Circular No. 17/2011/TT-BKHCN on the National Quality Award

CIRCULAR

Provisions on the National Quality Award

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Pursuant to Decree No. 28/2008/NĐ-CP dated March 14, 2008, promulgated by the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Science and Technology;

On the basis of Resolution No. 67/NQ-CP dated December 24, 2010, issued by the Government regarding the simplification of administrative procedures within the scope of management functions of the Ministry of Science and Technology;

Pursuant to the Law on Product Quality dated November 21, 2007;

Pursuant to Decree No. 132/2008/NĐ-CP dated December 31, 2008 of the Government detailing a number of provisions of the Law on Product Quality;

Considering the proposal of the Director General of the Standardization, Measurement, and Quality Control Department,

The Minister of Science and Technology hereby stipulates the National Quality Awards as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular stipulates in detail the criteria and scoring scale for the National Quality Award (hereinafter referred to as the "NQA"); the system of organization and operation of the NQA; the procedures and formalities for awarding the NQA.

Article 2. Applicability

This Circular applies to organizations and enterprises participating in the NQA and agencies, organizations, and individuals related to the awarding activities of the NQA.

Article 3. Types of Participation

1. Types of organizations and enterprises participating in the NQA include:

a) Large-scale production;

b) Medium and small-scale production;

c) Large-scale service;

d) Medium and small-scale service.

2. The types of organizations and enterprises specified in point a and c of Clause 1 of this Article are organizations and enterprises employing more than 300 regular workers (contracts of at least one year).

Organizations and enterprises specified in point b and d of Clause 1 of this Article are organizations and enterprises employing up to 300 regular employees (contracts of at least one year).

Article 4. Conditions for Participation

1. Organizations and enterprises eligible to participate in the NQA are those with legal personality that have continuously engaged in production, business, and service activities in Vietnam for at least 36 months, up to May 1st of the year of participation, without violating any legal provisions.

2. In cases where organizations and enterprises have already received the Gold National Quality Award, if they meet the conditions stipulated in Clause 1 of this Article, they may re-participate in the NQA three years after receiving the Gold National Quality Award from the Prime Minister.

3. In cases where organizations and enterprises have already received the Silver National Quality Award, if they meet the conditions stipulated in Clause 1 of this Article, they may continue to re-participate in the NQA.

Article 5. Procedure and Application Documents for Participation

1. Organizations and enterprises must register to participate in the NQA before May 1st and submit their application forms before June 15th each year at the Provincial or Municipal Standardization, Metrology, and Quality Control Agencies where they operate.

2. Organizations and enterprises participating in the NQA must prepare the following application documents:

a) A registration form for participation in the NQA according to the model prescribed in Appendix III;

b) A general report on the organization or enterprise;

c) An internal assessment report based on the seven criteria of the NQA;

d) Documentation proving the implementation of advanced quality management systems (certificates or related documents);

đ) Documentation proving the conformity of main products or goods with relevant standards and technical regulations (copies);

e) Environmental impact assessment reports or approved environmental protection commitments and annual monitoring results in accordance with the law over the last three years (copies);

g) Confirmation of tax obligations fulfillment and social insurance contributions for employees annually over the last three years (originals or copies);

h) Other documentation proving the results of production and business activities of the organization or enterprise over the last three years, if available (copies).

Chapter II

CRITERIA AND SCORING FOR AWARDING, FORMS OF NATIONAL QUALITY AWARDS

Article 6. Criteria and Scoring for Awarding

1. The award criteria are prescribed in Article 27 of Decree No. 132/2008/ND-CP dated December 31, 2008, of the Government detailing the implementation of certain provisions of the Law on Product and Goods Quality, and the maximum total score for these seven criteria is 1,000 points. The maximum total score for each specific criterion is as follows:

a) Leadership role of the organization or enterprise: 120 points

b) Strategic operations of the organization, enterprise: 85 points

c) Customer and market-oriented policy: 85 points

d) Measurement, analysis, and knowledge management: 90 points

d) Management and development of human resources: 85 points

e) Management of organizational processes: 85 points

g) Results of the organization's, enterprise's operations: 450 points

2. The detailed content of each criterion and the method of scoring for each detailed content of each criterion are implemented according to the guidance of the General Bureau of Standardization, Metrology, and Quality Control (hereinafter referred to as the General Bureau TCĐLCL).

