Reading Comprehension for SBI PO Mains 2015 – 2

The saga of the International Organization for
Standardization (ISO) series of certification in India has come a long way.
From a mere handful of companies certified in 1990, today there are about 3000
which have achieved this distinction. This neo-elite group includes not only
the giant public sector Indian Oil Corporation, Government of India ordinance
factories, or mega-size private sector companies like Reliance, Tisco and
Larsen & Toubro, but also relatively small companies like the food
processing unit, Choice. The radius of ISO 9000 certification has now touched
sectors beyond manufacturing to cover services. In the beginning, ISO
certification was seen as a competitive advantage; now, with most of companies
having it, not having the certification is seen as a competitive disadvantage.
Gone are the days when the prime objective of ISO certification was as a
passport to exports to the European Union (EU).Today, it is seen as a seal of
quality to create the right image in the marketplace. This has stimulated many
a corporate to resort to standard systems of quality in manufacturing to ensure
that the end-user gets consistent quality at all times. ISO 9000 certification
comes into the picture at this point. Basically, a certification that documents
processes which conform to those required to produce goods or
deliver services of a consistent predetermined standard quality, the ISO 9000
series is the basis for a third party quality system registration programme.
Obtaining ISO certification ensures that a company has standardized quality
assurance and management systems at every level, and so the quality of a
product is consistent at any time. IS/ISO9000 or ISO 9000, as
a generic term, represents five different standards, namely, ISO 9000, ISO
9001/2/3 and ISO 9004 as per following details. ISO 9001: A system for quality
assurance in design/development, production, installation and servicing. ISO
9003: A system for assurance in final inspection and testing. Applies to
organizations with no design or manufacturing facilities, but which purchase
components from subcontractors and assemble and test them, and sell finished
products to customers. ISO 9004: Quality management and quality systems
guidelines .Obtaining ISO certification involves an assessment by
a company of its systems relative to ISO standards, and an independent auditor
certifying that the process and systems followed conform to the appropriate
standard (ISO 9001/2/(c) accepted internationally. Apparently, there are three
motives for going in for ISO certification for Indian as well as global
corporates. First, some corporates, especially those that survive on exports to
the EU, fear barriers in Europe and want an assured market.
Second, there are those companies pursuing ISO standards on demand from their
customers. And third, there are those who want to use ISO as a marketing tool
in the domestic market. However, in the final analysis, an ISO certified
company can reap the benefit of improved quality of products/ services .Such
certification may make customers feel more comfortable about the quality of a
supplier’s product. ISO-certified companies can also hope to observe a
reduction in the number of customer grievances.