This week, I had a chance to get introduced to the very new energy management standard - BS EN 16001:2009 Energy Management Systems - Requirements with guidance for use. This standard has been published on 31st July 2009.
BS EN 16001 represents the latest best practices in energy management building upon existing national standards and initiatives. The standard specifies the requirements for an EnMS to enable an organization to develop and implement a policy, identify significant areas of energy consumption and target energy reductions.
Introduction of this standard is quite significant in the present global scenario. Let me share my views:
1. Energy now a day has become so important to an organisation as well as to the society; it was much needed to pay some more attention towards it. Though organisations were reducing energy through their own cost cutting initiatives or under ISO 14001, which was not really a focused approach. Two very vital resources - Energy and Water was getting lost within the paradigm of pollution. The EnMS will rightly serve the purpose to prioritize energy on the corporate agenda.
2. Organisations were conducting Energy Audits – few for improvement and many to comply with legal requirement. The reports could not find a place on the CEO’s agenda & get dumped on the EHS manager’s table. Now at least Energy audit will find some relevance and the isolation will hopefully converted to Plan – Do - Check – Act of improvement.
3. Organisations who are working towards Green House Gas emission reduction can relate their activities in a more harmonized way with Energy Management System.
4. Corporate Social Responsibility (CSR) is on a top priority agenda of many corporate. Certification to EnMS will strengthen the organization’s claim of Energy Management in their Sustainability Reporting.
5. Last but not the least, it paves the way to the forthcoming ISO 50001 on Energy Management which is expected to launch during December 2010.
Features:
Key features of the standard include:
1. The need for an Energy Policy that shall be a statement of commitment towards achieving improved energy performance.
2. The need to identify and review Energy Aspects; elements of an organisation's operation that can affect energy use.
3. The need to produce Energy Objectives and Targets, which it will aim to achieve through use of Energy Management Programs.
Energy management encompasses a full range of issues, including those with strategic and competitive implications.
Demonstration of successful implementation of this Standard can be used by an organisation to assure interested parties that an appropriate energy management system is in place.
The standard is meant to help organizations save on energy costs and reduce their greenhouse gas (GHG) emissions.
It is intended to apply to all types and sizes of organizations and to accommodate diverse geographical, cultural and social conditions. This standard applies to the activities under the control of an organization. This standard for energy management systems can be used independently or integrated with any other management system. To facilitate its use, the structure of this standard is similar to the structure of ISO 14001.
Benefits
The overall aim of this European standard is to help organizations establish the systems and processes necessary to improve energy efficiency. This should lead to reductions in cost and greenhouse gas emissions through systematic management of energy. This standard specifies requirements for an energy management system to enable an organization to develop and implement a policy and objectives which take into account legal requirements and information about significant energy aspects.
Who can go for it?
BS EN 16001 applies to any organization that wishes to:
a) Improve energy performance in a systematic way
b) Establish, implement, maintain and improve an energy management system
c) Ensure that it conforms with its stated energy policy
d) Demonstrate such conformance to others
e) Seek certification of its energy management system by an external organization
f) Make a self-evaluation and self-declaration of conformance with the standard
Contents:
BS EN 16001 is based on a methodology known as plan-do-check-act. The requirements necessary to implement the standard include:
Plan: Identify energy aspects and legal obligations; establish energy objectives and targets.
Do: Assign resources and responsibilities; raise organizational awareness and provide training; communicate internally and externally; establish documentation; implement operational controls.
Check: Establish the monitoring of energy management programs; evaluate compliance with legal obligations; identify and manage non-conformance; control records; carry out internal audits of the energy management system.
Act: Review of energy management systems by management resulting in potential changes.
Structure of the Standard:
Foreword
Introduction
1 Scope
2 Terms and definitions
3 Energy management system requirements
3.1 General requirements
3.2 Energy policy
3.3 Planning
3.3.1 Identification and review of energy aspects
3.3.2 Legal obligations and other requirements
3.3.3 Energy objectives, targets and programme(s)
3.4 Implementation and operation
3.4.1 Resources, roles, responsibility and authority
3.4.2 Awareness, training and competence
3.4.3 Communication
3.4.4 Energy management system documentation
3.4.5 Control of documents
3.4.6 Operational control
3.5 Checking
3.5.1 Monitoring and measurement
3.5.2 Evaluation of compliance
3.5.3 Nonconformity, corrective action and preventive action
3.5.4 Control of records
3.5.5 Internal audit of the energy management system
3.6 Review of the energy management system by top management
3.6.1 General
3.6.2 Inputs to management review
3.6.3 Outputs from management review
Annex A (informative) Guidance on the use of this European standard
A.1 General requirements
A.2 Energy policy
A.3 Planning
A.3.1 Identification and review of energy aspects
A.3.2 Legal obligations and other requirements
A.3.3 Energy objectives, targets and programme(s)
A.4 Implementation and operation
A.4.1 Resources, roles, responsibility and authority
A.4.2 Awareness, training and competence
A.4.3 Communication
A.4.4 Energy management system documentation
A.4.5 Control of documents
A.4.6 Operational control
A.5 Checking
A.5.1 Monitoring and measurement
A.5.2 Evaluation of compliance
A.5.3 Nonconformity, corrective action and preventive action
A.5.4 Control of records
A.5.5 Internal audit of the energy management system
A.6 Review of the energy management system by top management
Bibliography
Future:
One more standard on energy management is also knocking at the door – yes, I am talking about the one from ISO stable – ISO 50001. This will be released during December 2010.
ISO has also identified energy management as a priority area. The work will be carried out in a new ISO committee PC 242 Energy Management. The American National Standards Institute (ANSI) will serve as the committee Secretariat in partnership with Associação Brasileira de Normas Técnicas (ABNT). ISO 50001 will establish an international framework for industrial plants or entire companies to manage all aspects of energy, including procurement and use. The standard will provide organizations and companies with technical and management strategies to increase energy efficiency, reduce costs, and improve environmental performance
Thursday, September 3, 2009
ISO 50001 – Management System Standard for Energy
Recently I have come across couple of initiatives like seminars, training programs and conclave on Energy Management. So far, energy management has been a part of ISO 14001 (EMS) or an isolated effort through Energy Audit. Though most of the times, the efforts end up with replacing few lamps to CFL and switching off the ACs and lights when you are not in the room / workplace.
Interestingly, this is the first time, things are happening in a logical and structured manner.
GHG emissions are under scanner and organisations are working to reduce them (along with substantial financial benefits from Carbon Credit in the developing countries). I
SO 50001 - Energy Management Standard is under development and
BS EN 16001 - Energy Management Standard has been released on 31st August 2009.
Let’s start with ISO 50001.
ISO has identified energy management as a priority area meriting the development and promotion of International Standards. Effective energy management is a priority focus because of the significant potential to save energy and reduce greenhouse gas (GHG) emissions worldwide. As per Mr. Alan Bryden, ISO Secretary-General - “The urgency to reduce GHG emissions, the reality of higher prices from reduced availability of fossil fuels, and the need to promote efficiency and the use of renewable energy sources provide a strong rationale for developing this new standard, building on the most advanced good practices and existing national or regional standards.”
In my opinion, this development will initiate a new global approach to systematically address energy performance in organizations – pragmatically addressing energy efficiency and related climate change impacts. The future ISO 50001 will establish a framework for industrial plants, commercial facilities or entire organizations to manage energy. This will be next step of BS EN 16001- 2009. An energy management standard is expected to achieve major, long-term increases in energy efficiency. ISO 50001 implementation is expected to address what the organization does to effectively manage energy resources and performance that is relevant to global standards.
As per the industry analysts, targeting broad applicability across national economic sectors, the standard could influence up to 60 % of the world’s energy use.
The new standard will consider common elements found in all of ISO’s management system standards. This will ensure maximum compatibility with key standards such as ISO 9001 for quality management and ISO 14001 for environmental management.
The project committee is working towards an ambitious schedule and aims to have ISO 50001 ready for publication by the end of 2010.
Background:
Discussions between US experts and the American National Standards Institute (ANSI) led to a formal proposal for ISO to establish a committee on this subject. In February 2008, the Technical Management Board of ISO approved the establishment of a new project committee (ISO/PC 242 – Energy Management) to develop the new ISO Management System Standard for Energy. Early on, the United Nations Industrial Development Organization (UNIDO) recognized industry’s need to mount an effective response to climate change and to the proliferation of national energy management standards. In March 2007, UNIDO hosted a meeting of experts, including representatives from the ISO Central Secretariat and nations that have adopted energy management standards. That meeting led to submission of a UNIDO communication to the ISO Central Secretariat requesting that ISO consider undertaking work on an international energy management standard.
The work will be carried out in a new ISO committee PC 242 Energy Management. The American National Standards Institute (ANSI) will serve as the committee Secretariat in partnership with Associação Brasileira de Normas Técnicas (ABNT). ISO 50001 will establish an international framework for industrial plants or entire companies to manage all aspects of energy, including procurement and use. The standard will provide organizations and companies with technical and management strategies to increase energy efficiency, reduce costs, and improve environmental performance
Content:
The standard is expected to address issue like:
• measuring, reporting, benchmarking energy use improvements.
• assess energy improvement projects impact on GHG emissions.
• create transparency in the management of energy resources.
• evaluate the improvements in implementation of energy efficient technologies.
• validate continuous improvement in energy management.
• promoting a framework for efficient use of energy in the organization.
• helping organizations make a better use of their energy assets.
• helping in procurement practices for energy using equipment and systems.
• emphasis management's commitment to energy use and efficiency.
Future:
Corporations, supply chain partnerships, utilities, energy service companies, and others are expected to use ISO 50001 as a tool to reduce energy intensity use and carbon emissions in their own facilities (as well as those belonging to their customers or suppliers) and to benchmark their achievements.
The future standard will provide organizations and companies with a recognized framework for integrating energy efficiency into their management practices. Multi-national organizations will have access to a single, harmonized standard for implementation across the organization with a logical and consistent methodology for identifying and implementing energy efficiency improvements.
Let’s hope for the best.
Interestingly, this is the first time, things are happening in a logical and structured manner.
GHG emissions are under scanner and organisations are working to reduce them (along with substantial financial benefits from Carbon Credit in the developing countries). I
SO 50001 - Energy Management Standard is under development and
BS EN 16001 - Energy Management Standard has been released on 31st August 2009.
Let’s start with ISO 50001.
ISO has identified energy management as a priority area meriting the development and promotion of International Standards. Effective energy management is a priority focus because of the significant potential to save energy and reduce greenhouse gas (GHG) emissions worldwide. As per Mr. Alan Bryden, ISO Secretary-General - “The urgency to reduce GHG emissions, the reality of higher prices from reduced availability of fossil fuels, and the need to promote efficiency and the use of renewable energy sources provide a strong rationale for developing this new standard, building on the most advanced good practices and existing national or regional standards.”
