ISO 9001 IMPLEMENTATION IN A TEXTILE

COMPANY: THE GREEK PARADIGM

N.A. Vlachos1, K.A. Daskalaki2, I.A. Spiropoulou2 and S.V. Paras1,* 1 Department of Chemical Engineering

and Chemical Process Engineering Research Institute Aristotle University of Thessaloniki

Univ. Box 455, GR 540 06, Thessaloniki, GREECE

2 Cotton Fields Makedonia S.A. 8, Mouschounti Str., GR 551 34, Kalamaria, Thessaloniki, GREECE

March 2000

* To whom correspondence should be addressed. Tel: +30-31-996174; Fax: +30-31-996209; E-mail: paras@vergina.eng.auth.gr

ISO 9001 IMPLEMENTATION IN A TEXTILE COMPANY:

THE GREEK PARADIGM

Abstract. This study deals with the implementation of the ISO 9001 guide-

lines in a medium sized manufacturing company of the Greek textile and clothing

industry. Particular reference is made to certain clauses of the 20-element structure

of ISO 9001 quality assurance system. ISO 9001 certification is becoming a prin-

cipal competitive factor for Greek textile companies. Considerable organisational

effort and expertise are needed as a prerequisite in order to develop an applicable

as well as an efficient quality assurance system. The whole process may be too

time consuming and expensive, especially for small and medium sized enterprises

(SME), which are considered to be the backbone of Greek economy. However, in

the work presented here, it is clearly demonstrated that the benefits of implement-

ing ISO 9001, such as competitiveness improvement, quality awareness, greater

efficiency and operating cost reduction, outweigh its shortcomings and pitfalls.

Keywords: ISO 9001, implementation, quality management, textile industry

2

Introduction

In the last decade, people worldwide are witnessing a rapid expansion of

global competition in quality. Juran (1993) predicts that while the 20th century has

been considered the century of productivity, the 21st century will be the century of

quality. In 1987, the International Organisation for Standardisation issued the ISO

9000 series documents, comprised of a rather comprehensive set of standards and

guidelines for a quality assurance system. ISO 9000 is actually an introductory

document, which provides a statement of purpose. A business organisation is not

certified to ISO 9000 but to any of its quality system models, i.e. ISO 9001, 9002

or 9003.

ISO 9001, written also by the International Organisation for Standardisation

(Geneva, 1994), is a system model for quality assurance in design, development,

production, installation and servicing. Due to the fact that ISO 9001 standards are

generic to all enterprises of manufacturing and services, they pose a great chal-

lenge to any company attempting to apply these standards to their operations

and/or to the industries to which they belong. According to Gillespie (1998), the

first step in order to succeed in implementing ISO 9000 is to fully realise what this

quality system is and what it requires. Critical questions arise with regard to ISO

9001 terms and how these terms can be related to the specific enterprise environ-

ment. Therefore, the standards need to be interpreted for different business enter-

prises with relevance to their unique nature. Suzik (1999) stated clearly, that there

3

is no cookbook approach to adopting the ISO tools. Therefore, each company

should create its own recipe in order to implement a successful quality methodol-

ogy.

In particular, the textile industry poses an even greater challenge as far as the

implementation of the ISO 9001 quality assurance system is concerned. This is at-

tributed to the fact that textile companies are particularly diverse having distinct

characteristics, regarding processes employed and materials used, workforce size

and sophistication of working practices as well. According to Hawkyard and

McShane (1994), these distinguishing characteristics make management in the tex-

tile and clothing industry challenging and insecure as well. In addition to that,

there is a common perception among small and medium sized enterprises that total

quality management and continuous improvement processes should be pursued

only by large organisations (Struebing & Klaus, 1997). This is also the case with

the Greek textile industry, which is comprised mainly of small and medium sized

companies. Moreover, many Greek enterprisers who are involved in the textile

business, stand with considerable scepticism with regard to the ISO 9001 imple-

mentation difficulties, even though they seem to accept its usefulness and general

contribution to progress. There is anxiety that ISO 9001 standards dictate how a

business should be run and that successful working practices may have to be al-

tered. According to Tsiotras & Gotzamani (1996), the implementation of ISO 9000

standards in Greece has been delayed due to the lack of adequate information

about them and the fact that the benefits of such application can not be directly

4

measured or quantified. However, the aggressive competitiveness and the inclu-

sion of ISO registration within the EU procedures, prompted Greek enterprisers to

seek this certification for their products and/or services.

