bsbpmg505a manage project quality what is quality? the international organization for...

BSBPMG505A Manage Project Quality

What Is Quality?

• The International Organization for Standardization (ISO) defines quality as ‘the degree to which a set of inherent characteristics fulfils requirements’ (ISO9000:2000).

• Quality can also be based on conformance to requirements and fitness for use.

• Conformance to requirements - The project’s processes and products meet written specifications.

• Fitness for use - A product can be used as intended in the design


Conformance vs Fitness Example

• Many people fail to understand the difference between ‘Conformance to Requirements’ and ‘Fitness for Use’, here is an example…

• I need to buy a new car that can safely get me from Sydney to the Gold Coast. If this is my only requirement then I can buy any car on the market, and it would make sense to buy the cheapest possible car, as it would be meet ‘Fitness for Use’ criteria.

• Why then, do I wait to buy the new Subaru Outback V6 turbo diesel?• It is probably due to the fact that I had other non stated requirements

such as wanting an All Wheel Drive; a brand preference for Subaru; and a high safety expectation.

• Buying the cheapest car would have met the ‘Fitness for Use’ criteria, but buying the Subaru meets my ‘Conformance to Requirements’ criteria.


What Is Project Quality Management?

• Project quality management ensures that the project outcomes will satisfy the needs for which the project was undertaken

• It is critical to plan for quality outcomes.

• Quality planning involves identifying which quality standards are relevant to the project, product and deliverables and how these will be –

Included in the design and build processes – Quality Assurance

Checked for conformance on completion – Quality Control


What Is Project Quality Management?

• Project quality management addresses the quality requirements of the overall project and any products or deliverables are produced

• The quality measures and techniques used are unique to the characteristics of the product

• Project quality management is compatible with many different types of quality management approaches such as Six Sigma, Total Quality Management and ISO (International Organisation for Standardisation)


Basic Principles of Quality Management

• Quality management complements project management, both disciplines recognise the importance of –

Customer satisfaction

Prevention over inspection

Continuous improvement

• Customer satisfaction – defining requirements and managing expectations so that customer requirements are met

• Prevention over inspection – quality should be built in to the processes used to produce product and deliverables as the cost of preventing defects is less than the cost of fixing them at the end

• Continuous improvement – learning from previous projects is built into future projects to ensure improvement, learnings can also be incorporated during project execution


Project Quality Responsibilities

• Project Managers are ultimately responsible for quality management on their projects

• Many large organisations have internal quality and risk management departments that should be able to assist with the identification of relevant standards and methodologies, as well as internal policies and procedures

• Project Managers must seek out the quality standards relevant to –

their industry,

the project, and

the product


The Importance of Quality Management

• Failure to meet the quality requirements is a common reason for project failure and can have serious negative results

• The quality of the end product of a project is critical, things can go drastically wrong if the end product does not meet the requirements

People can die if machinery and medical equipment malfunctions

People can loose their money if new banking systems don’t work correctly

Space missions can fail if there are errors in project execution


Quality –

the degree to which a set of inherent characteristics fulfill the requirements

Cost of Quality –

total cost of all efforts related to quality throughout the project or product development lifecycle

Quality Audit –the process of examining the quality system or quality

management plan, often carried out by an internal or external quality auditor or an audit team. A key element in the ISO quality system.

Quality Management Terms for Projects


Quality Assurance –

quality activities that are built in to the processes used to create the product and deliverables, can be performed by a manager, client, or even a third-party reviewer. E.g. reviews, process checklists and quality audits.

Quality Control –

quality activities performed at the completion of a product or deliverable, used to verify that deliverables meet the requirements and that they are complete and correct. E.g. inspection and testing.

Quality Management Terms for Projects


• Quality control and quality assurance are important concepts, yet most project managers have only a vague understanding of the meanings and the differences between these terms.

• Quality Assurance –

Quality assurance activities are focused on the process used to create the deliverable.

periodically evaluating overall project performance to ensure the project will satisfy the relevant quality standards.