In my opinion, this development will initiate a new global approach to systematically address energy performance in organizations – pragmatically addressing energy efficiency and related climate change impacts. The future ISO 50001 will establish a framework for industrial plants, commercial facilities or entire organizations to manage energy. This will be next step of BS EN 16001- 2009. An energy management standard is expected to achieve major, long-term increases in energy efficiency. ISO 50001 implementation is expected to address what the organization does to effectively manage energy resources and performance that is relevant to global standards.
As per the industry analysts, targeting broad applicability across national economic sectors, the standard could influence up to 60 % of the world’s energy use.
The new standard will consider common elements found in all of ISO’s management system standards. This will ensure maximum compatibility with key standards such as ISO 9001 for quality management and ISO 14001 for environmental management.
The project committee is working towards an ambitious schedule and aims to have ISO 50001 ready for publication by the end of 2010.
Background:
Discussions between US experts and the American National Standards Institute (ANSI) led to a formal proposal for ISO to establish a committee on this subject. In February 2008, the Technical Management Board of ISO approved the establishment of a new project committee (ISO/PC 242 – Energy Management) to develop the new ISO Management System Standard for Energy. Early on, the United Nations Industrial Development Organization (UNIDO) recognized industry’s need to mount an effective response to climate change and to the proliferation of national energy management standards. In March 2007, UNIDO hosted a meeting of experts, including representatives from the ISO Central Secretariat and nations that have adopted energy management standards. That meeting led to submission of a UNIDO communication to the ISO Central Secretariat requesting that ISO consider undertaking work on an international energy management standard.
The work will be carried out in a new ISO committee PC 242 Energy Management. The American National Standards Institute (ANSI) will serve as the committee Secretariat in partnership with Associação Brasileira de Normas Técnicas (ABNT). ISO 50001 will establish an international framework for industrial plants or entire companies to manage all aspects of energy, including procurement and use. The standard will provide organizations and companies with technical and management strategies to increase energy efficiency, reduce costs, and improve environmental performance
Content:
The standard is expected to address issue like:
• measuring, reporting, benchmarking energy use improvements.
• assess energy improvement projects impact on GHG emissions.
• create transparency in the management of energy resources.
• evaluate the improvements in implementation of energy efficient technologies.
• validate continuous improvement in energy management.
• promoting a framework for efficient use of energy in the organization.
• helping organizations make a better use of their energy assets.
• helping in procurement practices for energy using equipment and systems.
• emphasis management's commitment to energy use and efficiency.
Future:
Corporations, supply chain partnerships, utilities, energy service companies, and others are expected to use ISO 50001 as a tool to reduce energy intensity use and carbon emissions in their own facilities (as well as those belonging to their customers or suppliers) and to benchmark their achievements.
The future standard will provide organizations and companies with a recognized framework for integrating energy efficiency into their management practices. Multi-national organizations will have access to a single, harmonized standard for implementation across the organization with a logical and consistent methodology for identifying and implementing energy efficiency improvements.
Let’s hope for the best.
Sunday, August 30, 2009
Quality Management System Documentation
During my visit to different organisations, I get one common question: “How to optimize our documentation”? Most of the time the organisations are overburdened with huge documentation load where I find a major portion is either repetition or not required.
In my opinion, the QMS documentation of a Quality Management System must address two major issues:
· Shall be in line with the size of the organisation and complexity of the processes
· The need for the amount and detail of documentation required must be more relevant to the desired results of the organization’s process activities.
Organizations (and in particular small organizations) may be able to demonstrate conformity without the need for extensive documentation
Management should define the documentation needed to implement, maintain, and improve the quality management system. This documentation may include:
· Policy documents (including the quality manual)
· Process Mapping - Documentation for the control of processes
· Work instructions for specific job tasks
· Standard formats for data collection and reporting
Level 1: ISO 9001 Quality Manual
The quality manual, sometimes referred to as the policy manual, typically includes:
• Organization Quality policy and Objectives • Any exclusions of ISO 9001 requirements and related justification• Overview of the organization and its functions (processes)• Overview of its products, services, and sites• Sequence and interaction of the processes• Management responsibility for policies and processes• Inclusion or references to the next documentation level (procedures)
The quality manual is useful to:• Customers - provides assurance• External auditors - facilitates the audit• Employees - useful as a training aid
The quality manual must be approved by management and placed under document control. Generally it is structured in the order of the ISO 9001 clauses.
Level 2: ISO 9001 Quality System Procedures
· Describes the who, what, when, and where of the quality system processes
· Describes the inter-departmental controls that address the ISO 9001 requirements
· Should include six mandatory procedures as required by ISO 9001:2008
· May be in ISO 9001 order or any order practical to the company
· Should describe the process flow, linkages, combination and interaction among departments
· Should reference the lower level documentation (operational documentation)
· Should involve participation of department personnel in writing them
· Must be available, known, and used by pertinent personnel
· Must be kept up to date and changes controlled
Level 3: Operational documentation (Also known as Work Instruction / OCP - Operation Control Procedure / Protocols / Methods)
· Explains details of specific tasks or activities – the how of performing a specific task, making or verifying process and product activities
· Includes documents such as quality plans, forms, drawings, flowcharts, workmanship standards, work instructions, product or service specifications, machine manuals, visual displays, computer templates, photographs, and illustrations
· Need for documentation may be based on the complexity of products or processes, skills, training, education, stability of the work force, past problems, customer and regulatory requirements, industry standards, and requirements
· Must be available, known, and used by pertinent personnel
· Must be kept up to date and changes controlled
Level 4: Records
· Provide objective evidence that quality activities were carried out and results achieved in accordance with levels 1, 2, and 3 documentation
· May be mandatory or implied for each ISO 9001 clause
· May have records beyond ISO 9001 requirements (if organisation or customers require so)
· Examples are records of inspection, calibration, management review, training, audit reports, design review, purchasing, and nonconforming product reports
In my opinion, the QMS documentation of a Quality Management System must address two major issues:
· Shall be in line with the size of the organisation and complexity of the processes
· The need for the amount and detail of documentation required must be more relevant to the desired results of the organization’s process activities.
Organizations (and in particular small organizations) may be able to demonstrate conformity without the need for extensive documentation
Management should define the documentation needed to implement, maintain, and improve the quality management system. This documentation may include:
· Policy documents (including the quality manual)
· Process Mapping - Documentation for the control of processes
· Work instructions for specific job tasks
· Standard formats for data collection and reporting
Level 1: ISO 9001 Quality Manual
The quality manual, sometimes referred to as the policy manual, typically includes:
• Organization Quality policy and Objectives • Any exclusions of ISO 9001 requirements and related justification• Overview of the organization and its functions (processes)• Overview of its products, services, and sites• Sequence and interaction of the processes• Management responsibility for policies and processes• Inclusion or references to the next documentation level (procedures)
The quality manual is useful to:• Customers - provides assurance• External auditors - facilitates the audit• Employees - useful as a training aid
The quality manual must be approved by management and placed under document control. Generally it is structured in the order of the ISO 9001 clauses.
Level 2: ISO 9001 Quality System Procedures
· Describes the who, what, when, and where of the quality system processes
· Describes the inter-departmental controls that address the ISO 9001 requirements
· Should include six mandatory procedures as required by ISO 9001:2008
· May be in ISO 9001 order or any order practical to the company
· Should describe the process flow, linkages, combination and interaction among departments
· Should reference the lower level documentation (operational documentation)
· Should involve participation of department personnel in writing them
· Must be available, known, and used by pertinent personnel
· Must be kept up to date and changes controlled
Level 3: Operational documentation (Also known as Work Instruction / OCP - Operation Control Procedure / Protocols / Methods)
· Explains details of specific tasks or activities – the how of performing a specific task, making or verifying process and product activities
· Includes documents such as quality plans, forms, drawings, flowcharts, workmanship standards, work instructions, product or service specifications, machine manuals, visual displays, computer templates, photographs, and illustrations
· Need for documentation may be based on the complexity of products or processes, skills, training, education, stability of the work force, past problems, customer and regulatory requirements, industry standards, and requirements
· Must be available, known, and used by pertinent personnel
· Must be kept up to date and changes controlled
Level 4: Records
· Provide objective evidence that quality activities were carried out and results achieved in accordance with levels 1, 2, and 3 documentation
· May be mandatory or implied for each ISO 9001 clause
· May have records beyond ISO 9001 requirements (if organisation or customers require so)
· Examples are records of inspection, calibration, management review, training, audit reports, design review, purchasing, and nonconforming product reports
Thursday, August 27, 2009
Introduction to ISO
What is ISO?
The International Organization for Standardization (ISO) is a worldwide federation of national standards bodies from some 168 countries, one from each country.
ISO is a non-governmental organization established in 1947. The mission of ISO is to promote the development of standardization and related activities in the world with a view to facilitating the international exchange of goods and services, and to developing cooperation in the spheres of intellectual, scientific, technological and economic activity.
ISO's work results in international agreements which are published as International Standards.
Many people will have noticed a seeming lack of correspondence between the official title when used in full, International Organization for Standardization, and the short form, ISO. Shouldn't the acronym be "IOS"? Yes, if it were an acronym – which it is not.
In fact, "ISO" is a word, derived from the Greek “isos”, meaning "equal", which is the root of the prefix "iso-" that occurs in a host of terms, such as "isometric" (of equal measure or dimensions) and "isonomy" (equality of laws, or of people before the law).
From "equal" to "standard", the line of thinking that led to the choice of "ISO" as the name of the organization is easy to follow. Whatever the country, the short form of the Organization's name is always ISO.
Why is international standardization needed?
The existence of non-harmonized standards for similar technologies in different countries or regions can contribute to so-called "technical barriers to trade". Export-minded industries have long sensed the need to agree on world standards to help rationalize the international trading process. This was the origin of the establishment of ISO.
International standardization is well-established for many technologies in such diverse fields as information processing and communications, textiles, packaging, distribution of goods, energy production and utilization, shipbuilding, banking and financial services. It will continue to grow in importance for all sectors of industrial activity for the foreseeable future.
Industry-wide standardization is a condition existing within a particular industrial sector when the large majority of products or services conform to the same standards. It results from consensus agreements reached between all economic players in that industrial sector - suppliers, users, and often governments. They agree on specifications and criteria to be applied consistently in the choice and classification of materials, the manufacture of products, and the provision of services. The aim is to facilitate trade, exchange and technology transfer through:
· enhanced product quality and reliability at a reasonable price;
· improved health, safety and environmental protection, and reduction of waste;
· greater compatibility and interoperability of goods and services;
· simplification for improved usability;
· reduction in the number of models, and thus reduction in costs;
· increased distribution efficiency, and ease of maintenance.
Users have more confidence in products and services that conform to International Standards. Assurance of conformity can be provided by manufacturers' declarations, or by audits carried out by independent bodies.
