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Chapter 8 – QUALITY Management
GSN Notes- 8 Quality Page 1 of 6
Low grade (a limited number of features) - low quality (many bugs)
Precision – Consistency that the value of repeated measurements have little scatter. Precise
measurements may not be accurate.
Accurate – It correctness of measured value, accurate measurements may not be precise.
Quality - Is planned, designed and built in, not inspected in.
Joseph Juran – Quality - Fitness of Use
Edward Deming – Quality Improvement – Plan, Do, Check and Act
Philip Crosby – Quality – Conformance to requirements, Advocated Prevention over
inspection and “Zero Effects”.
Quality Management –Complements Project Management. Both recognize the importance of
Customer satisfaction, prevention over inspections, Management Responsibility and Continuous
improvement.
Cost of quality - All work to ensure conformance to requirements + nonconformance to
requirements.
Marginal Analysis – Optimal Quality is reached at the point where the increased revenue from
improvement equal incremental cost to secure it.
Quality Management Plan – Provides input to the overall project management plan and must
address Quality Control, Quality Assurance and continues process improvement for the project.
Peer review may not include individuals that worked on the material being reviewed.
Gold Plating – Giving Customers extras, it is not recommended.
Quality Matrix – Defines what something is and how to measure it.
Process improvement Plan – Subsidiary of PMP, it details the steps for analyzing processes that will
facilitate the identification of waste and non value added activity, it includes
1. Process boundaries 2.Process configuration 3.Process matrix 4.Targets for improved
performance.
Quality Control Measurements – Results of QC activities that are fed back to QA to reevaluate
and analyze the quality standards and processes for performing organization.
Process Analysis – TT of QA, it follows steps outlined in Process improvement plan, it includes root
cause analysis.
Seven Basic Tools of Quality – 1.Cause and Effect Diagram 2.Control Charts 3.Flowcharting
4.Histogram 5.Pareto Chart 6.Run Chart 7.Scatter Diagram
Design of experiments - is a statistical method that helps identify which factors might influence
specific variables
Operational definitions are also called metrics
Prevention (keeping errors out of the process) and inspection (keeping errors out of the hands of
the customer).
Chapter 8 – QUALITY Management
GSN Notes- 8 Quality Page 2 of 6
Tolerances - (the result is acceptable if it falls within the range specified by the tolerance) and
control limits (the process is in control if the result falls within the control limits).
Inspections - are variously called reviews, product reviews, audits, and walkthroughs;
The process may be changed to provide improvements, but it should not be adjusted when it is
in control.
Control chart – UL,LL
Pareto Diagram – Histogram, ordered freq of occurrence, take corrective action & 80 prob/20
causes
Statistical sampling - Statistical sampling involves choosing part of a population of interest for
inspection
Trend analysis involves using mathematical techniques to forecast future outcomes based on
historical results.
Project Quality Management – processes required to ensure that the project will satisfy the needs
for which it was undertaken.
Quality is the conformance to requirements/specifications and to fitness of use.
Quality function deployment – provide better product definition and product development. Its
main feature are to capture the customer’s requirements, ensure cross functional teamwork,
and link the main phases of product development.
Rework – action taken to bring a non-conforming item into compliance. Rework is a frequent
cause of project overruns.
Quality Variable A quality characteristic that is measurable
Quality Attribute A quality characteristic that is classified as either conforming or nonconforming
Benchmarking Comparing practices of other projects. Provides a standard to measure performance
(time consuming). (e.g. investigating quality standards that other companies are
using)
Statistical
Analysis
Involves determining the probability of an occurrence
Trend Analysis Uses mathematical techniques to forecast future outcomes based on historical results;
used to measure technical, cost, and schedule performance
Quality Audit Structured review of other quality management activities performed to identify
lessons learned (used for process improvement) Part of Quality Assurance. Provide
management confidence that the project will satisfy relevant quality standards.
Chapter 8 – QUALITY Management
GSN Notes- 8 Quality Page 3 of 6
Inspection Prevent errors from reaching the customer before delivery to the customer. Can be
done throughout product development.
Design of
Experiments
A technique to identify which variables have the most influence on overall outcomes
(part of Quality Planning) (e.g. analyze the color/size combination that will contribute
most to the functionality of the new product). Can be applied to cost and schedule
tradeoffs.
