5) PQM.pptx

What Is Project Quality?
The International Organization for Standardization (ISO) defines
quality as “the degree to which a set of inherent characteristics
fulfills requirements” (ISO9000:2000)
Other experts define quality based on:
• Conformance to requirements: the project’s processes and products meet
written specifications
• Fitness for use: a product can be used as it was intended
3

2. Do
T
est the
plan
3. Check
Is the plan
working?
4. Act
plan
1.Plan
Identify the
Implement the improvement and make
a plan
PDCA Model

The three Quality Management Processes
PROCE
S S #
PROCESS NAME
PROCE
SS
GROUP
DESCRIPTION
1
Plan Quality
Managemen
t
Planning
Identify quality requirements and/or standards for
the project and its deliverables, and document how
the project will demonstrate compliance with
quality requirements and/ or standards.
2 Manage Quality Execution
translate the quality management plan into
executable quality activities that incorporate the
organization’s quality policies into the project.
3 Control Quality
Monitoring
&
Controllin
g
Monitor and record the results of executing the
quality management activities to assess
performance and ensure the project outputs are
complete, correct, and meet customer
expectations.

About Project Quality Management
What is Quality?
Quality,in project management, is about fulfilling requirements.
Quality is about satisfyingstated and implied needs.
Quality is a conformance to project requirements.
Every project has an anticipated level of quality for the project deliverables. Project
quality management is the process of ensuring that the project fulfills its obligations to
satisfythe project needs.
Project quality management also is concerned with both the management of the project
and the product of the project.
It’s easy to focus on the product (the thing or service the project creates), but project
managersmust also provide quality for the project management activities.

What is Quality?
Aspects of the downside of focusing too much on the product include the following:
Overworking the project team to complete the project: This may result in
unacceptable work, a decline in team morale, and the slow, steady destruction of the
project team’s willingness to work.
Hurrying to complete the project work by speeding through quality
inspections:This can result in unacceptable deliverables.

QualityVS. Grade
Quality and grade are not the same
Quality is the sum of the characteristics of a product that allow it to meet the
demands or expectations of the project. Quality is all about fulfilling requirements.
Grade, according to the PMBOK Guide, “is a category or rank given to entities
having the same functional use but different technical characteristics.” For
example, there are different grades of paint, different grades of metal, and even
different grades of travel.

Quality Control vs. Quality Assurance
The Quality Management Plan identifies the methods used to ensure the quality of the
products meet the quality specifications. It does this in two ways:
Quality Control measures aportion of the outputs to determine conformance to
specifications.
QualityAssurance measures the processes used to attain the quality standards.

Implementing Quality Project Management
Quality management and project management havesimilar characteristics:
Customer satisfaction: The project must satisfy the customer requirements by
delivering what it promised to satisfy the needs of the customer. The PMBOK Guide states
it as“conformance to requirements” and “fitness for use.”
Prevention: Quality isplanned into aproject, not inspected in. It isalwaysmore cost-
effective to prevent mistakes than to correct them.
Attribute sampling: When you measure the results of a work, the results either
will conform to quality or will not. In addition, variable sampling will measure the
degree of conformity for the result of project work.

Tolerances: There’s usually a window of tolerance when it comes to measurements
of work results (for example, five defects per 100 units). Control limits define the
boundaries of tolerance and acceptability for work results.
Management responsibility The project team must work toward the quality goal,
but management must provide the needed resources to deliver on the quality promises.
Plan-do-check-act Dr. W. Edwards Deming, arguably the world’s leader in quality
management theory thanks to his management methods implemented in Japan after
World War II, set the bar with his “plan-do-check-act” approach to quality management.
This approach is similar to the project management processes that every project passes
through.

Kaizen technology Kaizen is a quality management philosophy of applying
continuous small improvements to reduce costs and to ensure consistency of project
performance.
Quality improvement programs One of the goals of any organization is to
improve quality, reduce errors, and effectively become more efficient and more
productive. Two quality improvements the PMBOK Guide mentions directly are Total
Quality Management and Lean Six Sigma. Both programs aim to reduce waste,
eliminate non-value-added efforts, and help the organization become more efficient and
achieve quality goals.

