Industry Standard

Industry standard is the optimum criteria for any industry to function and carry out operation in their respective fields of production. Industry standard envisages the regulated, lawful, logical usage in the segment of the economy dealing with industrialization. This may include services or goods. Industry standard contributes to global as well as domestic competitiveness. Industry standard plays an important role in the economy of any country especially for those industries which actively participate in the export related activities. For example, in the case of automobile industry, sizes of the tire serve as a means of standardization. Standardization also serves as a quality check for any industry. The global economy is also affected by industry standard, for example majority of the European countries including Germany accounting for around 84% make use of international as well as European standards to operate at par with the foreign countries. Industry standard forms the part and parcel of the industrial policies. Essential details pertaining to technology and characteristics of the organization are furnished by maintaining the standards of industry.
Role of Industry Standard:
1. Administration and the legislative bodies are also benefited by the Industry standard. They govern the practical as well as the technological standards as per the legal requisites.
2. Standardization facilitates a healthy competition and designing of new concepts.
3. Industry standard ascertains the rank of an industry in the economic set up of a country.
4. Optimum standards facilitate the creation of political as well as business related advantages. The reason being that the industry standard is worked out in consonance with the expertise of the corporate houses and different segments of the society.
In a nut shell, industry standard is a crucial tool in acquiring industry goals related to managerial, technological as well as political. Therefore, setting standards for the industry whether in the domestic market or international market provides assurance of transparency. The ultimate aim of setting industry standard is to provide a platform for giving shape to new creations.