Meeting key objectives of the ISO
A summary of the responses of the two CEOs to this focus issue is provided in Table 8.1. The index refers to the following: A = CEO1, B = CEO2; 1.1 = Question 1/Issue 1, and so on, as contained in Attachment 8. The indices are included to enable auditing of data.
Quality, safety and legality; continuous improvement; customer satisfaction
CEO1 suggested three related key issues: quality, safety and manufacturing legality; continuous improvement; and customer satisfaction:
Chapter 8 Phase 4.3: Final Testing of the Policy
We will produce good products and service that have quality, safety and legality, and we will also have continuous improvement in order to reach customer satisfaction.
One of the ISO’s key objectives was to produce good quality products and services to meet customers’ satisfaction. The accepted level of quality of products and services depends on the required level of customer satisfaction – neither too low nor too high. In the food industry the products must be safe to eat or drink. Secondly, the products and service must be manufactured or provided according to the laws of the countries of both manufacturer and customer. Finally, continuous improvement, through appropriate training, is required to accommodate the rapid changes in information technology and communication. CEO1 strongly supported Kottler’s (2000) marketing management concept that ‘the Customer is the King’: whenever a company or manufacturer wishes to provide products or services, customers needs and satisfactions must have first priority. Without this, they will not sell their products or services and they will be unable to maintain their company or business in the long-term.
By way of comparison, CEO2 suggested that there were four key ISO objectives:
There are four objectives of the ISO: meeting world market requirements as a qualified quality company, to develop senior management and staff to meet international quality standards, clarifying ISO standards for quality for products and services, and to apply international standards in Thailand.
Each of these objectives is considered in the following sub-sections.
Meeting world market requirements as a qualified quality company
The first objective of the ISO is to assure the world market that an ISO Certificated Company operated at a world standard level:
To present to the world market that ISO Certificated Company is a world standard level, we will have quality to compete with other competitors in the world.
By ensuring this objective, a company is able to compete on a world-wide basis.
To develop senior management and staff to meet international quality standards
The second objective of the ISO is to develop senior management and staff to meet international quality standards:
To develop our senior management and staff to International Standards.
CEO2 suggested that people were the most important resource in the company. To develop the CEO, senior management and staff to meet international quality standards was an investment in the most valuable resource to assist the company in reaching international markets.
Clarifying ISO standards for quality for products and services
The third objective of the ISO is to clarify ISO standards for quality of products and services.
To clarify standard quality of products and service by using ISO Certificates. The Food Industry will ensure cleanliness of food by good manufacturing practice, hazard analysis, using a critical control points system, and producing guidelines for its application.
CEO2 suggested that Food Industry should ensure quality standards of cleanliness awareness of food through good manufacturing practice guidelines and application that focus on hazard analysis and critical control points.
Chapter 8 Phase 4.3: Final Testing of the Policy
To apply international standards in Thailand
The fourth objective of the ISO was to apply international standards in Thailand.
To apply International Standards and Practices to Thailand companies and factories.
CEO2 suggested that Thai companies and factories should have continuous training and improvement about how to apply international standards in Thailand in order to have competitive access to the world market.
Overcoming East-West barriers in order to maintain and develop world markets.
A summary of the responses from the interviews with two CEOs is provided in Table 8.2
TABLE 8.2 OVERCOMING EAST-WEST BARRIERS
Key Issues Index Comments
Overcoming cultural and social barriers to trade with western international markets.
B1.1
There will be some obstructions and problems when we bring western (USA, EU) international standards to apply to Eastern (Thailand) because of difference of human cultures and nature. Producers and customers have
different expectations of quality. B1.1
The main reasons are assumptions of producers and assumptions of customers do not meet the same objectives.
Producers and customers have the same expectation of quality in international markets
B1.1
So after meeting ISO Certificate requirements, the ISO Certificated companies must have continuous improvement, development and growth until they have been recognised in International Market. For example, Japan: Toyota, Sony, Toshiba, Mitsubishi; Korea: Samsung, LG; Thailand: Siam Cement Group, Chareon Pokaphan.
Overcoming cultural and social barriers to trade with western international markets
In the past, there used to be some problems of applying western (e.g., USA, EU) international standards to eastern manufacturers (e.g. Japan, Thailand) because of cultural differences. CEO2 pointed out that
There will be some obstructions and problems when we bring western (USA, EU) international standards to apply to eastern manufacturers (Japan, Thailand) because of difference of human cultures and nature.
After meeting ISO Certification, an ISO-Certificated Company requires on- going continuous improvement, development and growth until it is recognised in the international market. This improvement will indicate that they are a world-standard company, able to compete with other world- competitors.
Producers and customers have different expectations of quality
CEO2 pointed out that different assumptions about quality regularly lead to difficulties.
The main reasons are assumptions of producers and assumptions of customers do not meet the same objectives.
After achieving ISO Certification, the ISO Certificated Company and customers recognised the same objectives and were able to establish common trading contracts.
Producers and customers have the same expectation of quality in international markets
There was one key concept that emerged from the interview: that producers and customers need to have the same expectation of quality in international markets. CEO2 spoke of the success achieved by a number of Asian companies in the west:
Chapter 8 Phase 4.3: Final Testing of the Policy
So after meeting ISO Certification, the ISO Certificated companies must have continuous improvement, development and growth until they have been recognised in International Market. For example, Japan: Toyota, Sony, Toshiba, Mitsubishi; for example Thailand: Siam Cement Group (SCG), Chareon Pokaphan (CP).
After meeting ISO Certificate standards, ISO Certificated companies should have continuous training, improvement, development and growth until they had been recognised in International Markets. For example: Japan: Toyota, Sony, Toshiba, Mitsubishi; Korea: Samsung, LG; Thailand: Siam Cement Group, Chareon Pokaphan.