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7. Quality Management

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Quality management fix in an organization, product or service should be consistent. There are four main components: quality assurance,quality planning, quality control and quality improvement. Quality management is based not only on product and service quality, but also on the means to get it.

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7. Quality Management

  1. 1. 7/21/2017 Quality Management Saraca Solutions Pvt. Ltd. 1 Best PMP Exam Simulator
  2. 2. • includes the processes and activities of the performing organization that determine quality policies, objectives and responsibilities so that the project will satisfy the needs for which it was undertaken • Uses policies and procedures to implement within the project’s context the organization’ s QMS Project Quality Management 7/21/20172 www.Testudaan.com Best PMP Exam Simulator
  3. 3. Quality can be defined as : “the degree to which the set of inherent characteristics fulfills requirements”- PMBOK® Guide , Fifth edition, ISO 9000 Other experts define quality based on: Conformance to requirements - meeting written specifications AND Fit for use - ensuring a product can be used as it was intended Quality Defined 7/21/20173 www.Testudaan.com Best PMP Exam Simulator
  4. 4. • Car Quality  Ride, Reliability, Fit & Furnish,Audio System ? • Food Quality  Taste, Smell, Colour,Texture, Freshness ? • Shoe Quality  Fit, Stitching, Comfort,Wear? • Baby Furniture  Safety, Reputable, Durability, Easy toAssemble ? Quality Examples 7/21/20174 www.Testudaan.com Best PMP Exam Simulator
  5. 5. • Quality is the degree to which a set of inherent characteristics fulfills requirement • Grade as a design intent is a category assigned to deliverables having the same functional use but different technical characteristics  Low grade may not be a problem Example :A camera with lots of functions is high grade and a camera which takes bad pictures is low quality The project manager and the project management team are responsible for managing the trade-offs associated with delivering the required levels of both quality and grade Quality v/s Grade 7/21/20175 www.Testudaan.com Best PMP Exam Simulator
  6. 6. Project management team should determine the appropriate levels of accuracy and precision for use in the quality management plan • Precision is a measure of exactness  Magnitude for each increment on the measurement’s number line is the interval that determines the measurements precision  Greater the number of increments, greater the precision  Consistency of meeting requirements • Accuracy is an assessment of correctness  If the measured value of an item is very close to the true value of the characteristic being measured, the measurement is more accurate Precision v/s Accuracy 7/21/20176 www.Testudaan.com Best PMP Exam Simulator
  7. 7. • Compatibility with ISO Quality Standards should be a major consideration:  Minimize variation  Deliver results that meet requirements • To that end, PMI places emphasis on:  Customer Satisfaction (meeting customer’s requirements)  Prevention over Inspection (doing it right first time)  Continuous Improvement (PDCA)  Management Responsibility (driven by management by providing right resources)  Cost of Quality (COQ - conformance cost + non-conformance cost) ISO Quality Standards 7/21/20177 www.Testudaan.com Best PMP Exam Simulator
  8. 8. • Process of (a) identifying quality requirements and/or standards for the project and its deliverables and (b) documenting how the project will demonstrate compliance with relevant quality requirements and/or standards 8.1 Plan Quality Management 7/21/20178 www.Testudaan.com Best PMP Exam Simulator
  9. 9. 8.1 Plan Quality Management 7/21/20179 www.Testudaan.com Best PMP Exam Simulator
  10. 10. Benefit/Cost Analysis • A Cost-BenefitAnalysis should be applied to every quality activity • Compares the cost of the quality activity to the expected benefit • The golden rule associated with Cost-BenefitAnalysis is : ‘All benefits of quality activities must outweigh the costs’ • Such benefits might include less rework, lower overall costs, higher productivity, increased customer satisfaction and increased profitability Cost of Quality ( COQ) • Conformance Costs - Costs incurred during the project in either (a) appraising the deliverable to ensure compliance with requirements or (b) preventing non-compliance • Non-Conformance Costs - Costs incurred during the project or after release of the deliverable because it has failed to comply with requirements Plan Quality Management (Tools &Techniques) 7/21/201710 www.Testudaan.com Best PMP Exam Simulator
  11. 11. Cost of Quality - Examples Conformance Costs Appraisal Costs - Design/Build -Tests - Inspections Prevention Costs -Assessment -Training - Documented Processes - Equipment -Time Required during Project -ToAvoid Failure Non - Conformance Costs Internal Failure Costs -Team - Rewark - Scrap External Failure Costs - Customer - Liabilites -Warranty work - Lost business During /After Project - Due to Failure 7/21/201711 www.Testudaan.com Best PMP Exam Simulator
  12. 12. Seven Basic QualityTools 7/21/201712 www.Testudaan.com Best PMP Exam Simulator
