2. SUMMARY/FOCUS
What is Quality, Quality Planning and Quality Planning Process ?
Quality gurus
Contemporary Quality Concepts
Framework: Project QM: ISO ,TQM, Six Sigma, DMAIC, PDCA
CEO’s perspective on Six Sigma Companies
Core Project Quality Concepts
Project Quality Management Plan
Project Quality Tools
Cost of Quality (COC)
Project Kickoff and Kickoff Meeting Agenda
Baseline and Communication for Project Management Plan
Questions
References
3. Quality
What is “QUALITY”?
• "Quality is fitness for use" - J.M. Juran
• "Quality is meeting or exceeding customer expectations at a cost that represents a
value to them." - H. James Harrington
• "Quality should be defined as surpassing customer needs and expectations
throughout the life of the product." - Howard Gitlow and Shelley Gitlow
• Layman’s definition: Make sure whatever is delivered is within the quality
expectations of the organization.
• “Quality is a continuously improving process where lessons learned are used to
enhance future products and services in order to retain existing customer, win
back lost customers and win new customers.” - PM workbook and PMP study
guide.
4. Quality Planning
What is Quality Planning ?
• Quality planning – “the process of identifying which quality
standards are relevant to the project and how to satisfy them.”
PMBOK® Guide
• Satisfy project deliverables.
• Quality Planning is often performed simultaneously with other
aspects of project planning.
5. Quality Planning Process Video
• What is Quality Planning Process?
Source: PMP Exam Preparation: Rev 3, Quality Planning: http://www.youtube.com/watch?v=zhCUiiLWlwI
6. Quality Planning Process Video
Summary:
• Quality planning process tells us what do we need for our project,
how can we achieve information/resources and finally how can we
satisfy requirements.
• Quality planning process runs simultaneously with project planning.
• Quality means delivering what is expected.
• Project Team’s aim is to complete project on time, within budget
and satisfy scope requirements.
7. Project Quality Management Process
• Quality Planning: Identify which quality standards are
relevant.
• Quality Assurance: Applying planned systematic quality to
ensure process meets requirements
• Quality Control: Monitoring specific progress results to
determine whether they comply with standards.
8. Quality Gurus: Deming
• Deming proposed that Quality suffered because
management was preoccupied with “today” rather
than future.
• He postulated that 85% of all quality problems require
management initiative to change the system and only
15% of quality problems could be controlled by
operators.
• Developed Deming cycle for improvement which is
based on Shewhart’s PDCA cycle.
9. Quality Gurus: Deming
Deming Profound Knowledge System
• Appreciation of a system: understanding the overall
processes involving suppliers, producers, and customers (or
recipients) of goods and services (explained below);
• Knowledge of variation: the range and causes of variation in
quality, and use of statistical sampling in measurements;
• Theory of knowledge: the concepts explaining knowledge and
the limits of what can be known (see also: epistemology);
• Knowledge of psychology: concepts of human nature.
11. Quality Gurus: J.M.Juran
Juran’s Management theory:
Added the human dimension to quality management.
Resistance to change: root cause of quality issues
Provided guidance on planning, controlling and improving
quality.
14. Frameworks for Project Quality Management
• Most organizations use the following frameworks to
define and organize their quality initiatives.
• ISO (International Organization for Standardization)
• TQM (Total Quality Management)
• SIX SIGMA
15. ISO (International Organization for Standardization)
Quality Framework was developed in Europe.
Describes fundamentals of quality management system.
ISO 9000 denotes quality management standard
2000 denotes the latest revision of the standards
ISO 9000 three part continuous cycle:
• Planning- Objectives, goals, authority, responsibility and
relationships are defined and understood
• Controlling- Goals and objectives are met, problems are anticipated/
averted through corrective actions.
• Documentation: Used mostly for feedback about performance of
quality management system.
16. ISO (International Organization for Standardization)
Advantages of ISO Implementation:
Create a more efficient, effective operation
Increase customer satisfaction and retention
Reduce audits
Enhance marketing
Improve employee motivation, awareness, and morale
Promote international trade
Increases profit
Reduce waste and increases productivity.
18. TQM/Malcolm Baldrige:
Total quality management (TQM) is a business management
strategy aimed at embedding awareness of quality in all
organizational processes.
Quality Framework
developed in US
Came into picture in
late 1980’s
TQM forms core
values of Malcolm
bridge award.