• Quality Control –

Quality control activities are focused on the deliverable itself

monitoring specific project results to ensure that they comply with the relevant quality standards

Quality Assurance vs Quality Control


An important distinction –

Finding and correcting defects during quality assuranceis much cheaper than finding and correcting

defects during quality control


Quality Assurance

Quality Control

During Development

On Completion



• Many people fail to understand the difference between ‘Quality Assurance’ and ‘Quality Control’, here is an example…

• My husband recently started to do the grocery shopping and he very diligently follows the shopping list and tries as hard as possible to bring home everything on the list.

• Unfortunately, sometimes when he gets home some of the produce doesn’t meet my requirements. The avocadoes are too hard and the strawberries are often mouldy. In this case the ‘Conformance to Requirements’ criteria has been met as he got everything on the list, but the ‘Fitness for Use’ criteria has not.

• Other times he won’t have bought everything on the list as he couldn’t find it in his preferred supermarket. This can be a problem when I need mushrooms for the beef stroganoff that I wanted to make that night. In this case, neither ‘Conformance to Requirements’ nor ‘Fitness for Use’ criteria have been met.



• What Quality Assurance processes are evident in my husband’s grocery shopping process?

I prepare a detailed list and he works from that list whilst he is shopping

He checks the list during his shopping trip to ensure he has everything

• What Quality Control processes are evident in my husband’s grocery shopping process?

I check the quality of the produce when he returns home

I check that he has bought everything on the list

• What Improvements could be made to the process in order to increase Quality?

He can have an alternate process if his preferred supermarket is out of something, then he can go to another supermarket for the additional items

I can train him to select better produce


• ISO (International Organization for Standardization) is the world's largest developer and publisher of International Standards.

• ISO is a network of the national standards institutes of 161 countries, one member per country, with a Central Secretariat in Geneva, Switzerland, that coordinates the system.

• ISO is a non-governmental organisation that forms a bridge between the public and private sectors. Many of its member institutes are part of the governmental structure of their countries, or are mandated by their government. Other members have their roots uniquely in the private sector, having been set up by national partnerships of industry associations.

International Organisation for Standardisation


ISO Quality Standards

• ISO 9000 is a quality system standard that -

is a three-part, continuous cycle of planning, controlling, and documenting quality in an organization.

provides minimum requirements needed for an organization to meet its quality certification standards.

helps organisations around the world reduce costs and improve customer satisfaction.

• The most commonly implemented family of quality standards is ISO 9001:2008 - Quality management systems – Requirements


Standards Australia

• Standards Australia is the nation’s peak non-government Standards organisation. It is charged by the Commonwealth Government to meet Australia’s need for contemporary, internationally aligned Standards and related services.

• The work of Standards Australia enhances the nation’s economic efficiency, international competitiveness and contributes to community demand for a safe and sustainable environment.

• It leads and promotes a respected and unbiased Standards development process ensuring all competing interests are heard, their points of view considered and consensus reached.

• Standards are printed by their publishing company SAI Global, where you can purchase any ISO, AS (Australian Standard) or IEC (International Electrotechnical Commission) standards.


Common Quality Standards

• There are many common quality standards available that cover different industries

AS ISO 10006:2003 – Quality management system – guidelines for quality management in projects

BCA 2008 and BCA 2009 - Building Codes of Australia

ISO 22000 - Food Safety

AS/NZS 4801:2001 - Occupational health and safety management

ISO 14000/ 14001 - Environmental Management Standard

ISO/IEC 15504 - Software Process Improvement and Capability dEtermination (SPICE)

ISO/IEC 25000:2005 - Software product Quality Requirements and Evaluation (SQuaRE)


