A large number of American organizations have implemented the ISO 9000 registration process. ISO stands for The International Organization for Standardization, a group that was created in 1947. These standards, which were initially directed towards manufacturing organizations, have recently been accepted among non-manufacturing concerns such as hospitals, distributors, banks, and many others. Many distribution companies have either implemented the program or are making plans to do so. There are five international standards that provide instruction for the development of an effective quality management system. They are:

• Quality Management and Quality Assurance Standards: Guidelines for Selection and Use/ISO 9000
• Quality Systems—Model for Quality Assurance in Design/Development, Production, Installation, and Servicing/ISO 9001
• Quality Systems—Model for Quality Assurance in Production and Installation/ISO 9002
• Quality Systems—Model for Quality Assurance in Final Inspection and Testing/ISO 9003
• Quality Management and Quality System Elements Guidelines/ISO 9004

There is little consensus, however, about whether or not the ISO 9000 registration process improves quality operations. This ambiguity is in part a reflection of the misunderstanding of the objectives of ISO 9000. That is, ISO 9000 is not a quality improvement process per se. Rather, it is a process that focuses on documenting quality procedures related to product manufacturing, service or delivery.

On the other hand, given the amount of time, effort and money that is commonly devoted to ISO 9000 certification, companies believe there should be some type of positive quality outcome. This is not an unrealistic expectation. The activities that managers and employees engage in during the ISO 9000 certification process should indeed, at the minimum, sensitize the organization to critical areas for process improvement. They should also make the organization more aware of significant quality issues. Unfortunately, this is not always the case.

ISO 9000 has recently undergone some revisions (ISO, 2000) that address the need to better integrate the registration process with actual quality improvements. (These changes occurred after the data collection of this study.) The changes include the following:

• The inclusion of a process-oriented structure to the standards.
• The inclusion of guidelines for a continuous improvement program.
• Increased emphasis on resources such as communication and the work environment.
• Enhanced compatibility with ISO 14000, the relatively new standards involving environmental factors.

The changes introduced in the new Quality Standards may not necessarily lead to actual process improvements, however. We feel that one of the most critical factors determining whether or not positive changes will occur is the manner in which an ISO program is implemented. Implementation refers to the following management practices:

• The amount of time that the organization devotes to planning for ISO certification
• The extent to which the organization clearly articulates the ISO plans to employees who are involved in the ISO certification process.
• The extent to which employees are involved in the planning for ISO 9000.
• The effectiveness of the communication between managers and employees who are involved in the certification process.
• The amount of training employees receive on ISO certification.
• The extent to which employees are kept informed of the progress of the certification process.

We surveyed 10 distributorships in the Midwest that have gone through the ISO 9000 certification process. The purpose of the survey was to determine whether or not these implementation factors affected employees' perceptions of the efficacy of ISO 9000. More specifically, we wanted to know:

• Did the ISO certification process enhance warehouse management processes?
• Has the program helped identify quality problems within the distribution process?
• Has the certification process created new knowledge of how to enhance quality in distribution?
• Did the certification process make distributors more aware of the quality issues of their suppliers?
• Overall, is the ISO 9000 program successful?

Forty-three managers and employees completed our survey. The results indicate that on average, employees who scored high on the implementation factors also responded favorably to the perceived quality processes and vice versa.

The findings of our study strongly suggest that planning for ISO 9000 will enhance the probability of positive outcomes. We found that the strongest relationship exists for the employee involvement factor. That is, the highest averages among the perceived quality factors were found for individuals who said they were highly involved in the ISO implementation planning process.

Employee involvement leads to more favorable ISO outcomes for the following reasons:

• When employees are included in the planning process, they get a clear understanding of the objectives of ISO 9000.
• Employees are more likely to buy into the philosophy of ISO 9000 when they are included in the planning process.
• Employee involvement creates a learning environment for introducing the idea of quality assessment and improvement.
• Each of the implementation factors explored within our study will create a condition where employees are more sensitized to quality issues within the distribution process.

Obtaining positive quality results from ISO 9000 certification does not happen by accident. Rather it is the result of systematic planning and implementation strategies, or what we refer to as "strategic focus." Strategic focus involves each of the implementation factors noted in our survey. It also involves an assessment of each of the factors (as well as others) prior to ISO implementation. This assessment is particularly important for companies planning to implement the new ISO standards. Once again, the new standards contain a framework for quality improvement. However, our analysis of their language indicates that actual quality improvement, similar to the previous standards, is not guaranteed. We recommend the following things to organizations that are planning to implement the new ISO standards:

• Establish quality objectives for your organization prior to ISO implementation. Strategically integrate these objectives to the ISO certification process. That is, make sure that you know and understand what your anticipated quality outcomes are. Don't make the ISO certification process a mystery.
• Strategically plan for the ways in which your employees will be involved in the planning and implementation process. Assess the training needs of your employees for ISO. Develop a training program around this assessment. This will ensure that employees understand your strategic objectives and the implementation processes of ISO.
• Conduct an ISO Management Orientation workshop for individuals that will be coordinating and directing the certification process. Along with describing the technical parameters of ISO, this workshop would describe critical human resource practices that each manager should utilize during the certification process and in general management practices.
• Conduct a comprehensive assessment of the communication effectiveness within your organization. Our survey indicates that effective communication between supervisors and managers, and between departments, leads to positive ISO outcomes. Communication efficacy, however, is affected by the organization's culture.

Subsequently, we highly recommend conducting an "organizational readiness" survey that evaluates your company's communication and attitudinal culture prior to ISO implementation. This information can be used to "strategically" put in place interventions that will improve upon communications and attitudes that affect positive quality outcomes.

Continuously reinforce your quality objectives during the certification process. Monitor the effectiveness of communication and employees' perceptions during the certification process. Doing so will go a long way toward ensuring that you get as much out of the ISO process as you put into it.