TQM has customer
first orientation.
Source: Advanced Quality Engineering – Dr. John W. Sutherland, MTU, Notes
20. Six Sigma
Sigma stands for standard deviation. (σ). A statistical
term for amount of variation in data.
Six Sigma Quality means quality problems are
measured in parts per million opportunities (PPM).
Six Sigma was first developed at Motorola.
21. Six Sigma: DMAIC
It uses DMAIC methodology.
DMAIC: Define, Measure, Analyze, Improve and
Control.
DMAIC is continuous improvement of processes and it
is used to manage and control improvement projects.
22. Six Sigma: PDCA/Deming cycle
PLAN: Select needed
improvement, understand
process and reasons of
problems and create plan.
DO: Try changes on small
scale and collect data.
CHECK: Compare results after
change with those before
improvement.
ACT: If results are good
implement them otherwise
repeat the cycle.
SOURCE: http://elsmar.com
23. A CEO’s Perspective on Six Sigma Companies
Video on Six Sigma Companies
Six Sigma Perspective- Jack Welch
Learning’s:
“Variation is Evil”
Customer Centric/ Customer Focus
Drive out variation
Leadership from top-down
Not just Six Sigma name tag, prove through results.
26. Core Project Quality Concepts:
Stakeholder Satisfaction
Identify Stakeholder*
1. People who work on the project
2. Provide people or other resources
3. Have their routines disrupted
Prioritize Stakeholder*
1. Prioritize stakeholder on basis of Proximity, Power,
Urgency Level.
*Reference from Chapter 5: Stakeholder Analysis and Communication Planning, Kloppenborg
27. Core Project Quality Concepts:
Stakeholder Satisfaction
Understand Stakeholder requirements.
Develop quality standards to ensure requirements are
met.
― Involve stakeholders actively in developing quality standards.
Make tradeoff decisions
28. Core Project Quality Concepts: Stakeholder
Analysis
Stakeholder analysis is a technique you can use to identify
and assess the importance of key people, groups of people,
or institutions that may significantly influence the success
of your activity or project.
Why do we use Stakeholder Analysis ?
— To identify people, groups, and/or institutions that will influence either
positively or negatively.
— To anticipate the kind of influence whether it is positive or negative.
— To develop strategies for getting the most effective support possible and
reduce any obstacles towards successful development of quality standards.
Stakeholder Analysis is used during early stages of
planning.
30. Core Project Quality Concepts:
Stakeholder Satisfaction Sayings
Old carpenter advice “ Measure twice, cut once”
approach for stakeholder satisfaction.
Meet requirements but try to exceed expectations.
Smart Project Manager develops capable customers.
31. Core Project Quality Concepts: Process
Management
Process: “ A set of inter-related actions and activities
performed to achieve a specified set of products,
results or services.
Process Management is the application of knowledge,
skills, tools and techniques to define, visualize,
measure, control and improve processes with the goal
to meet customer requirements profitably, while
maintaining the developed quality standards.
32. Core Project Quality Concepts: Process
Management
Understanding Process with SIPOC (Supplier-input-process-output-customer)
Model:
Source: www.isixsigma.com
33. Core Project Quality Concepts: Process
Management
Process Control:
Control is comparing actual performance with planned
performance, analyzing variances, assessing trends to effect
process improvements, evaluating possible alternatives and
recommending appropriate corrective actions.
Types of control
— Steering Control- Continual comparison of project progress against project plan.
— Go/No-Go control- Generally conducted at milestones. If a key deliverable is
acceptable the project continues, if unacceptable work needs to be redone.
— Post-control: They are applied after the fact.
Steering and Go/no-go controls are directed towards
accomplishing goals of an ongoing project while post control is
directed towards improving chances of future projects.
34. Core Project Quality Concepts: Process
Management
Process Control with PDCA Model:
Processes improvement can be continuous or breakthrough.
SME’s and core team should be thinking of little ways of
improvement.
Slow and Steady improvement is a good policy but a
breakthrough is needed for substantial improvement.
Organizations focused on long term improvement and short
term results thrive better than organizations focused “only” on
short-term results.
37. Core Project Quality Concepts:
Fact-based management
Decisions made based on facts are sensible but
difficult to implement because:
—Different opinions come into picture.
—Hard to collect useful data
—Projects operate under time & pressure and
decisions need to be made quickly.