ISO's achievements
Below are some examples of ISO standards that have been widely adopted, giving clear benefits to industry, trade and consumers.
· The ISO film speed code, among many other photographic equipment standards, has been adopted worldwide making things simpler for the general user.
· Standardization of the format of telephone and banking cards means the cards can be used worldwide.
· Tens of thousands of businesses are implementing ISO 9000 which provides a framework for quality management and quality assurance. The ISO 14000 series provides a similar framework for environmental management.
· The internationally standardized freight container enables all components of a transport system - air and seaport facilities, railways, highways, and packages - to interface efficiently. This, combined with standardized documents to identify sensitive or dangerous cargoes makes international trade cheaper, faster and safer.
· m, kg, s, A, K, mol, cd are the symbols representing the seven base units of the universal system of measurement known as SI (Système international d'unités). The SI system is covered by a series of 14 International Standards. Without these standards shopping and trade would be haphazard and technological development would be handicapped.
· Paper sizes. The original standard was published by DIN in 1922. Now used worldwide as ISO 216, standard paper sizes allow economies of scale with cost benefits to both producers and consumers.
· A well-designed symbol conveys a clearcut message in a multilingual world. The same symbols for automobile controls are displayed in cars all over the world, no matter where they are manufactured.
· The ISO international codes for country names, currencies and languages help to eliminate duplication and incompatibilities in the collection, processing and dissemination of information. As resource-saving tools, universally understandable codes play an important role in both automated and manual documentation.
· The diversity of screw threads for identical applications used to represent an important technical obstacle to trade. It caused maintenance problems, and lost or damaged nuts or bolts could not easily be replaced. A global solution is supplied in the ISO standards for ISO metric screw threads.
Who makes up ISO?
ISO is made up of its members which are divided into three categories:
A member body of ISO is the national body "most representative of standardization in its country". Thus, only one body in each country may be admitted to membership of ISO.
Member bodies are entitled to participate and exercise full voting rights on any technical committee and policy committee of ISO.
Who does the work?
The technical work of ISO is highly decentralized, carried out in a hierarchy of some 2 850 technical committees, subcommittees and working groups. In these committees, qualified representatives of industry, research institutes, government authorities, consumer bodies, and international organizations from all over the world come together as equal partners in the resolution of global standardization problems. Some 30 000 experts participate in meetings each year.
What fields are covered?
The scope of ISO is not limited to any particular branch; it covers all technical fields except electrical and electronic engineering, which is the responsibility of IEC. The work in the field of information technology is carried out by a joint ISO/IEC technical committee (JTC 1).
How are ISO standards developed?
ISO standards are developed according to the following principles:
· ConsensusThe views of all interests are taken into account: manufacturers, vendors and users, consumer groups, testing laboratories, governments, engineering professions and research organizations.
· Industry-wideGlobal solutions to satisfy industries and customers worldwide.
· VoluntaryInternational standardization is market-driven and therefore based on voluntary involvement of all interests in the market-place.
There are three main phases in the ISO standards development process.
The need for a standard is usually expressed by an industry sector, which communicates this need to a national member body. The latter proposes the new work item to ISO as a whole. Once the need for an International Standard has been recognized and formally agreed, the first phase involves definition of the technical scope of the future standard. This phase is usually carried out in working groups which comprise technical experts from countries interested in the subject matter.
Once agreement has been reached on which technical aspects are to be covered in the standard, a second phase is entered during which countries negotiate the detailed specifications within the standard. This is the consensus-building phase.
The final phase comprises the formal approval of the resulting draft International Standard (the acceptance criteria stipulate approval by two-thirds of the ISO members that have participated actively in the standards development process, and approval by 75 % of all members that vote), following which the agreed text is published as an ISO International Standard.
Most standards require periodic revision. Several factors combine to render a standard out of date: technological evolution, new methods and materials, new quality and safety requirements. To take account of these factors, ISO has established the general rule that all ISO standards should be reviewed at intervals of not more than five years. On occasion, it is necessary to revise a standard earlier.
How is ISO's work financed?
The financing of ISO closely reflects its decentralized mode of operation with, on the one hand, the financing of the Central Secretariat activities and, on the other hand, the financing of the technical work as such.
The financing of the Central Secretariat derives from member subscriptions (80 %) and revenues from the sale of the Organization's standards and other publications (20 %).
How it all started
International standardization began in the electrotechnical field: the International Electrotechnical Commission (IEC) was created in 1906. Pioneering work in other fields was carried out by the International Federation of the National Standardizing Associations (ISA), which was set up in 1926. The emphasis within ISA was laid heavily on mechanical engineering.
ISA's activities ceased in 1942, owing to the Second World War. Following a meeting in London in 1946, delegates from 25 countries decided to create a new international organization "the object of which would be to facilitate the international coordination and unification of industrial standards". The new organization, ISO, began to function officially on 23 February 1947.
The first ISO standard was published in 1951 with the title, "Standard reference temperature for industrial length measurement".
Extract from www.iso.org
The International Organization for Standardization (ISO) is a worldwide federation of national standards bodies from some 168 countries, one from each country.
ISO is a non-governmental organization established in 1947. The mission of ISO is to promote the development of standardization and related activities in the world with a view to facilitating the international exchange of goods and services, and to developing cooperation in the spheres of intellectual, scientific, technological and economic activity.
ISO's work results in international agreements which are published as International Standards.
Many people will have noticed a seeming lack of correspondence between the official title when used in full, International Organization for Standardization, and the short form, ISO. Shouldn't the acronym be "IOS"? Yes, if it were an acronym – which it is not.
In fact, "ISO" is a word, derived from the Greek “isos”, meaning "equal", which is the root of the prefix "iso-" that occurs in a host of terms, such as "isometric" (of equal measure or dimensions) and "isonomy" (equality of laws, or of people before the law).
From "equal" to "standard", the line of thinking that led to the choice of "ISO" as the name of the organization is easy to follow. Whatever the country, the short form of the Organization's name is always ISO.
Why is international standardization needed?
The existence of non-harmonized standards for similar technologies in different countries or regions can contribute to so-called "technical barriers to trade". Export-minded industries have long sensed the need to agree on world standards to help rationalize the international trading process. This was the origin of the establishment of ISO.
International standardization is well-established for many technologies in such diverse fields as information processing and communications, textiles, packaging, distribution of goods, energy production and utilization, shipbuilding, banking and financial services. It will continue to grow in importance for all sectors of industrial activity for the foreseeable future.
Industry-wide standardization is a condition existing within a particular industrial sector when the large majority of products or services conform to the same standards. It results from consensus agreements reached between all economic players in that industrial sector - suppliers, users, and often governments. They agree on specifications and criteria to be applied consistently in the choice and classification of materials, the manufacture of products, and the provision of services. The aim is to facilitate trade, exchange and technology transfer through:
· enhanced product quality and reliability at a reasonable price;
· improved health, safety and environmental protection, and reduction of waste;
· greater compatibility and interoperability of goods and services;
· simplification for improved usability;
· reduction in the number of models, and thus reduction in costs;
· increased distribution efficiency, and ease of maintenance.
Users have more confidence in products and services that conform to International Standards. Assurance of conformity can be provided by manufacturers' declarations, or by audits carried out by independent bodies.
ISO's achievements
Below are some examples of ISO standards that have been widely adopted, giving clear benefits to industry, trade and consumers.
· The ISO film speed code, among many other photographic equipment standards, has been adopted worldwide making things simpler for the general user.
· Standardization of the format of telephone and banking cards means the cards can be used worldwide.
· Tens of thousands of businesses are implementing ISO 9000 which provides a framework for quality management and quality assurance. The ISO 14000 series provides a similar framework for environmental management.
· The internationally standardized freight container enables all components of a transport system - air and seaport facilities, railways, highways, and packages - to interface efficiently. This, combined with standardized documents to identify sensitive or dangerous cargoes makes international trade cheaper, faster and safer.
· m, kg, s, A, K, mol, cd are the symbols representing the seven base units of the universal system of measurement known as SI (Système international d'unités). The SI system is covered by a series of 14 International Standards. Without these standards shopping and trade would be haphazard and technological development would be handicapped.
· Paper sizes. The original standard was published by DIN in 1922. Now used worldwide as ISO 216, standard paper sizes allow economies of scale with cost benefits to both producers and consumers.
· A well-designed symbol conveys a clearcut message in a multilingual world. The same symbols for automobile controls are displayed in cars all over the world, no matter where they are manufactured.
· The ISO international codes for country names, currencies and languages help to eliminate duplication and incompatibilities in the collection, processing and dissemination of information. As resource-saving tools, universally understandable codes play an important role in both automated and manual documentation.
· The diversity of screw threads for identical applications used to represent an important technical obstacle to trade. It caused maintenance problems, and lost or damaged nuts or bolts could not easily be replaced. A global solution is supplied in the ISO standards for ISO metric screw threads.
Who makes up ISO?
ISO is made up of its members which are divided into three categories:
A member body of ISO is the national body "most representative of standardization in its country". Thus, only one body in each country may be admitted to membership of ISO.
Member bodies are entitled to participate and exercise full voting rights on any technical committee and policy committee of ISO.
Who does the work?
The technical work of ISO is highly decentralized, carried out in a hierarchy of some 2 850 technical committees, subcommittees and working groups. In these committees, qualified representatives of industry, research institutes, government authorities, consumer bodies, and international organizations from all over the world come together as equal partners in the resolution of global standardization problems. Some 30 000 experts participate in meetings each year.
What fields are covered?
The scope of ISO is not limited to any particular branch; it covers all technical fields except electrical and electronic engineering, which is the responsibility of IEC. The work in the field of information technology is carried out by a joint ISO/IEC technical committee (JTC 1).
How are ISO standards developed?
ISO standards are developed according to the following principles:
· ConsensusThe views of all interests are taken into account: manufacturers, vendors and users, consumer groups, testing laboratories, governments, engineering professions and research organizations.
· Industry-wideGlobal solutions to satisfy industries and customers worldwide.
· VoluntaryInternational standardization is market-driven and therefore based on voluntary involvement of all interests in the market-place.
There are three main phases in the ISO standards development process.
The need for a standard is usually expressed by an industry sector, which communicates this need to a national member body. The latter proposes the new work item to ISO as a whole. Once the need for an International Standard has been recognized and formally agreed, the first phase involves definition of the technical scope of the future standard. This phase is usually carried out in working groups which comprise technical experts from countries interested in the subject matter.
Once agreement has been reached on which technical aspects are to be covered in the standard, a second phase is entered during which countries negotiate the detailed specifications within the standard. This is the consensus-building phase.
The final phase comprises the formal approval of the resulting draft International Standard (the acceptance criteria stipulate approval by two-thirds of the ISO members that have participated actively in the standards development process, and approval by 75 % of all members that vote), following which the agreed text is published as an ISO International Standard.
