INTRODUCTION TO QUALITY MANAGEMENT Project Quality Management

A little boy went into a store, reached for a soda carton and pulled it over to the telephone. He climbed onto the carton so that he could reach the buttons on the phone and proceeded to punch in seven digits. The store owner observed and listened to the conversation. The boy asked, "Maam, Can you give me the job of cutting your lawn?" The woman replied, "I already have someone to cut my lawn." " I will cut your lawn for half the price of the person who cuts your lawn now." replied the boy. The woman responded that she was very satisfied with the person who was presently cutting her lawn. The little boy was even more perseverant and said, "I'll even sweep your curb and your sidewalk, so on Sunday you will have the prettiest lawn in all of Palm beach, Florida." Again the woman answered in the negative. With a smile on his face, the little boy replaced the receiver. The store owner, who was listening to this conversation, walked over to the boy and said, "Son I like your attitude; I like that positive spirit and would like to offer you a job."

The little boy replied, "No thanks, I was just checking my performance on the job I already have. I am the one who is working for the lady I was talking to!"

WHAT IS MEANT BY QUALITY? "Quality is the ability of a product or service to consistently meet customer expectations" "Conformance to requirements" "Fitness for use" "Value to some person" DIFFERENCE Between QUALITY & GRADE ? QUALITY MANAGEMENT

 Quality is fulfilling the customer requirements and grade is the facilities or features in the product.  "You can choose a low grade product but not the low quality product"

DIFFERENCE Between PRECISION & ACCURACY ? MANAGEMENT RESPONSIBILITY CUSTOMER SATISFACTION WITH NO GOLD PLATING PREVENTION OVER INSPECTION CONTUNOUS IMPROVEMENT MANAGEMENT RESPONSIBILITY COST OF QUALITY (next screen) COST OF POOR QUALITY/ NON-CONFORMANCE QUALITY MANAGEMENT

Failure Costs: Costs incurred by defective parts/products or faulty services. Internal Failure Costs: Costs incurred to fix problems that are detected before the product/ service is delivered to the customer. External Failure Costs: All costs incurred to fix problems that are detected after the product/service is delivered to the customer. Appraisal Costs: Costs of activities designed to ensure quality or uncover defects. Prevention Costs: All training, planning, customer assessment, process control, and quality improvement costs to prevent defects from occurring. COST OF QUALITY/ POOR QUALITY

Loss of business Liabilities & re-working Low productivity Increased inspections Cost overruns Disturbed cash flows Bad market reputation Disagreements over product acceptances CONSEQUENCES OF POOR QUALITY

WHAT IS QUALITY MANAGEMENT? QUALITY MANAGEMENT Quality Management includes the processes required to ensure that project will satisfy the needs for which it was undertaken. Project Quality Management must address both; the management and the product of the project. Failure to either of the dimension can have serious negative consequences for the project stakeholders.

There are three (03) processes in this domain: 1.Plan Quality Management 2.Perform Quality Assurance 3.Control Quality QUALITY MANAGEMENT

1. PLAN QUALITY Management Scope Baseline Cost-Benefit Analysis Cost of Quality (Conf. / Non-conf.) Control Charts Benchmarking Design of Experiments Statistical Sampling Flowcharting Proprietary QM Methodologies Additional QM Tools Meetings QUALITY MANAGEMENT

Cost-Benefit Analysis comparing cost of quality and the expected benefit. Includes less reworks, higher productivity, Lower cost & > S.H. satisfaction Cost of Quality includes all costs incurred over the project life to prevent non- conformance to requirements (Seven Basic Quality Tools) Control Charts are used to determine process stability and predictable performance. Benchmarking is comparing your planned practices to those of comparable projects. Design of Experiment Statistical Method should be used during the plan quality process to determine the number and types of tests and their impact on cost of quality. Statistical Sampling is choosing part of population for inspection Flowcharting is graphical relationship of processes in an activity. Proprietary QM Methodologies include renowned tools like Six Sigma, ISOs etc. Additional Quality Planning Tools include brainstorming, matrix diagrams and affinity diagrams etc. Tools & Techniques: PLAN QUALITY