Different Quality Tools and Techniques

• There are many different quality tools and techniques, the selection of these is determined by –

the type of product being delivered by the project,

organisational policies and procedures, and

selected external standards

Cause &Effect Diagrams

ControlCharts

Cost ofQuality

Design ofExperiments

QualityManagement

Methodologies

StatisticalSampling

Cost-BenefitAnalysis

BenchmarkingFlowcharting

ParetoChart

Histograms

RunChart

Inspection

QualityStandards

FailureMode

(FMEA)


Six Sigma –mathematically based process improvement approach

focusing on customer satisfaction and defect reduction, used first at Motorola and used extensively at GE Corporation

Total Quality Management (TQM) –management strategy that embeds awareness of quality in

all organisational processes. TQM has been widely used in manufacturing, as well as NASA space and science programs

Other Proprietary Methodologies –Lean Six Sigma, Quality Function Deployment, Deming,

Juran, Cosby etcCan be selected by your organisation for quality

management purposes

Quality Management Methodologies


Deming’s Quality Equation

Quality

Results of Work Efforts

Total Costs=

Focus on Quality

Increased Quality

Increased Costs Focus on Cost

Decreased Costs

Decreased Quality


Benchmarking –generates ideas for quality improvements by comparing

specific project practices or product characteristics to those of other projects or products within or outside the performing organisation, relates to lesson learnt

Cost Benefit Analysis –Primary benefits of meeting quality requirements are less

rework, higher productivity, lower costs and increased stakeholder satisfaction. Compares the cost of the quality activity with the benefits.

Flowcharting and Process Analysis–Graphical representation of a process that helps to identify

potential quality problems. Examination of process efficiency and failures

Quality Tools and Techniques


Cost of Quality –

Totals all costs incurred in quality assurance and quality control activities over the life of the project, product or deliverable. Includes cost of rework and defect rectification.


Cost of Conformance Cost of Non Conformance Prevention Costs• Training• Documented processes• Equipment• Time to do it right

Appraisal Costs• Testing• Destructive testing losses• Inspections

Internal Failure Costs• Rework• Scrap or waste

External Failure Costs• Liabilities• Repairs under warranty• Lost business


Control Charts –Statistical method used to determine if a project or

production process is stable and has predictable performance. The upper and lower limits relate to the requirements.

Statistical Sampling –Examines a selection or sample group of outputs, products

or deliverables for conformity to the requirements and quality standards

Design of Experiment -Statistical method for identifying the factors that have the

most influence over the quality of the end product, determines the accuracy of testing activities



Inspection –

Examination of a deliverable or product to determine if it meets the documented quality standards and requirements

Cause and Effect Diagrams –

Ishikawa or fishbone diagrams. Illustrate the linkages between quality problems and their potential causes

Failure Mode Effects Analysis –

More comprehensive that Cause and Effect Diagrams, involves determining ALL potential failures, the impacts of the failures and actions to both manage and prevent failures



Histograms –

Bar chart used to document the frequency with which certain events (defects or failures) occur

Pareto Charts or Pareto Diagrams –

Type of histogram that is ordered by frequency of occurrence. It shows the defects generated by the categories of the identified causes

Run Chart -

Similar to a control chart but doesn’t display the upper and lower performance limits, shows total variation in a process over time to enable trend analysis



Meeting Quality Outcomes

To meet the quality requirements, Project Managers must –

Ensure that detailed requirements and specifications are documented and agreed with stakeholders

Understand the relevant quality standards for their industry and product

Understand and follow organisational quality methodologies, policies and procedures

Plan for quality assurance and quality control activities in detail

Detail the impacts of change requests on quality requirements and processes

Ensure that defects are repaired and monitored


Project Quality Management Processes

PMBOK Project Quality Management Processes -

8.1 Plan Quality

8.2 Perform Quality Assurance

8.3 Perform Quality Control

Related processes from Project Integration Management –

4.2 Develop Project Management Plan

4.6 Close Project

PMBOK 4th Edition

bsbpmg505a manage project quality what is quality? the international organization for...

Documents

quality requirements

inspection quality

quality outcomes

quality standards

quality measures

internal quality

quality planning

total quality management