3 Routes to ISO 9002 Certification of Your Logistics Operation
Originally Published by IOMA
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What does ISO 9002 mean?
What does ISO 9002 mean to warehousing and logistics? The answer is simple—plenty. ISO 9002 certification puts your company’s name in lights. It lets the whole world know that your warehousing and logistics processes meet quality standards. As a result, customers will likely be drawn to you, your profits may improve, and you may gain more control over your operations.
Because it has the potential to create such huge rewards for your company, ISO 9002 certification may seem a bit intimidating. In fact, certification can be simple—that is, if you follow some clearly defined steps.
ISO Defined
We’ve all heard of ISO 9000—but what exactly is ISO 9002? According to Peter Sanderson, president of TQMS International, ISO 9002 is part of a larger group of standards that make up ISO 9000. ISO 9002, he says, is designed specifically for companies that perform a process. Warehousing and logistics are based on a number of processes and, therefore, are placed into this category. “A lot of warehouses have value-added processing like shrink-wrapping and minor assembly operations.”
ISO 9001, on the other hand, is created for companies that design and manufacture products. Companies that want to maintain control over what’s coming and going to their offices should apply for ISO 9003 certification. Although ISO 9003 may sound like the best option for warehousing and logistics operations, it’s not. ISO 9003 isn’t used often and it’s typically used by organizations such as law firms.
When considering ISO certification, it’s important to remember that no one category is better than the other. Unfortunately, many companies perceive that ISO 9001 is more prestigious than any other ISO 9000 certification. They’re mistaken. “One isn’t better than the other. It’s the size of shoe that fits the company.”
Management Tools
Specifically, ISO 9002 is a management system based on a set of management tools. To receive certification, these tools should be incorporated into your warehousing and logistics operations. The tools include conducting incoming and outgoing inspections and defining management responsibilities, such as who makes decisions about finances, contracts, warehousing and logistics processes.
Contract negotiation is another important tool to consider when applying for ISO 9002 certification. “Contract negotiation covers the basic criteria that’s necessary before signing agreements,” Sanderson says. Contract negotiation includes issues such as insurance, theft measures, and service capabilities.
The management tools also address what to do if a process fails. When you’re preparing for ISO 9002 certification, you should spell out exactly what you’ll do if a problem arises. In other words, what corrective action will you take? You should ask yourself what caused the problem and what you’re going to do to solve it. But Sanderson says you shouldn’t stop there. You need to determine how you’ll prevent the problem from recurring—and how you’ll find a solution. And, the newest step in the process is evaluating your solution to make sure it was successful.
Basically, ISO 9002 is a management plan that says “what would you do if?” For example, if one of your trucks overturned on a snow-covered highway, you need to know what to do. ISO 9002 certification basically says that you’ll have a contingency plan in place to get the shipment where it needs to be. “This is how ISO affects the bottom line,” Sanderson explains. “It ensures continuous improvement and reduces your costs due to non-conformance.”
What You Need to Do
There are basically three ways to become ISO 9002 certified. And the process typically takes five to eight months. Some logistics managers opt to take on the process themselves. However, when they do, “the process rarely gets completed on time,” Sanderson says. Their focus often shifts to other projects and the ISO 9002 certification requirements fade into the background.
- Do It Yourself
Despite the challenges, you may still decide to take the ISO 9002 certification process on yourself. If you do, the first thing you need to do is get educated. ISO certification courses are available. Once you’ve learned what you need to know about ISO certification, it’s up to you to create a quality manual and develop and implement quality system procedures. Auditors enter the scene during the final phase and, hopefully, validate the quality procedures you set up. - Use a Consultant
If ISO certification seems a burden, you can use the help of an ISO consultant. Consultants supply required documentation and provide on-the-floor training and management training. Because they have the necessary resources, consultants can start ISO quality system procedures almost immediately. Once the systems are in place, the consultants call in the auditors to ensure you meet ISO certification standards. - Internet / Video Conferencing (Hybrid Approach)
According to Sanderson, there is yet a third ISO certification option—video conferencing. A blend of the first two methods, video conferencing takes advantage of the Internet and provides online training to logistics managers. TQMS helps companies gain ISO 9000 certification via video conferencing. Logistics managers can work their way through the procedures and collaborate with TQMS on the computer. “They learn as they go,” Sanderson says.
If you think video conferencing might be the most promising way to become ISO 9002 certified, visit www.tqms.com. There, you can download the ISO certification procedures as well as an example of a quality manual.
The Bottom Line
Regardless of which way you choose to become ISO 9002 certified, you stand to reap a number of benefits.
The biggest attribute of ISO certification is international recognition. Therefore, when “ISO 9002 certified” appears above your company’s door or on its letterhead, you’ve gained substantial marketing visibility.
Second, ISO 9002 certification enables you to gain more control over your warehousing and logistics operations. “By going through the process, you’ll see where you’ve been and where you want to be,” Sanderson notes. With this knowledge in hand, you’re better able to streamline your processes, reduce the amount of paperwork in your operations, and make your warehousing and logistics systems more effective.
ISO 9002 certification can improve your company’s profit margin. “If you know what you want, you start quality processes and train your employees, you should have tools for continuous improvement.” And continuous improvement leads to increased profits.
Remember that the goal of ISO 9002 certification is to ensure quality in warehousing and logistics. You’re not doing ISO for an auditor, but for yourself.
