Project Quality Project Quality ManagementManagement

Sections of this presentation were adapted Sections of this presentation were adapted from from A Guide to the Project Management A Guide to the Project Management

Body of KnowledgeBody of Knowledge 4 4thth Edition, Project Edition, Project Management Institute Inc., © 2009Management Institute Inc., © 2009

Project Quality ManagementProject Quality Management

““Creating and following policies and Creating and following policies and procedures to ensure that a project meets procedures to ensure that a project meets the defined needs it was intended to meet the defined needs it was intended to meet from the customer’s perspective.” PMP from the customer’s perspective.” PMP Exam Prep, 6Exam Prep, 6th th EditionEdition

Why Quality Management?Why Quality Management?

Quality means conformance to specifications and Quality means conformance to specifications and fitness for use – i.e. just what you need and not fitness for use – i.e. just what you need and not more more

Projects or products with unnecessary features Projects or products with unnecessary features can be too expensive to meet the business needcan be too expensive to meet the business need

Prevention is much cheaper than inspection, build Prevention is much cheaper than inspection, build quality in early to minimize costs/maximize qualityquality in early to minimize costs/maximize quality

How Do We Manage Quality?How Do We Manage Quality?

Three processesThree processes Plan QualityPlan Quality

What is quality and how will we ensure it?What is quality and how will we ensure it? Perform Quality AssurancePerform Quality Assurance

Are we following the quality standards?Are we following the quality standards? Perform Quality ControlPerform Quality Control

Are we meeting the quality standards?Are we meeting the quality standards?

Perform Quality

Assurance

Perform Quality Control

Plan Quality

Plan QualityPlan QualityScope Baseline

Cost Performance Baseline

Schedule Baseline

Cost-benefit analysis

Cost of quality

Control charts

Benchmarking

Design of experiments

Statistical sampling

Flowcharting

Proprietary quality management methodologies

Additional quality planning tools

Inputs OutputsTools & Techniques

Risk Register

Enterprise Environmental Factors

Organizational Process Assets

Quality Management Plan

Quality Metrics

Process Improvement Plan

Quality Checklists

Project document updates

Perform Quality

Assurance

Perform Quality Control

Plan Quality

Stakeholder Register

Plan QualityPlan Quality

Cost of Quality – Cost of Quality – Evaluating the cost of Evaluating the cost of conformance with the conformance with the cost of nonconformance cost of nonconformance to reach a balance. to reach a balance. Includes;Includes;

Prevention CostsPrevention Costs Appraisal CostsAppraisal Costs Failure CostsFailure Costs

Cost of Cost of ConformanceConformance

Cost of Non Cost of Non ConformanceConformance

Quality trainingQuality training ReworkRework

StudiesStudies ScrapScrap

SurveysSurveys Inventory CostsInventory Costs

Warranty CostsWarranty Costs

Deming’s Costs of Quality

85% of the costs of quality are the direct responsibility of management - Deming

Quality Planning TermsQuality Planning Terms

Gold PlatingGold Plating – Giving the customer extras that – Giving the customer extras that do not add value to the projectdo not add value to the projectMarginal AnalysisMarginal Analysis – The point where the – The point where the incremental revenue from an improvement incremental revenue from an improvement equals the cost to implement itequals the cost to implement itKaizen Kaizen – Continuous improvement process to – Continuous improvement process to reduce costs and promote consistencyreduce costs and promote consistencyISO 9000ISO 9000 – International standard to ensure that – International standard to ensure that companies have quality procedures and that companies have quality procedures and that they follow themthey follow them

Perform Quality AssurancePerform Quality Assurance

Project Management Plan Plan quality and perform quality control tools and techniques

Quality audits

Process analysis

Inputs

Outputs

Tools & Techniques

Change Requests

Organizational Process Assets Updates

Project Document Updates

Project Management Plan Updates

Quality Metrics

Work Performance Information

Quality Control Measurements

Perform Quality

Assurance

Perform Quality Control

Plan Quality

Statistics Terms ReviewStatistics Terms Review

Mutually Exclusive – Two Mutually Exclusive – Two events that cannot both events that cannot both occur in a single trialoccur in a single trial

Statistical Independence Statistical Independence – Probability of one event – Probability of one event occurring does not affect occurring does not affect the probability of another the probability of another event occurringevent occurring

Probability – The Probability – The likelihood that something likelihood that something will occur (usually will occur (usually expressed in percent)expressed in percent)

Remember:+/- 1 = 68.26%+/- 2 = 95.46%+/- 3 = 99.73%+/- 6 = 99.99%

Normal DistributionNormal Distribution

Perform Quality ControlPerform Quality ControlProject Management Plan Cause and effect diagram

Control charts

Flowcharting

Histogram

Pareto Chart

Run chart

Scatter diagram

Statistical sampling

Inspection

Approved change requests review

Inputs

Outputs

Tools & Techniques

Quality Control Measurements

Validated Deliverables

Validated ChangesQuality Metrics

Quality Checklists

Organizational Process Assets

Work Performance Measurements

Approved Change Requests

Deliverables

Change Requests

Project Management Plan Updates

Organizational Process Assets Updates

Project Document Updates

Perform Quality

Assurance

Perform Quality Control

Plan Quality

Pareto ChartPareto Chart

Graph of problem type vs. frequencyGraph of problem type vs. frequency

80/20 Rule – 80% of your problems will come from 80/20 Rule – 80% of your problems will come from 20% of your work!20% of your work!

Problem Type

Fre

quen

cy

Cum

ulat

ive

Per

cent

age

Control ChartControl Chart

Upper & Lower Control Limits (UCL & LCL)Upper & Lower Control Limits (UCL & LCL) Set by quality goal i.e. 3Set by quality goal i.e. 3 Includes the normal and expected variation in the processIncludes the normal and expected variation in the process

Specification LimitsSpecification Limits Contracted acceptable limit, usually outside UCL & LCLContracted acceptable limit, usually outside UCL & LCL

Out of ControlOut of Control Data point falls outside of UCL/LCLData point falls outside of UCL/LCL Non-random data points i.e. “Rule of Seven”Non-random data points i.e. “Rule of Seven”

Rule of SevenRule of Seven If you get seven points in a row on one side of the mean, seven points If you get seven points in a row on one side of the mean, seven points

ascending, or seven points descending, the process is no longer random ascending, or seven points descending, the process is no longer random and it is out of controland it is out of control

Originally adopted from a Ford quality manualOriginally adopted from a Ford quality manual

Assignable ChangeAssignable Change When the controller adjusts the process to bring the process back within When the controller adjusts the process to bring the process back within

process control limitsprocess control limits

Control ChartsControl Charts

Specification Limit

Specification Limit

(or Mean)