Most standards require periodic revision. Several factors combine to render a standard out of date: technological evolution, new methods and materials, new quality and safety requirements. To take account of these factors, ISO has established the general rule that all ISO standards should be reviewed at intervals of not more than five years. On occasion, it is necessary to revise a standard earlier.
How is ISO's work financed?
The financing of ISO closely reflects its decentralized mode of operation with, on the one hand, the financing of the Central Secretariat activities and, on the other hand, the financing of the technical work as such.
The financing of the Central Secretariat derives from member subscriptions (80 %) and revenues from the sale of the Organization's standards and other publications (20 %).
How it all started
International standardization began in the electrotechnical field: the International Electrotechnical Commission (IEC) was created in 1906. Pioneering work in other fields was carried out by the International Federation of the National Standardizing Associations (ISA), which was set up in 1926. The emphasis within ISA was laid heavily on mechanical engineering.
ISA's activities ceased in 1942, owing to the Second World War. Following a meeting in London in 1946, delegates from 25 countries decided to create a new international organization "the object of which would be to facilitate the international coordination and unification of industrial standards". The new organization, ISO, began to function officially on 23 February 1947.
The first ISO standard was published in 1951 with the title, "Standard reference temperature for industrial length measurement".
Extract from www.iso.org
Monday, August 24, 2009
ISO Best Practices
To achieve compliance with ISO guidelines, the following best practices should form the basis of all ISO programs:
Establish clearly defined business processes.
The first step in ISO compliance is to clearly define business processes that are essential to quality control. Once these processes are identified and documented, steps can be taken to optimize processes for maximum efficiency.
Conduct detailed internal audits and identify gaps.
An internal audit of all quality and business processes is a good first step towards ISO compliance. The audit will reveal quality gaps and identify process inefficiencies. Once this proactive step is taken, it is important to take corrective action to ensure that all audit issues are addressed in a timely manner.
Conduct quality audits.
Internal audits are a mandatory aspect of ISO compliance. However, organizations interested in becoming a best-in-class company should consider additional external audits to serve as an independent validation and verification of your processeses and look for improvement opportunities.
Establish effective closed-loop corrective and preventive action processes
Once processes are established, an effective closed-loop corrective and preventive action process should be implemented for optimal results. The closed-loop nature of the process ensures that all issues will be addressed and closed as is appropriate.
Define and publish quality control procedures.
Quality standards mandate written quality control procedures. These procedures should be written, approved, and distributed throughout the organization to ensure compliance.
Define quality monitoring processes.
No ISO process is complete without an effective way of monitoring processes. Monitoring is an essential requirement for ISO because it ensures that guidelines are consistently being followed.
Establish continuous improvement guidelines and procedures
The monitoring process will reveal the need for continuous improvement of the product or process governed. Continuous improvement guidelines should be established to ensure that these issues are addressed in the most appropriate manner. These guidelines should be published and distributed to ensure consistency and completeness.
Establish and maintain an effective training program.
ISO compliance also mandates that all affected persons within an organization receive proper training. This is essential to quality assurance and risk mitigation. It is current best practice to automate the training and tracking process to ensure compliance with stated training requirements. Most organizations use training tracking technology to address these requirements.
Implement quality process automation.
As organizations mature in their approach towards ISO compliance, they are seeking to automate ISO-related processes. More importantly, they seek to do this without expensive software customization and professional services.
Drive quality from the top down.
Quality impacts every aspect of business and ultimately affects the client or end user. Thus, it is current best practice to drive ISO initiatives from the very top of the organization to ensure adequate resource allocation where appropriate and enforcement of ISO policies.
Sunday, August 23, 2009
Waste to Wealth
Waste handling in different industries
Wealth from Waste is not a new concept to the companies worldwide. Benefits from waste can be divided into two parts –
1) Waste Minimization program which improves the financial bottom line of the company i.e. reduces cost of operation.
2) Revenue generation models which help the organisation to generate Short Term / Long Term or Continuous income which improves the Financial top line of the organisation.
Challenges:
To convert Linear Flow (Generation – Collection – Transportation – Disposal) to Cyclic Flow
Lack of Attitude
Lack of Structured Approach
Lack of awareness
Drivers:
- Management Commitment
- Waste Management Policy and Objectives
- Building a Waste Management team within the organisation Awareness Encouragement & appreciation to all organisational members including vendors
-
Waste Minimization Programs
Prevention (Reduce)
Waste management starts with the concept of terminate the source of waste generation. The cornerstone of waste management is prevention which means using less material to do the same job, cutting waste before recycling.
Regardless of industry sector, everyone can take advantage of general waste prevention goals, such as double-sided copying, packaging reduction, or switching to reusable supplies.
Some companies go beyond the basics and implemented activities that target industry specific waste materials.
- Reduction in quantity of packaging materials
Buying or Manufacturing Recycled Products (Reuse)
Many companies commit to increasing the overall recycled content in the products they purchase. Manufacturers can either increase the percentage of post consumer content in the products they make or increase the recycled content in the products they purchase.
Buy-recycled activities of companies include:
- Use plastic shipping crates, trays, and bins with recycled content.
- Use recycled-content paperboard packaging.
Recycling Collection (Recycle)
Companies commit to initiating, expanding, or improving company programs to collect recyclables
Recycling Collection activities of companies include:
- Beverage Industry: Collection of pet bottles
- Automobile Industry: Use universal recycling code markings on plastic automobile parts for future dismantling and recycling.
- Compost agricultural byproducts.
Many people think of the concept of Reduce, Re-use, and Recycle as three equal options, but they are instead meant to be a hierarchy, in order of importance.
This distinction is lost on many people. They focus on recycling, but recycling is meant to be the last of those three options. Recycling only comes into the equation when you have something you must dispose of.
If you don’t generate the waste in the first place, then you don’t have to figure out how to deal with it. Many people forget that if you reduce the amount of waste you produce, or re-use it, then you will have also less material to throw out or recycle.
Revenue Framework:
There many revenue models available and being used by several industries successfully. Here, we are discussing two very successful and reasonably moderate technology models:
Biogas (High Methane Content) recovery from waste water systems and utilization for energy generation
Sources of Biogas: Distillery Waste, Municipal Solid Waste, Poultry Litter, Cow Dung, Vegetable Waste
Biomass (agricultural waste) Gasification of and utilization in Energy (Thermal / Electrical) generation
Sources of Biomass: wood chips, rice husk, Saw Dust
Technology:
1) Gas can be directly fired in engines (100% gas based or dual fuel)
2) May be fired directly for thermal application like drying, heat treatment etc.
3) Fired in boilers for steam generations and further used in process
Revenue Sources:
Changing of fossil fuel to renewable biomass – This gives a considerable ( 50 – 60%) reduction in the power cost.
Central Financial Assistance (CFA) for projects of different categories would be given in the form of Capital Subsidy to the promoters Ministry of New & Renewable Energy to the promoters as given below:
Sl. Waste / Processes / Technologies Capital Subsidy
1. Industrial waste to Bio Gas
i) Biomethanation of low energy density and difficult industrial wastes (i.e. dairy, Tannery, sugar(liquid), slaughterhouse, bagasse wash, textile(liquid), paper(liquid) and pharmaceutical industry)
Rs. 1.0 Crore / MWeq (12000 Cu.m biogas per day)
ii) Biomethanation of other industrial waste
Rs. 0.50 Crore / MWeq (12000 Cu.m biogas per day)
2. Power generation from Biogas
i) Boiler + Steam Turbine configuration
Rs. 0.20 Crore / MW
ii) Biogas engine / Turbine configuration
Rs. 1.00 Crore / MW
3. Power generation from solid industrial waste (Boiler + Steam Turbine Configuration)
Rs. 0.20 Crore / MW
CDM (Clean Development Mechanism) Benefit
All these projects when get qualified for Carbon Credit after approval of UNFCCC. That will bring in the opportunity to earn considerable revenue for a period of 10 or 21 years.
For example,
In case of power generation from renewable sources, 3.4 Crores / MW in a period of 10 years is the earning potential considering 10 Euro (Aug 2009 average rate) / Ton of CO2 emission equivalent reduction.
Wealth from Waste is not a new concept to the companies worldwide. Benefits from waste can be divided into two parts –
1) Waste Minimization program which improves the financial bottom line of the company i.e. reduces cost of operation.
2) Revenue generation models which help the organisation to generate Short Term / Long Term or Continuous income which improves the Financial top line of the organisation.
Challenges:
To convert Linear Flow (Generation – Collection – Transportation – Disposal) to Cyclic Flow
Lack of Attitude
Lack of Structured Approach
Lack of awareness
Drivers:
- Management Commitment
- Waste Management Policy and Objectives
- Building a Waste Management team within the organisation Awareness Encouragement & appreciation to all organisational members including vendors
-
Waste Minimization Programs
Prevention (Reduce)
Waste management starts with the concept of terminate the source of waste generation. The cornerstone of waste management is prevention which means using less material to do the same job, cutting waste before recycling.
Regardless of industry sector, everyone can take advantage of general waste prevention goals, such as double-sided copying, packaging reduction, or switching to reusable supplies.
Some companies go beyond the basics and implemented activities that target industry specific waste materials.
- Reduction in quantity of packaging materials
Buying or Manufacturing Recycled Products (Reuse)
Many companies commit to increasing the overall recycled content in the products they purchase. Manufacturers can either increase the percentage of post consumer content in the products they make or increase the recycled content in the products they purchase.
Buy-recycled activities of companies include:
- Use plastic shipping crates, trays, and bins with recycled content.
- Use recycled-content paperboard packaging.
Recycling Collection (Recycle)
Companies commit to initiating, expanding, or improving company programs to collect recyclables
Recycling Collection activities of companies include:
- Beverage Industry: Collection of pet bottles
- Automobile Industry: Use universal recycling code markings on plastic automobile parts for future dismantling and recycling.
- Compost agricultural byproducts.
Many people think of the concept of Reduce, Re-use, and Recycle as three equal options, but they are instead meant to be a hierarchy, in order of importance.
This distinction is lost on many people. They focus on recycling, but recycling is meant to be the last of those three options. Recycling only comes into the equation when you have something you must dispose of.
If you don’t generate the waste in the first place, then you don’t have to figure out how to deal with it. Many people forget that if you reduce the amount of waste you produce, or re-use it, then you will have also less material to throw out or recycle.
Revenue Framework:
There many revenue models available and being used by several industries successfully. Here, we are discussing two very successful and reasonably moderate technology models:
Biogas (High Methane Content) recovery from waste water systems and utilization for energy generation
Sources of Biogas: Distillery Waste, Municipal Solid Waste, Poultry Litter, Cow Dung, Vegetable Waste
Biomass (agricultural waste) Gasification of and utilization in Energy (Thermal / Electrical) generation
Sources of Biomass: wood chips, rice husk, Saw Dust
Technology:
1) Gas can be directly fired in engines (100% gas based or dual fuel)
2) May be fired directly for thermal application like drying, heat treatment etc.