  13. 13. Cause and Effect Diagram: • Also known as Ishikawa or fishbone diagram • The problem statement placed at the head of the fishbone is used as a starting point to trace the problem’s source back to its actionable root cause • It proves useful in linking the undesirable effects seen as special variation to the assignable cause upon which project teams should implement corrective actions to eliminate the special variation detected in a control chart Seven Basic QualityTools 7/21/201713 www.Testudaan.com Best PMP Exam Simulator
  14. 14. Flowcharting : • Also called process maps as they display the sequence of steps and the branching possibilities that exist for a process that transforms one or more inputs into one or more outputs • A flowchart is a graphical representation of a process • Useful in understanding and estimating the cost of quality in a process • Obtained by using the workflow branching logic to estimate EMV for the conformance and non- conformance work required to deliver the expected conforming output Seven Basic QualityTools 7/21/201714 www.Testudaan.com Best PMP Exam Simulator
  15. 15. Example of Flowcharting 7/21/201715 www.Testudaan.com Best PMP Exam Simulator
  16. 16. Example of Flowcharting 7/21/201716 www.Testudaan.com Best PMP Exam Simulator
  17. 17. Checksheets : • are also known as tally sheets • may be used as a checklist when gathering data • are used to organize facts to facilitate the effective collection of useful data about a potential quality problem • They are especially useful for gathering attributes data while performing inspections to identify defects Example : data about the frequencies or consequences of defects collected in checksheets are often displayed using Pareto diagrams Seven Basic QualityTools 7/21/201717 www.Testudaan.com Best PMP Exam Simulator
  18. 18. Pareto chart – 80/20 Rule • It is based on 80/20 rule : 20% of activities cause 80% of problems => a small no. of causes (20%) create the majority of problems (80%) • 80% of problems can be solved by curing 20% of the causes • Pareto chart is a vertical bar chart that are used to identify the vital few resources that are responsible for causing most of the problem’s effects • Categories shown on the horizontal axis exist as a valid probability distribution that accounts for the 100% of the possible observations • The relative frequency of the each specified cause listed on the horizontal axis decrease in magnitude. Data is arranged in order of importance, most significant problem is listed first and other problems fall in descending order Seven Basic QualityTools 7/21/201718 www.Testudaan.com Best PMP Exam Simulator
  19. 19. Example of Pareto Chart 7/21/201719 www.Testudaan.com Best PMP Exam Simulator
  20. 20. Histogram: • It is a special form of bar chart and are used to describe the central tendency, dispersion and shape of a statistical distribution • Each column represents an attribute or characteristics of a problem or situation • The height of each column represents the relative frequency of the characteristics • Histogram helps identify the cause of the problem in a process by the shape and width of the distribution 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 100,000 Jan Feb Mar Apr May Widget and Sprocket Sales Seven Basic QualityTools 7/21/201720 www.Testudaan.com Best PMP Exam Simulator
  21. 21. Control Chart • It determines whether or not a process is stable or has predictable performance • Control limits are calculated by standard statistical calculations and principles to establish the natural capability for a stable process • PM and stakeholders will use control limits as the points at which corrective action will be taken to prevent unnatural performance • Control charts most frequently used to track repetitive activities required for producing manufactured lots • They are also used to monitor cost and schedule variances, volume and frequency of scope changes and other management results to help determine if the process is in control Seven Basic QualityTools 7/21/201721 www.Testudaan.com Best PMP Exam Simulator
  22. 22. Example of Control Chart 7/21/201722 www.Testudaan.com Best PMP Exam Simulator
  23. 23. • Corrective action maintains the natural stability of a stable, capable process • The upper control limits and lower control limits are usually set at +/- 3 sigma (i.e. standard deviation) • Mean represent the average of control limits or specification limits • Out of control -A process is considered out of control if:  A data point falls out of control limits  Breaks the rule of seven • Rule of seven - Is a rule of thumb or heuristic which states that consecutive seven data points one either side of the mean is considered out of control, even though the data points are within control limits Control Chart 7/21/201723 www.Testudaan.com Best PMP Exam Simulator
  24. 24. Scatter Diagram • Plot ordered pairs (X,Y) • Sometimes called “Correlation Charts” in that they seek to explain a change in the dependent variable Y, in relationship to a change observed in the corresponding independent variable X • The direction of correlation may be proportional (positive correlation) inverse (negative Correlation) or a pattern of correlation may not exist (zero correlation) • If correlation can be established, a regression line can be  calculated and used to estimate how a change to the  independent variable will influence the value of the dependent variable Seven Basic QualityTools 7/21/201724 www.Testudaan.com Best PMP Exam Simulator
  25. 25. 70 75 80 85 90 95 100 760 780 800 820 840 860 880 900 920 940 SalesMadeintheMonth Outbound Sales Calls in the Month Relationship Between Outbound Sales Calls And Sales Made Example of Scatter Diagram 7/21/201725 www.Testudaan.com Best PMP Exam Simulator
