7. Iso 9000 And ISO 14000 ISO 14000

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7. Iso 9000 and ISO 14000ISO 14000ISO 14000 is a family of standards related to environmental management thatexists to help organizations (a) minimize how their operations (processes etc.)negatively affect the environment (i.e. cause adverse changes to air, water, orland); (b) comply with applicable laws, regulations, and other environmentallyoriented requirements, and (c) continually improve in the above.ISO 14000 is similar to ISO 9000 quality management in that both pertain to theprocess of how a product is produced, rather than to the product itself. As with ISO9000, certification is performed by third-party organizations rather than beingawarded by ISO directly. The ISO 19011 audit standard applies when auditing forboth 9000 and 14000 compliance at once.The requirements of ISO 14001 are an integral part of the European Union‘s EcoManagement and Audit Scheme (EMAS). EMAS‘s structure and materialrequirements are more demanding, foremost concerning performanceimprovement, legal compliance and reporting duties.Brief history of environmental management systemsIn 1992, BSI Group published the world's first environmental management systemsstandard, BS 7750. This supplied the template for the development of the ISO14000 series in 1996, by the International Organization for Standardization, whichhas representation from committees all over the world (ISO) (Clements 1996,Brorson & Larsson, 1999). As of 2010, ISO 14001 is now used by at least 223 149organizations in 159 countries and economies.Development of the ISO 14000 seriesThe ISO 14000 family includes most notably the ISO 14001 standard, whichrepresents the core set of standards used by organizations for designing andimplementing an effective environmental management system. Other standardsincluded in this series are ISO 14004, which gives additional guidelines for a goodenvironmental management system, and more specialized standards dealing withspecific aspects of environmental management. The major objective of the ISO14000 series of norms is "to promote more effective and efficient environmentalmanagement in organizations and to provide useful and usable tools - ones that arecost effective, system-based, flexible and reflect the best organizations and the best

organizational practices available for gathering, interpreting and communicatingenvironmentally relevant information".Unlike previous environmental regulations, which began with command andcontrol approaches, later replaced with ones based on market mechanisms, ISO14000 was based on a voluntary approach to environmental regulation (Szymanski& Tiwari 2004). The series includes the ISO 14001 standard, which providesguidelines for the establishment or improvement of an EMS. The standard sharesmany common traits with its predecessor ISO 9000, the international standard ofquality management (Jackson 1997), which served as a model for its internalstructure (National Academy Press 1999) and both can be implemented side byside. As with ISO 9000, ISO 14000 acts both as an internal management tool andas a way of demonstrating a company’s environmental commitment to itscustomers and clients (Boiral 2007).Prior to the development of the ISO 14000 series, organizations voluntarilyconstructed their own EMS systems, but this made comparisons of environmentaleffects between companies difficult and therefore the universal ISO 14000 serieswas developed. An EMS is defined by ISO as: “part of the overall managementsystem, that includes organizational structure, planning activities, responsibilities,practices, procedures, processes and resources for developing, implementing,achieving and maintaining the environmental policy’ (ISO 1996 cited in FederalFacilities Council Report 1999).ISO 14001 standardISO 14001 sets out the criteria for an environmental management system. It doesnot state requirements for environmental performance, but maps out a frameworkthat a company or organization can follow to set up an effective environmentalmanagement system. It can be used by any organization that wants to improveresource efficiency, reduce waste and drive down costs. Using ISO 14001 canprovide assurance to company management and employees as well as externalstakeholders that environmental impact is being measured and improved. ISO14001 can also be integrated with other management functions and assistscompanies in meeting their environmental and economic goals.ISO 14001, as with other ISO 14000 standards, is voluntary (IISD 2010), with itsmain aim to assist companies in continually improving their environmentalperformance, whilst complying with any applicable legislation. Organizations areresponsible for setting their own targets and performance measures, with thestandard serving to assist them in meeting objectives and goals and the subsequentmonitoring and measurement of these (IISD 2010).

