10 Reasons to Become ISO Certified in 2021
If you’re not familiar with the ISO 9001 standard, the main purpose is to provide a quality benchmark for companies. Having an ISO 9001 certification demonstrates a company's ability to meet the needs and expectations of its customers and suppliers.
So, if you think the certificate is merely a badge of honor, think again because it provides a competitive advantage in many ways and can empower your employees to do their job better.
Below are 10 reasons why it would be a smart decision to get your organization certified this year.
1. Improve Processes
ISO 9001 gives you guidelines on how to think about your processes holistically and systemically. It shows how processes relate to one another and can guide you to connect the dots to create more efficient processes. The standard is a comprehensive framework addressing all key processes in a company - not just quality control. In short, the standard focuses on creating quality processes.
2. Better Decision-Making
Good decisions are integral to a company's success. ISO 9001's structured framework for quality management provides managers with information to make fact-based decisions. The framework provides a thought process for making smart, informed decisions, so you can avoid making decisions purely on emotion.
An ISO 9001-based Quality Management System, especially one that has been audited and certified, will have a built-in process for gathering and analyzing data.
Leadership will gain insight into which processes are working and which ones need more attention.
3. Increase in Revenue
It’s simple. Customers desire quality, and they will reward companies for providing it with their wallets. ISO-certified companies gain perceived and real value from their customers. Research shows certified companies make on average 7% more than companies not certified. Moreover, 85% of companies with ISO 9001 certifications experience greater demand for their products or services.
4. Support for Other Industry-Specific Standards
The ISO 9001standard sets the foundation for other industry-specific standards, such as the ISO 14001 (environmental management), ISO 20000 (IT service management), ISO 13485 (medical devices), and ISO/TS 16949 (automotive industry). Implementing ISO 9001 makes the addition of other management standards fairly quick and easy to implement because they are on the same structure and numbering system.
In other words, if you invest in obtaining your ISO 9001 certification, you will not only receive the benefits of a worldwide-recognized quality management system, but you will also experience a significant reduction in time and money if you decide to add other certifications to your business.
5. Stronger Credibility
The ISO 9001 certification is a clear indicator your company is committed to quality. It symbolizes a promise of excellence. Having the world's most well-known quality standard on your product or service gives potential customers greater confidence in your brand. An ISO 9001 certification drives credibility and can greatly increase your sales and marketing results.
6. Meet Requirements for Government Contracts
For some companies, government contracts are a lucrative business deal. Unfortunately, obtaining government contracts can require many hours and unforeseen obstacles. The ISO 9001 standard positions organizations for success working with the public sector. For some municipalities and government agencies, the ISO 9001 certification is a requirement. Some companies also make ISO 9001 a prerequisite to working with them. Usually, companies that have achieved their own ISO 9001 accreditation will require the same standard from their suppliers.
7. Reduce Costs
How much money does your company waste every year on rework, repairs, rejected products, recalls, outdated inventory, and warranty claims? What if you totaled your lost opportunity cost, what would it be? By improving your quality management system with ISO 9001, you will find less of a need for rework because there will be fewer problems. With improved operational processes, your production and service departments will become more efficient, which will save you money and increase your bottom line.
8. Smoother Ordering & Customer Experience
Another reason why you should get ISO 9001-certified is because certified companies have better order processes. Communication involving customer orders becomes much smoother. Misunderstandings are avoided, and the need to ask the customer the same questions twice disappears. These improvements not only increase your operational efficiency; but also create less friction between your business and customers.
9. Greater Customer Satisfaction
If your processes are running more efficiently and your product or service quality has improved, your customers are going to be happier. Research indicates companies that have completed their ISO 9001 certification report having more satisfied customers. Increased customer satisfaction not only leads to increased customer loyalty, but satisfied customers are also willing to pay more (7% more to be exact). The lifetime value of your customer increases with customer satisfaction and will reflect positively on your bottom line.
10. No Need to Reinvent the Wheel
There are many frameworks for quality management systems, ranging from the general experience and gut feelings of the CEO to binders full of specific requirements. By using the ISO 9001 as the framework for your quality management system, you don't need to start from scratch. Follow the endorsed framework and avoid mistakes.
Companies using the gold standard are generally better at delivering quality products or services on time. If you want to get started obtaining your ISO 9001 certification, but don't know where to start, we can help guide you along on your journey. Reach out to us through our website to get connected with an expert.