Project Quality Management

The processes which ensure that the project will satisfy the needs for
which the project was undertaken. This includes all activities of
the overall management function that determine the quality policy,
objectives and responsibilities and implements them

through
– Quality Planning
– Quality Assurance
– Quality Control
– Quality Improvement within quality system
 Quality
 The Totality of characteristics of an entity that bears on its ability to satisfy
the stated and implied needs.

- ISO 9000
 Customers view on quality
 Proprietary Vs Non Proprietary approaches
 Product quality Vs Project quality
 Stated needs Vs Implied needs
Other quality concepts
 Deming’s
– PDCA
– 85% problems are attributed to Management
– Put processes under statistical control for repeatability in quality
– Common cause
• Raw material variation, design mistakes, poor working
conditions etc
– Special cause variations
• Knowledge level of the workers, mistakes, workers not paying
attention
Juran
 Juran’s triology
– Quality planning
– Quality improvement
– Quality control

 Stress on customer’s view Vs Manufacturer’s view on quality

 Five attributes of “fitness for use”

– Quality of design
– Quality of conformance
– Availability
– Safety
– Field use

 Quality characteristics
– Structural, Sensory, Time oriented, Commercial and Ethical
Crosby’s four absolutes of Quality
 Quality means conformance to requirements

 Quality comes from prevention

 Quality means the performance standard is “ zero defects”

 Quality is measured by the cost of non conformance

Cost of quality
 Conformance Vs Non conformance
– Training, verification and validation,testing,calibration and audits
– Scrap,rework,warranty repairs,product recalls and complaints handling

 Prevention/Appraisal/Internal failure and external failure

– Prevention (training,Quality planning,vendor development,process
study…..)
– Appraisal ( inspection, vendor control,in-process testing..)
– Internal failure ( scrap,rework,repair, down time,defect evaluation,
corrective actions )
– External failure (customer returns,evaluation of customer complaints and
resolution, customer visits etc )
Quality Planning
Identifying which quality standards are relevant to the project and
determining how to satisfy them
Inputs Tools and techniques Outputs
Quality management
Quality policy Benefit / cost analysis
plan
Scope statement Benchmarking Operational definitions

Product description Flowcharting Checklists

Standards and Inputs to other
Design of experiments
regulations processes
Other process outputs Cost of quality
Quality Assurance
All planned and systematic activities implemented within quality system
to provide confidence that the project will satisfy the relevant quality
standards

Inputs Tools and techniques Outputs

Quality management Qualty planning tools
Quality improvements
plan and techniques
Results of quality
Quality audits
control measurements
Operational definitions
Quality Control
Monitoring specific project results to determine if they comply with
relevant quality standards and identifying ways to eliminate the
causes of unsatisfactory results

Inputs Tools and techniques Outputs

Work results Inspections Quality improvements

Quality management
control charts Acceptance decisions
plan
Operational definitions Pareto diagrams Rework

Checklists Statistical sampling Completed checklists

Flow charting Process adjustments

Trend analysis
SQC Techniques in Project Quality
Management
Measures of Central Tendency
• Mean
– Sum of measurements divided by number of measurements

• Median
– The value having as many observations above it as there are
below it, when the observations are arranged in an increasing
or decreasing order

• Mode
– Most frequently occurring observation in the data set under
consideration
Measures of variability
• Range
– the difference between the largest measurement and the
smallest measurement

• Variance
– Process variance
• sum of the squared deviations from the mean divided by
the number of measurements(N)
– Sample variance
• sum of the squared deviation from the mean divided by n-
1
Measures of variability contd..
• Positive square root of the variance. The SD has the same
dimension or unit of measure as the original data

• Standard deviation can be approximated to an order of

magnitude by the range over six

Range
SD =
6
Probability
• P (Certain event) = 1.0

• P ( Impossible event) = 0

• 0 < = P ( Any event) < = 1.0

• The sum of the probabilities of mutually exclusive and

collectively exhaustive events equals to 1.0

• Addition rule,multiplication rule,complementary and

dependent events
Reliability

• Series reliability
U
P(A B) = P(A).P(B)