The standard can be applied to a variety of levels in the business, fromorganizational level, right down to the product and service level (RMITuniversity). Rather than focusing on exact measures and goals of environmentalperformance, the standard highlights what an organization needs to do to meetthese goals (IISD 2010).ISO 14001 is known as a generic management system standard, meaning that it isrelevant to any organization seeking to improve and manage resources moreeffectively. This includes:single site to large multi-national companieshigh risk companies to low risk service organizationsmanufacturing, process and the service industries; including local governmentsall industry sectors including public and private sectorsoriginal equipment manufacturers and their suppliers.All standards are periodically reviewed by ISO to ensure they still meet marketrequirements. The current version of ISO 14001 – ISO 14001:2004 is under reviewas of April 2012.Basic principles and methodologyPlan – establish objectives and processes requiredPrior to implementing ISO 14001, an initial review or gap analysis of theorganization’s processes and products is recommended, to assist in identifying allelements of the current operation and if possible future operations, that mayinteract with the environment, termed environmental aspects (Martin 1998).Environmental aspects can include both direct, such as those used duringmanufacturing and indirect, such as raw materials (Martin 1998). This reviewassists the organization in establishing their environmental objectives, goals andtargets, which should ideally be measurable; helps with the development of controland management procedures and processes and serves to highlight any relevantlegal requirements, which can then be built into the policy (StandardsAustralia/Standards New Zealand 2004).Do – implement the processesDuring this stage the organization identifies the resources required and works outthose members of the organization responsible for the EMS’ implementation and

control (Martin 1998). This includes establishing procedures and processes,although only one documented procedure is specified related to operationalcontrol. Other procedures are required to foster better management control overelements such as documentation control, emergency preparedness and response,and the education of employees, to ensure they can competently implement thenecessary processes and record results (Standards Australia/Standards NewZealand 2004). Communication and participation across all levels of theorganization, especially top management is a vital part of the implementationphase, with the effectiveness of the EMS being dependant on active involvementfrom all employees (Federal Facilities Council Report 1999).Check – measure and monitor the processes and report resultsDuring the check stage, performance is monitored and periodically measured toensure that the organization’s environmental targets and objectives are being met(Martin 1998). In addition, internal audits are conducted at planned intervals toascertain whether the EMS meets the user's expectations and whether the processesand procedures are being adequately maintained and monitored (StandardsAustralia/Standards New Zealand 2004).Act – take action to improve performance of EMS based on resultsAfter the checking stage, a management review is conducted to ensure that theobjectives of the EMS are being met, the extent to which they are being met, thatcommunications are being appropriately managed and to evaluate changingcircumstances, such as legal requirements, in order to make recommendations forfurther improvement of the system (Standards Australia/Standards New Zealand2004). These recommendations are incorporated through continual improvement,plans are renewed or new plans are made, and the EMS moves forward.Continual Improvement ProcessThe core requirement of a continual improvement process (CIP) is different fromthe one known from quality management systems. CIP in ISO 14001 has threedimensions (Gastl, 2009):Expansion: More and more business areas get covered by the implemented EMS.Enrichment: More and more activities, products, processes, emissions, resourcesetc. get managed by the implemented EMS.

Upgrading: An improvement of the structural and organizational framework of theEMS, as well as an accumulation of know-how in dealing with business relatedenvironmental issues.Overall, the CIP-concept expects the organization to gradually move away frommerely operational environmental measures towards a strategic approach on howto deal with environmental challenges.BenefitsISO 14001 was developed primarily to assist companies with a framework forbetter management control that can result in reducing their environmental impacts.In addition to improvements in performance, organizations can reap a number ofeconomic benefits including higher conformance with legislative and regulatoryrequirements (Sheldon 1997) by adopting the ISO standard. By minimizing the riskof regulatory and environmental liability fines and improving an organization’sefficiency (Delmas 2009), benefits can include a reduction in waste andconsumption of resources, and operating costs. Secondly, as an internationallyrecognized standard, businesses operating in multiple locations across the globecan leverage their conformance to ISO 14001, eliminating the need for multipleregistrations or certifications (Hutchens 2010). Thirdly there has been a push in thelast decade by consumers, for companies to adopt better internal controls, makingthe incorporation of ISO 14001 a smart approach for the long term viability ofbusinesses. This can provide them with a competitive advantage against companiesthat do not adopt the standard (Potoki & Prakash, 2005). This in turn can have apositive impact on a company’s asset value (Van der Deldt, 1997). It can lead toimproved public perceptions of the business, placing them in a better position tooperate in the international marketplace (Potoki & Prakash 1997; Sheldon 1997).The use of ISO 14001 can demonstrate an innovative and forward thinkingapproach to customers and prospective employees. It can increase a business’saccess to new customers and business partners. In some markets it can potentiallyreduce public liability insurance costs. It can serve to reduce trade barriers betweenregistered businesses (Van der Deldt, 1997). There is growing interest in includingcertification to ISO 14001 in tenders for public-private partnerships forinfrastructure renewal. Evidence of value in terms of environmental quality andbenefit to the taxpayer has been shown in highway projects in Canada.Conformity AssessmentISO 14001 can be used in whole or in part to help an organization, for profit ornot-for-profit, better manage its relationship with the environment. If all theelements of ISO 14001 are incorporated into the management process, the