Levels of Quality Management
There are five levels of quality management:
Let the customer find the defects: This is the most expensive, and often the most
embarrassing, approach to quality management. Warranty claims, rework, loss of
income, and damage to reputation are all attributes of letting the customer find the
defects.
Quality control inspections: Inspect the work and correct the defects before the
customer finds the defects. This approach can still be expensive and time-consuming, as
rework must be done to correct the defects before the customer sees the work results.
Quality assurance programs: Aim to perfect the processes, not just the errors
that are a result of a poor work process.

Levels of Quality Management
Build quality into work: Do the work correctly the first time by implementing
quality planning and designing quality into the project.
Quality culture: Buildaculture ofquality in the organization, where everyone
aims to achieve quality in all processes and work results

Preparing For Quality
Project Manager must know the quality expectations before quality planning,
specifically, what are the quality standards of the performing organization and which
quality standards are applicable to the project?
The project manager must consider the costs of achieving the expected level of
quality in contrast to the costs of nonconformance. The costs of quality include
training,safety measures,and action to prevent poor quality.
The costs of nonconformance can far outweigh the costs of quality with possible
lossof customers,rework needed,lost time, lost materials, and danger to workers.

Determining the Quality Policy
Top management should define the quality policy; this is part of the organizational
process assets.
The quality policy of the organization may follow a formal approach, such as ISO 9000,
Six Sigma, or Total Quality Management, or it may have its own direction and approach
to satisfying the demand for quality.
If the performing organization doesn’t have a quality policy? Or what if two different
entities are working together on a project and they use differing quality policies? In these
circumstances, the project management team should create the quality policy for the
project.

(1 ) PLAN QUALITY MANAGEMENT
OVERVIEW
Plan Quality Management is the process of identifying quality requirements and/or
standards for the project and its deliverables, and documenting how the project will
demonstrate compliance with quality requirements and/or standards.
The key benefit of this process is that it provides guidance and direction on how quality
will be managedand verified throughout the project.
Quality planning should be performed in parallel with the other planning processes. For
example, changes proposed in the deliverables in order to meet identified quality
standards may require cost or schedule adjustments and a detailed risk analysis of the
impact to plans.

INPUTS
Project management plan: Specifically, the requirements management plan,
risk management plan, stakeholder engagement plan, and the scope
baseline.
Project documents Assumption log, requirements documentation,
requirements traceability matrix, the risk register, and the stakeholder
register.
Enterprise environmental factors the geographic makeup of the project;
the organizational structure; marketplace conditions; working conditions of the
project; and anycultural perceptions that could affect achievingquality.
Organizational process assets Organizational process assets leveraged here may
alsoinclude templates,check sheets, and historical information.

TOOLS &TECHNIQUES
Benchmarking: Benchmarking involves comparing actual or planned project practices
or the project’s quality standards to those of comparable projects to identify best
practices, generate ideas for improvement, and provide a basis for measuring
performance.
Brainstorming: Brainstorming can be used to gather data creatively from a group of
team members or subject matter experts to develop the quality management plan that
best fits the upcoming project.
Interviews: Project and product quality needs and expectations, implicit and
explicit, formal and informal, can be identified by interviewing experienced project
participants,stakeholders,and subject matter experts.

TOOLS &TECHNIQUES
Data Analysis techniques that can be used for this process include but are not limited
to:
Cost / Benefit Analysis: Acost-benefit analysis is a financial analysis tool used to
estimate the strengths and weaknesses of alternatives in order to determine the
best alternative in terms of benefits provided. Acost benefit analysis will help the project
manager determine if the planned quality activities are cost effective. The primary
benefits of meeting quality requirements include less rework, higher
productivity, lower costs, increased stakeholder satisfaction, and increased
profitability.

TOOLS &TECHNIQUES
Cost of Quality: The cost of quality considers the expense of all the activities within a
project that are undertaken to ensure its quality. The cost of quality is divided into three
major categories:
Prevention costs: Defines the costs of preventing poor quality in the
project. Examples of this cost include training, safety measures, and acquiring the right
tools and equipment to do the project work.
Appraisal costs: The cost of measuring, testing, auditing, and evaluating the
project’s product to confirm that quality has been achieved in the work results.
Failure costs: This approach is the cost of completing the project work without
quality. Internal failure costs are the rework and scrap caused by poor quality.
External failure costs include loss of sales, loss of customers, downtime, and damage
to the organization’s reputation.