38. Core Project Quality Concepts:
Fact-based management
Fact Based Management Includes:
• Monitoring key facts – descriptive, financial, logistical
• Setting and adjusting tactics, schedules, resources,
control points to align with known facts
• Achieving a continuously updated plan
• Defining and tracking the operational and financial
metrics of success
• Communicating status and results to stakeholders and
implementation teams
39. Core Project Quality Concepts:
Fact-based management
Understanding Variation:
Need to understand common and special cause variation.
Common Cause: Variation in system which is predictable.
Special Cause: Variation or faults in process. Also termed as local faults. Special
cause are not predictable.
40. Core Project Quality Concepts:
Fact-based management
What to measure:
Project Managers know what to measure as they
become more experienced.
r Project Manager also want to avoid either measuring
nothing or measuring everything.
s With the good charter a milestone schedule usually
has acceptance criteria attached to it.
r Lessons learned is good source to identify what needs
to be measured.
i Involvement of sponsor ensures a highly specific
project agreement which in turn means useful data will
be collected.
41. Core Project Quality Concepts:
Fact-based management
Working Correctly with Data and using information correctly
a. It is important while working with data to know that
how it has been collected, handled and stored.
b. Efforts should be directed towards collecting complete,
correct and timely data.
c. Data collection techniques vary from looking for simple
patterns and trends in small projects to using advanced
statistical tools for complex projects.
d. Encourage truth and transparency in communications
e. Use available data to challenge opinions and decisions.
42. Core Project Quality Concepts:
Fact-based management
Empowered performance:
Empowered performance means:
— To have capable and willing workers at every function.
— To allow some decision making authority to those
lower in the organization so that they can take some
risk.
— To treat risk events as learning opportunities.
43. Core Project Quality Concepts:
Fact-based management
Empowered performance:
b. Recognize individuality
c. Leaders should promote inclusiveness; treat diversity
as a tool for project development.
d. Leaders should ask the team members what “they”
want from the project apart from the success of the
project.
e. Capitalizing on individual strengths
f. Leaders should create opportunities according to
talents of individuals so the employee would recognize
this and will be motivated to excel. This will result in
his/her best performance.
44. Core Project Quality Concepts:
Fact-based management
Empowered performance:
Emphasize individual responsibilities
Use appropriate collaboration
a. Cross-functional teams are most effective and help
promote individual and team development. Also help
flourish organizational learning.
b. Develop lessons learned at the completion of project
milestones and at project closure.
45. Project Quality Management Plan
Quality Policy
Quality Baseline
Quality Assurance
Quality Control
46. Project Quality Management Plan
Quality Policy
Document that is typically created by quality experts and
fully supported by top management.
Quality policy should contain:
a. Quality objectives
b. Level of quality acceptable to organization
c. Responsibility of members for executing and
implementing quality policy in the organization.
Quality policy creates organization’s reputation and image.
47. Project Quality Management Plan
Quality Policy…continued
Implementation of quality policy is responsibility of top
management.
Good Quality policy will:
a. Include what needs to be done and not how it can be
done.
b. Promote consistency throughout the organization
c. Provide explanation to outsiders that how
organization views quality
d. Provide guidelines for important quality matters.
e. Provide provisions for changing/updating the policy.
48. Project Quality Management Plan
Quality Baseline:
A metrics that defines precisely what needs to be measured and
how it can be measured.
Developing a Quality baseline is performing an analysis/study to
determine the current level of performance in a specific activity.
A baseline needs to be established for two reasons:
1. To identify perceived quality problems
2. To establish Quality improvement objectives through the
baseline and to measure improvements in quality.
Quality baseline sets a benchmark from where progress can be
tracked.
It includes target value for achieving each objective so people stay
focused.
49. Project Quality Management Plan
Quality Assurance
Quality Assurance is the collective term for formal activities
and managerial processes to ensure products and services
meet required quality level.
It is one way to simultaneously improve quality and manage
stakeholder relationships.
Primary methods of Quality Assurance includes:
1. Quality Audit: Which is an independent evaluation performed
by qualified personnel to ensure products meet quality
requirements.
2. Process improvement: which is used to improve both quality
and productivity.
50. Project Quality Management Plan
Quality Assurance…continued
Good Quality Assurance system:
1. Identify objectives and standards
2. Be multi-functional and prevention oriented
3. Plan for collection and use of data in cycle of
continuous improvement.