organization may opt to prove that it has achieved full alignment or conformitywith the international standard, ISO 14001, by using one of four recognizedoptions. These are:1.make a self-determination and self-declaration, or2.seek confirmation of its conformance by parties having an interest in theorganization, such as customers, or3.seek confirmation of its self-declaration by a party external to the organization,or4.seek certification/registration of its environmental management system by anexternal organization.ISO does not control conformity assessment; its mandate is to develop andmaintain standards. ISO has a neutral policy on conformity assessment. One optionis not better than the next. Each option serves different market needs. The adoptingorganization decides which option is best for them, in conjunction with theirmarket needs.Option 1 is sometimes incorrectly referred to as 'self-certify" or "self-certification".This is not an acceptable reference under ISO terms and definitions, for it can leadto confusion in the market. The user is responsible for making their owndetermination. Option 2 is often referred to as a customer or 2nd party audit, whichis an acceptable market term. Option 3 is an independent third-party process by anorganization that is based on an engagement activity and delivered by speciallytrained practitioners. This option was based on an accounting procedure branded asthe EnviroReady Report, which was created to help small and medium-sizedorganizations. Its development was originally based on the Canadian Handbook forAccountants; it is now based on an international accounting standard. The fourthoption, certification, is another independent third-party process, which has beenwidely implemented by all types of organizations. Certification is also known insome countries as registration. Service providers of certification or registration areaccredited by national accreditation services such as UKAS in the UK.ISO 14001 and EMASIn 2010, the latest EMAS Regulation (EMAS III) entered into force; the scheme isnow globally applicable, includes key performance indicators and a range offurther improvements. Currently, more than 4,500 organisations and approximately7,800 sites are EMAS registered.

Complementarities and DifferencesISO 14001‘s environmental management system requirements are very similar tothose of EMAS. Additional requirements for EMAS include:stricter requirements on the measurement and evaluation of environmentalperformance against objectives and targets.government supervision of the environmental verifiersstrong employee involvement; EMAS organisations acknowledge that activeemployee involvement is a driving force and a prerequisite for continuous andsuccessful environmental improvements.environmental core indicators creating multi-annual comparability within andbetween organisationsmandatory provision of information to the general publicregistration by a public authority.Changing from ISO 14001 to EMASOrganizations applying ISO 14001 only have to take a few steps to becomeregistered under EMAS: The two main differences involve an environmentalreview to identify significant environmental aspects as well as publishing anenvironmental statement. Apart from that, minor changes need to be made to anumber of other elements during the process of becoming EMAS registered.ISO 14001 Use in Supply ChainsThere are many reasons why ISO 14001 should be potentially attractive to supplychain managers including the use of the voluntary standard to guide thedevelopment of integrated systems, its requirement for supply chain members inindustries such as automotive and aerospace, the potential of pollution preventionleading to reduced costs of production and higher profits, its alignment with thegrowing importance of corporate social responsibility, and an ISO registeredsystem may provide firms with a unique environmental resource, capabilities andbenefits that lead to competitive advantage.Emerging areas of research are starting to address the use of this standard to showthat ISO 14001 registration can be leveraged across the supply chain forcompetitive advantage. By looking at ISO 14001 registered firms, informationfrom the study compared different amounts of integration and sustainability in the

supply chain. Several researc

Iso 9000 and ISO 14000 ISO 14000 ISO 14000 is a family of standards related to environmental management that exists to help organizations (a) minimize how their operations (processes etc.) negatively affect the environment (i.e. cause adverse changes to air, water, or land); (b

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