TOOLS &TECHNIQUES
The optimal cost quality is
about balancing the
prevention and appraisal costs
against the failure costs. For
example, a
manufacturer could slow down a
piece of equipment to ensure that
every widget created is perfect, but
the cost of doing so is greater than
running the equipment at a faster
pace and losing a few widgets
due to
poor quality.

TOOLS &TECHNIQUES
Decision Making: A decision-making technique that can be used for this process
includes but is not limited to Multicriteria decision analysis. Multicriteria decision
analysis tools (e.g., prioritization matrix) can be used to identify the key issues and
suitable alternatives to be prioritized asaset of decisions for implementation.
Datarepresentation techniques that canbe used for this process include but are not
limited to:
Flowcharts Flow charts are also referred to as process maps because 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.

TOOLS &TECHNIQUES
Logical data model. Logical data models are a visual representation of an
organization’s data, described in business language and independent of any specific
technology. The logical data model can be used to identify where data integrity or other
quality issuescan arise.
Matrix diagrams. Matrix diagrams help find the strength of relationships among
different factors, causes, and objectives that exist between the rows and columns that
form the matrix. Depending on how many factors may be compared, the project
manager can use different shapes of matrix diagrams; for example, L, T, Y, X, C, and
roof–shaped. In this process they facilitate identifying the keyquality metrics that are
important for the success of the project.
Mind Mapping:

TOOLS &TECHNIQUES
Testing & Inspection: Quality control is inspection-driven, but you’ll need a plan
for how you’ll inspect the work. This is an example of an appraisal cost, because the
inspection activities will take time, may require materials or tools to test, and may have
other cost factors depending on the industry in which the project is being undertaken.
For example, consider the testing costs in manufacturing versus construction or IT
projects.

OUTPUTS
The Quality Management Plan is a component of the project management plan that
describes how applicable policies, procedures, and guidelines will be implemented to
achieve the quality objectives. It describes the activities and resources necessary for the
project management team to achieve the quality objectives set for the project. The
qualitymanagement plan mayinclude but is not limited to the following components:
Quality standards that will be used by the project; Quality objectives of the project;
Quality roles and responsibilities; Project deliverables and processes subject to quality
review; Quality control and quality management activities planned for the project; Quality
tools that will be used for the project; and Major procedures relevant for the project, such as
dealing with nonconformance, corrective actions procedures, and continuous improvement
procedures.

OUTPUTS
A QUALITY METRICS specifically describes a project or product attribute and how
the Control Quality process will verify compliance to it. Some examples of quality
metrics include percentage of tasks completed on time, cost performance measured
by CPI, failure rate, number of defects identified per day, total downtime per month,
errors found per line of code, customer satisfaction scores, and percentage of
requirements covered bythe test plan asameasure of test coverage.

(2 ) MANAGE QUALITY
OVERVIEW
Manage Quality is the process of translating the quality management plan into
executable quality activities that incorporate the organization’s quality policies into the
project.
The key benefits of this process are that it increases the probability of meeting the
quality objectives aswell asidentifying ineffective processes and causesof poor quality.
Manage Quality uses the data and results from the control quality process to reflect the
overallquality status of the project to the stakeholders.
This process is performed throughout the project.

8.3 Control Quality
Control Quality is the process of monitoring and recording results of executing the quality activities to
assessperformance and recommend necessary changes.The key benefits of this process include:
1. Identifying the causes of poor process or product quality and recommending and/or taking action
to eliminate them; and
2. Validatingthat project deliverables and work meet the requirements specified bykey stakeholders
necessaryfor final acceptance.