Flow chart Help analyze how problems occurs
Attribute
Sampling
Measures whether or not the results conforms to specifications
Variable
Sampling
Are characteristic you want to measure (size, shape, weight, etc…). An attribute is
what you are measuring. The result is rated on a continuous scale that measures the
degree of conformity.
Assignable
Causes
Data point on a control chart that requires investigation
Specification
Limit
Shows customer’s expectations for quality (on a control chart)
Control Chart …Help newly assigned project manager determine whether the project is out of
control (in order to verify quality level). Can be used to monitor project management
processes such as coscard, schedule variance, volume and frequency of scope
changes, and errors in project documents.
Statistical Control
Chart
Are used to monitor process variations overtime. Help people understand and control
their process work.
“Out of Control” Non-random points that are still within the upper and lower control limit
Upper and Lower
Control Limit on a
Control Chart
Acceptable range of variation of a process. [These limits are set based on the
company’s quality standards. The control limits are determined from data obtained
from the process itself.]
Specification
Limit
Fixed by the customer
Pareto Diagram Used to show how results were generated, by type or category of identified cause
Ishikawa Made popular Pareto Chart, Cause-and-Effect Diagram and Control Chart
Chapter 8 – QUALITY Management
GSN Notes- 8 Quality Page 4 of 6
Taguchi Method Is used to estimate the loss associated with controlling or failing to control process
variability. If you select good design parameters, you can produce products that are
more forgiving and tolerant. The tool helps determine the value or break-even point
of improving a process to reduce variability.
ISO 9000 Provides a basic set of requirements for a quality system, without specifying the
particulars for implementation.
Checklists Used to verify that a set of required steps has been performed in quality control
process
“Statistically
Independent”
Determine if problems are related before planning what to do about them
Mutually
Exclusive
If two events cannot both occur in a single trial (?)
Special Cause Unusual event
Random Cause Normal process variation
Cause and Effect
Diagram (Fishbone)
(1) Creative way to look at actual causes and potential causes of a problem
(2) Process of constructing helps stimulate thinking about an issue; helps to
organize thoughts; generates discussion
(3) Used to explore a wide variety of topics
(4) Also known as Ishikawa or Fishbone diagram
Quality Planning Refers to potential problems. Although it usually occur during planning phase, it can
occur during execution if there is a change.
Quality Control Refers to specific performance of a task (measuring quality and comparing results to
the quality plan)
Quality
Assurance
Refers to overall quality requirements (standards) (e.g. evaluating overall project
performance regularly)
Cost of Quality
Conformance
Planning
Non-Conformance (most accurate)
Scrap
Training Rework and repair
Process Control Additional Material
Design and process validation Repairs and service
Test and evaluation Complaints
Quality audits Liability
Chapter 8 – QUALITY Management
GSN Notes- 8 Quality Page 5 of 6
Maintenance and calibration Product recalls
Inspection Field service
Field testing Expediting
Impact of Poor Quality
Increased cost
Decreased productivity
Increased risk and uncertainty
Increased costs in monitoring
Goal of the cost of quality program should be 3 - 5% of total value.
Cost of non-quality is estimated to be 12 - 20% of sales.
Cost of Quality Includes Prevention Costs (training), Appraisals Costs (inspection/testing) and
Internal (scrap, rework)/External (warranty) Failure costs
Management is 85% responsible for quality. The team member is ultimately responsible for quality
management. The project manager is primarily responsible for quality management.
Two components of product availability are reliability and maintainability.
To effectively use statistical quality control, the project team should know the differences
between special causes and random causes.
Sampling and probability are the most important topics to understand in statistical process
control.
Top management should direct continuous improvement.
Quality control measurement are records of quality control testing and measurement in a format
for comparison and analysis (input to quality assurance).
• Quality Management Plan – describes method for implementing quality policy project
quality system and organizational structures, responsibilities, procedures, processes and
resources needed to implement project quality management.
Documentation
TQM – Total Quality Management Philosophy encourages companies and their employees to
focus on finding ways to continuously improve quality of their business practices and products.
Process Analysis – Lessons learned in first few cases is used to improve the process on the
remaining ones.
Standard Deviation – From 3 point Estimates = (P – O)/6
Chapter 8 – QUALITY Management
GSN Notes- 8 Quality Page 6 of 6
Six Sigma – Level of Quality. +/- 1 Sigma equal to 68.26%, which is percentage of occurrences to
fall between the two control limits.
