MANAGEMENT SYSTEMS CERTIFICATION IN INDIA

• INTRODUCTION– INDIA – ONE OF THE COMPLEX ECONOMIES HAVING

PRIVATE, MIXED AND GOVT UNDERTAKINGS

- DIVIDED INTO UNDER DEVELOPED ZONES TO FULLY DEVELOPED

ZONES

– INDIA WAS AMONG THE FIRST FEW COUNTRIES TO DEVELOP A NATIONAL STANDARD – IS 10201 – QUALITY SYSTEMS IN SIX PARTS, IN 1982

– SIMILARLY BIS HAD FORMULATED A STANDARD IS 13967:1993 ON EMS BEFORE ISO 14001. PROVISION FOR ENVIRONMENTAL PROTECTION EXIST IN INDIA’S CONSTITUTION THROUGH ARTICLES 48 A AND 51 A (g)

• INTRODUCTION (CONTD.)

– FIRST EDITION OF ISO 9000 STANDARDS COMPLETED IN 1986 BY ISO/TC 176 AND PUBLISHED IN 1987

– ISO 9000 STANDARDS WERE ADOPTED BY BIS, THE NATIONAL STANDARDS BODY OF INDIA, IN TOTO AND BROUGHT OUT AS IS 14000 SERIES OF STANDARDS IN 1988. LATER AS IS/ISO 9000.

– SIMILARLY ISO 14001 ADOPTED AS IS/ISO 14001

INTRODUCTION (CONTD.)

• IN ADDITION TO ADOPTION OF ISO STANDARDS, BIS HAS FORMULATED STANDARDS IN THE FOLLOWING FIELDS:

- ANALYSIS OF QUALITY COST – IS 10708 – DEVELOPMENT OF SUPPLIER RATING SYSTEM – IS 12040– COMPLAINTS HANDLING – IS 15400– HANDBOOK ON STATISTICAL QUALITY CONTROL – SP

28– QUALITY CIRCLES – IS 12301– QUALITY MANAGEMENT FOR HOSPITAL SERVICES

(UPTO 30-BEDDED HOSPITALS) – IS 13808 (PART 1 TO 5) – OUT-PATIENT DEPARTMENT (OPD) AND EMERGENCY SERVICES; DIAGNOSTIC AND BLOOD TRANSFUSION SERVICES; WARDS, NURSING SERVICES AND OPERATION THEATRE, ETC.

• RALLI WOLF - FIRST COMPANY IN INDIA TO GET CERTIFIED IN THE YEAR 1988 BY BSI, U.K.

• 1988 – 1991 THREE YEARS OF INCUBATION PERIOD

• 1992 EXPONENTIAL INCREASE IN CERTIFIED COMPANIES

• ENGINEERING SECTOR TOOK THE LEAD - MACHINERY AND EQUIPMENT SECTOR FOLLOWED BY ELECTRONICS AND ELECTRICAL AND BASIC METALS AND FABRICATED METAL PRODUCTS, CHEMICALS, TEXTILES, INFORMATION TECHNOLOGY

• GOVT INITIATIVE TO PROMOTE QUALITY

- NATIONAL QUALITY CAMPAIGN IN APRIL 1992 LAUNCHED BY PRIME MINISTER OF INDIA

– IMPORT – EXPORT POLICY – (1992 – 97) QUALITY OCCUPIES THE PRIME PLACE

– NATION-WIDE PROGRAMMES ON QUALITY AWARENESS

– RAJIV GANDHI NATIONAL QUALITY AWARD INSTITUTED BY BIS AND THE FIRST AWARDS FOR 1991-92 WERE GIVEN BY THE PRIME MINISTER OF INDIA

– RECOGNIZE AND REWARD MANUFACTURERS FOR ISO 9000 CERTIFICATION AND MAKE THEM ELIGIBLE FOR SPECIAL IMPORT LICENCES

– ASSISTANCE IN MODERNIZA-TION AND UPGRADATION OF TEST HOUSES AND LABORATORIES

• EUROPEAN EXPERT GROUP INVITED BY GOVT. OF INDIA IN 1992 TO ESTABLISH NATIONAL QUALITY COUNCIL IN INDIA

• REMARKABLE GROWTH IN CERTIFICATION FROM 1992 - 2000

• PROBLEMS ASSOCIATED WITH GROWTH

– ONLY CERTIFICATION HAS BECOME A SHORT SIGHTED GOAL

– VARIATIONS IN INTERPRETATION INTENSITY AND RIGOUR OF APPLICATION OF THE STANDARDS

– MUSHROOMING OF TRAINERS/ CONSULTANTS

• NEED WAS FELT TO CONTROL PROLIFERATION OF CERTI-FICATION

– ABSENCE OF ACCREDITATION MECHANISM IN INDIA

– COMPETITION AMONG MAJOR CERTIFICATION BODIES LED TO ACCREDITATION OF CERTIFICATION BODIES BY OVERSEAS BODIES

– HOWEVER, MUSHROOMING OF CERTIFICATION BODIES CONTINUED

– DILUTION IN TRAINING AND CONSULTANCY ALSO CONTINUED

• QUALITY COUNCIL OF INDIA WAS SET UP IN 1997

• SOME CONTROL WAS EVIDENT

• SELF-MOTIVATION STILL LACKING

• COMPETITION AMONG CONSULTANTS AND AMONG CERTIFICATION BODIES LEADS TO UNETHICAL PRACTICES

• REVISED VERSION 2000

– MANY COMPANIES OPTED OUT OF ISO 9000 CERTIFICATION

– CONSULTANTS/TRAINERS TOOK TIME TO ADJUST TO NEW REQUIREMENTS

– INSTEAD OF UPDATING THEMSELVES WITH THE NEW REQUIREMENTS, THE REQUIREMENTS WERE DILUTED WHEN IMPLEMENTED AND MOULDED TO THE EARLIER VERSION

