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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!"
QUALITY MANAGEMENT
• 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 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"
QUALITY MANAGEMENT
?
• 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
COST OF QUALITY/ POOR QUALITY
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.
CONSEQUENCES OF POOR QUALITY
•
•
•
•
•
•
•
•
Loss of business
Liabilities & re-working
Low productivity
Increased inspections
Cost overruns
Disturbed cash flows
Bad market reputation
Disagreements over product acceptances
QUALITY MANAGEMENT
WHAT IS 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.
QUALITY MANAGEMENT
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
Tools & Techniques:
PLAN QUALITY
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 nonconformance 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
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
QUALITY MANAGEMENT
Difference Between QUALITY ASSURANCE AND QUALITY CONTROL
QA
QC
1. Part of Quality management
focused on providing confidence
that quality requirements will be
fulfilled
1. Part of Quality management
focused on fulfilling quality
requirements
2. QA is process oriented
2. QC is product oriented
3. QA interprets and strives to
achieve customer requirements
and project specifications
4. Audits
3. QC helps QA to validate the
customer requirements and
project specifications
4. Inspections
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
PERFORM QUALITY ASSURANCE
Tools & Techniques:
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.
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
PERFORM QUALITY CONTROL
Tools & Techniques:
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.
Continued….
PERFORM QUALITY CONTROL
Tools & Techniques:
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.
QUALITY MANAGEMENT
QA/ QC TOOLS
Fishbone/ Cause and Effect/ Ishikawa Diagram
Basic Layout of
Cause-and-Effect Diagrams
CAUSE A
CAUSE
C
EFFECT
EFFECT
CAUSE B
CAUSE
D
Basic Layout of
Cause-and-Effect Diagrams
EFFECT
Poor Gas
Mileage
Basic Layout of
Cause-and-Effect Diagrams
Methods
Machinery
EFFECT
Poor Gas
Mileage
People
Material
Basic Layout of
Cause-and-Effect Diagrams
Methods
Machinery
Underinflated tires
Use wrong gears
Drive too fast
Carburetor Adjustment
Poor Maintenance
EFFECT
Poor Gas
Mileage
Improper lubrication
Poor driving habits
Poor quality gas
People
Material
Basic Layout of
Cause-and-Effect Diagrams
Methods
Machinery
Impatient
Use wrong gears
Underinflated tires
Always Late
Drive too fast
Poor Hearing
Music too loud
Cant hear engine
Poor Maintenance
Lazy
Rs:
People
Carburetor Adjustment
EFFECT
Poor Gas
Mileage
Improper lubrication
Poor driving habits
Poor quality gas
Material
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