The primary objective of this study, is to tackle some of the aforementioned

problems and to remedy the deficiencies as regards the development of an applica-

ble (for a textile company) quality assurance system, based on the ISO 9001 guid-

ance documents. Another objective is to assess the problems of this task and to

provide with the appropriate means required to effectively surmount them.

In the following, the case study of ISO 9001 implementation in a textile com-

pany is outlined first, and the main results drawn are presented and discussed next.

Case study: implementation of ISO 9001 in a Greek textile and

clothing company

The company under study is a manufacturing firm of knitwear, considered to

be a representative case of the Greek textile and clothing industry. It employs a

well-trained and experienced personnel of 125 people in its 3500 m2 premises and

about 200 people as subcontractors. The firm is divided in six basic departments;

namely, management, R & D, sales and client service, production planning, export

department (the company’s activities are mostly export oriented) and financial de-

partment. Although this company’s policy focuses on the factor “quality” as re-

gards the fabric, the making, the styling of the garment and the attached services as

well, its quality system has atrophied.

5

As with any goal, there are certain steps one must take in order to achieve the

objective, which in this case is the successful implementation of the ISO 9001

quality assurance system. The first and most critical step for this task is getting top

management commitment. Lack of true management commitment is the predomi-

nate reason for the failure of many quality programs (e.g. Smith, 1991; Marash,

1993; Tsiotras & Gotzamani, 1996; Gillespie, 1998; etc.). Clause 4.1 of ISO 9001

standards clearly refers to the need for upper management commitment to quality.

It should be translated in actions (including periodic management reviews of the

quality system) and not just verbal assurances and requires time, resources and any

kind of support needed for the task. Such commitment was defined and demon-

strated by this company’s statement of quality policy, being in accordance with the

primary target that the product should always meet the customer’s needs. Accord-

ing to this policy, company’s top management accepts fully the quality assurance

system, ensures that it will be implemented and maintained at all levels of the or-

ganisation and provides the appropriate means for adequate employees training.

The latter is considered to be of major importance, especially in the case of Greek

textile industry, where there is lack of experienced in quality matters personnel.

Clause 4.18 refers to training of all employees performing activities that affect

quality. ISO 9001 implementation offered to this company the opportunity for a

systematic approach to personnel training. Seminars, short courses and educational

programs concerning quality systems were conducted, whereas regarding new em-

6

ployees, interviews, evaluations and introductory training by more experienced

personnel were practices that the company’s management fully adopted.

A well-defined organisation chart was established to clear up the responsibili-

ties and the interrelation of all personnel. It is noteworthy that poor organisational

structure is a common case in Greek textile companies. Nevertheless, one can not

change the whole operation overnight. He must take under serious consideration

the existing structure and culture of his organisation and give time to various de-

partments to completely assimilate the new quality requirements. In the new or-

ganisation chart, a quality assurance manager was assigned to act as a representa-

tive of the administration with regards to quality matters. The quality assurance

manager together with a designated 4-people ISO steering group conducted the

employees training programs (mentioned before) and practically guided the effort

of implementing the requirements of the ISO 9001 standards.