– PRESENTLY, A MIXTURE OF OLD/NEW CONCEPTS STILL EXIST

• PROBLEMS STILL CONTINUING

– LESS IMPORTANCE TO CORRECTIVE AND PREVENTIVE ACTION

– TOO MUCH FOCUS ON DOCUMENTATION

– LACK OF CLARITY ON CONCEPT OF CONTINUAL IMPROVEMENT

– VARIOUS INTERPRETATIONS AND LACK OF IMPLEMENTATION OF THE PROCESS APPROACH

GROWTH OF MANAGEMENT SYSTEMS CERTIFICATES IN INDIA

• ISO 9000

- 5554 IN THE YEAR 2001

- 8110 IN THE YEAR 2002

- 10198 IN THE YEAR 2003 (8367 FOR ISO 9001:2000)

- APPROX. 12000 PRESENTLY IN INDIA

- TOTAL 5,00,125 (THROUGHOUT THE WORLD) BY THE END OF YEAR 2003

• ISO 9001:2000 CERTIFIED ORGANIZATIONS MAY ACTUALLY BE MORE BECAUSE ISO 9001 IS INCORPORATED WITHIN SECTORS SPECIFIC DOCUMENTS

- ISO 9001 REQUIREMENTS BEING CASCADED DOWN THE SUPPLY

CHAIN THROUGH SECTOR SPECIFIC

DOCUMENTS, FOR EXAMPLE, ISO/TS 16949:2000, TL 9000, ETC.

• EVOLUTION FROM MULTIPLE, SINGLE-SITE CERTIFICATES TO SINGLE, MULTIPLE-SITE CERTIFICATES

GROWTH OF MANAGEMENT SYSTEMS CERTIFICATES IN INDIA (CONTD.)

• ISO 14000

- 400 IN THE YEAR 2001

- 605 IN THE YEAR 2002

- 879 IN THE YEAR 2003

- APPROX. 1,100 PRESENTLY IN INDIA

- TOTAL 66,070 (THROUGHOUT THE WORLD) BY THE END OF YEAR 2003

SCOPE SECTORS GENERALLY COVERED IN INDIA

1. TEXTILES & TEXTILE PRODUCTS2.  CHEMICALS, CHEMICAL PRODUCTS & FIBRES3.  RUBBER & PLASTIC PRODUCTS4.  NON-METALLIC MINERAL PRODUCTS5.  CONCRETE, CEMENT, LIME, PLASTER, ETC.6.  BASIC METALS AND FABRICATED METAL PRODUCTS7.   MACHINERY AND EQUIPMENT8.   ELECTRICAL AND OPTICAL EQUIPMENT9.   OTHER TRANSPORT EQUIPMENT10.  WHOLESALE AND RETAIL TRADE11.  FOOD PRODUCTS, BEVERAGES AND TOBACCO12.  LEATHER AND LEATHER PRODUCTS13.  WOOD AND WOOD PRODUCTS14.  PULP, PAPER AND PAPER PRODUCTS15.  PRINTING COMPANIES

SCOPE SECTORS COVERED (CONTD.)

16.  MANUFACTURING NOT ELSEWHERE CLASSIFIED17.  TRANSPORT, STORAGE AND COMMUNICATION

(TELECOMMUNICATIONS)18.  OTHER SERVICES19.  HOTELS & RESTAURANTS20.  ELECTRICITY SUPPLY21.  PHARMACEUTICALS 22.  MANUFACTURE OF COKE AND REFINED PETROLEUM PRODUCTS23. FINANCIAL INTERMEDIATION; REAL ESTATE; RENTING

NEW AREAS• OCCUPATIONAL HEALTH AND SAFETY

MANAGEMENT SYSTEMS – IS 18001:2000 FORMULATED BY BIS

- INDIAN STANDARD MORE AKIN TO THE REQUIREMENTS LAID DOWN IN ILO

GUIDELINES ON THE SUBJECT

- IN TUNE WITH THE FACTORY ACT (1948) OF INDIA

• INDIAN STANDARD IS:15150:2002 ON INFORMATION SECURITY MANAGEMENT SYSTEMS - REQUIREMENTS

NEW AREAS (CONTD…)

• HACCP CERTIFICATION FOOD HYGIENE – HAZARD ANALYSIS AND CRITICAL CONTROL POINT (HACCP) - IS 15000:1998

• HACCP – QMS CERTIFICATION

CONSTRAINTS AND CHALLENGES

• ALL MANAGEMENT SYSTEMS NOW PRESCRIBE COMPLIANCE WITH LEGAL REQUIREMENTS

• PLETHORA OF LEGISLATIONS EXIST

• TODAY’S NEED IS TRAINING AND AWARENESS TO FILL THE GAP IN UNDERSTANDING ACTS/RULES/ REGULATIONS

BENEFITS OF MANAGEMENT SYSTEMS CERTIFICATION IN INDIA

• HAS PROVIDED AN OPPORTUNITY TO INDIAN INDUSTRY AND SERVICE PROVIDERS TO IMPROVE AND BE DISCIPLINED

• PEOPLE HAVE STARTED THINKING IN TERMS OF QUALITY, ENVIRONMENT, HEALTH AND SAFETY ASPECTS

• PROVIDES A FRAMEWORK FOR MEETING REQUIREMENTS RELATED TO ALL MANAGEMENT SYSTEMS INCLUDING LEGISLATIVE/REGULATORY REQUIREMENTS