4. Plan for establishment and maintenance of
performance measures.
5. Include quality audits.
51. Project Quality Management Plan
Quality Control:
“Monitoring specific results to determine whether they
comply with relevant quality standards and identifying ways
to eliminate causes of unsatisfactory results.” PMBOK® Guide.
Quality control involves use of
statistical process control to
reduce variability and increase
efficiency of processes.
It certifies that the organization’s
quality goals/objectives are met.
Picture Courtesy: Bryan Lester
52. Project Quality Management Plan
Quality Control:
A good quality control system will:
a. Select what to control
b. Set standards for decisions regarding possible
corrective actions
c. Establish measurement methods used.
d. Compare actual results to standards.
e. Monitor and calibrate measuring devices.
f. Include detailed documentation for all processes.
53. IN CLASS EXERCISE
• Please take 5 minutes to go through the handout.
• Answer:
Potential Issues
1. Rework
2. Higher maintenance and support costs
3. Client dissatisfaction
4. Missed deadlines and budget
5. Poor morale.
Possible Remedies
7. Detailed Criteria for completeness and correctness
8. Revamp the Quality Control Process
9. Set up a Quality Assurance Process
54. Project Quality Tools
Used to help organizations manage the quality of their
processes/projects
To better understand the use of these tools in project
quality management, the DMAIC model has been used to
classify where each tool is used
55. Project Quality Tools – Define Phase
The Project Charter
― Sets expectations and scope of the Project
Communication Plan
– To keep stakeholders in the loop about project progress
Voice of the customer
• Used to capture the requirements/feedback from the customer to
provide the customer with the best service/product quality.
• Can be captured in a variety of ways:
− Direct Discussion/Interviews
− Surveys
− Field Reports
− Warranty Data
56. Project Quality Tools – Define Phase
Stakeholder Analysis
– Used to identify affected parties and their position on the project
SIPOC (Supplier-Input-Process-Output-Customer)
– Used to help with scoping and boundaries
57. Project Quality Tools – Measure Phase
Critical to Quality (CTQ)
− Used to identify qualities of the service/process which are
critical to the customer needs
− Example: Car door sound when closing may be critical to the
customer so the dimensional tolerances and cushioning needed
to produce those conditions are CTQs for the auto maker.
Data Collection Plan (Define Measures)
— Used to collect data for root cause analysis.
— Tells where to store data nd how much data is needed
58. Project Quality Tools – Measure Phase
Flow Chart(Process Map)
• Shows sequence of activities
or information travel
• Used for identifying
bottlenecks, decision points,
responsibilities.
59. Project Quality Tools – Analyze Phase
FMEA (Failure Mode and Effect Analysis)
− Helps understand potential failure causes.
− Used for prioritizing risk, suggesting abatements, and
adjust the scores after abatements.
Source: www.wikipedia.org
60. Project Quality Tools – Analyze Phase
Histogram
– Vertical bar graph to view performance and tendencies
of the current process
Pareto Chart
• Vertical bar chart to rank and identify key reasons for
defects and to identify which critical areas need
improvement
NO. OF DEFECTS
TYPES OF DEFECTS
HISTOGRAM PARETO CHART
Source: www.wikipedia.org
61. Project Quality Tools – Analyze Phase
Run Chart
− It is a line graph which shows the process performance
over time
Root Cause Analysis
– It is a technique to
determine the root cause
of a problem.
– It helps to identify
which problems should
be focused on before
others
Source: Run Chart, www.wikipedia.org
62. Project Quality Tools – Improve Phase
Pilot
– A pilot project means to run a project solution on a small scale.
– Helpful in finding out if any improvements are needed
Brainstorming
– Tool to quickly generate many ideas
– Can help identify current process issues, potential roadblocks and
potential solutions.
63. Project Quality Tools – Improve Phase
Cause and Effect Diagram( Ishikawa/Fishbone)
– This tool helps discover many potential causes of
problems and also helps identify their causes.
Source: Fishbone Diagram - www.envisionsoftware.com
64. Project Quality Tools – Control Phase
Control Charts
– Help understand variation over time
– Shows how much variation is in a process over time
The above chart is called a X-Bar Chart
There are other types of charts also which are used depending on what needs to be
checked
Source: Control Charts – www.omnilingua.com
65. Project Quality Tools – Control Phase
Dashboards (Scorecards)
– They contain a few measures which summarize
performance Shows how much variation is in a process
over time.
