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ISO 9000 quality system certification and its impact on product and process innovation performance

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  • Terziovski, Milé
  • Guerrero, Jose-Luis

Abstract

ISO 9000 quality system certification has been widely applied around the world, but with mixed success. A review of the literature revealed gaps in research in this area of quality/operations management, particularly in the empirical testing of the effects of ISO 9000 certification on innovation performance. This study examines the impact of ISO 9000 certification on product and process innovation performance of 220 Australian organizations. Our results show that ISO 9000 certification does not have a statistically significant relationship with product innovation performance measures such time-to-market (TTM) of new products. ISO 9000 certification tends to drive out variance increasing activities, which in turn affects the organization׳s ability to innovate. Conversely, ISO 9000 certification has a positive and significant impact on process innovation performance measures such as restructuring and application of the internal customer concept. ISO 9000 certified firms are more likely to include restructuring, and to apply the internal customer concept throughout their organization to improve cooperation and to create flatter structures as part of their process innovation activities. The findings of this study have implication for managers and auditing bodies. Managers should exercise caution when choosing processes to certify, and auditing bodies should consider the paradox between product innovation and process innovation in the next revision of the ISO 9000 standard.

Suggested Citation

  • Terziovski, Milé & Guerrero, Jose-Luis, 2014. "ISO 9000 quality system certification and its impact on product and process innovation performance," International Journal of Production Economics, Elsevier, vol. 158(C), pages 197-207.
  • Handle: RePEc:eee:proeco:v:158:y:2014:i:c:p:197-207
    DOI: 10.1016/j.ijpe.2014.08.011
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    References listed on IDEAS

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    Cited by:

    1. Paunov, Caroline, 2016. "Corruption's asymmetric impacts on firm innovation," Journal of Development Economics, Elsevier, vol. 118(C), pages 216-231.
    2. repec:spr:scient:v:111:y:2017:i:3:d:10.1007_s11192-017-2345-7 is not listed on IDEAS
    3. repec:eee:proeco:v:196:y:2018:i:c:p:248-260 is not listed on IDEAS
    4. Lee, DonHee & Rho, Boo-Ho & Yoon, Seong No, 2015. "Effect of investments in manufacturing practices on process efficiency and organizational performance," International Journal of Production Economics, Elsevier, vol. 162(C), pages 45-54.
    5. repec:eee:respol:v:46:y:2017:i:8:p:1505-1518 is not listed on IDEAS
    6. Manders, Basak & de Vries, Henk J. & Blind, Knut, 2016. "ISO 9001 and product innovation: A literature review and research framework," Technovation, Elsevier, vol. 48, pages 41-55.
    7. Cui, Yu & Jiao, Jie & Jiao, Hao, 2016. "Technological innovation in Brazil, Russia, India, China, and South Africa (BRICS): An organizational ecology perspective," Technological Forecasting and Social Change, Elsevier, vol. 107(C), pages 28-36.
    8. repec:eee:proeco:v:200:y:2018:i:c:p:1-14 is not listed on IDEAS
    9. Paunov C., 2014. "Democratizing intellectual property systems : how corruption hinders equal opportunities for firms," MERIT Working Papers 077, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    10. Ng, Stephen C.H. & Rungtusanatham, Johnny M. & Zhao, Xiande & Lee, T.S., 2015. "Examining process management via the lens of exploitation and exploration: Reconceptualization and scale development," International Journal of Production Economics, Elsevier, vol. 163(C), pages 1-15.
    11. repec:eee:wdevel:v:97:y:2017:i:c:p:79-101 is not listed on IDEAS
    12. Federico Bernini & Lucas Figal Garone & Alessandro Maffioli, 2017. "Certificación internacional de calidad: ¿Señalizando a quién?: Impacto en el desempeño de empresas en Argentina," IDB Publications (Working Papers) 97438, Inter-American Development Bank.
    13. Castka, Pavel & Prajogo, Daniel & Sohal, Amrik & Yeung, Andy C.L., 2015. "Understanding firms׳ selection of their ISO 9000 third-party certifiers," International Journal of Production Economics, Elsevier, vol. 162(C), pages 125-133.
    14. Cosmin DOBRIN & Adriana GIRNEATA & Mihaela MASCU (UDA) & Oana CROITORU, 2015. "Quality: A Determinant Factor Of Competitiveness – The Evolution Of Iso Certifications For Management Systems," Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 9(1), pages 1062-1073, November.

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