Evaluating the implementation of quality management system ISO 9000 in the manufacturing industry- Case Study Royal Swaziland Sugar Corporation.

Abstract

ABSTRACT Several academic studies have been done on quality managements systems including ISO 9000 to evaluate the systems effectiveness to improve organizational performances, which can lead to overall organizational profitability. Royal Swaziland Sugar Corporation (RSSC) is ISO 9000 certified and has implemented the system for the past 12 years, due to customers’ requirements. The aim of this study was to evaluate if RSSC attained the ISO systems perceived benefits; which includes customers’ satisfaction and enhanced performance which leads to increase in organizational profitability. For this study a quantitative approach was used and the primary data was gathered through a survey method. Secondary data was obtained from archived Cane and Mill data (A Business intelligent systems) to relate the organization performance prior and after ISO certification. Simple random sampling technique was used with a sample size of 278 participants out of a population of 1000 people. The research instrument was online closed structured questionnaires and the respond rate was 69.78 %. The major findings showed that RSSC has implemented all the ISO standards principles as per the regulation, including the key generic critical factors. However, RSSC has not achieved organizational performance improvements because the management has not established quality culture which was in context of RSSC working environment. The performance indicators were below the set targets and these shows a great deviation from the systems principles. Although the documentation for monitoring the process were in place, this proofs the high level of bureaucracy that employees were not motivated and they simple follow the standard operations without becoming innovative. The results also show a high staff turnover because majority of the employees, 33% have been in the organization less than 5 years meaning internal customers were not satisfied. Furthermore, there was no significant increments on the level of external customer satisfaction from the longitudinal survey. The study recommended that RSSC management ought to enhance understanding of the quality ISO system as well as improving the internal aspects through continuous dialogue with the employees. Thereafter a new relevant quality culture can be developed and the organization can achieve the perceived enhancement in the overall performance which would led to increase in market shares, resulting in increasing profitability.