"Nine out of Ten Companies Holding KS Certification Experience Sales Growth"

Kukpyowon Announces 2019 Industrial Standardization Survey Results
"The Biggest Obstacle to Standard Utilization Is Lack of Skilled Personnel"

Source: Ministry of Trade, Industry and Energy, National Institute of Technology and Standards

[Asia Economy Reporter Moon Chaeseok] Nine out of ten companies holding KS certification increased their sales through certified products.

The Ministry of Trade, Industry and Energy’s National Institute of Technology and Standards announced the results on the 16th after conducting the '2019 Industrial Standardization Survey.'

The survey was conducted over three months from December last year to February, targeting 1,000 manufacturing companies with 10 or more employees based on the 2018 National Business Survey by Statistics Korea. The subjects included 894 small and medium enterprises, 90 mid-sized companies, and 16 large corporations.

According to the National Institute of Technology and Standards, 90.8% of KS-certified companies responded that they increased sales through certified products.

Among the companies surveyed, 49.2% reported a sales increase rate of 10?30%.

Companies reporting a 0?10% increase accounted for 18.8%, those with a 30?50% increase were 18.8%, and those with over 50% increase were 13.3%.

The institute views KS certification as having a direct impact on product sales.

It explained that KS certification helped increase sales by enhancing product reliability and quality, as well as enabling supply to public institutions.

The results show that standard-related tasks in companies are mainly handled by quality control or administrative/management departments, with response rates of 52% and 27.3%, respectively.

The average number of personnel engaged in standard-related work was 1.9 in small and medium enterprises, 7.4 in mid-sized companies, and 69.9 in large corporations, showing that larger companies have more staff.

The standards utilized by companies were in the order of in-house standards 86.2%, ISO standards 57.0%, KS standards 20.0%, and association standards 4.4%.

The main purposes for utilizing standards were quality control and meeting purchaser requirements, with response rates of 89.4% and 81.2%, respectively. The utilization rate for research and development (R&D) was 22.9%.

The primary purposes for obtaining certification based on standards were purchaser requirements and quality improvement, recording response rates of 65.1% and 62.1%, respectively.

The participation rates in standardization activities such as establishment and revision of standards were 88.5% for in-house standards, 2.3% for association standards, 0.8% for KS standards, and 0.6% for international standards.

As a solution to difficulties related to standards, 90.9% chose utilizing internal personnel. Consultation, consulting, and education accounted for about 25%.

The institute analyzed that although companies lack expertise in standards, they have the willingness to resolve difficulties quickly using internal personnel.

Lee Seung-woo, head of the National Institute of Technology and Standards, said, "This survey confirmed that securing quality through KS certification and incentives for public procurement lead to increased sales. We will promote reforms of the KS system, including KS certification and standards, to respond swiftly and flexibly to the post-COVID era and the 4th Industrial Revolution, and will also focus on projects such as the Graduate School of Standards."

This content was produced with the assistance of AI translation services.