Franchise of ISO9000 certified organization

E

Evanbron

#1
I have found this forum very helpful in the past. Now I am hoping that the members can help me answer these questions. If a company becomes ISO certified and the owners decide to sell it as a franchise (with the ISO certification as a selling point): 1) would the franchises automatically be ISO certified? 2) Would/Should they be required to become ISO certified? This is going to be an ongoing discussion in our organization and I would appreciate some input from experts. Does anyone know of any companies who have already done this? Thanks, Evanbron
 
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Sidney Vianna

Post Responsibly
Staff member
Admin
#2
Follow the model.

Evanbron said:
If a company becomes ISO certified and the owners decide to sell it as a franchise (with the ISO certification as a selling point): 1) would the franchises automatically be ISO certified?
No
Evanbron said:
2) Would/Should they be required to become ISO certified?
They would not be required to be certified to ISO 9001, but if the franchiser required the franchisees to be ISO 9001 certified, it could enhance the former's confidence on the latter's ability to follow the franchised processes, something that is normally very critical in the franchising world. This is an interesting topic. Keep the discussion going.
Evanbron said:
This is going to be an ongoing discussion in our organization and I would appreciate some input from experts. Does anyone know of any companies who have already done this? Thanks, Evanbron
I know that McDonalds in Poland and Finland were ISO 14001 certified, not ISO 9001, though.
 

Wes Bucey

Prophet of Profit
#3
Generally, registration to an International Standard is site-specific, which would preclude franchisees from doing anything more than claiming bragging rights besed on the franchisor's registration. Alternately, for a fee for each individual franchisee, the individual franchise sites might be audited and added to the site listing for which the Registration Certificate applies.
 

Sidney Vianna

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Admin
#4
Wes Bucey said:
Generally, registration to an International Standard is site-specific, which would preclude franchisees from doing anything more than claiming bragging rights besed on the franchisor's registration. Alternately, for a fee for each individual franchisee, the individual franchise sites might be audited and added to the site listing for which the Registration Certificate applies.
That is correct. And, depending on the number of franchised operations, a sampling process can be deployed to certify all the franchises without having to actually audit all of them. Analogous to sampling inspection, you accept the whole lot by inspecting a representative sample only.
 

Jim Wynne

Staff member
Admin
#5
Sidney Vianna said:
That is correct. And, depending on the number of franchised operations, a sampling process can be deployed to certify all the franchises without having to actually audit all of them. Analogous to sampling inspection, you accept the whole lot by inspecting a representative sample only.
Straying a bit :topic: , but...
With manufactured parts, one of the underlying assumptions that justifies sampling is that the parts were created as part of a reasonably homogeneous stream subject to only random variation. It doesn't seem to me that the same assumptions may be made in the case of franchised business units. Although there are some cases of remarkable homogeneity, as in the case of say, McDonald's or Subway, the problem of non-random variation (that could affect compliance with a standard) is still a potential problem.
 
K

Kerrym

#6
JSW05 said:
Although there are some cases of remarkable homogeneity, as in the case of say, McDonald's or Subway, the problem of non-random variation (that could affect compliance with a standard) is still a potential problem.
Presumably the remarkable homogeneity is the result of a documented system of rules imposed by the franchiser. The rules intended result is that each franchisee would provide their product and service in the same way, and so that each franchisee's quality system meets the requirements of ISO 9001-2000. Any variation in application of the rules would be random so sampling would be justified.

Also, the franchiser would have to verify the output of their process (establishing the franchisee rules). They would have to ensure that all franchisees were meeting their obligations.

It still doesn't seem right to me that a business, even a franchisee, could hang a sign in their window saying they are certified to ISO 9001-2000 when they haven't ever been audited.
 

Wes Bucey

Prophet of Profit
#7
Kerrym said:
It still doesn't seem right to me that a business, even a franchisee, could hang a sign in their window saying they are certified to ISO 9001-2000 when they haven't ever been audited.
Why not? Even in a single site audit, not every single process is audited, certainly not with forensic zeal, yet the organization and all its parts wave the ISO banner. We are also aware the audit is merely a "snapshot" versus a "continuing movie" and anecdotal evidence abounds that registered organizations have strayed far from the Standard and still retain the registration in between surveillance audits.
 
C

Carl Keller

#8
I agree with most of what has been said with the exception that franchises could easily go under the same cert. And they do. As long as there is a central point of business.

I worked for a printing company that had two facilities, 30 miles apart. Facility 1 did digital print and digital print only. Small, IBM digital printing. 6 presses in about 2500 sq ft.

Facility 2 did offset and other types of print. HUGE industrial type equipment used by magazine and newspaper printers. 6 printers would take 10 times the space. The two had no more to do with each other than building toy airplanes and jumbo jets would.

There was no homogeneity whatsoever.

They were under the same cert.

The Registrar was one of the top 3 British based firms.

If you pay them, they will do it.

Carl-
 
E

Evanbron

#9
Thanks for all the input. This company is a "Web Design" group. We haven't even figured out what all needs to be done to get them certified. We have the long range goal, but we are struggling with how to get there from here.
Evanbron
 
K

Kerrym

#10
Wes Bucey said:
. . .anecdotal evidence abounds that registered organizations have strayed far from the Standard and still retain the registration in between surveillance audits.
You're basically saying that it doesn't matter because the whole certification process is bogus anyway. If the audits were frequent, legit and done at all locations, that argument wouldn't carry as much weight.
 
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