3) Fired in boilers for steam generations and further used in process
Revenue Sources:
Changing of fossil fuel to renewable biomass – This gives a considerable ( 50 – 60%) reduction in the power cost.
Central Financial Assistance (CFA) for projects of different categories would be given in the form of Capital Subsidy to the promoters Ministry of New & Renewable Energy to the promoters as given below:
Sl. Waste / Processes / Technologies Capital Subsidy
1. Industrial waste to Bio Gas
i) Biomethanation of low energy density and difficult industrial wastes (i.e. dairy, Tannery, sugar(liquid), slaughterhouse, bagasse wash, textile(liquid), paper(liquid) and pharmaceutical industry)
Rs. 1.0 Crore / MWeq (12000 Cu.m biogas per day)
ii) Biomethanation of other industrial waste
Rs. 0.50 Crore / MWeq (12000 Cu.m biogas per day)
2. Power generation from Biogas
i) Boiler + Steam Turbine configuration
Rs. 0.20 Crore / MW
ii) Biogas engine / Turbine configuration
Rs. 1.00 Crore / MW
3. Power generation from solid industrial waste (Boiler + Steam Turbine Configuration)
Rs. 0.20 Crore / MW
CDM (Clean Development Mechanism) Benefit
All these projects when get qualified for Carbon Credit after approval of UNFCCC. That will bring in the opportunity to earn considerable revenue for a period of 10 or 21 years.
For example,
In case of power generation from renewable sources, 3.4 Crores / MW in a period of 10 years is the earning potential considering 10 Euro (Aug 2009 average rate) / Ton of CO2 emission equivalent reduction.
Monday, May 11, 2009
TQM Gurus
Last week, again I had a chance to meet the same group of young energetic MBA students of EIILM, Kolkata. We discussed on the contributions of different eminent personalities who have enriched TQM concepts. Let me share the details of the discussions here:
Quality Gurus
To fully understand the TQM movement, we need to look at the philosophies of notable individuals who have shaped the evolution of TQM. Their philosophies and teachings have contributed to our knowledge and understanding of quality today.
Their individual contributions are summarized below.
Walter. A. Shewhart
– Contributed to understanding of process variability.
– Developed concept of statistical control charts.
- Conceptualized the revolutionary Plan- Do – Check – Act Method
Father of Control Chart (SQC)
The Control Chart, also known as the Shewhart chart or process-behavior chart, in statistical process control is a tool used to determine whether a manufacturing or business process is in a state of statistical control or not. This is key to effective process control and improvement and part of the Seven Basic QC Tools. (1924)
Inspection to Process Control (Quality Control)
Influenced W Edwards Deming
Famous Book: "Economic Control of Quality of Manufactured Product." - 1931
Before we discuss further, let me take you back to an incidence in USA…..
Ford Motor Company was simultaneously manufacturing a car model with transmissions made in Japan and the United States. Soon after the car model was on the market, Ford customers were requesting the model with Japanese transmission over the USA-made transmission, and they were willing to wait for the Japanese model.
As both transmissions were made to the same specifications, Ford engineers could not understand the customer preference for the model with Japanese transmission. It delivered smoother performance with a lower defect rate.
Finally, Ford engineers decided to take apart the two different transmissions.
The American-made car parts were all within specified tolerance levels. On the other hand, the Japanese car parts had much closer tolerances than the USA-made parts
e.g. if a part was supposed to be 100 mm long, plus or minus 0.2 mm - then the Japanese parts were within 0.01mm consistently
This made the Japanese cars run more smoothly and customers experienced fewer problems.
Dear readers, let me introduce two more pathfinders who helped Japan to excel in their journey towards industrial reconstruction after World War II – W Edwards Deming and Joseph M Juran
W. Edwards Deming
an American statistician, professor, author, lecturer, and consultant.
Deming made a significant contribution to Japan's later-renown-for innovative high-quality products and its economic power.
Simplified and Popularized PDCA
14 Points of Management
Famous Quote: "The problem is at the top; management is the problem."
Father of TQM
Famous Book: Out of Crisis
Deming’s 14 Points
1) Create constancy of purpose and continual improvement – long term planning must replace short term reaction
2) Adopt the new (Japanese) philosophy – by management and workers alike.
3) Do not depend on (quality) inspection – build quality into the product and process
4) Choose quality suppliers over low cost suppliers – to minimise variation in raw materials and supply.
5) Improve constantly – to reduce variation in all aspects e.g. planning, production, and service.
6) Training on the job – for workers and management, to reduce variation in how job is done.
7) Leadership not supervision – to get people to do a better job, not just meet targets.
Quality Gurus
To fully understand the TQM movement, we need to look at the philosophies of notable individuals who have shaped the evolution of TQM. Their philosophies and teachings have contributed to our knowledge and understanding of quality today.
Their individual contributions are summarized below.
Walter. A. Shewhart
– Contributed to understanding of process variability.
– Developed concept of statistical control charts.
- Conceptualized the revolutionary Plan- Do – Check – Act Method
Father of Control Chart (SQC)
The Control Chart, also known as the Shewhart chart or process-behavior chart, in statistical process control is a tool used to determine whether a manufacturing or business process is in a state of statistical control or not. This is key to effective process control and improvement and part of the Seven Basic QC Tools. (1924)
Inspection to Process Control (Quality Control)
Influenced W Edwards Deming
Famous Book: "Economic Control of Quality of Manufactured Product." - 1931
Before we discuss further, let me take you back to an incidence in USA…..
Ford Motor Company was simultaneously manufacturing a car model with transmissions made in Japan and the United States. Soon after the car model was on the market, Ford customers were requesting the model with Japanese transmission over the USA-made transmission, and they were willing to wait for the Japanese model.
As both transmissions were made to the same specifications, Ford engineers could not understand the customer preference for the model with Japanese transmission. It delivered smoother performance with a lower defect rate.
Finally, Ford engineers decided to take apart the two different transmissions.
The American-made car parts were all within specified tolerance levels. On the other hand, the Japanese car parts had much closer tolerances than the USA-made parts
e.g. if a part was supposed to be 100 mm long, plus or minus 0.2 mm - then the Japanese parts were within 0.01mm consistently
This made the Japanese cars run more smoothly and customers experienced fewer problems.
Dear readers, let me introduce two more pathfinders who helped Japan to excel in their journey towards industrial reconstruction after World War II – W Edwards Deming and Joseph M Juran
W. Edwards Deming
an American statistician, professor, author, lecturer, and consultant.
Deming made a significant contribution to Japan's later-renown-for innovative high-quality products and its economic power.
Simplified and Popularized PDCA
14 Points of Management
Famous Quote: "The problem is at the top; management is the problem."
Father of TQM
Famous Book: Out of Crisis
Deming’s 14 Points
1) Create constancy of purpose and continual improvement – long term planning must replace short term reaction
2) Adopt the new (Japanese) philosophy – by management and workers alike.
3) Do not depend on (quality) inspection – build quality into the product and process
4) Choose quality suppliers over low cost suppliers – to minimise variation in raw materials and supply.
5) Improve constantly – to reduce variation in all aspects e.g. planning, production, and service.
6) Training on the job – for workers and management, to reduce variation in how job is done.
7) Leadership not supervision – to get people to do a better job, not just meet targets.
8) Eliminate fear – encourage two-way communication, encourage employees to work in the organisation’s interest.
9) Break down internal barriers – department’s in an organisation are “internal customers” to each other and must work together.
10) Eliminate slogans (exhortations) – processes make mistakes not people. Management harassment of workers will create bad relations if no effort made to improve processes.
11) Eliminate numerical targets – management by objectives (targets) encourages low quality.
12) Remove barriers to worker satisfaction – including annual appraisals
13) Encourage self improvement and education for all
14) Everyone is responsible for continual improvement in quality and productivity – particularly top management
Joseph M Juran
Born in Romania, 1904
first to incorporate the human aspect of quality management which is referred to as Total Quality Management.
Famous Book:
-Quality Control Handbook
The Union of Japanese Scientists and Engineers invited Dr. Juran to Japan, to teach them the principles of quality management as they rebuilt their economy- Along with W. Edwards Deming.
Juran’s Quality Trilogy
Quality Planning
Identify who are the customers.
Determine the needs of those customers.
Translate those needs into our language.
Develop a product that can respond to those needs.
Optimise the product features so as to meet our needs and customer needs.
Quality Improvement
Develop a process which is able to produce the product.
Optimise the process.
Quality Control
Prove that the process can produce the product under operating conditions with minimal inspection.
Transfer the process to Operations.
A. V. Feigenbaum
Born in 1922
Laid the foundations of modern Quality Control
He devised the concept of Total Quality Control, later known as Total Quality Management (TQM).
Famous book Total Quality Control, first published in 1951 under the title Quality Control: Principles, Practice, and Administration
Feigenbaum is recognized as an innovator in the area of quality cost management.
Costs of Prevention, Appraisal, and Internal and External Failure.
Philip B Crosby
1926 - 2001
Four Absolutes of Quality:
1. The definition of Quality Is Conformance to Requirements , Not As Goodness
2. The System For Causing Quality Is Preventive , Not Appraisal.
3. The Performance Standard Must Be Zero Defect , Not "That’s Close Enough“
4. The Measurement Of Quality Is The Price Of Nonconformance, Not Indexes.
Famous Book: Quality is FreePopularised the term – Cost of poor Quality
Famous Quote: "Do It Right First Time" - DRIFT
Kaoru Ishikawa
Ishikawa contributed the term "Seven Tools of Quality."
These tools are: (1) histograms, (2) cause and effect diagrams, (3) check sheets, (4) Pareto diagrams, (5) graphs, (6) control charts, and (7) scatter diagrams.
Although he did not develop any of these tools, he put them into wide use because they were simple. He believed that 90% of all problems can be solved by the use of simple tools.
A simple tool that Ishikawa developed and put into wide use in Japan is the Quality Circle. This was developed because he believed that "QC begins with the interaction of people."
Quality circles eventually led to the development of team concepts around the world.
ncause and effect diagram (also called the "Ishikawa" or "fishbone" diagram)
CWQC
Ishikawa also believed in the concept of Company Wide Quality Control (CWQC). He felt that CWQC would be used world wide and would improve all countries quality and economy. The basic conditions for successful CWQC are as follows:
All employees should clearly understand the aim of the company in order to introduce and promote CWQC.
The features of CWQC of the whole company, of departments, and of branches should be clarified. People should have confidence in these features.
The effective PDCA (plan-do-check-act) cycle should rotate in the whole company, in branches, in plants, and in workshops for at lease three to five years. Statistical quality and process analyses should be adequately carried out, and upstream control should be developed and effectively used.
