Standardization

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Dictionary Says

Definition of 'Standardization'

A framework of agreements to which all relevant parties in an industry or organization must adhere to ensure that all processes associated with the creation of a good or performance of a service are performed within set guidelines. This is done to ensure the end product has consistent quality, and that any conclusions made are comparable with all other equivalent items in the same class.
Investopedia Says

Investopedia explains 'Standardization'

An example of standardization would be the Generally Accepted Accounting Principles to which all companies listed on U.S. stock exchanges much adhere. GAAP is a standardized set of guidelines created by the Financial Accounting Standards Board (FASB) to ensure that all financial statements undergo the same processes so that the disclosed information is relevant, reliable, comparable and consistent.

Standardization can be found in business processes when companies require that a consistent level of quality be achieved. For example, many fast food franchises have detailed processes documented to make sure that a burger is prepared in the same manner regardless of which chain in its franchise a consumer visits.
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'Standardization'

  • 4 New Business Models That Are Here To Stay - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0410/4-New-Business-Models-That-Are-Here-To-Stay.aspx
    ... (Learn more about finding winners in the retail industry, read Measuring
    Company Efficiency.) Standardization Vs. Customization ...

  • Conference Board: Composite Index Of Leading Indicators ...

    http://www.investopedia.com/university/conferenceboard/conferenceboard2.asp
    ... Each of the 10 components is averaged, and a standardization factor is
    applied to equalize volatility. (You can find the current ...

  • Commodities: Lumber | Investopedia

    http://www.investopedia.com/university/commodities/commodities11.asp
    ... By Noble Drakoln The standardization of lumber in the US can be directly traced
    back to the first and second World Wars. While logging ...

  • Conference Board: Composite Index Of Coincident Indicators ...

    http://www.investopedia.com/university/conferenceboard/conferenceboard3.asp
    ... four economic data series are averaged for smoothness, and the volatility of each
    is then equalized using a predetermined standardization factor (which the CB ...

  • How does the ISIN numbering system work?

    http://www.investopedia.com/ask/answers/06/ISINnumberingsystem.asp
    ... International Securities Identification Numbering (ISIN) system is an international
    standard set up by the International Organization for Standardization (ISO ...

  • Conference Board: Composite Index Of Lagging Indicators ...

    http://www.investopedia.com/university/conferenceboard/conferenceboard4.asp
    ... The seven lagging components are averaged to smooth their results, and
    adjusted for volatility with a standardization factor. The ...

  • Analyze Cash Flow The Easy Way

    http://www.investopedia.com/articles/stocks/07/easycashflow.asp
    ... investor, making sense of a statement of cash flows is made easier by the use of
    literally-descriptive account captions and the standardization of the ...

  • Matching Investing Risk Tolerance To Personality

    http://www.investopedia.com/articles/professionaleducation/09/risk-tolerance-personality-typing.asp
    ... Some investment management firms have developed proprietary client questionnaires
    to help them with the standardization of this process. ...

  • A Guide To Global Investment Performance Standards

    http://www.investopedia.com/articles/07/GIPS.asp
    ... In other words, GIPS fill a need for standardization across a far-flung
    industry. Is GIPS Necessary? GIPS are standards, not laws. ...

  • A Guide To Global Investment Performance Standards

    http://www.investopedia.com/articles/07/gips.asp
    ... In other words, GIPS fill a need for standardization across a far-flung
    industry. Is GIPS Necessary? GIPS are standards, not laws. ...

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