Impact Analysis of ISO 9001 Certification on Service Companies in Indonesia Using PLS-Sem

More than one million organizations in the world has certified ISO 9001 to improve their performance related to quality, productivity and cost efficiency. The purpose of this study is to confirm that certification of ISO 9001 has positive impact to organization performance; to seek the significant factor which affecting to the effectiveness of implementation of ISO 9001as well as organization performance and to confirm that organization performance has positive impact to customer. We have selected 80 certified ISO 9001 service companies more than 3 years (one cycle of certification) using simple random. Questioner to management representative of organization in implementation of ISO 9001 collected as primary data and then tested by Smart PLS 3.0. Evaluation found that certification of ISO 9001 has positive impact to organization performance (increase quality and productivity, reduce customer's claim and operational cost). Organization performance has impact to customer (customer satisfaction increasing, new customer attractive and repeat order). The significant factor, which has impact to organization performance are top management commitment, employee involvement, training and education, communication, and teamwork. This paper recommends that organization should maintain and improve the top management commitment, employee involvement, training and education, communication, and teamwork to increase organization performance.