  26. 26. • It is a statistical method for identifying which factors may influence specific variables of a product or process under development or in production  May be used during Plan Quality Management process to determine the number and type of tests and their impact on cost of quality  Used to reduce the sensitivity of product performance to sources of variations caused by environmental or manufacturing differences • It provides a statistical framework for systematically changing all of the important factors rather than changing factors one at a time • The analysis of the experimental data helps to find out factors that influence the results, reveals the presence of interactions & synergisms e.g.Automotive designers use this technique to determine which combination of suspension and tires will produce the most desirable ride characteristics at a reasonable cost Design Of Experiments (DOE) Plan Quality Management –T &T 7/21/201726 www.Testudaan.com Best PMP Exam Simulator
  27. 27. Process Improvement Plan • details the steps for analyzing processes that will facilitate the identification of waste and non- value added activity which ultimately increases customer value Quality Metrics • It is an operational definition, describes in very specific terms, what something is and how QC process will measure it • Tolerance is the allowable variation to the metric • Quality metrics are used in perform quality assurance and control quality processes e.g. on-time performance, cost control, defect frequency, failure rate, availability, etc. Plan Quality Management - Outputs 7/21/201727 www.Testudaan.com Best PMP Exam Simulator
  28. 28. Quality assurance is the process of auditing (a) the quality requirements and (b) results from quality control measurements to ensure that appropriate quality standards and operations definitions are met 8.2 Perform QualityAssurance 7/21/201728 www.Testudaan.com Best PMP Exam Simulator
  29. 29. Quality management and control tools Figure 8-10 Storyboard illustrating the seven quality management and control tools Perform QualityAssurance –T &T 7/21/201729 www.Testudaan.com Best PMP Exam Simulator
  30. 30. Affinity Diagram Process Description Program Chart (PDPC) • Similar to mind mapping techniques used to generate ideas that can be used to form organized patterns of thought about a problem • Used to understand a goal in relation to the steps for getting to the goal • It is used as a tool for contingency planning • It aids in anticipating intermediate steps that could derail the achievement of the goal Quality management and control tools Interrelationship Diagraph • An adaptation of relationship diagrams • Provides a process for creative problem solving in moderately complex scenarios that possess intertwined logical relationships for up to 50 relevant items Perform QualityAssurance –T &T 7/21/201730 www.Testudaan.com Best PMP Exam Simulator
  31. 31. Tree diagrams Prioritization Matrices • Also known as systematic diagrams that may be used to represent decomposition hierarchies such as WBS • Identify the key issues and the suitable alternatives to be prioritized as a set of decisions for implementation • Criteria are prioritized and weighted before being applied to all available alternatives to obtain mathematical score that ranks the options Quality management and control tools Perform QualityAssurance –T &T 7/21/201731 www.Testudaan.com Best PMP Exam Simulator
  32. 32. Matrix diagrams • Tool used to perform data analysis within the organizational structure created in the matrix. It seeks to show the strength of relationship between factors , causes and objectives that exist between the rows and columns that form the matrix Quality management and control tools Activity network diagrams • Called “Arrow Diagrams” in the past • Include both the frequently usedActivity-on-Node (AON) format as well as the now seldom-used Activity-on-Arrow (AOA) format • Used with PERT, CPM, and PDM scheduling methodologies Perform QualityAssurance –T &T 7/21/201732 www.Testudaan.com Best PMP Exam Simulator
  33. 33. Control quality is the process of monitoring and recording the results of executing the quality activities to assess performance and recommend necessary changes 8.3 Control Quality 7/21/201733 www.Testudaan.com Best PMP Exam Simulator
  34. 34. • are results of‘Control Quality’ process activities • should be captured in the format (i.e. Quality Metrics) that was specified through the ‘Plan Quality Management’ process • are used to analyze and evaluate the quality of the processes of the project against the standards of the performing organization or the requirements specified • can also compare the processes used to create the measurements and validate actual measurements to determine their level of correctness Quality control measurements Control Quality – Output 7/21/201734 www.Testudaan.com Best PMP Exam Simulator
  35. 35. Quality Assurance • Process related • Proactive • Audit • Prevention • Provides confidence that the stakeholder’s requirements will be met Quality Control • Product related • Reactive • Check • Inspection • Formally demonstrates that the sponsor and/or customer’s acceptance criteria have been met 7/21/201735 www.Testudaan.com Control Quality – Output Best PMP Exam Simulator
  36. 36. 7/21/2017 Thank you Saraca Solutions Pvt. Ltd. 36 www.Testudaan.com Best PMP Exam Simulator

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