After reviewing the company’s existing quality system and assessing its pro-

cedures, the next step was the documentation of a quality assurance system accord-

ing to the ISO 9001 standards. The process of documentation is the most time con-

suming portion of implementation and the principal factor when seeking ISO reg-

istration. The creation of a quality plan and a quality manual, consistent with the

requirements of this International standard (see clause 4.2), was achieved by

documenting all the processes; first reviewing and revising the existing processes

and then creating new ones when needed. Moreover, specific references to work

instructions were included therein. According to Wetton (1995), in a small organi-

7

sation it is very important to use familiar language and to write as simple as possi-

ble, covering the essentials. In this way the procedures are not complicated and can

be easily understood by all the employees. These guidelines followed when docu-

menting the processes of the textile company under study. The written document

has four levels:

• quality manual, which refers to the company’s quality policy and organisational

structure. The policy concerning the 20 clauses of the ISO 9001 standards is

clearly laid out in the manual, as well as a list of parties responsible for ensur-

ing that this policy is applied. This manual also serves as an effective marketing

tool with regard to company’s potential customers.

• quality procedures manual, which refers to all documented processes, defining

activities and responsibilities.

• quality work instructions manual, which defines how all production and quality

control activities within the company are performed. Simplified examples and

charts are included to ensure that work instructions are well understood by the

employees.

• the fourth level includes various forms and miscellaneous documents related to

the requirements of the quality assurance system and to those of the company’s

customers as well.

It should be emphasised that all personnel has been intimately involved in the

creation of the quality procedures, thus enhancing the possibility to successfully

pass an external audit. Involvement of the company’s employees in the whole

8

process was greatly encouraged and a continuous co-operation with the quality as-

surance department was established. This is considered to be a prerequisite to at-

tain total quality management (TQM). Furthermore, employees participated ac-

tively in internal quality audits (see clause 4.17). The latter were scheduled and

conducted on a regular basis for all procedures to ensure compliance with ISO

9001 standards. A 6-people team of assigned internal auditors under the supervi-

sion and guidance of the quality assurance manager conducted these audits. It

should be pointed out that the internal quality audits combined with the implemen-

tation of corrective and preventive actions for eliminating the causes of non-

conformities (see clause 4.14) resulted in a significant operating cost reduction. It

is noteworthy that in accordance to clause 4.12, procedures were established for

appropriate labelling of both conforming and non-conforming products (i.e. green

and red labels respectively were employed, whereas a yellow label marked the

products which have not undergone inspection). Moreover, all rejections (both in-

ternal and external) were recorded and constructively analysed.

With regards to the production processes, certain actions were made in accor-

dance to clause 4.9. It should be stated that the basic production processes of this

company are cutting, sewing, ironing, quality control and packing. Each depart-

ment of production planning is equipped with suitable technological devices, con-

tributing to the better control and organisation of its work. For all the processes,

well-documented procedures have been created, clearly describing the controlled

conditions under which these production processes are carried out by trained per-

9

sonnel. In addition, documented work instructions with emphasis on effective

equipment maintenance were created to meet this International standard’s require-

ments. Thus, continuing process capability is protected and operating costs are

minimised.

One of the main problems inherent to many Greek textile companies, that had

to be surmounted by the ISO 9001 quality assurance system, is the fact that a con-

tract and/or an order is seldom thoroughly reviewed before being accepted. Clause

4.3 refers to that contract review. In the process of implementing ISO 9001, the

company established documented procedures in order to ensure its capability to

meet the contract requirements, as defined by the customers. The latter were ad-

vised to include all the necessary details in their written orders, thus making them

as specific as possible. Following these procedures, an order was accepted after be-

ing reviewed first by the sales and client service department and found to be within

the company’s production capabilities, i.e. rate of production and prior obligations

to other clients.

Finally, it should be pointed out that the development of suppliers’ evaluation

criteria for continuous monitoring of their performance, the application of statisti-

cal techniques for controlling product characteristics, the collecting and filing of

the quality records and generally the implementation of all twenty clauses sup-

ported full compliance to the ISO 9001 standards.