Article 7. Forms of National Quality Award

1. The National Quality Award includes:

a) National Quality Gold Award;

b) National Quality Silver Award.

Organizations and enterprises that achieve the National Quality Award shall be awarded a Cup according to the model specified in Appendix I attached hereto and a Certificate issued by the Minister of Science and Technology.

2. The Gold National Quality Award is presented to organizations and enterprises achieving 800 points or more and being evaluated as the best among those receiving the NQA.

The number of Gold National Quality Awards is as follows:

a) Large-scale production: up to 03 awards

b) Medium and small-scale production: up to 03 awards

c) Large-scale services: up to 03 awards

d) Medium and small-scale services: up to 03 awards

Within each industry activity belonging to a type (as defined in Clause 1 of Article 3 of this Circular), only one Gold National Quality Award will be presented.

3. The National Quality Silver Award is presented to organizations and enterprises achieving at least 600 points.

There is no limit on the number of organizations and enterprises receiving the National Quality Silver Award.

Chapter III

NATIONAL QUALITY AWARD ORGANIZATIONAL SYSTEM

Article 8. Management and Operation Agency of the National Quality Award

1. The General Bureau TCĐLCL is the Permanent Agency of the NQA, performing the following tasks:

a) Proposing programs, projects, and activities for cooperation both domestically and internationally regarding the National Quality Award to the Ministry of Science and Technology;

b) Taking the lead and coordinating with related organizations to implement NQA activities;

c) Leading the development and guiding the implementation of professional documents concerning the National Quality Award;

d) Proposing the list of members of the National Quality Award Council (hereinafter referred to as the National Council) to the Minister of Science and Technology for decision;

d) Coordinating with the National Council to perform tasks as prescribed in Clause 2 of Article 9 of this Circular; organizing the solicitation of opinions from provincial and municipal People's Committees regarding the presentation of the NQA;

e) Establishing Preliminary Selection Councils for the National Quality Award (hereinafter referred to as Preliminary Selection Councils);

g) Organizing training, seminars, and issuing certificates to members of the Preliminary Review Board, evaluation experts, and organizations and enterprises participating in the NQA;

h) Implementing information dissemination and promotional activities about the National Quality Award;

i) Organizing the annual award ceremony for organizations and enterprises that have won awards;

k) Implementing international cooperation on quality awards; representing Vietnam in regional and international quality award organizations as prescribed by competent state agencies; nominating organizations and enterprises winning the Gold National Quality Award to participate in international and regional quality awards;

l) Resolving complaints and reports related to the NQA; reporting and recommending the Minister of Science and Technology to handle violations of the NQA by organizations, enterprises, and other individuals involved.

2. The Department of Science and Technology is the leading agency directing the Provincial Bureau of Standards, Metrology, and Quality Control to implement National Quality Award activities at the local level, performing the following tasks:

a) Organizing the implementation of annual National Quality Award activities at the local level in accordance with the guidance of the General Department of Standardization and Quality Control;

b) Promoting, disseminating, and guiding organizations and enterprises participating in the NQA in local areas;

c) Proposing a list of Preliminary Review Board members to the General Bureau TCĐLCL for decision;

d) Coordinating with Preliminary Selection Councils to perform tasks as stipulated in Clause 2 of Article 10 of this Circular;

đ) Proposing tasks, plans, and programs on the National Quality Award at the local level and reporting annual activities to the General Department of Standardization and Quality Control;

e) Resolving complaints and denunciations related to the National Quality Award at the local level.

Article 9. National Council

1. The National Council is established by the Minister of Science and Technology upon the proposal of the General Bureau TCĐLCL. The National Council consists of 11 to 17 members representing relevant ministries, sectors, agencies, and organizations. The National Council includes a Chairman, a Vice-Chairman, and Members. Members of the National Council are individuals knowledgeable about quality management and familiar with the criteria and requirements of the NQA.