• Parallel Reliability
Parallel Reliability = 1- P(A).P(B)
P(A) = 1 - P(A)

Component A reliability : 0.9 ; Component B reliability :0.95

Assembled in series: Assembled in Parallel:

The system reliability is The system reliability is
lower than the reliability of higher than the reliability of
any component in the series any component in the series
Seven tools of SQC
• Histogram

• Pereto Analysis

• Cause and Effect diagram

• Scatter Diagram

• Regression and Correlation analysis

• Control chart

• Check sheet
Histogram
• It is a graphical representation of the frequency
distribution of the variable under consideration

• Values of the variables are grouped into

intervals and shown on the horizontal axis

• Frequency of occurrence of values in various

intervals are shown in the vertical axis
 P e rs o n h o u rs

1000
1500
2000
2500
3000
3500
4000

500

0
C S to ta l E ffo r ts

F D T o ta l E ffo r ts

T D T o ta l E ffo r ts

Phase
T R /F U T T o ta l E ffo rts

IT to ta l E ffo r ts
Reger - Tp - Effort distribution

Series1
Pareto Analysis
• A Pareto chart shows various causes of quality
problem under consideration in the order of
frequency

• It shows the differentiation between the vital few

from useful many causes of quality problems
Cause and effect diagram
• It relates the effects to the possible causes

• IT summarizes the results of brainstorming sessions and

focus the research for the root causes of the problem

• Also called Ishikawa diagram or fish bone diagram

SWOT analysis summary on
People development

Technical Quality Annual

Library
News Letter Week Symposium
Sustained &
continuous
Growth of
Knowledge ,
More
competitive
Environment
Management Professional Technocrats Prof.
Development Competency Forum Memberships
Program Development
Program
Scatter diagram
• This enhances the understanding of the type
and strength of the relationship between two
variables

• Independent variable in x axis and dependent

variable in Y axis

• If relationship exists the extent of correlation

could be identified through the correlation co-
efficient,R2
Process performance – Peer reviews

Effectiveness of PR

16.0
14.0
Yield defects/kloc

12.0
10.0
8.0
6.0
4.0
2.0
0.0
0 50 100 150 200 250 300
Review rate loc/hour
Process performance – Peer reviews

Effectiveness of PR

16.0 y = -0.0481x + 15.3

2
14.0 R = 0.7408
Yield defects/kloc

12.0
10.0
8.0
6.0
4.0
2.0
0.0
0 50 100 150 200 250 300
Review rate loc/hour
Control chart
• The control chart provides the view of the process
characteristic of interest over time

• Standard Control chart

– Center line is mean
– UCL = 3* standard Deviation above mean
– LCL = 3* standard Deviation below mean
– USL – Upper specification limit ( they are prescribed for a
process/product to meet the pass/fail criteria)
– LSL – Lower specification limits
– The observations or sample means are plotted on the chart
Common Cause variation
• Occurs within UCL and LCL without trends,runs or
special patterns

• It is caused by the total system including planning,

design, equipment selection,maintenance, training, etc.

• This could be referred as system, normal or random

variation

• Management is considered responsible for this

variation
Special Cause Variation
• This caused by reasons attributed to outside
system such as human error,accidents,
equipment breakdown etc
• This is referred as assignable variation

• Responsibility : Individual who is involved in

the task
• Indicated by points fall outside the control limit
or by trends, runs patterns etc.
Other special cause variations
 Runs

 Trends

 Periodicity

 Hugging the centerline

Process capability
 Cp = (USL-LSL)/6

 If the Cp > 1.33 the process is well within customer’s

specification
 1.33>Cp>1.0 The process is marginally acceptable

 Cp<1.0 The process is not acceptable

 Peer Review Performance I

500
Rate of Review

400
300
200
100
0
1
3
5
7
9
11

21
23

27
13
15
17
19

25

29
31
33
Review Number

Review rate (Loc per hour) Mean UCL LCL

HR Mgt. Differentiators

 Temporary - Personal and Organizational relationships are

also temporary
 Nature and number of stakeholders changes as project
moves from one phase to another
 HR activities are seldom a direct responsibility of Project
manager. But he should be aware of the administrative
requirements to ensure compliance
Project Human Resources
Management