Rule of Seven – Based on Heuristics, seven random data points grouped together in a series with
in control limit. It represents that they are not random and should be investigated.

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8 quality PMBOK

  • 1. Chapter 8 – QUALITY Management GSN Notes- 8 Quality Page 1 of 6 Low grade (a limited number of features) - low quality (many bugs) Precision – Consistency that the value of repeated measurements have little scatter. Precise measurements may not be accurate. Accurate – It correctness of measured value, accurate measurements may not be precise. Quality - Is planned, designed and built in, not inspected in. Joseph Juran – Quality - Fitness of Use Edward Deming – Quality Improvement – Plan, Do, Check and Act Philip Crosby – Quality – Conformance to requirements, Advocated Prevention over inspection and “Zero Effects”. Quality Management –Complements Project Management. Both recognize the importance of Customer satisfaction, prevention over inspections, Management Responsibility and Continuous improvement. Cost of quality - All work to ensure conformance to requirements + nonconformance to requirements. Marginal Analysis – Optimal Quality is reached at the point where the increased revenue from improvement equal incremental cost to secure it. Quality Management Plan – Provides input to the overall project management plan and must address Quality Control, Quality Assurance and continues process improvement for the project. Peer review may not include individuals that worked on the material being reviewed. Gold Plating – Giving Customers extras, it is not recommended. Quality Matrix – Defines what something is and how to measure it. Process improvement Plan – Subsidiary of PMP, it details the steps for analyzing processes that will facilitate the identification of waste and non value added activity, it includes 1. Process boundaries 2.Process configuration 3.Process matrix 4.Targets for improved performance. Quality Control Measurements – Results of QC activities that are fed back to QA to reevaluate and analyze the quality standards and processes for performing organization. Process Analysis – TT of QA, it follows steps outlined in Process improvement plan, it includes root cause analysis. Seven Basic Tools of Quality – 1.Cause and Effect Diagram 2.Control Charts 3.Flowcharting 4.Histogram 5.Pareto Chart 6.Run Chart 7.Scatter Diagram Design of experiments - is a statistical method that helps identify which factors might influence specific variables Operational definitions are also called metrics Prevention (keeping errors out of the process) and inspection (keeping errors out of the hands of the customer).
  • 2. Chapter 8 – QUALITY Management GSN Notes- 8 Quality Page 2 of 6 Tolerances - (the result is acceptable if it falls within the range specified by the tolerance) and control limits (the process is in control if the result falls within the control limits). Inspections - are variously called reviews, product reviews, audits, and walkthroughs; The process may be changed to provide improvements, but it should not be adjusted when it is in control. Control chart – UL,LL Pareto Diagram – Histogram, ordered freq of occurrence, take corrective action & 80 prob/20 causes Statistical sampling - Statistical sampling involves choosing part of a population of interest for inspection Trend analysis involves using mathematical techniques to forecast future outcomes based on historical results. Project Quality Management – processes required to ensure that the project will satisfy the needs for which it was undertaken. Quality is the conformance to requirements/specifications and to fitness of use. Quality function deployment – provide better product definition and product development. Its main feature are to capture the customer’s requirements, ensure cross functional teamwork, and link the main phases of product development. Rework – action taken to bring a non-conforming item into compliance. Rework is a frequent cause of project overruns. Quality Variable A quality characteristic that is measurable Quality Attribute A quality characteristic that is classified as either conforming or nonconforming Benchmarking Comparing practices of other projects. Provides a standard to measure performance (time consuming). (e.g. investigating quality standards that other companies are using) Statistical Analysis Involves determining the probability of an occurrence Trend Analysis Uses mathematical techniques to forecast future outcomes based on historical results; used to measure technical, cost, and schedule performance Quality Audit Structured review of other quality management activities performed to identify lessons learned (used for process improvement) Part of Quality Assurance. Provide management confidence that the project will satisfy relevant quality standards.