The company should have the capability of establishing a long term plan of CWQC and of carrying it out systematically.
The walls between departments-or sectionalism-should be broken down, and cross functional management should be effectively carried out.
Everyone should act with confidence, believing that his or her work will bear fruit.
In addition, the following indices should be used to signify successful CWQC:
Development of new product progresses on schedule.
The percent defective, including rework, is lower than 5 percent one week after the start of mass production.
The product sells very well without customer complaints.
Genichi Taguchi
Born : 1924
The philosophy of off-line quality control
-System design;
-Parameter design; and
-Tolerance design
Innovations in the design of experiments (DoE)
Taguchi revolutionized the manufacturing process in Japan through cost savings
Taguchi Loss Function
Taguchi defines Quality as “the loss imparted by the product to society from the time the product is shipped.”
LOSS = Cost to operate, Failure to function, maintenance and repair cost, customer satisfaction, poor design.
Product to be produced “being within specification”
We will continue this topic of TQM in future and I sincerely extend my thanks to the youth for their keen interest and I trust that they will play a vital role in nation building when they will start serving the industries.
Happy Learning.
Tuesday, May 5, 2009
E-Waste Management
I started my blog with the topic of e-waste. Now I got couple of questions on the E-Waste Management.
Let us start with the legal requirements.
In India, there is no direct legal requirement for E-Waste handling and management. However, several provisions of the existing laws may apply to various aspects of electronic wastes. E-Waste or its constituents fall under both Hazardous and Non-hazardous waste. In case, it is under the scope of ‘The Hazardous Wastes (Management, Handling and Transboundary Movement) Rules, 2008’, we need to treat them as per the legal requirements.
International Situation:
Basel Convention on transboundary movement of hazardous wastes covers E-Wastes under Annex VIII and is considered as hazardous.
European Union (EU): EU member countries have transposed E-Waste definition
Canada: WEEE / e-waste regulations are in the process of being developed in the provincial level.
Japan: E-waste is covered under the two major laws to promote recycling.
USA: E-waste is covered under USEPA
Though most of the developing countries in the world do not have any specific legal requirements on e-waste, no organisation can deny the requirements of e-waste management. All the organisations that practice Environment Management System (ISO 14001) are expected to manage their e-waste responsibly. Here are few practical ways for E-Waste Management.
For the manufacturers of Electrical and Electronic equipment:
Product Life Cycle Analysis (LCA) – reference can be taken from ISO 14000 series of standards like ISO 14041, 14042, 14062 etc. – This will help them to understand the impact of their equipment or components on environment till the end of the product life.
Based on the LCA, the organisation needs to reduce the hazardous components / inputs through an environmentally sensible design. In fact, reduction of environmental impact should be considered as one of the design inputs for Electrical / electronic products / components / equipment.
This promotes the Waste avoidance and waste minimization at source.
RoHS (Restriction of Hazardous Substances) Compliance – Many countries have adopted the RoHS regulations in the manufacturing segments.
Use of Environmentally sound e-waste treatment technologies: Generally they are used at 3 levels:
a) 1st Level Treatment: Decontamination, Dismantling and Segregation
b) 2nd Level Treatment: Hammering, Shredding and Special Treatment processes
c) 2nd Level Treatment: Recovery
The producers may be required to have a centralized facility for e-waste of their brand as Extended Producer Responsibility (EPR). In EPR, producer is responsible for the entire life cycle of the product – especially for take back, recycle and final disposal of the product.
Producers may provide information on the hazardous constituents present in the equipment, detail booklet on disposals and end uses and list of collection centers
For the Users of Electrical and Electronic Components:
Prevention:
An organisation must start with the identification and classification of E-Waste present in the organisation. Once the identification is complete, they can start Inventorisation of E-Waste. This includes understanding of the definition of e-waste and an awareness of the users.
Based on the inventory output, the organisation needs to set some targets to reduce the generation of e-waste.
Minimization of effect:
While choosing the Electrical / electronic components / equipment, the organisation needs to demand the restricted quantity of hazardous substances present in the equipment. Simply ask for RoHS compliant equipment.
Use of EPR: Ensure that while purchasing, you include Extended Producer Responsibility (EPR) in your contract. This will reduce the load of e-waste from the users end and will facilitate Environmentally Sound Treatment (EST) at the producers end
Transfer and promotion of Cleaner technologies: Presently some service providers are available to take your e-waste load and recycle / dispose them in an organized manner.
However, irrespective of the type of organisations we are talking about, we need to remember the following success factors:
1. Top Management Commitment and conviction
2. A structured planning process for e-waste management
3, Understanding of the e-waste generation process throughout the organisation
4. Active Involvement and co-ordination of departments like Design, Purchase, IT and Environment
Let us start with the legal requirements.
In India, there is no direct legal requirement for E-Waste handling and management. However, several provisions of the existing laws may apply to various aspects of electronic wastes. E-Waste or its constituents fall under both Hazardous and Non-hazardous waste. In case, it is under the scope of ‘The Hazardous Wastes (Management, Handling and Transboundary Movement) Rules, 2008’, we need to treat them as per the legal requirements.
International Situation:
Basel Convention on transboundary movement of hazardous wastes covers E-Wastes under Annex VIII and is considered as hazardous.
European Union (EU): EU member countries have transposed E-Waste definition
Canada: WEEE / e-waste regulations are in the process of being developed in the provincial level.
Japan: E-waste is covered under the two major laws to promote recycling.
USA: E-waste is covered under USEPA
Though most of the developing countries in the world do not have any specific legal requirements on e-waste, no organisation can deny the requirements of e-waste management. All the organisations that practice Environment Management System (ISO 14001) are expected to manage their e-waste responsibly. Here are few practical ways for E-Waste Management.
For the manufacturers of Electrical and Electronic equipment:
Product Life Cycle Analysis (LCA) – reference can be taken from ISO 14000 series of standards like ISO 14041, 14042, 14062 etc. – This will help them to understand the impact of their equipment or components on environment till the end of the product life.
Based on the LCA, the organisation needs to reduce the hazardous components / inputs through an environmentally sensible design. In fact, reduction of environmental impact should be considered as one of the design inputs for Electrical / electronic products / components / equipment.
This promotes the Waste avoidance and waste minimization at source.
RoHS (Restriction of Hazardous Substances) Compliance – Many countries have adopted the RoHS regulations in the manufacturing segments.
Use of Environmentally sound e-waste treatment technologies: Generally they are used at 3 levels:
a) 1st Level Treatment: Decontamination, Dismantling and Segregation
b) 2nd Level Treatment: Hammering, Shredding and Special Treatment processes
c) 2nd Level Treatment: Recovery
The producers may be required to have a centralized facility for e-waste of their brand as Extended Producer Responsibility (EPR). In EPR, producer is responsible for the entire life cycle of the product – especially for take back, recycle and final disposal of the product.
Producers may provide information on the hazardous constituents present in the equipment, detail booklet on disposals and end uses and list of collection centers
For the Users of Electrical and Electronic Components:
Prevention:
An organisation must start with the identification and classification of E-Waste present in the organisation. Once the identification is complete, they can start Inventorisation of E-Waste. This includes understanding of the definition of e-waste and an awareness of the users.
Based on the inventory output, the organisation needs to set some targets to reduce the generation of e-waste.
Minimization of effect:
While choosing the Electrical / electronic components / equipment, the organisation needs to demand the restricted quantity of hazardous substances present in the equipment. Simply ask for RoHS compliant equipment.
Use of EPR: Ensure that while purchasing, you include Extended Producer Responsibility (EPR) in your contract. This will reduce the load of e-waste from the users end and will facilitate Environmentally Sound Treatment (EST) at the producers end
Transfer and promotion of Cleaner technologies: Presently some service providers are available to take your e-waste load and recycle / dispose them in an organized manner.
However, irrespective of the type of organisations we are talking about, we need to remember the following success factors:
1. Top Management Commitment and conviction
2. A structured planning process for e-waste management
3, Understanding of the e-waste generation process throughout the organisation
4. Active Involvement and co-ordination of departments like Design, Purchase, IT and Environment
Monday, April 27, 2009
Fundamentals of TQM
What is TQM:
TQM is a management approach for an organization:
- centered on quality (Product, Service, Process & System)
- based on the participation of all its members and
aiming at
- long-term success through customer satisfaction, and
- benefits to all members of the organization and to society.
Definition of Quality
Joseph M. Juan:
Quality is fitness for use or purpose
W. Edwards Deming
A predictable degree of uniformity and dependability at low cost and suited to market
Quantified
Q=P/E
P-Performance E-Expectations
ISO 9000:2005
Quality is the degree to which a set of inherent characteristics fulfills requirements.
Basic Approach towards TQM:
- Committed and involved management to provide long-term top - to - bottom organizational support.
- An unwavering focus on the customer, both internally and externally.
- Effective involvement and utilization of the entire work force. Continuous improvement of the business and production process.
- Treating supplier as partners.
- Establish performance measures for the processes.
Change of Dimension
Quality Product to TQM
Decisions- Short term to Long Term
Emphasis- Detection to Prevention
Errors- Operations to System
Responsibility- QC to Every Body
Problem Solving Managers to Teams
Guru’s of TQM
Walter. A. Shewhart: TQC & PDSA
W. Edwards Deming: 14 Points & PDCA
Joseph M. Juran: Juran’s Trilogy
A. Feiganbaum: Customer requirement, CWQC, Employee, Involvement, TQC.
Kaoru Ishikawa: Disciple of Juran & Feigenbaum. TQC in Japan, SPC, Cause & Effect Diagram, QC.
Philips. B. Crosby: Four Absolutes - Quality - Req, Prevention of NC, Zero Defects & Measure of NC.
Taguchi. G: Loss Function
Obstacles
- Top management commitment
- Changing Organization Culture
- Improper planning
- Continuous Training & Education
- Organization Structure & Departments
- Data’s & Facts For Effective Decisions
- Internal & External Customers-Dissatisfaction
- Empowerment & Teamwork
- Continuous Improvement
Benefits
- Improved Quality
- Employee Participation
- Team Work
- Internal & External Customer Satisfaction
- Productivity ,Communication
- Profitability & Market Share
Introduction to Business Excellence
Business excellence is a very dynamic term which aims at superior levels of performance in all areas of business viz. - Business results, customer focus, leadership, people development, continuous learning, innovation and improvement, management by facts and corporate social responsibility.
Business excellence is not a destination but a continuous journey.
TQM is a management approach for an organization:
- centered on quality (Product, Service, Process & System)
- based on the participation of all its members and
aiming at
- long-term success through customer satisfaction, and
- benefits to all members of the organization and to society.