The Processes which are required to

make the most effective use of the people
involved with the project

• Organizational Planning
• Staff Acquisition
• Team development
Organizational Planning

Organizational Planning involves identifying,documenting, and

assigning project roles,responsibilities, and reporting relationships

Inputs Tools and techniques Outputs

Roles and responsibility
Project interfaces Templates
assignments
Staffing requirements HR practices Staffing management plan

Constraints Organisational theory Organisation chart

Stakeholder analysis Supporting detail

Responsibility Assignment matrix

Responsibility Assignment Matrix

Person
A B C D E
Phase
Requirements P A R P P

Functional R S A P

Design R S P I I

Development S P R P P

Testing I S P P

P = Participant A= Accountable R = Review required I = Input required

S = Sign off required
Resource Histogram

Resource Histogram

Man Hours

200
Resource Usage

150

100

50

0
1 2 3 4 5 6 7 8 9 10 11 12 13 14
Week Number
Staff Acquisition

……… involves getting the needed human resources assigned and

working on the project

Inputs Tools and techniques Outputs

Staffing management
Negotiations Project staff assigned
plan
Staffing pool
Pre-assignment Project team directory
description

Recruitment practices Procurement

Team development
 Enhancing the ability of the stakeholders to contribute as individuals
 Enhancing the ability of the team to function as the team

Inputs Tools and techniques Outputs

Team building Performance
Project staff
activities improvements
general management Inputs to performance
Project plan
skills appraisals
Staffing management Reward and
plan recognition systems
Performance reports Collocation
External feedback Training
Team building
What is an effective team?
 It is a group of people who share a common goal, and are striving to get
a common job done
 It is a group of people who enjoy working together, and enjoy helping
each other
 It is a group of people who have made a commitment to achieve the
goals and objectives of the project by accomplishing their particular
portion of the project
 It is a group of people who have great loyalty to the project as well as
loyalty and respect for the project manager, and have a firm belief in
what the project is trying to accomplish
 It is the attainment of a team sprit and high team morale
Why and What is team building?
 Reality: Everyone on the project team sees the project
in terms of their own particular discipline and
background, and they tend to go in different directions
 Team building is the process of getting this diverse
group of individuals to work together effectively as a
team
 The project manager brings them the “big picture”
perspective, and facilitates to concentrate on overall
project goals

The Goal is to reach Unity of purpose

in an ‘interdependent’ atmosphere
Some Indicators
 Team performance is slipping. But no one knows why?

 Decisions once made remains unimplemented

 The team leader encounters detrimental surprises

 The members are unresponsive to the needs of the project

 Team meetings are unproductive,full of conflicts and demoralizing

 Team members withdraw into their own areas of responsibility and

avoid needed constructive conflict and co-operation
Ground rules for Project team building
 Start early

 Do not stop - Continue team building throughout the lifecycle of the project

 Make sure that everyone is on the team that needs to be.

 Obtain team agreement on all major actions

 Team work cannot be forced

 Do not hesitate to delegate - it is the best way to assure commitment

 Regularly evaluate the team effectiveness

 Recognize that team building takes time

Team building process
 Prerequisite - The Project Plan

 Four key words to be answered

– What? ( the project goals and objectives)
– How? ( procedures , monitoring and control mechanisms)
– When?( Project schedule with people in mind)
– Who?(Project roles and responsibilities must be clearly defined)
Team building - the action steps
 Plan for teambuilding

 Hold the kick off

 Obtain team member commitments

 Build communication links

 Conduct team building exercises and

 Incorporate team building activities in to all project activities

Ongoing team development
 Use every meeting as an opportunity to build/maintain the team spirit

 Introduce new members

 Recognize special project performance

 Keep the team informed about the new developments ( both good and bad)

 Provide exposure to the team members by giving roles in every meetings

 Bring in special outside speakers and presenters to emphasis project

importance and an outside view point
 Give media and in-house publications and attention about project and team
Constructive Team roles
 Initiators “Let’s do this…….”
 Information seekers “Don’t we have some better information?