  • 3. Chapter 8 – QUALITY Management GSN Notes- 8 Quality Page 3 of 6 Inspection Prevent errors from reaching the customer before delivery to the customer. Can be done throughout product development. Design of Experiments A technique to identify which variables have the most influence on overall outcomes (part of Quality Planning) (e.g. analyze the color/size combination that will contribute most to the functionality of the new product). Can be applied to cost and schedule tradeoffs. Flow chart Help analyze how problems occurs Attribute Sampling Measures whether or not the results conforms to specifications Variable Sampling Are characteristic you want to measure (size, shape, weight, etc…). An attribute is what you are measuring. The result is rated on a continuous scale that measures the degree of conformity. Assignable Causes Data point on a control chart that requires investigation Specification Limit Shows customer’s expectations for quality (on a control chart) Control Chart …Help newly assigned project manager determine whether the project is out of control (in order to verify quality level). Can be used to monitor project management processes such as coscard, schedule variance, volume and frequency of scope changes, and errors in project documents. Statistical Control Chart Are used to monitor process variations overtime. Help people understand and control their process work. “Out of Control” Non-random points that are still within the upper and lower control limit Upper and Lower Control Limit on a Control Chart Acceptable range of variation of a process. [These limits are set based on the company’s quality standards. The control limits are determined from data obtained from the process itself.] Specification Limit Fixed by the customer Pareto Diagram Used to show how results were generated, by type or category of identified cause Ishikawa Made popular Pareto Chart, Cause-and-Effect Diagram and Control Chart
  • 4. Chapter 8 – QUALITY Management GSN Notes- 8 Quality Page 4 of 6 Taguchi Method Is used to estimate the loss associated with controlling or failing to control process variability. If you select good design parameters, you can produce products that are more forgiving and tolerant. The tool helps determine the value or break-even point of improving a process to reduce variability. ISO 9000 Provides a basic set of requirements for a quality system, without specifying the particulars for implementation. Checklists Used to verify that a set of required steps has been performed in quality control process “Statistically Independent” Determine if problems are related before planning what to do about them Mutually Exclusive If two events cannot both occur in a single trial (?) Special Cause Unusual event Random Cause Normal process variation Cause and Effect Diagram (Fishbone) (1) Creative way to look at actual causes and potential causes of a problem (2) Process of constructing helps stimulate thinking about an issue; helps to organize thoughts; generates discussion (3) Used to explore a wide variety of topics (4) Also known as Ishikawa or Fishbone diagram Quality Planning Refers to potential problems. Although it usually occur during planning phase, it can occur during execution if there is a change. Quality Control Refers to specific performance of a task (measuring quality and comparing results to the quality plan) Quality Assurance Refers to overall quality requirements (standards) (e.g. evaluating overall project performance regularly) Cost of Quality Conformance Planning Non-Conformance (most accurate) Scrap Training Rework and repair Process Control Additional Material Design and process validation Repairs and service Test and evaluation Complaints Quality audits Liability
  • 5. Chapter 8 – QUALITY Management GSN Notes- 8 Quality Page 5 of 6 Maintenance and calibration Product recalls Inspection Field service Field testing Expediting Impact of Poor Quality Increased cost Decreased productivity Increased risk and uncertainty Increased costs in monitoring Goal of the cost of quality program should be 3 - 5% of total value. Cost of non-quality is estimated to be 12 - 20% of sales. Cost of Quality Includes Prevention Costs (training), Appraisals Costs (inspection/testing) and Internal (scrap, rework)/External (warranty) Failure costs Management is 85% responsible for quality. The team member is ultimately responsible for quality management. The project manager is primarily responsible for quality management. Two components of product availability are reliability and maintainability. To effectively use statistical quality control, the project team should know the differences between special causes and random causes. Sampling and probability are the most important topics to understand in statistical process control. Top management should direct continuous improvement. Quality control measurement are records of quality control testing and measurement in a format for comparison and analysis (input to quality assurance). • Quality Management Plan – describes method for implementing quality policy project quality system and organizational structures, responsibilities, procedures, processes and resources needed to implement project quality management. Documentation TQM – Total Quality Management Philosophy encourages companies and their employees to focus on finding ways to continuously improve quality of their business practices and products. Process Analysis – Lessons learned in first few cases is used to improve the process on the remaining ones. Standard Deviation – From 3 point Estimates = (P – O)/6
  • 6. Chapter 8 – QUALITY Management GSN Notes- 8 Quality Page 6 of 6 Six Sigma – Level of Quality. +/- 1 Sigma equal to 68.26%, which is percentage of occurrences to fall between the two control limits. Rule of Seven – Based on Heuristics, seven random data points grouped together in a series with in control limit. It represents that they are not random and should be investigated.