Cervantes, Kyla Celine P.

June 07, 2023

BSA201 Ma’am Gladys

ACTIVITY
Case Study: A Challenge for Quality
Reliance Control Systems is a large manufacturer of control systems for the electrical power generation
and distribution industry. Over the past few years, Reliance has watched overseas competitors take away
market share with products that are priced lower and that, at the same time, have developed a reputation
for better reliability. The company is not in a dangerous position yet, but the board of directors wants to
see a concerted effort to improve the company’s competitive posture. In addition, the board wants to solve
the quality problem that is gradually arising in the implementation of their control systems. System
glitches have been evident in several projects of the company which strongly affect the company’s overall
reliability to their clients. During the discussion of the senior management, a proposal to implement
quality standards of ISO 9000 was considered. However, the CEO of the company is not at all convinced
that mere application of quality standards will solve their organizational problem and will result to a
greater market share for the company.
Answer the following (10 points):
1. If you are part of the senior management team of Reliance Control Systems, how will you convince the
CEO that implementing the quality standards of ISO 9000 will solve the organizational problem and will
result in achieving a greater market share for the company?

As part of the senior management team of the Reliance Control System, I’ll convince the CEO by
pointing out the following key points of the advantages of implementing the ISO 9000 in solving the
organizational problems. [a]The Improved Product Quality or ISO 9000 standards, give a framework for
creating a vast quality management system that can help an organization. Reliance Control Systems can
improve its product quality by complying with these criteria and/or standards. This will result in fewer
system errors and increased reliability, addressing the company's existing quality issue. [b] Next
advantage is the Customer Satisfaction. ISO 9000 standards can also emphasize addressing customer
needs and increasing customer satisfaction. Reliance Control Systems will improve the customer
experience and strengthen client connections by applying these standards. Customers who are satisfied
are more likely to remain loyal, recommend the company to others, and contribute to an increase in
market share.[c] Competitive Advantage, is when the overseas competitors have acquired market share
by delivering lower-priced, more reliable products. Implementing ISO 9000 standards will assist Reliance
Control Systems in aligning its processes with international best practices, allowing the company to
provide superior quality goods when compared to other business. This will provide the company with a
competitive advantage over its competitors, gaining more customers and increasing market share. • Then,
ISO 9000 standards give a methodical approach to meeting regulatory obligations in the electrical power
generation and distribution industry making it more Improved in Efficiency and Lesser Cost Savings.
Compliance with these standards will guarantee that Reliance Control Systems complies with industry-
specific requirements, boosting the company's reputation and market credibility. Lastly, other benefits of
applying ISO 9000 is the increased marketability, increase customer’s satisfaction, improved customer
services, attractiveness of the company can garner potential investors. By emphasizing these aspects and
proving the long-term benefits of ISO 9000 implementation, I can now convince the CEO of Reliance
Control Systems that the proposal that we, the Senior Management agreed upon to implement in the
organization. This will surely result to resolving the problems of the company, and gaining a larger
market share compared to other business in the same line of industry.