The Chairman presides over meetings of the National Council. In the absence of the Chairman, the Vice-Chairman shall act on behalf of the Chairman to preside over meetings of the National Council. The National Council operates based on the principle of unanimous discussion among present members. At least two-thirds of the members must attend meetings of the National Council. Decisions of the National Council are valid only when at least three-quarters of the present members agree.

The Secretary of the National Council is an officer of the General Department of Standardization and Quality Control.

2. The National Council has the following responsibilities:

a) Proposing programs for implementing NQA activities to the Ministry of Science and Technology;

b) Examining, evaluating, and certifying preliminary review board files;

c) Conducting examinations and evaluations at participating organizations and enterprises when necessary;

d) Selecting outstanding enterprises to propose for the Gold National Quality Award and proposing a list of organizations and enterprises to the Ministry of Science and Technology for consideration and recommendation to the Prime Minister for the presentation of the NQA.

Article 10. Preliminary Selection Council

1. The Preliminary Review Board shall be established by the General Department for Quality Management upon the proposal of the Director of the Provincial Science and Technology Department under the Central Government. The Preliminary Review Board shall consist of from seven to eleven members who are representatives of provincial departments, agencies, and related organizations. The Preliminary Review Board includes a Chairman, a Vice-Chairman, and members. Members of the Preliminary Review Board must have expertise in quality management and a thorough understanding of the criteria and requirements for the National Quality Award.

The Chairman controls the meetings of the Preliminary Review Board. In the absence of the Chairman, the Vice-Chairman shall act on behalf of the Chairman to control the meetings of the Preliminary Review Board. The Preliminary Review Board operates based on the principle of consensus among present members. Each meeting of the Preliminary Review Board must have at least two-thirds of its members present. Decisions of the Preliminary Review Board are only valid when at least three-quarters of the present members agree.

The Secretary of the Preliminary Selection Council is an officer of the Provincial Bureau of Standards, Metrology, and Quality Control.

2. The Preliminary Selection Council has the following responsibilities:

a) Receiving registration forms and participation files of the National Quality Award from organizations, enterprises;

b) Conducting the examination and evaluation based on the application files and on-site assessment of participating organizations and enterprises;

c) Preparing the evaluation file and proposing to the National Council a list of organizations and enterprises recommended for the National Quality Award;

d) Notify in writing the results of the evaluation and other feedback information to the organizations and enterprises after the preliminary selection council has completed its evaluation results.

Chapter IV

PROCEDURE AND PROCEDURES FOR AWARDS CONSIDERATION OF THE NATIONAL QUALITY AWARD

Article 11. Evaluation Process of the Preliminary Selection Council

1. Evaluation process

The Preliminary Selection Council must conduct the evaluation of participating organizations and enterprises for the National Quality Award in two steps:

- Step 1: Dossier evaluation

The Preliminary Review Board appoints a group of experts to conduct the evaluation of the application files of participating organizations and enterprises. The evaluation team must include at least three independent evaluators. After the evaluation, the expert group must prepare a unified evaluation report.

Evaluators must be knowledgeable about quality management fields and the criteria and requirements of the National Quality Award, and hold a certificate as a National Quality Award evaluator.

- Step 2: On-site evaluation

The Preliminary Review Board appoints an Evaluation Team consisting of representatives of the Preliminary Review Board and at least three evaluators to conduct on-site evaluations of participating organizations and enterprises. After the evaluation, the expert group must prepare an evaluation record.

2. Evaluation Results

Based on the results of the file evaluation and on-site assessment, the Preliminary Review Board decides on the list of organizations and enterprises recommended for the National Quality Award and sends the relevant files (five printed copies and one CD) to the National Council through the General Department for Quality Management before August 1st each year.

3. The Preliminary Selection Council's dossier includes:

- Participation dossiers of organizations and enterprises as stipulated in Clause 1, Article 5 of this Circular;

- The examination and evaluation results of the Preliminary Review Board for each organization and enterprise (unified evaluation report, summary score sheet, on-site evaluation record, Preliminary Review Board meeting minutes);

- The Preliminary Selection Council's proposal letter accompanied by the list of organizations and enterprises recommended for awards.