Definition of Quality
Joseph M. Juan:
Quality is fitness for use or purpose
W. Edwards Deming
A predictable degree of uniformity and dependability at low cost and suited to market
Quantified
Q=P/E
P-Performance E-Expectations
ISO 9000:2005
Quality is the degree to which a set of inherent characteristics fulfills requirements.
Basic Approach towards TQM:
- Committed and involved management to provide long-term top - to - bottom organizational support.
- An unwavering focus on the customer, both internally and externally.
- Effective involvement and utilization of the entire work force. Continuous improvement of the business and production process.
- Treating supplier as partners.
- Establish performance measures for the processes.
Change of Dimension
Quality Product to TQM
Decisions- Short term to Long Term
Emphasis- Detection to Prevention
Errors- Operations to System
Responsibility- QC to Every Body
Problem Solving Managers to Teams
Guru’s of TQM
Walter. A. Shewhart: TQC & PDSA
W. Edwards Deming: 14 Points & PDCA
Joseph M. Juran: Juran’s Trilogy
A. Feiganbaum: Customer requirement, CWQC, Employee, Involvement, TQC.
Kaoru Ishikawa: Disciple of Juran & Feigenbaum. TQC in Japan, SPC, Cause & Effect Diagram, QC.
Philips. B. Crosby: Four Absolutes - Quality - Req, Prevention of NC, Zero Defects & Measure of NC.
Taguchi. G: Loss Function
Obstacles
- Top management commitment
- Changing Organization Culture
- Improper planning
- Continuous Training & Education
- Organization Structure & Departments
- Data’s & Facts For Effective Decisions
- Internal & External Customers-Dissatisfaction
- Empowerment & Teamwork
- Continuous Improvement
Benefits
- Improved Quality
- Employee Participation
- Team Work
- Internal & External Customer Satisfaction
- Productivity ,Communication
- Profitability & Market Share
Introduction to Business Excellence
Business excellence is a very dynamic term which aims at superior levels of performance in all areas of business viz. - Business results, customer focus, leadership, people development, continuous learning, innovation and improvement, management by facts and corporate social responsibility.
Business excellence is not a destination but a continuous journey.
Bridging the Gap - Education and Industry
Yesterday I had a chance to meet a group of young and energetic management students. I was invited by one of the leading B Schools in Kolkata to interact with the students on TQM – Total Quality Management. The energy and interest I have seen among the future corporate managers, I am amazed. In fact, I was on the receiving end and feeling guilty – for not being able to support the students with industry experiences. This effort to inculcate the industry experiences within the academics is really appreciable. This will convert the dreams, thoughts and learning to actions.
“A proper education would help nurture a sense of dignity and self respect among our youth.” That was the vision of our beloved APJ Abdul Kalam. And a proper education is never complete without covering the requirements of the end users.
It was my humble beginning to fire the minds of the young – the future citizens of the country.
Today onwards, I will start writing my experiences in TQM and Business Excellence.
I welcome all sorts of questions through the ‘Comments’.
If any of my readers like to share their industry experiences with us on this topic, please feel free to send the same to my email address (saikatbasu@hotmail.com).
“A proper education would help nurture a sense of dignity and self respect among our youth.” That was the vision of our beloved APJ Abdul Kalam. And a proper education is never complete without covering the requirements of the end users.
It was my humble beginning to fire the minds of the young – the future citizens of the country.
Today onwards, I will start writing my experiences in TQM and Business Excellence.
I welcome all sorts of questions through the ‘Comments’.
If any of my readers like to share their industry experiences with us on this topic, please feel free to send the same to my email address (saikatbasu@hotmail.com).
Sunday, April 19, 2009
CSR Core Issues
Today we will discuss about the core issues of CSR. Practically, four main aspects are emerging out of the diverse approaches to CSR:
1. Human rights
2. Labour (rights)
3. Community (stakeholder involvement is only one part of the company’s responsibility to the community) and
4. Environment.
It is also obvious that the social responsibility of a company cannot be limited to only internal affairs. In a world facing rapid globalisation, actors and institutions have a responsibility that goes far beyond their own home ground. Large multinational corporations as well as small and locally based businesses cannot close their eyes to human rights violations and unacceptable working conditions among suppliers or contract workers in distant parts of the world.
The same is the case for environmentally damaging operations.
The division between internal and external can be somewhat difficult to capture. In our understanding ‘internal’ is related to the condition in the company, while ‘external’ refers to a company’s responsibility within its “sphere of influence”. This might not be a good division for all companies. Many companies operate only in one country and have few relations to other parts of the world. Even if this is the case, there is hardly any company that does not buy raw materials or products from suppliers in other countries. However, the responsibility for the local community in which the company operates should not be forgotten and is a central element of corporate social responsibility. Therefore, the internal-external dimension is relevant also for businesses based in a western country with few ties to third world actors.
1. Human rights
2. Labour (rights)
3. Community (stakeholder involvement is only one part of the company’s responsibility to the community) and
4. Environment.
It is also obvious that the social responsibility of a company cannot be limited to only internal affairs. In a world facing rapid globalisation, actors and institutions have a responsibility that goes far beyond their own home ground. Large multinational corporations as well as small and locally based businesses cannot close their eyes to human rights violations and unacceptable working conditions among suppliers or contract workers in distant parts of the world.
The same is the case for environmentally damaging operations.
The division between internal and external can be somewhat difficult to capture. In our understanding ‘internal’ is related to the condition in the company, while ‘external’ refers to a company’s responsibility within its “sphere of influence”. This might not be a good division for all companies. Many companies operate only in one country and have few relations to other parts of the world. Even if this is the case, there is hardly any company that does not buy raw materials or products from suppliers in other countries. However, the responsibility for the local community in which the company operates should not be forgotten and is a central element of corporate social responsibility. Therefore, the internal-external dimension is relevant also for businesses based in a western country with few ties to third world actors.
Thursday, April 16, 2009
SA 8000 and its relationship with CSR
Part 3:
This article of mine is in response to the question asked by one of my blog viewer regading SA 8000 and its relationship with CSR.
Yes, they are related but to understand the difference, let me discuss SA 8000 first.
SOCIAL ACCOUNTABILITY 8000 is a comprehensive, global, verifiable standard for auditing and certifying compliance with social responsibility. The latest revision has been published in 2008. It is applicable to both small and large companies that want to demonstrate to customers and other stakeholders that they care. The heart of the standard is the belief that all workplaces should be managed in such a manner that basic human rights are supported and that management is prepared to accept accountability for this.
The intent of SA8000 is to provide a standard based on international human rights norms and national labour laws that will protect and empower all personnel within a company’s scope of control and influence, who produce products or provide services for that company, including personnel employed by the company itself, as well as by its suppliers/subcontractors, sub-suppliers, and home workers.
SA8000 is verifiable through an evidenced-based process. Its requirements apply universally, regardless of a company’s size, geographic location, or industry sector. Complying with the requirements for social accountability of this standard will enable a company to:
a) Develop, maintain, and enforce policies and procedures in order to manage those issues which it can control or influence
b) Credibly demonstrate to interested parties that existing company policies, procedures, and practices conform to the requirements of this standard.
An international perspective:
The standard was initiated by Social Accountability International (SAI). SAI is a non-profit organisation dedicated to the development, implementation, and oversight of voluntary verifiable social accountability standards.
The standard was developed and field-tested by the non-profit Council on Economic Priorities (CEP), and assisted by an international Advisory Board including representatives of prominent corporations, human rights organisations, certification professionals, academics, and labour.
Incorporating international labour rights:
The standard is based on a number of existing international human rights standards including the United Nation's Universal Declaration of Human Rights and the UN Convention on the Rights of the Child. SA 8000 provides transparent, measurable, verifiable standards for certifying the performance of companies in nine essential areas:
1. Child Labour
2. Forced and Compulsory Labour
3. Health and Safety
4. Freedom of Association & Right to Collective Bargaining
5. Discrimination
6. Disciplinary Practices
7. Working Hours
8. Remuneration
9. Management Systems
An organisation certified to SA 8000 requirements proves that their Social Accountability System has been measured against a best practice standard and found compliant.
Issued by a third party certification body, the certificate lets customers know they can trust that you have implemented the necessary internal processes to ensure basic human rights for your employees.
SA 8000 and CSR:
Compliance to SA 8000 standard will ensure part compliance to Corporate Social Responsibility (CSR) requirements. SA 8000 primarily helps in managing and improving quality of life of the employees and their families who are part of a bigger society.
It will be worth mentioning here that SA 8000 certification does not really mean CSR compliance rather it initiates a journey towards CSR.
This article of mine is in response to the question asked by one of my blog viewer regading SA 8000 and its relationship with CSR.
Yes, they are related but to understand the difference, let me discuss SA 8000 first.
SOCIAL ACCOUNTABILITY 8000 is a comprehensive, global, verifiable standard for auditing and certifying compliance with social responsibility. The latest revision has been published in 2008. It is applicable to both small and large companies that want to demonstrate to customers and other stakeholders that they care. The heart of the standard is the belief that all workplaces should be managed in such a manner that basic human rights are supported and that management is prepared to accept accountability for this.
The intent of SA8000 is to provide a standard based on international human rights norms and national labour laws that will protect and empower all personnel within a company’s scope of control and influence, who produce products or provide services for that company, including personnel employed by the company itself, as well as by its suppliers/subcontractors, sub-suppliers, and home workers.
SA8000 is verifiable through an evidenced-based process. Its requirements apply universally, regardless of a company’s size, geographic location, or industry sector. Complying with the requirements for social accountability of this standard will enable a company to:
a) Develop, maintain, and enforce policies and procedures in order to manage those issues which it can control or influence
b) Credibly demonstrate to interested parties that existing company policies, procedures, and practices conform to the requirements of this standard.
An international perspective:
The standard was initiated by Social Accountability International (SAI). SAI is a non-profit organisation dedicated to the development, implementation, and oversight of voluntary verifiable social accountability standards.
The standard was developed and field-tested by the non-profit Council on Economic Priorities (CEP), and assisted by an international Advisory Board including representatives of prominent corporations, human rights organisations, certification professionals, academics, and labour.
Incorporating international labour rights:
The standard is based on a number of existing international human rights standards including the United Nation's Universal Declaration of Human Rights and the UN Convention on the Rights of the Child. SA 8000 provides transparent, measurable, verifiable standards for certifying the performance of companies in nine essential areas:
1. Child Labour
2. Forced and Compulsory Labour
3. Health and Safety
4. Freedom of Association & Right to Collective Bargaining
5. Discrimination
6. Disciplinary Practices
7. Working Hours
8. Remuneration
9. Management Systems
An organisation certified to SA 8000 requirements proves that their Social Accountability System has been measured against a best practice standard and found compliant.
Issued by a third party certification body, the certificate lets customers know they can trust that you have implemented the necessary internal processes to ensure basic human rights for your employees.