I
Quality Management Tools & Techniques

Cause-and-Effect Diagrams
Cause-and-effect diagrams
• trace complaints about quality problems back
to the responsible production operations
• They help you find the root cause of a problem
• Also known as fishbone or Ishikawa
diagrams
• Can also use the 5 whys technique where you
repeat the question “Why” (five is a good rule
of thumb) to peel away the layers of symptoms
that can lead to the root cause

Sample Cause-and-Effect Diagram
36

Flowcharts
Flowcharts are graphic displays of the logic and flow
of processes that help you analyze how problems
occur and how processes can be improved
They show activities, decision points, and the order of how
information is processed
37

Pareto Charts
APareto chart is a histogram that can help
you identify and prioritize problem areas
Pareto analysis is also called the 80-20
rule, meaning that 80 percent of problems
are often due to 20 percent of the causes
39

Histograms
Ahistogram is a bar graph of a
distribution of variables
• Each bar represents an attribute or characteristic of a
problem or situation, and the height of the bar
represents its frequency

Control Charts
A control chart is a graphic display of data that illustrates the
results of a process over time
The main use of control charts is to prevent defects, rather
than to detect or reject them
Quality control charts allow you to determine whether a
process is in control or out of control
• When a process is in control, any variations in the results of the process are
created by random events; processes that are in control do not need to be
adjusted
• When a process is out of control, variations in the results of the process are
caused by nonrandom events; you need to identify the causes of those
nonrandom events and adjust the process to correct or eliminate them
43

The Rule of Seven
Y
ou can use quality control charts and the rule of
seven to look for patterns in data
The Rule of Seven states that if seven data points
in a row are all below the mean, above the mean, or
are all increasing or decreasing, then the process
needs to be examined for nonrandom problems
44

Scatter Diagram
Ascatter diagram helps to show if there
is a relationship between two variables
• The closer data points are to a diagonal line, the
more closely the two variables are related

Design of Experiments
Design of experiments is a quality planning
technique that helps identify which variables have the
most influence on the overall outcome of a process
Also applies to project management issues, such as
cost and schedule trade-offs
Involves documenting important factors that directly
contribute to meeting customer requirements
48

Affinity Diagram
The affinity diagram is a business tool used to
organize ideas and data.
The tool is commonly used within project
management and allows large numbers of ideas
stemming from brainstorming to be sorted into
groups, based on their natural relationships, for
review and

AFFINITY DIAGRAM -
RAW DA
T
AFROM CUSTOMERS AND ST
AKEHOLDERS
Lean
Nostandardization
HighVolume,High
Mixof products
Loading/Unloading
Procedures
Tumbleroutpaces
packaging
machine
Changeover
Problems
Safety
Ergonomics
Concerns
Material I
Handling 1
._ Transport of
raw materials
l J
"
"
- Mixing
i Messy
.... Splashing
Problems
j
, .,
2000 lbsloads
r
New E
quipment More efficientset
ups
strict handling
standards
J
Manual process
operation
improvements
Costeffective Easilycleaned
.. I •E c
( ' t
Process
Improvement
Mustmeet health
code
LayoutDesign V'orker
Relations
Sanitary
Requirements
L
"'-
E
ye Protection
FoodSafety
Noise Issues
Preventative
Procedures
PinchProblems
Back Injuries
Labor Effeciency
Savings
E
aseof Use
Environmentally
friendly

Product Decision Program Chart (PDPC)
Process Decision Program Chart (PDPC) is a technique designed to help
prepare contingency plans. The emphasis of the PDPC is to identify the consequential
impact of failure on activity plans, and create appropriate contingency plans to limit risks.

89
This too
T
l is
ru
e
se
e
d toD
brei
aa
k dg
owr
n a
bro
m
ad categories into finer and finer levels of detail. It can
map levels of details of tasks that are required to accomplish a goal or solution or task.
Developing the tree diagram helps one move their thinking from generalities to specifics.

Process Analysis
55
Quality Assurance is concerned with process improvement. The process
improvement plan is developed in the Plan Quality Management process. It should
contain at least the following information:
• Existing process description
• Current process metrics
• Targets for improvement
• Approach for improvement
• Flow of the existing process
In the Quality Assurance process, the target process is analyzed, and alternative
approaches for improvement are identified. As a result of the analysis, the best
alternative is selected, and a flow of the new process is developed. At that point, a
change request is generated. If approved, the new process is implemented.

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