 Information givers “My experience is…..

 Encouragers “This was of great help….”

 Classifiers “ I believe that we are saying….”

 Harmonizers “ I believe that we are all saying the same thing….”
 Summarizers “ I feel that we can now come to an agreement on
this..”
 Gatekeepers “ We have not heard from the back of the room…”
Destructive Team roles
 The aggressor Criticizes and deflates status of others
 Blockers Rejects the views of others
 The withdrawer Hold back and will not participate
 Recognition seeker Seeks the attention by monopolizing the
discussions
 Topic jumpers Continually changes the subject
 Dominators Tries to takeover the discussion
 Devil’s advocate Brings up alternative view points.Can be positive or
very negative
Project Risk Management

Risk Management is the process of systematic

identification, analysis and responding to project
risks.It includes maximizing the probability and
consequences of positive events and minimizing
the probability and consequences of adverse events
to project objectives.
What is Risk

Risk is an uncertain event or condition that

if it occurs has a positive or negative effect on a project objective

Causes
A Cause

If occurs results
Risk

Consequence
Risk Management Processes

 Risk Management planning

 Risk Identification
 Qualitative Risk Analysis
 Quantitative Risk Analysis
 Risk response planning
 Risk monitoring and control
Risk Management Planning
……………… is the process of deciding how to approach and plan the
risk management activities for a project.

Inputs Tools and techniques Outputs

Project Charter Planned Meetings Risk management plan

Organizational risk management

lessons learned
policies

Defined roles and responsibilities project closure

Stakeholders risk tolerances

Template for the Organization's
risk management plan
WBS
Stake holder's risk tolerance (Utility function)

Risk Neutral

4 Risk Seeker
Utility

3
80
2
60

Utility
1
40
1000 2000 3000 4000 5000
Stake 20

0
1000 2000 3000 4000 5000 Risk Averter
Stake

1.8
1.6

Utility
1.4
1.2
1
1000 2000 3000 4000 5000
Stake
Risk Management Plan
 The risk management plan describes how risk identification, qualitative
and quantitative analysis, response planning, monitoring and control
will be structured and performed during the project life cycle.
» Methodology
» Roles and responsibilities
» Budgeting
» Timing
» Scoring and interpretation
» Thresholds
» Reporting formats
» Tracking
Risk Identification
Determining which risks might affect the project
and documenting their characteristics.

Inputs Tools and techniques Outputs

Risk Management plan Document Reviews Risks

Project planning Information gathering
Triggers
outputs techniques
Inputs to other
Risk Catagories Checklists
processes
Historical information Asumptions analysis

Diagramming Techniques

Project Charter, WBS, Product description, Schedule and cost estimates,

Resource plan, Procurement plan, Assumptions and constraints
Risk Categories
 Technical, Quality and Performance risks

 Project Management Risks

 Organizational risks

 External risks
Qualitative Risk Analysis
………… is the process of assessing the impact and likelihood of identified
risks. This process prioritizes risks according to their potential effect on
project objectives.

Inputs Tools and techniques Outputs

Overall risk ranking for the
Risk Management plan Risk probability and impact
project
Probability / Impact risk
Identified risks List of prioritized risks
rating matrix
Project assumptions List of risks for additional
Project status
testing analysis and management
Trends in qualitative risk
Project type Data precision ranking
analysis results

Data precision

Scales of probability
and impact
Assumptions
 Impacts Rating guidelines for a risk –
Qualitative analysis

