HRMantra

Meaning of ISO 9004 & Its Importance

Meaning of ISO 9004 & Its Importance

Meaning of ISO 9004 & Its Importance

5-6 minutes 

ISO 9004 is the set of standards of the International Organization for Standardization that help an organization become successful through quality management. The latest one in place is ISO 9004:2018, guiding organizations on how to keep both customers and employees happy by pleasing them through good quality management. It provides practical hints for enhancing overall quality when working for any company, big or small, or in any industrial field.

Purpose of ISO 9004

ISO 9004 acts as a guiding friend of the organizations. Its prime objective is to demonstrate a path for them to achieve long-term success through proper quality management. ISO 9004 advises on customer satisfaction, performance improvement, and adaptability to change. In other words, it is assistance to franchises for success in the long run. Hence, the parameters of ISO 9004 focus on the more comprehensive scenario of long-term success.

Benefits and Downfall

Attendance to quality guidelines, such as ISO 9004, assists companies in doing better and making their customers happier. This might turn out to be quite tricky as time is required together with other resources. Let''s see why it''s good and where it may get tough:

Benefits

  • Better Performance: Following the guidelines of quality management helps an organization perform better, be more efficient, and finally achieve long-term success.
  • Customer Satisfaction: The focus on customer satisfaction ensures that the organization does understand and can satisfy the needs of the customers, providing better relations and loyalty.
  • Always improving: Cultivate a culture of ongoing improvement where processes, products, and services are regularly assessed and improved upon by the organizations.
  • Receptive to change: Prepare adaptability to accommodate change in a situation that enables the organizations to be more resilient and responsive to the dynamic conditions in the business environment.
  • Intelligent use of resources: Organizations are guided in using resources wisely, gaining cost savings and resource efficiency.

Failure

  • Hard to Do: It may be difficult for some firms to adhere to quality regulations, for they need to clearly understand them and try to make them dovetail into their own ways of doing things.
  • Needs a Lot: One might need a lot of time, money, and even training to follow through with these rules, which may be hard for smaller companies to do.
  • Different Perception: The rules are a bit broad in nature, and thus different companies may perceive them differently, which causes some sort of confusion.
  • Excessive Step-Based Thinking: Companies might start thinking too much about the steps they are taking and forget other important things in their business, such as new ideas or taking care of the workers.
  • Less Well-known: Unlike some other standards—like ISO 9001—these have no certificate associated with them. Not many people would know about them outside the company.

How does ISO 9004 differ from ISO 9001?

ISO 9004 and ISO 9001 can be described as cousins in some ways, as they are related but oriented toward different things. In ISO 9001, there is the case of meeting specific needs to the customer and rules that make everything go smoothly. At the same time, ISO 9004 acts like a coach, telling the organization how to become the best overall, even beyond the requirements of customers. Thus, contrary to ISO 9001, which is specific and oriented by rule, ISO 9004 is much broader and oriented toward excellence in everything a company does.

ISO 9001 Example

Think about ISO 9001 like a recipe to bake a cake. It will tell you precisely how much of which ingredient, how long to bake, and when it is done. Now, in a company, ISO 9001 performs a very similar role—it does the assurance that the products or services they produce are exactly what the customers ordered.

ISO 9004 Example

Now, think about ISO 9004 as though it were a guide for the entire bakery. It is not about only the recipe for the cake but making the bakery top class. ISO 9004 will enable the Bakery to create new treats, keep everything running smoothly, and ensure that everybody in the bakery is happy. Like a friendly coach, it will help the bakery shine in many ways.

Conclusion

Therefore, the easy answer to that would be ISO 9004 is something like a buddy of companies. It guides them to become great. It says, ""Keep improving; wisely use your resources and be prepared for everything!"" Although it might be a little tricky, following ISO 9004 could mean a very successful and happy company. It''s more or less being coached by someone who cheers you on to be the best at everything you are doing!

Frequently Asked Questions

How ISO 9004 helps in Sustainable Development?
ISO 9004 helps companies think about the future. It guides to be better, wisely use resources, and be efficient. This way, the organization achieves success for a long period by being kind to the environment and society.
Can any organization of any size and industry benefit from ISO 9004?
Obviously! ISO 9004 is, in this regard, very instrumental to any company, big or small, and whatever their activity. Hence, it provides tips for doing better and therefore achieving success. As such, whether pizza, software, or clothes you are selling, ISO 9004 just serves as a friendly guide to success.

Back to HR Glossary

Know More About HRMantra Features