Content area
Full Text
The ISO 9000 series is having a dramatic impact on quality assurance practices around the world. What do CPAs think about the ISO 9000 quality assurance program?
Once considered a marketing ploy, ISO 9000 has become a practical necessity for many businesses. Some businesses are demanding their suppliers become ISO 9000 certified. General Electric, for exam ple, requires 340 vendors to meet ISO 9000 standards if they want to continue to do business with GE. In the United Kingdom, more than 20,000 companies have registered to ISO 9000. Manufacturers, brokerage firms, lawyers, doctors, and even a barbershop have obtained certification. In the United States, companies initially were slow in adopting ISO 9000 standards, but the number of ISO 9000 certifications is rapidly gaining
IN BRIEF
Should We or Shouldn't We?
Accountants in public accounting and industry need to stay informed about ISO 9000 quality standards. ISO 9000 is a good business practice, and accountants may benefit from learning more about the standards and the registration process. Accountants in public practice will likely see many of their clients affected by ISO 9000; accountants can assist their industry clients in the registration process, if and when the decision to participate in ISO 9000 is made. Accountants can be particularly helpful in preparing for the ISO 9000 audit by seeing that a company's procedures are in place before the actual audit.
The survey of CPA firms indicates that, at this time, smaller firms tend not to get involved with ISO 9000 services because most of their clients are not seeking registration to ISO 9000. However, the survey showed that most large CPA firms have some involvement with ISO 9000 services, such as helping the client prepare for the registration audit and recommending consultants and registrars. Few firms, however, have actually become a registrar due to the significant time and resource commitment necessary to attain and maintain a high quality practice. momentum. United States' ISO 9000 registrations have been doubling every nine to 12 months.
What Is ISO 9000?
Many believe that ISO, pronounced "ice-oh," is an acronym. It is not. ISO comes from the Greek word isos, which means equal, as in an isosceles triangle or isometrics. The International Organization for Standardization, located in Geneva, Switzerland, is the...