Risk Evaluation on major Project Objectives

Project Very low Low Moderate High Very High
Objective ( 0.05 ) ( 0.1 ) ( 0.2 ) ( 0.4 ) ( 0.8 )
Insignificant cost <5% Cost 5-10%Cost 10-20%Cost >20%Cost
Cost increase increase increase increase increase
Insignificant Schedule Overall project Overall project Overall project
schedule slippage slippage<5% slippage5-10% slippage 10-20% slippage>20%
Schedule
Minor areas of Scope reduction Project end item
Scope decrease Major areas of
scope are unacceptable to is effectively
barely noticeable scope affected
Scope affected the client useless
Only very
Quality Quality reduction Quality reduction Project end item
demanding
degradation requires client unacceptable to is effectively
applications are
barely noticeable approval the client unusable
Quality affected
Probability - Impact Matrix

Risk Score Marix ( P * I)

Impact ( I )
Probability ( P )
0.05 0.1 0.2 0.4 0.8
0.9 0.05 0.09 0.18 0.36 0.72
0.7 0.04 0.07 0.14 0.28 0.56
0.5 0.03 0.05 0.10 0.20 0.40
0.3 0.02 0.03 0.06 0.12 0.24
0.1 0.01 0.01 0.02 0.04 0.08
Quantitative Risk Analysis
…………….. process aims to analyze numerically the probability of each
risk and its consequence on project objectives, as well as the extent of
overall project risk.
Inputs Tools and techniques Outputs
Prioritized list of quantified
Risk Management plan Interviewing
risks
Probabilistic analysis of the
Identified risks Sensitivity analysis
project
Probability of achieving the
List of prioritized risks Decision tree analysis
costand time objectives
List of risks for additional Trends in quantitative risk
Simulation
analysis and management analysis trends

Historical Information

Expert Judgement

Other planning outputs

Risk Response Planning
……………..is the process of developing options and determining
actions to enhance opportunities and reduce threats to project’s
objectives
Inputs Tools and techniques Outputs
Risk Management plan Avoidance Risk Response plan
List of Prioritized risks Transference Residual Risks
Risk ranking of the project Mitigation Secondary Risks
Prioritized list of quantified risks Acceptance Contractual agreements
Probabilistic analysis of the project Contingency reserve
Probability of achieving the cost
Input to other processes
and time objectives
List of potential responses Inputs to a revised project plan
Risk Thresholds
Risk owners
Common Risk Causes
Trends in qualitative and
quantitative risk analysis results
Risk response T&T in brief
 Avoidance
– Changing the project plans to eliminate the risk or condition
• Choosing the right technology
• Acquiring experts…

 Transference
– Seeking to shift the consequence of a risk to a third party for a price
• Insurance, Performance bonds…

 Mitigation
– Seek to reduce the probability and /or consequence to an accepted threshold. Taking early
actions to reduce the probability.
• Adapting a less complex process, choosing more stable vendor

 Acceptance
– The project team has decided not to change the project plan to deal with the risk or unable
to identify any response strategy
• Active response :Develop a contingency plan to execute
• Passive response : do nothing

Also discuss fallback plan

Reserve

………. Is a provision in the project plan to mitigate cost and/or schedule

risk.Often used with modifiers

Contingency Reserve
A separately planned quantity used to allow for future situations which may
be planned only in part(Known unknowns). Contingency reserves are
normally included in project’s cost and schedule baselines

Management Reserve
A separately planned quantity used to allow for future situations which are
impossible to predict( unknown unknowns). Use of management reserve
requires a change to the project’s cost/schedule baseline
Risk monitoring and control
……… is the process of keeping track of the identified risks, monitoring residual risks
and identifying new risks, ensuring the execution of risk plans and evaluating their
effectiveness in reducing risk.

Inputs Tools and techniques Outputs

Project risk response
Risk management plan Workaround plans
audits
Periodic project risk
Risk response plan Corretive actions
reviews
Project
Earned Value analysis Project change requests
Communication
Additional risk
Technical Performance Update to the risk response
identifiicationa and
measurement plan
analysis
Additional risk
Scope changes Risk database
response planning
Updates to the risk
identification checklist