Article 12. Evaluation Process of the National Council

1. The National Council appoints a group of experts to review and verify the files of organizations and enterprises recommended for the award by the Preliminary Review Board and the relevant files of the Preliminary Review Board. In cases where necessary, the National Council may appoint an evaluation team to conduct on-site evaluations at organizations and enterprises to supplement information for the selection and award process.

2. Based on the results of dossier evaluation and on-site evaluation, the National Council decides the list of organizations and enterprises recommended for the National Quality Award.

3. Before October 1st each year, the General Department for Quality Management sends a request for comments from the People's Committee of provinces and centrally governed cities regarding organizations and enterprises that meet the conditions for recommending the National Quality Award. The People's Committee of provinces and centrally governed cities must provide their response in writing within fifteen days from the date of receipt of the recommendation request.

4. The National Council and the General Department of Standardization and Quality Management complete the dossier for submission to the Ministry of Science and Technology for consideration and recommendation to the Prime Minister for the awarding of the National Quality Award before November 1st each year.

5. The dossier submitted to the Ministry of Science and Technology includes:

- Annual activity report on the National Quality Award, dossier evaluation report, and on-site evaluation report if applicable;

- Meeting minutes of the National Council;

- List of organizations and enterprises recommended for awards;

- Other related dossiers and documents if applicable.

6. The General Department for Quality Management collaborates with the Office of the Ministry of Science and Technology to complete the application files for the National Quality Award for organizations and enterprises that meet the conditions and submit them to the Prime Minister before November 15th each year.

7. The General Department of Standardization and Quality Management is responsible for notifying the Preliminary Selection Council and award-winning organizations and enterprises of the awarding results after receiving the Prime Minister's decision on awarding.

8. The General Department for Quality Management organizes the award ceremony for organizations and enterprises that have won the National Quality Award in December each year following the Prime Minister's decision to grant the award.

Chapter V

OTHER PROVISIONS

Article 13. Operating Expenses

1. Sources of operating expenses for the National Quality Award:

The operating funds for the National Quality Award are regulated in Article 29 of Decree No. 132/2008/NĐ-CP dated December 31, 2008, detailing the implementation of certain provisions of the Law on Product and Goods Quality. These funds include:

a) Funds from the state budget allocated in the annual budget for scientific and technological activities;

b) Contributions from participating organizations and enterprises in the National Quality Award;

c) Revenue from donations and sponsorships from domestic and foreign organizations, enterprises, and individuals; revenue from additional services provided to organizations and individuals participating in the National Quality Award activities; other revenues (if any) are used to fund the National Quality Award activities.

2. Management and utilization: The management and utilization of funds for the National Quality Award activities must comply with the provisions of the State Budget Law and current financial management guidelines.

Article 14. Benefits for Organizations and Enterprises Winning the National Quality Award

1. Organizations and enterprises winning the Gold National Quality Award are nominated to participate in regional and international quality awards.

2. Organizations and enterprises that win the National Quality Award are permitted to announce, publicize, and advertise on mass media or other forms of promotion about their own units, and may use the logo (logo) of the National Quality Award according to the model prescribed in Appendix II attached to this Circular in the publications of the organization and enterprise.

3. Organizations and enterprises that win the National Quality Award will receive preferential support and assistance from ministries, sectors, and localities in production and business operations, trade promotion, and productivity and quality development programs.

4. Organizations and enterprises that win awards shall be rewarded using annual prize funds by relevant ministries, sectors, and centrally governed cities and provinces in accordance with the provisions of the law.

Article 15. Handling Violations

1. Within three years from the date of winning the award, if it is discovered that an organization or enterprise has engaged in fraudulent behavior during the participation in the National Quality Award or violated the provisions of this Circular and other laws affecting the image and reputation of the National Quality Award, the National Council shall base on the degree of violation of the award-winning organization or enterprise to consider and recommend the revocation or cancellation of the awarded results.

2. The revocation or cancellation of awarded results for organizations and enterprises that win the National Quality Award must be publicly announced through mass media.

Chapter VI

IMPLEMENTATION PROVISIONS

Article 16. Effective Date

This Circular takes effect from August 20, 2011, and replaces Circular No. 11/2009/TT-BKHCN dated May 6, 2009, of the Minister of Science and Technology on the activities of the National Quality Award./.