QUALITY MANAGEMENT PLAN What are the standards that apply on the project Who would be involved in managing quality, when and what duties Review of earlier decisions to ensure that they are correct Quality meetings to be held and when Reports that will address quality What metrics would be used to measure quality What parts of the project or deliverables would be measured and when

Comparison of Cost of conformance & non-conformance

1. Part of Quality management focused on providing confidence that quality requirements will be fulfilled 2. QA is process oriented 3. QA interprets and strives to achieve customer requirements and project specifications 4. Audits QUALITY MANAGEMENT Difference Between QUALITY ASSURANCE AND QUALITY CONTROL 1. Part of Quality management focused on fulfilling quality requirements 2. QC is product oriented 3. QC helps QA to validate the customer requirements and project specifications 4. Inspections QAQC

QUALITY MANAGEMENT 2. PERFORM QUALITY ASSURANCE Project Management Plan Process Improvement Plan Learning Curve, F. Taylor (m.c) Plan Quality and Perform Quality Control Tools and Technology Quality Audits: structured, independent process to determine if activities comply with policies and standards Process Analysis

Plan Quality & Quality Control As stated before in Plan Quality and would come in Quality Control later. Quality Audits are structured and independent review to determine whether project activities comply with the ones spelt out in QMP and project policies & processes. Process Analysis is carried out to identify the effectiveness of process and suggest improvement, if required. Tools & Techniques: PERFORM QUALITY ASSURANCE

QUALITY MANAGEMENT 3. PERFORM QUALITY CONTROL Project Management Plan Quality Metrics Quality Checklists Work Performance measurements Approved Change Requests Deliverables Cause and Effect Diagram Control Charts Flowcharting Histogram Pareto Chart Run Chart Scatter Diagram Statistical Sampling Inspection Approved Change Request review Verified Deliverables

Cause & Effect Diagram Also known as Ishikawa and fishbone diagram. Stated before in Plan Quality and would come in Quality Control later. Control Charts are used to observe process behavior over a period of time and assess that when it is required to be adjusted or replaced. Flowcharting is used to identify the need for potential process improvement opportunities. Histogram is a vertical bar chart showing how often a particular variable state occurred. Pareto Chart is also vertical bar chart that is ordered by the frequency of occurrences. It helps in finding the causes resulting into greatest number of defects. Tools & Techniques: Continued…. PERFORM QUALITY CONTROL

Run Chart is a sort of control chart but without boundaries. It shows the history and pattern of a variation. Scatter Diagram shows the relationship between two variables. Statistical Sampling Taking samples to test and observe non conformance. Inspection is examination of product to determine its conformance. It can be done at any time and are also used to verify defect repairs. Also known as review, peer review, audit or walkthroughs. Approved Change Request Review All approved change requests should be reviewed to verify that they were implemented as approved. Tools & Techniques: PERFORM QUALITY CONTROL

QUALITY MANAGEMENT QA/ QC TOOLS

Fishbone/ Cause and Effect/ Ishikawa Diagram

Basic Layout of Cause-and-Effect Diagrams CAUSE ACAUSE C CAUSE DCAUSE B EFFECT

Basic Layout of Cause-and-Effect Diagrams EFFECT Poor Gas Mileage

Basic Layout of Cause-and-Effect Diagrams EFFECT Poor Gas Mileage Methods MaterialPeople Machinery

Basic Layout of Cause-and-Effect Diagrams EFFECT Poor Gas Mileage Methods MaterialPeople Machinery Use wrong gears Drive too fast Underinflated tires Carburetor Adjustment Poor Maintenance Poor driving habits Improper lubrication Poor quality gas

Basic Layout of Cause-and-Effect Diagrams EFFECT Poor Gas Mileage Methods MaterialPeople Machinery Use wrong gears Drive too fast Underinflated tires Carburetor Adjustment Poor Maintenance Poor driving habits Improper lubrication Poor quality gas Poor Hearing Music too loud Cant hear engine Impatient Always Late Lazy Rs:

Control Chart

A typical Histogram

Pareto Chart

Scatter Diagram

Run Chart

“Quality is the result of a carefully constructed cultural environment. It has to be the fabric of the organization, not the part of the fabric” PHILIP CROSBY