
Analysis of data Investigate, address,
respond
Corrective action Corrective action
ISO 9000 SA 8000
ISO 9000 & SA 8000
o Committed to producing high quality products in a
manner that demonstrates sound business ethics,
adherence to local and national laws and an absolute
regard for human rights.
o Requires the same standards from its suppliers and
will not knowingly enter into business relationship
with any company that does not share these core
values.
ISO 9000 & SA 8000
Committed to producing quality
products in a work environment that
complies with all requirements of
SA 8000
Benefits of Integration
Reduce duplication and therefore costs
Increase profitability
Balance conflicting objectives
Eliminate conflicting responsibilities and relationships
Turn the focus onto business goals
Formalize informal systems
Harmonies and optimize practices
Create consistency
Improve communication
Facilitate training and development