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Use ISO 9004 to Turn Compliance into World-Class Performance (MFG675V)

Presented by: William A. Levinson, P.E.
 
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Pre Recorded Webinar
60 minutes
  •  Thu, June 22, 2017
Event Description

Understand How to Use ISO 9004 and ISO 9001 to Achieve World-Class Performance

The manner in which an organization treats ISO 9001 determines whether the standard will become a valuable servant that supports the organization's goals, or a costly master with which the organization must comply to get a certificate. Previous versions of ISO 9001 focused primarily on avoidance of poor quality and, if compliance with the standard ensures good quality, the standard is indeed the servant.

Poor quality is, however, only one of the Toyota production system's Seven Wastes. The other wastes can easily be more costly regardless of the output's quality, and all forms of waste have historically accounted for 30 to 60 cents of every health care dollar. Motion efficiency pioneer Frank Gilbreth meanwhile proved that brick laying wasted roughly 64 percent of the skilled labor regardless of the quality of the finished walls, while Henry Ford contended that some jobs wasted up to 95 percent of the labor. New technology and new distribution channels can meanwhile render the best quality product obsolete, which underscores the need to recognize opportunities beyond removal of waste or muda.

Quality is therefore a necessary but not sufficient condition of world-class performance, and ISO 9004:2009 ("Managing for the sustained success of an organization") provides valuable guidance with which to overcome this gap. Many of its elements such as context of the organization, needs and expectations of interested parties, actions to address risks and opportunities, and organizational knowledge are now built into ISO 9001:2015 but ISO 9004:2009 offers further details. This webinar with expert speaker William Levinson will elaborate on the synergy of ISO 9004 and ISO 9001, which builds management for sustained success into the quality management system (QMS).

Session Highlights

  • ISO 9001:2015 contains several key and easily recognizable elements of ISO 9004:2009. These include context of the organization, needs and expectations of interested parties, actions to address risks and opportunities, and organizational knowledge.
    • ISO 9004:2009, however, provides additional detail. As an example, clause 6.7.2 (Knowledge) recommends that the organization learn from near miss situations and also successes (best practice deployment). It adds that the organization should add undocumented knowledge, such as "knacks" (a worker's unique knowledge of how to do a better job) to its information resources.
    • ISO 9004:2009 also recommends (8.3.2) alignment of key performance indicators (KPIs) with organizational objectives, a practice known as policy deployment or hoshin kanri. It adds innovation (9.3) and learning (9.4) as enablers of sustained success.
    • ISO 9004:2018 is expected to add "Elements of organizational identity" which include organizational culture and values.
      • This is especially important because employee morale declines sharply during the first six months in 85% of organizations, and continues to deteriorate afterward [1]. World class organizations, however, build cultures of empowerment and engagement in which participation is an intrinsic reward.
  • Compliance and performance are mutually synergistic and mutually supporting.
    • Compliance alone, for the sake of getting the ISO 9001 certificate, makes the standard the master rather than the servant. When the organization uses the standard to drive continual improvement, the standard becomes the organization's servant.
    • If compliance with ISO 9001:2015 does not deliver the desired results, then Plan-Do-Check-Act (PDCA) should be applied as depicted in ISO 9004:2009 clause 9.2, Improvement. This makes the improvement part of the QMS so compliance will indeed deliver performance.
  • "Audit for compliance, manage for performance."
    • Performance-based audits that focus on results can overlook deficiencies in the system if people compensate for the deficiencies. The Ford Motor Company, for example, actually forgot most of its world-class lean manufacturing system (which is therefore now known as the Toyota production system) because of loss of key personnel. "Audit for compliance" means audits should use the traditional approach of comparing objective evidence about the system against the standard.
    • "Manage for performance" means, however, that any gap between the current state ("what we have now") and an achievable future state ("what we could have") can be treated as a nonconformity for Plan-Do-Check-Act purposes. That is, the organization can use its existing Corrective And Preventive Action (CAPA) process, minus the containment step for stopping poor quality, to define the problem or opportunity, identify the root cause (or barrier between the current state and desired future state), and then test, verify, and standardize solutions that achieve the desired future state.
      • The standardized solutions then become part of the quality management system, and are auditable for compliance to hold the gains.

[1] David Sirota, Louis A. Mischkind, Michael Irwin Meltzer. "Stop Demotivating Your Employees!" Harvard Business Review

Session Benefits

  • Know that compliance and performance are mutually synergistic and reinforcing. This means that actions to improve performance and results become part of the quality management system, and are then auditable for compliance just like any other part of the QMS. This holds the gains and prevents backsliding to previous and sub-optimal levels.
  • Know how ISO 9004:2009 takes the organization beyond the basic requirements of ISO 9001:2008 to address opportunities as well as wastes other than those of poor quality.
  • While many elements of ISO 9004:2009 are easily recognizable in ISO 9001:2015, "Managing for the sustained success of an organization" is even more proactive with regard to considerations other than quality.
  • Know the importance of organizational identity, and especially organizational culture, in gaining workforce buy-in and engagement to achieve decisive results. Learn what achieves engagement, and what doesn't.

Who should attend?

  • Quality Managers, Quality Professionals/ISO Consultants
  • ISO Coordinators/Quality Management Representatives
  • ISO and Quality Coordinators/Representatives
  • Internal Auditors, Engineers and Supervisors involved in managing ISO QMS Implementation
  • Management Decision Makers, CEO’s, who want to start implementing a QMS based on ISO 9001:2015
  • Employees leading the effort of upgrading QMS from ISO 9001:2008 to ISO 9001:2015
  • Anyone interested in the latest development in the field of Quality System Management
  • All industries and public sectors decision makers
About Our Speaker(s)

William A. Levinson | Quality and Productivity Management SpeakerWilliam A. Levinson P.E.
William A. Levinson, P.E., is the principal of Levinson Productivity Systems, P.C. He is an ASQ Fellow, Certified Quality Engineer, Quality Auditor, Quality Manager, Reliability Engineer, and Six Sigma Black Belt. He is also the author of several books on quality, productivity, and management, of which the most recent ... More info

 
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    Event Title: Use ISO 9004 to Turn Compliance into World-Class Performance
    Presenter(s): William A. Levinson, P.E.

 
 
 
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