SA 8000 and CSR:
Compliance to SA 8000 standard will ensure part compliance to Corporate Social Responsibility (CSR) requirements. SA 8000 primarily helps in managing and improving quality of life of the employees and their families who are part of a bigger society.
It will be worth mentioning here that SA 8000 certification does not really mean CSR compliance rather it initiates a journey towards CSR.
Monday, April 13, 2009
Sustainability Reporting - AA1000 Series of Standards
Sustainability Reporting
The AA1000 AccountAbility “Principles” standard is for organizations who want to implement Sustainability Management Systems - criteria for robust sustainability reporting. While, the AA1000 “Assurance” Standard provides a best practice approach to Sustainability Report Assurance, which helps to improve the external credibility of sustainability reporting and adds significant value to the reporting organization.
AccountAbility is a global non-profit network, established in 1995 to promote accountability innovations that advance sustainable development. AccountAbility works with business, government and civil society organisations to advance responsible business practices and the governance of collaborations between public and private institutions.
AccounAbility launched the AA1000 AA (Assurance Standard) and AA1000 APS (Accountability Principles Standard) in London on Oct 24, 2008.
AA1000 Series of Standards
AccountAbility's standards, the AA1000 Series, are principles-based standards for helping organisations become more accountable, responsible and sustainable.
They are for use by any type of organisation from multinational businesses, to SMEs, governments and civil society organisations. These standards are developed through multi-stakeholder consultation processes which ensure they are written for those they impact, not just those who may gain from them.
The AA1000 Series consists of:
AA1000 AccountAbility Principles Standard
(AA1000 APS) 2008 provide a better framework for an organisation to use in order to better identify, understand, prioritise and respond to its sustainability challenges.
AA1000 Assurance Standard
(AA1000 AS) 2008 is used to provide assurance on publicly available sustainability information, particularly CSR / Sustainability reports.
For more information: please visit http://www.accountability21.net/
The AA1000 AccountAbility “Principles” standard is for organizations who want to implement Sustainability Management Systems - criteria for robust sustainability reporting. While, the AA1000 “Assurance” Standard provides a best practice approach to Sustainability Report Assurance, which helps to improve the external credibility of sustainability reporting and adds significant value to the reporting organization.
AccountAbility is a global non-profit network, established in 1995 to promote accountability innovations that advance sustainable development. AccountAbility works with business, government and civil society organisations to advance responsible business practices and the governance of collaborations between public and private institutions.
AccounAbility launched the AA1000 AA (Assurance Standard) and AA1000 APS (Accountability Principles Standard) in London on Oct 24, 2008.
AA1000 Series of Standards
AccountAbility's standards, the AA1000 Series, are principles-based standards for helping organisations become more accountable, responsible and sustainable.
They are for use by any type of organisation from multinational businesses, to SMEs, governments and civil society organisations. These standards are developed through multi-stakeholder consultation processes which ensure they are written for those they impact, not just those who may gain from them.
The AA1000 Series consists of:
AA1000 AccountAbility Principles Standard
(AA1000 APS) 2008 provide a better framework for an organisation to use in order to better identify, understand, prioritise and respond to its sustainability challenges.
AA1000 Assurance Standard
(AA1000 AS) 2008 is used to provide assurance on publicly available sustainability information, particularly CSR / Sustainability reports.
For more information: please visit http://www.accountability21.net/
Sunday, April 12, 2009
ISO 26000 - Social Responsibility
Part 2: ISO 26000
I got few questions through email and the blog this week on ISO 26000. Many of you must be thinking – one more standard?
Let us have a panoramic view on this issue.
The International Organization for Standardization (ISO) has decided to launch the development of an international standard providing guidelines for social responsibility.
ISO 26000 contains guidance, not requirements, and therefore will not be for use as a certification standard like ISO 9001:2008 and ISO 14001:2004.
There are many stakeholders for this standard – industry, government, labour, consumers, nongovernmental organizations and Service, support, research & others. Actually, when a standard is published from the ISO stable, there is lot of expectations among the stakeholders. Present days, an ISO standard is almost synonymous with:
Use of best practice developed by existing public and private sector initiatives and effort to harmonize most of the available standards on Social Responsibility.
Global recognition
Designed to be implemented worldwide.
To substantiate these expectations, ISO 26000 will represent terms and conditions which will imply global recognition and a common basis for all actors engaged in these issues. It will be consistent with and complement relevant declarations and conventions by the United Nations and its constituents, notably the International Labour Organization (ILO), with whom ISO has established a Memorandum of Understanding (MoU) to ensure consistency with ILO labour standards. ISO has also signed an MoU with the United Nations Global Compact Office (UNGCO) to enhance their cooperation on the development of ISO 26000 and with the Organisation for Economic Co-operation and Development (OECD) to ensure consistency with OECD guidelines.
The guidance standard is expected to be published in 2010 as ISO 26000 and be voluntary to use. It will neither be a certifiable standard, nor a management system standard, but a guiding standard applicable to all organisations – companies, non-governmental organisation, government bodies, and more.
The key topics in the document are:
Environment
Human rights and labour practices
Organisational governance and fair operating practices, and
Consumer issues and community involvement/society development.
The detailed content of ISO 26000 will evolve throughout its development process. The current (1st July 2008) working document covers the following :
Foreword
Introduction
1 Scope
2 Terms and definitions
3 Understanding social responsibility
4 Principles of social responsibility
5 Recognizing social responsibility and engaging stakeholders
6 Guidance on social responsibility core subjects
7 Guidance on implementing practices of social responsibility
Annex A – Social responsibility initiatives
Bibliography
Index
ISO 26000 will add value to existing initiatives for social responsibility by providing harmonized, globally relevant guidance based on international consensus among expert representatives of the main stakeholder groups and so encourage the implementation of best practice in social responsibility worldwide.
For more information on ISO 26000 and the ISO Working Group on Social Responsibility: www.iso.org/sr
Friday, April 10, 2009
Food for thought
I remember a famous quote by Mr. Warren Buffett - “It’s only when the tide goes out that you learn who’s been swimming naked”
Now the tide is over. Economic meltdown, Inflation and Financial crisis are around the corner and many organizations are exposed. They are challenged to change.
Change is upon us. Actually change is always upon us, but in recent times the intensity of change appears to have accelerated a lot.
You ask - what does it really mean? I say it is not only the cost cut (sometimes in a very silly way like reduction in canteen menu), but to improve. Improvement is required in Product, Service, Process and System – improvement everywhere.
Let us declare war with all our might against 3 ‘I’s & 3 ‘R’s.
- Inefficiency, Ineffectiveness & Inconsistency
- Repair, Rework & Rejection
Inflation precedes prosperity.
Let us reduce our unwanted losses all across the organizational processes and get prepared for the future. We need to understand the future need of the customer & the market to build our organization robust.That is the start of journey towards excellence – Business Excellence.
Now the tide is over. Economic meltdown, Inflation and Financial crisis are around the corner and many organizations are exposed. They are challenged to change.
Change is upon us. Actually change is always upon us, but in recent times the intensity of change appears to have accelerated a lot.
You ask - what does it really mean? I say it is not only the cost cut (sometimes in a very silly way like reduction in canteen menu), but to improve. Improvement is required in Product, Service, Process and System – improvement everywhere.
Let us declare war with all our might against 3 ‘I’s & 3 ‘R’s.
- Inefficiency, Ineffectiveness & Inconsistency
- Repair, Rework & Rejection
Inflation precedes prosperity.
Let us reduce our unwanted losses all across the organizational processes and get prepared for the future. We need to understand the future need of the customer & the market to build our organization robust.That is the start of journey towards excellence – Business Excellence.
Wednesday, April 8, 2009
CSR (Corporate Social Responsibility) - A Journey from Shareholder to Stakeholder
Part 1. What is CSR ?
Exercising Corporate Social Responsibility (CSR) means to strive for balance between the Environmental, Social, and Economic performance of your business.
World Business Council for Sustainable Development (WBCSD)'s definition of CSR:
“Corporate social responsibility is the commitment of business to contribute to sustainable economic development, working with employees, their families, the local community and society at large to improve their quality of life.”
Corporate Social Responsibility (CSR) can be understood as a company's strategy on how to work towards sustainable development.
In brief:
• CSR involves increased efforts to align corporate goals with those of society
• CSR implies profitability being judged by a longer time frame
Will be continued....
Exercising Corporate Social Responsibility (CSR) means to strive for balance between the Environmental, Social, and Economic performance of your business.
World Business Council for Sustainable Development (WBCSD)'s definition of CSR:
“Corporate social responsibility is the commitment of business to contribute to sustainable economic development, working with employees, their families, the local community and society at large to improve their quality of life.”
Corporate Social Responsibility (CSR) can be understood as a company's strategy on how to work towards sustainable development.
In brief:
• CSR involves increased efforts to align corporate goals with those of society
• CSR implies profitability being judged by a longer time frame
Will be continued....
E-waste
Waste Electrical and Electronic Eqipment or WEEE or e-waste is one of the fastest growing waste streams in the world.
Some of the notable items under this category include computers, printers, mobile phones, refrigerators, televisions, almost all electronic and many of the electrical equipment.
In developing countries, it accounts for 0.01% to 1% of the total municipal solid waste generation.
Concerns:
1. E-waste contains more than 1000 different substances, which fall under hazardous and non-hazardous categories.
2. Commonly present Hazardous materials are lead, mercury, arsenic, cadmium, selenium, hexavalent chromium and flame returdants beyond threshold limit.
3. In India there is no regulation for collection, treatment recycling and disposal of e-waste. MoEf has recently published guidelines on e-waste management
Opportunity:
1. Huge potential for revenue generation as it contains heavy metals, including some precious ones.
Books for reading: W-WASTE Implications, regulations and management in India by Rakesh Johri
Some of the notable items under this category include computers, printers, mobile phones, refrigerators, televisions, almost all electronic and many of the electrical equipment.
In developing countries, it accounts for 0.01% to 1% of the total municipal solid waste generation.
Concerns:
1. E-waste contains more than 1000 different substances, which fall under hazardous and non-hazardous categories.
2. Commonly present Hazardous materials are lead, mercury, arsenic, cadmium, selenium, hexavalent chromium and flame returdants beyond threshold limit.
3. In India there is no regulation for collection, treatment recycling and disposal of e-waste. MoEf has recently published guidelines on e-waste management
Opportunity:
1. Huge potential for revenue generation as it contains heavy metals, including some precious ones.
Books for reading: W-WASTE Implications, regulations and management in India by Rakesh Johri
Sunday, April 5, 2009
Welcome
Hi All,
I am starting my Blog today, 5th of April 2009.
Why I have started Blogging? The main purpose is to share and communicate our understanding, knowledge and experiences with likeminded people.
Saikat
I am starting my Blog today, 5th of April 2009.
Why I have started Blogging? The main purpose is to share and communicate our understanding, knowledge and experiences with likeminded people.
Saikat
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