10

Results and discussion

In principal, there are two primary driving forces for an organisation to pursue

ISO registration; i.e. to achieve marketing objectives or quality goals. According to

the authors’ experience, stemming from the ISO 9001 implementation in this par-

ticular textile and clothing company, both reasons were greatly served by such an

endeavour. As already mentioned, the company’s activities are mainly export ori-

ented, aiming to the strong and healthy markets of W. Europe. Moreover, ISO reg-

istration is rapidly becoming a de facto market requirement for any company

wishes to do business with the EU. Therefore, the will and determination of this

company’s top management to successfully implement the ISO 9001 standards,

improved markedly the company’s competitiveness. Considering ISO 9001 to be a

novel management methodology, its implementation served as an effective means

to institute modern managerial methods and to adopt a new philosophy that refuses

to accept defects, aiming always to meet the customer’s requirements. This quality

assurance system also used as a tool to find the operational problems of the textile

company under study and to provide with the appropriate means not only to suc-

cessfully solve them but to make continuous improvements as well. As a result,

operating costs were significantly reduced. This reduction came from greater effi-

ciency and less redundancy and waste (the rejection level has dropped by 10%).

Providing vigorous and ongoing training and education to all employees rendered

them more effective and productive as well. In general, ISO 9001 implementation

11

offered a strong competitive advantage, which improved the company’s name in

the market and facilitated the efforts undertaken for penetration to new markets.

As far as the quality factor is concerned, implementing ISO 9001 standards re-

sulted to the undisputed fact that the company’s employees became more quality

aware. This increased sensitivity in quality matters cascaded down through the

whole organisation. Therefore, a drastic change in company’s culture regarding

quality was achieved. The latter is considered to be quite important, when referring

to Greek companies, usually run by managers who have not yet fully comprehend

the purpose served by the development of quality assurance systems. Another

merit that stemmed from the ISO implementation in this textile company was the

observed growing and vivid interest shown by the company’s subcontractors in

quality matters. The company set the example for other business organisations to

follow and to adopt a new quality policy based on ISO standards.

Regarding to the difficulties of implementing ISO 9001 standards, it should be

pointed out that it took a gruelling and tedious preparation for such a task. Twenty

months was the implementation period. Especially in Greece, the fact that there is

a rather poor sensitivity of companies’ personnel in quality matters hindered the

whole process. Senior management had to provide the resources, both time and

money, for a project that its magnitude was not fully realised. Existing operational

practices and organisational structures had to undergo significant changes accord-

ing to the ISO 9001 requirements. Moreover, the lack of experience in quality as-

surance systems created additional problems and disappointment. In addition, it

12

should be noticed that for small and medium sized businesses, as is the case with

this textile company, the cost of ISO 9001 implementation might prove to be diffi-

cult to afford.

However, accepting the new quality philosophy and focusing on the target of

becoming ISO certified will provide the means to overcome these difficulties.

Time, patience and perseverance were great allies to this endeavour. As time pro-

gressed the problems were diminished and the company has already begun to reap

the benefits of the ISO 9001 implementation.

13

Concluding remarks

In this study, the implementation of ISO 9001 standards in a Greek textile

company was presented. Assessing both the benefits and the difficulties of such a

task, analysed above, it is safe to conclude that the development and the implemen-

tation of an applicable quality assurance system, though not mandatory, is of great

importance. This study also suggests that work on the development of an expert

system, which will run on a microcomputer platform, may be quite rewarding in

assisting textile companies seeking compliance to ISO 9001 quality assurance sys-

tem. The implementation of ISO 9001 in the textile company under study, could

serve as an additional bright example for other small and medium sized Greek en-

terprises to be ISO certified and more quality aware. The latter is unequivocally

considered to have a major positive impact on Greek economy, in general. This

also applies to other countries with poor “quality culture” and with an economy

based on SME.

However, it should be emphasised that getting ISO registration should by no

means be considered as the end of the quality journey. The ISO standards ensure

some level of quality consistency and not higher quality. Bryce (1991) stated that

continuous improvement means continuous change, since the status is never quo.

Otherwise, the quality system will collapse and fail. The unrelenting quality pur-

suit suggests that we have to view ISO implementation as the key to achieve total

quality management (TQM).

14

15

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