AS9100 — The cost of certification

AS9100 defines the requirements for aerospace quality management systems (AQMS). It came to be when it was recognized that ISO 9001 would not be sufficient to ensure the quality needed from suppliers for the aerospace industry, where requirements are very stringent. AS9100 is the minimum most suppliers need to have to enter the manufacturing space for aerospace parts. When it comes to implementing an AQMS however, the cost of certification (including implementation costs) often come to mind.

There are perhaps four factors to the cost of certification: size of the organization, in-house competence, existing system framework and registrar costs. If an organization is large it will take longer to implement the system and the longer it takes the higher the costs. Smaller companies will be able to apple AS9100 relatively quickly especially if the design clauses and not applicable. If an organization has in-house expertise, they can then use this in-house expertise to design and build the system. The caveat though is that if the system is not built well and the foundation is weak, the system will fail down the road. This affects employee morale and to gain that trust back in the system approach can be costly. The cost to get it done right the first time can appear cheap in comparison.

If the organization already has ISO 9001 certification implementing the requirements of AS9100 should be relatively easy given that AS9100 is built on the framework of ISO 9001. If the organization already has some processes documented, then implementing a system deigned around these processes is relatively cheaper than starting from scratch. Consultants may advise organizations to do so and be wary of such consultants. Do not throw away the system that has brought you thus far.

Finally the recurring cost will be that of certification and this again is small cost given that an AS9100 certification will deliver the opportunity to bid on aerospace contracts and allow the organization to be a part of a niche industry. Register conduct certification audits every three years and surveillance audits every year in between. The costs for certification for a 100-person company can approximate $20,000 over a three year period. The cost for consultation for implementation can range from $20,000 to $100,000 and above.

While this may seem like a large investment to make upfront those who have implemented AS9100 have seen improvements in efficiency, better procurement and inventory processes, lower operating costs from lesser process waste and lesser repair/returns. In the long term the cost saving outweigh the certification costs. If this is not happening for you then perhaps you need to review if your system has been well implemented.