1. treatment of measuring scales, data collection method, data

1.                 
RESEARCH METHODOLOGY

 

This chapter
will describe the research design,
population framework, sample selection, instrument selection, variables
employed for measuring impact and motivation of ISO 9001 certification, reliability
and validity of research instrument, treatment of measuring scales, data
collection method, data analysis techniques and software used for analysis.

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1.1             
Research
Design

 

A quantitative
research approach has been employed to collect the relevant information associated
with the ISO 9001 impact. It is a deductive research study which will test the
validity of the hypotheses discussed under section 3.4. Unit of analysis of the
research study includes the organizations which are ISO 9001 certified. The
data is collected through online survey form filled by quality manager or
representative from each ISO 9001 certified organization included in the
sample. The research meets the requirements of descriptive research by describing
the conceptual characteristics of ISO 9001 certification and organizational
performance and the connection between these two variables.

 

1.2             
Sample
Design

 

1.2.1       
Population
Frame

 

This study has focused on the ISO 9001 certified
organizations of Pakistan including project base and functional organizations,
product and service industry of small and large scale dispersed all over the
Pakistan. As per ISO Survey Report 2016, total 31126 organizations have acquired ISO 9001 certification since
1993 till 2016 and 2162 in 2016 in Pakistan.

 

1.2.2       
Sample
selection

 

The technique used for sample design is convenience sampling
based on the availability of contact details of relevant QA person of the ISO
9001 certified organization. However, it is ensured to select the organizations
in such a way that a wide spectrum of the research and business activities
undertaken in Pakistan has been addressed. It includes the design and
development, manufacturing, construction and services organizations of Pakistan
having project base or functional setup, dispersed all over the Pakistan. The companies have been
selected from the available list of ISO 9001 certified organizations of
Pakistan provided by a certification body of Pakistan. A sample of 180
companies is selected and the Instrument is sent through mail to each
respondent. After a number of reminders to various participants the total
number of complete responses received are 108 with a response rate of 60%. The
details of the organizations are provided in Appendix 8.2.

 

The sample size and response rate of the study is
satisfactory with respect to the other studies that have employed comparable
methodology. In a survey, carried out in Greek by Vasileios
and Odysseas (2015), to find the impact of ISO 9001 certification, the sample
size was 160, whereas 4168 companies were ISO 9001 certified in Greek at the
time of study. Total of 146 responses were received to the author. Similarly, Gilberto
and Antonio (2013) have carried out study on the motivation and benefits of ISO
9001 implementation in Portugal and selected sample size of 426 certified
companies. Total number of 4733 companies were ISO 9001 certified in Portugal
at the time of study and the responses received were 260, having response rate
of 61.03%.  The response rate of Corbett
(2003) study of 15 different countries regarding benefits obtained by ISO 9001
certification was 25.19%.

 

1.3             
Instrument
Selection

 

The research Instrument used for the
survey, has been developed by Corbett et al. (2003) to measure the benefits and
motivations of ISO 9001 in 15 countries worldwide. The same instrument has been
used by Bozena, Jens and Jorgen
(2003) and Gilberto and
Antonio (2013). The Instrument was customized and modified in order to meet the
cultural factors of Pakistan by editing and rewording some questions to an
unambiguous and understandable language. Five certified lead auditors of ISO 9001 quality
management systems (QMS) have reviewed and assessed the instrument. Few minor
changes have been incorporated to the Instrument as a result of the review.

 

 

 

1.3.1       
Instrument
Design

 

The
Instrument is divided into three main parts. First part is the related to the
information of the participant and the organization, which includes name of the
participant and organization, type of the organization (Public or private),
category of the organization (project based or non-project based) and nature of
business (design and development, manufacturing, construction, services or
others).

 

Second
part of the Instrument measures the motivation factors of the organization for
ISO 9001 certification. Motivation is measured through eleven items mentioned
in Table 3.2. The eleven items can be broadly categorized Internal and External
Motives. The Internal motives include cost reduction, environment and
quality Improvement, capturing workers’ knowledge, benefits experienced by
others. The External Motivation include corporate image, marketing advantage,
customers pressure and demand, certified competitors, avoid
potential export barriers, relations with communities and authorities.

 

Third
part of the Instrument measures the Impact of ISO 9001 certification on
organizational performance. The organizational performance is measured through thirteen
items mentioned in Table 3.1. Organizational performance measures can also be
categorized into Internal and External Performance measures. Internal
Performance measures include the cost reduction, environmental and quality
improvement, improvement in productivity, profit margin, internal procedures
and employee morale. The External Performance Measures include the Improvement
in the corporate image, increase in market share, customer satisfaction and on
time delivery to the customers, Improvement in relation with
communities and authorities.

 

1.3.2       
Treatment
of Scales

 

Although
Symonds (1924) and Ghiselli (1955) proposed that the 7 point Likert scale provides
optimal reliability and Miller (1956) states that the mind of a human can only
take 6 items at a time and something more than 6 would be ineffective. Hence, a
decision was taken to use a 5 point scale. A 5 point scale is very easy to
describe for every response category. For example, category (1) means Not
Important At All; category (2) means Not Important; category (3) means Somewhat
Important; category (4) means Important; and category (5) means Extremely Important.
Moreover, the reference studies Corbett (2003), Bozena et al. (2003) and Gilberto and
Antonio (2013) have also utilized the five point scale.