– They are used to baseline current performance metrics
and to measure improvement after changes have been
made to the process.
Lessons Learned
– It is the knowledge from the captured and shared
experience.
– Useful for recognizing best practices for future Projects.
66. Project Quality Tools – Control Phase
Change Management
– It is a structured approach to overcome resistance.
– It is a support for gaining and maintaining buy-in and
acceptance of any changes.
Project Review
– It is the assessment of project progress and problems for
continuation.
– It helps keep project on track in terms of
budget/schedule/milestones and requirements of
stakeholders
67. Cost of Quality (COQ)
COQ is the total price of all efforts to achieve product or
service that conforms to requirements. “Quality Management
for Projects and Programs, Lewis R. Ireland, Fellow PMI”.
Moral: “Build it right the first time”. Otherwise the non-
conformance costs can be greater than conformance costs.
Cost of Quality ("COQ") advantages:
1. Measurement used for assessing the waste or losses from
some defined process.
2. Track changes over time for one particular process, or can
be used as a benchmark for comparison of two or more
different processes (eg. two machines, different
production lines, sister plants, two competitor companies,
etc.).
68. Cost of Quality (COQ)
Most COQ systems are defined by 4 categories of costs:
Table Source: 1] http://www.pqa.net/ProdServices/Qtools/COQ.htm#Why is COQ Important; 2] 20.8 COQ, Project Management systems approach, Harold Kerzner, PHD.
69. Project Kickoff- Project Kickoff Meetings
Kickoff meetings are excellent communication and team
building opportunities. The principle purpose is to get the
project started on right foot and should have all or most of
the following objectives:
70. Kickoff Meeting Agenda
The following items should be included in kickoff meeting
agenda:
71. Baseline and Communication for Project
Management Plan
A project plan becomes officially ready when all
project related details are available for key
stakeholders and when the plan supports the
baseline.
It is important to communicate the project
management plan in accordance with the
communications plan.
Baseline is the approved time phased plan, plus or
minus approved project changes defined by PMBOK®
Guide.
73. References:
Project Management- A contemporary approach, Kloppenborg
ISO
www.iso.org
http://en.wikipedia.org/wiki/ISO_9000#2000_version
Kerzner, Harold, Project Management- A systems approach to planning, scheduling and controlling.
DMAIC, Six Sigma overview
http://www.asq.org/learn-about-quality/six-sigma/overview/dmaic.html
Deming PDCA:
http://elsmar.com/pdf_files/DemingPDCA.gif
http://www.youtube.com/watch?v=kao1K30LXEk&feature=related
http://www.sset-platform.org/@api/deki/files/159/=stakeholder_analysis.jpg
Project Quality Planning:
http://www.projectperfect.com.au/info_project_quality_planning.php
Deming:
http://en.wikipedia.org/wiki/W._Edwards_Deming
Juran’s Trilogy:
http://www.public.iastate.edu/~vardeman/IE361/f02mini/kroh.pdf
COQ
Quality Management for Projects and Programs, Lewis R. Ireland Fellow, PMI”
74. References:
Stakeholder Analysis:
http://erc.msh.org/quality/ittools/itstkan.cfm
Project Quality Management Process
A Guide to Project Management Body of Knowledge (PMBOK Guide)
Fact-Based management contents:
http://www.consultingindetail.com/fb_proj_mgnt.html
Process Control:
Project Management- A Managerial approach, Jack.R.Meredith, Samuel J.Mantel,Jr.
Quality Policy
Project Management-A systems approach to planning, scheduling and controlling; Harold
Kerzner, PHD.
Quality Baseline:
http://conceptfortheday.blogspot.com/2007/10/quality-baseline.html
75. References:
• Project Management – A Contemporary Approach; Timothy J. Kloppenborg
•Quality Control and Assurance
Project Management-A systems approach to planning, scheduling and controlling;
Harold Kerzner, PHD.
•Cost of Quality:
http://www.pqa.net/ProdServices/Qtools/COQ.htm#Why is COQ Important
•Project Management-A systems approach to planning, scheduling and controlling;
Harold Kerzner, PHD.
• Project Management Workbook to accompany Project Management-A systems
approach to planning, scheduling and controlling; Harold Kerzner, PHD.