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Quality Management and Job Quality: How the ISO 9001 Standard forQuality Management Systems Affects Employees and Employers

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  • Levine, David I.
  • Toffel, Michael W.

Abstract

Several studies have examined how the ISO 9001 Quality Management System standard affects organizational outcomes such as profits. This is the first large-scale study to examine its effects on employee outcomes such as employment, earnings, and health and safety. We analyzed a matched sample of nearly 1,000 companies in California. ISO 9001 adopters subsequently had farlower organizational death rates than a matched control group of non-adopters. Among surviving employers, ISO adopters realized higher rates of growth of sales, employment, payroll, and average annual earnings. Injury rates also declined slightly at ISO 9001 adopters, although total injury costs did not. These results have implications for organizational theory, managers, and public policy.

Suggested Citation

  • Levine, David I. & Toffel, Michael W., 2008. "Quality Management and Job Quality: How the ISO 9001 Standard forQuality Management Systems Affects Employees and Employers," Institute for Research on Labor and Employment, Working Paper Series qt4p91h717, Institute of Industrial Relations, UC Berkeley.
  • Handle: RePEc:cdl:indrel:qt4p91h717
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    References listed on IDEAS

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    Cited by:

    1. Juan Miguel Gallego & Luis H. Gutiérrez, 2017. "Quality Management System and Firm Performance in an Emerging Economy: The Case of Colombian Manufacturing Industries," IDB Publications (Working Papers) 8260, Inter-American Development Bank.
    2. John C. Camillus, 2011. "Organisational identity and the business environment: the strategic connection," International Journal of Business Environment, Inderscience Enterprises Ltd, vol. 4(4), pages 306-314.
    3. Susan A. Kayser & John W. Maxwell & Michael W. Toffel, 2014. "Signaling without Certification: The Critical Role of Civil Society Scrutiny," Harvard Business School Working Papers 15-009, Harvard Business School, revised Jul 2016.
    4. repec:bla:stratm:v:38:y:2017:i:3:p:780-792 is not listed on IDEAS
    5. Chonnikarn Fern Jira & Michael W. Toffel, 2011. "Engaging Supply Chains in Climate Change," Harvard Business School Working Papers 12-026, Harvard Business School, revised Oct 2012.
    6. Clougherty, Joseph A. & Grajek, Michal & Shy, Oz, 2016. "Taking 'Some' of the Mimicry Out of the Adoption Process: Quality-Management and Strategic Substitution," CEPR Discussion Papers 11661, C.E.P.R. Discussion Papers.
    7. repec:eee:wdevel:v:97:y:2017:i:c:p:79-101 is not listed on IDEAS
    8. Veronika Vynaryk & Aoife Hanley, 2015. "Effects of the Qms ISO 9000 Certification on Russian Manufacturing Companies," HSE Working papers WP BRP 39/MAN/2015, National Research University Higher School of Economics.
    9. Susan A. Kayser & John W. Maxwell & Michael W. Toffel, 2014. "Supply chain screening without certification: The critical role of stakeholder pressure," Working Papers 2014-08, Indiana University, Kelley School of Business, Department of Business Economics and Public Policy.
    10. Ebers, Mark & Semrau, Thorsten, 2015. "What drives the allocation of specific investments between buyer and supplier?," Journal of Business Research, Elsevier, vol. 68(2), pages 415-424.
    11. Neda Trifkovic, 2016. "Private standards and labour productivity in the food sector in Viet Nam," WIDER Working Paper Series 163, World Institute for Development Economic Research (UNU-WIDER).
    12. Damien Euzénat & Meradj Mortezapouraghdam, 2016. "Les changements d’organisation du travail dans les entreprises : quelles conséquences sur les accidents du travail des salariés ?," Économie et Statistique, Programme National Persée, vol. 486(1), pages 129-147.
    13. repec:bla:glopol:v:8:y:2017:i::p:66-77 is not listed on IDEAS
    14. Joseph Lanfranchi & Sanja Pekovic, 2012. "How Green is my Firm? Workers' Attitudes towards Job, Job Involvement and Effort in Environmentally-Related Firms," Working Papers halshs-00976341, HAL.
    15. Lindlbauer, Ivonne & Schreyögg, Jonas & Winter, Vera, 2016. "Changes in technical efficiency after quality management certification: A DEA approach using difference-in-difference estimation with genetic matching in the hospital industry," European Journal of Operational Research, Elsevier, vol. 250(3), pages 1026-1036.
    16. Lamar Pierce & Michael W. Toffel, 2010. "The Role of Organizational Scope and Governance in Strengthening Private Monitoring," Harvard Business School Working Papers 11-004, Harvard Business School, revised Feb 2012.
    17. Paglia, John K. & Harjoto, Maretno A., 2014. "The effects of private equity and venture capital on sales and employment growth in small and medium-sized businesses," Journal of Banking & Finance, Elsevier, vol. 47(C), pages 177-197.
    18. Armenia Androniceanu, 2017. "The Three-Dimensional Approach of Total Quality Management, an Essential Strategic Option for Business Excellence," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 19(44), pages 1-61, February.
    19. Jodi L. Short & Michael W. Toffel & Andrea Read Hugill, 2013. "Monitoring Global Supply Chains," Harvard Business School Working Papers 14-032, Harvard Business School, revised Jun 2015.
    20. Jodi L. Short & Michael W. Toffel & Andrea R. Hugill, 2016. "Monitoring global supply chains," Strategic Management Journal, Wiley Blackwell, vol. 37(9), pages 1878-1897, September.
    21. Christian Volpe Martincus & Sebastián Castresana & Tomás Castagnino, 2010. "ISO Standards: A Certificate to Expand Exports? Firm-Level Evidence from Argentina," Review of International Economics, Wiley Blackwell, vol. 18(5), pages 896-912, November.
    22. 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.
    23. Ion IVAN & Cristian CIUREA & Mihai DOINEA & Arthur AVRAMIEA, 2012. "Collaborative Management of Risks and Complexity in Banking Systems," Informatica Economica, Academy of Economic Studies - Bucharest, Romania, vol. 16(2), pages 128-141.
    24. Trifkovic Neda, 2015. "Spillover Effects of International Standards: Work Conditions in Vietnamese Small and Medium Enterprises," WIDER Working Paper Series 047, World Institute for Development Economic Research (UNU-WIDER).
    25. Elisa Calza & Micheline Goedhuys & Neda Trifkovic, 2017. "Drivers of productivity in Vietnamese SMEs: The role of management standards and innovation," WIDER Working Paper Series 068, World Institute for Development Economic Research (UNU-WIDER).

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