 

1.4             
Data
collection procedure

 

Data
collection is the most critical part of the research and it has taken
considerable amount of effort and time. Firstly, the list of names of the ISO
9001 certified organizations have been taken through certification bodies.
Certification bodies have not provided the contact details of the quality
representative of certified organizations because of their rules and
regulation. Therefore, the next step was to work on the contact details such as
email addresses and phone numbers. These details have been collected through
the websites of the companies and telephonic conversation with the relevant
personnel.

 

After
the collection of these details the questionnaires have been sent to the
quality manager or representative of each organization in sample through email.
It is ensured that the respondents are well aware of the background of the
study, its theoretical and practical importance and confidentiality of the
information provided.  The description of
the scale used was also explained to the each participant.

 

1.5             
Data
Analysis

 

1.5.1       
Analytical
Framework

 

As
already explained, the responses of the respondents have been taken on a
five-point scale. The responses of motivation for certification with the codes
“not important at all, not important, somewhat important, important and
extremely Important” are assigned the values from 1 to 5 to assess the levels
of importance. Similarly the response against the impact on organizational
performance with the codes “no impact, minor impact, moderate impact,
substantial impact and very substantial impact” are assigned the values from 1
to 5 to assess the level of impact.

 

1.5.2       
Data
Screening

The respondents
of filled instrument with missing values were requested again to fill the
complete survey. The survey instruments which were not completely filled by the
respondents have not been included in the data analysis. All the values are
utilized as provided by the participants without skipping the outliers.

 

1.5.3       
Reliability
and Validity

 

Reliability of the
research items is measured through Cronbach alpha. The value of Cronbach alpha
for the 13 items used to measure the impact of the certification, is found to
be 0.905, which is regarded as an
“excellent” value to explain the strength for the internal consistency of
responses. Cronbach alpha for the 11 items used to measure the motivations for
the certification is found to be 0.819,
which is considered as a “good” value to explain the strength for the internal
consistency of responses.

 

Confirmatory
factor analysis has been used to assess the validity of instrument. Analysis is
performed through AMOS software. Results showed the value of ?2=240.141 (p=0.053) i.e p>0.05. The
goodness of fit indices CFI, TLI and RMSEA have been found 0.967, 0.959 and 0.052 respectively. As per the
recommendation of Brown (2006), RMSEA close to 0.06 or less; CFI close to 0.95
or greater; and TLI close to 0.95 or greater are acceptable values for model
fit. It is worth full to note that these are not rigid values as Brown
clarified that use of “close to” is purposeful. Therefore, it can be concluded
that model is fit.

 

Moreover, this instrument has also been validated by
previous studies (Corbett
et al. 2003; Bozena et al. 2003; Gilberto and Antonio, 2013). Corbett et al.
(2003) have developed and used the instrument to measure the benefits and
motivations of ISO 9001 and ISO 14001 in 15 countries worldwide including U.S.,
Canada, France, Sweden, Japan, South Korea, Hong Kong, Taiwan, Australia, New
Zealand, Singapore, Philippines, Malaysia, Indonesia, and Thailand. The same
instrument has been used by Bozena et al. (2003) to compare the motives and
benefits of ISO 9001 and ISO 14001 in Sweden. Gilberto and Antonio (2013) have
utilized this instrument to find the motivations and benefits of ISO 9001 in
Portugal.

 

1.5.4       
Statistical
tools used for Data Analysis

 

Firstly comparison of the demographic variables has
been carried out using graphs in SPSS. Multivariate analysis is employed
for data analysis based on statistical methods that take into account multiple variables
simultaneously for each research item. Descriptive statistical analysis has
been performed to using Descriptive statistic tools (SPSS 20).

 

Multicollinearity
of the independent variables is measured through Variance Inflation Factors
(VIF). In order to test the hypotheses and find the relation between variables,
linear regression analysis has been carried out.  The output of regression analysis contains the
correlation coefficients and regression coefficients. As per Cohen (1988), correlation
coefficient value ranging from 0.1 to 0.4 is categorized as a weak positive correlation
and above 0.5 is categorized as a strong positive correlation. Significance of
regression coefficients is decided by p-value. If the p-value is less than ?
then the coefficients are said to be significant.

 

Factor analysis is
used to reduce the number of items which has major effect on performance of
certified organizations as well as to identify the major motives for
certification. Prior to factor analysis, the value of KMO (Kaiser-Meyer-Olkin)
was determined which is a statistical tool used to determine the quality of the
correlation between variables. Values of KMO for impact and motives are found
to be 0.884 and 0.806 respectively and as per Hutcheson and Sofroniou (1999), KMO
value between 0.8 and 0.9 is “great” for factor analysis. Principal Component
Analysis has been used to conduct factor analysis. The rotation method used is
Varimax because the factors are expected to be independent.

 

The statistical tools used for the study include Cronbach’s
alpha test, descriptive statistical analysis and factor analysis which are
explained in details chapter 5.

 

1.6             
Software
used

 

Google
forms have been used to make the questionnaire and gather the data. This data
is then imported in SPSS 20 and analysis is performed using SPSS 20.