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The process map of the standard way of working should then be turned into an operating manual. Why do manufacturers use standard costs? The important task of writing policies and procedures rarely gets the respect it deserves. One reason for a manufacturer to use standard costs is to plan carefully what its costs will be for the upcoming budgeting year and to then compare the actual costs with those planned costs. Some of these benefits include but not limited to; Increased Credibility and Recognition: ISO 9001 certification is issued by International Organization for Standard and is accepted worldwide. ISO 9001 is an internationally recognized certification which ensures quality of products and services of a company. In most cases you file for patent protection, and then you find a company willing to make the product and pay you a royalty. Why Are Standard Operating Procedures Important? From a market-share point of view, it’s likely that your competitors are actively engaged in standardization. Why do good companies go bad? This paper or electronic copy can be used when training new people, or for reference by auditors or regulatory bodies. Companies that participate actively in standards development activities reduce costs, increase efficiencies, facilitate and maintain market access, and gain a more competitive advantage than those who do not participate. Most people recognize the need for having standard policies, but standard operating procedures often get viewed as a necessary evil. Being ISO-9001 certified has lots of benefits to corporations. The one we would naturally think of is to make more money, but that is generally only one of the reasons. Innovate Why Your Product's Packaging Is as Important as the Product Itself Your product's packaging is meant to communicate a purpose: what your brand stands for and what it means for your customer. Reduces and controls operating costs: Outsourcing is often cheaper than hiring on an employee, and it also takes away some level of uncertainty about costs.The contract will determine exactly what will get done and for what price. A standardized sales process makes training sales reps fast, simple, and nearly foolproof, by showing salespeople what they need to do in various sales situations. It helps lower prices by encouraging a broad range of different resources for shoppers that all offer somewhat different benefits but still meet a generally accepted idea of what a specific product is meant to be. Why do companies insist on changing the content or specification of their successful products without the consent or request of their customers? Even a rookie seller can quickly get up to speed and be successful once he or she learns the basic steps in an organization’s sales process. There are many reasons why companies bring products to market place. It can also be used when reviewing people’s performance against the standard… It’s often assumed that the problem is paralysis. Product standardization creates general practices and standards that all similar items on the market must meet. Companies cannot remain with traditional product lines and expect … Continue reading "Why do companies introduce new products?" Changing Consumer Needs Companies need to stay in touch the changing needs of consumers. A few months ago, fourth-grader Joey Furlong was lying in a hospital bed, undergoing a pre-brain surgery screening, when a teacher walked in the room with a standardized … Improves company focus: By outsourcing less important tasks, you increase the company's focus on tasks that are deemed more vital. Pros Explained . New products? the content or specification of their customers is an internationally recognized certification which ensures quality of and. 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