Chapter 8-PM Project Quality Management

CBFS BaChelor’S Degree Program
Project Management
Course Code : UG104
Chapter 8: Project Quality Management
Mirza Jamal Ahmed

[email protected]
What Is Quality?
• The International Organization for

Standardization (ISO) defines quality as the
totality of characteristics of an entity that bear
on its ability to satisfy stated or implied needs
• Other experts define quality based on
– conformance to requirements: meeting written
specifications
– fitness for use: ensuring a product can be used as it
was intended
2
Project Quality Management Processes
• Quality planning: identifying which quality

standards are relevant to the project and how to
satisfy them.
• Quality assurance: evaluating overall project
performance to ensure the project will satisfy
the relevant quality standards.
• Quality control: monitoring specific project
results to ensure that they comply with the
relevant quality standards while identifying
ways to improve overall quality.
3
Quality Planning
• It is important to design in quality and
communicate important factors that directly
contribute to meeting the customer’s
requirements
• Design of experiments helps identify which
variables have the most influence on the overall
outcome of a process
• Many scope aspects of IT projects affect quality
like functionality, features, system outputs,
performance, reliability, and maintainability
4
Quality Assurance
• Quality assurance includes all the activities
related to satisfying the relevant quality standards
for a project
• Another goal of quality assurance is continuous
quality improvement
• Benchmarking can be used to generate ideas for
quality improvements
• Quality audits help identify lessons learned that
can improve performance on current or future
projects
5
Quality Control
• The main outputs of quality control are

– Acceptance Decisions
– Rework
– Process adjustments
• Some tools and techniques include
– Pareto Analysis
– Statistical Sampling
– Six Sigma
– Quality Control Charts
6
Pareto Analysis
• Pareto analysis involves identifying the vital

few contributors that account for the most
quality problems in a system
• Also called the 80-20 rule, meaning that 80% of
problems are often due to 20% of the causes
• Pareto diagrams are histograms that help
identify and prioritize problem areas
7
Sample Pareto Diagram
8
Statistical Sampling and Standard
Deviation
• Statistical sampling involves choosing part of a
population of interest for inspection
• The size of a sample depends on how
representative you want the sample to be
• Sample size formula:
Sample size = .25 X (certainty Factor/acceptable error)2
9
Commonly Used Certainty Factors
Desired Certainty Certainty Factor
95% 1.960
90% 1.645
1.281
80%
95% certainty: Sample size = 0.25 X (1.960/.05) 2 = 384

90% certainty: Sample size = 0.25 X (1.645/.10)2 = 68
80% certainty: Sample size = 0.25 X (1.281/.20)2 = 10
10
Six Sigma Defined
• Six Sigma is “a comprehensive and flexible
system for achieving, sustaining and
maximizing business success. Six Sigma is
uniquely driven by close understanding of
customer needs, disciplined use of facts, data,
and statistical analysis, and diligent attention to
managing, improving, and reinventing business
processes.”*
*Pande, Peter S., Robert P. Neuman, and Roland R. Cavanagh, The
Six Sigma Way. New York: McGraw-Hill, 2000, p. xi
11
DMAIC
• Define: Define the problem/opportunity,
process, and customer requirements
• Measure: Define measures, collect, compile, and
display data
• Analyze: Scrutinize process details to find
improvement opportunities
• Improve: Generate solutions and ideas for
improving the problem
• Control: Track and verify the stability of the
improvements and the predictability of the
solution
12
How is Six Sigma Quality Control
Unique?
• It requires an organization-wide commitment
• Six Sigma organizations have the ability and
willingness to adopt contrary objectives, like
reducing errors and getting things done faster
• It is an operating philosophy that is customer-
focused and strives to drive out waste, raise
levels of quality, and improve financial
performance at breakthrough levels
13
Examples of Six Sigma Organizations
• Motorola, Inc. pioneered the adoption of Six

Sigma in the 1980s and saved about $14 billion
• Allied Signal/Honeywell saved more than $600
million a year by reducing the costs of
reworking defects and improving aircraft engine
design processes
• General Electric uses Six Sigma to focus on
achieving customer satisfaction
14
Six Sigma and Project Management
• Joseph M. Juran stated that “all improvement takes
place project by project, and in no other way”
• It’s important to select projects carefully and apply
higher quality where it makes sense
• Six Sigma projects must focus on a quality problem or
gap between current and desired performance and not
have a clearly understood problem or a predetermined
solution
• After selecting Six Sigma projects, the project
management concepts, tools, and techniques described
in this text come into play, such as creating business
cases, project charters, schedules, budgets, etc.
15
Quality Control Charts and the Seven
Run Rule
• A control chart is a graphic display of data that
illustrates the results of a process over time. It
helps prevent defects and allows you to
determine whether a process is in control or out
of control
• The seven run rule states that if seven data
points in a row are all below the mean, above,
the mean, or increasing or decreasing, then the
process needs to be examined for non-random
problems
16
Sample Quality Control Chart
17

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CBFS BaChelor’S Degree Program

Chapter 8: Project Quality Management

Mirza Jamal Ahmed

• The International Organization for

• Quality planning: identifying which quality

• The main outputs of quality control are

• Pareto analysis involves identifying the vital

Desired Certainty Certainty Factor

95% certainty: Sample size = 0.25 X (1.960/.05) 2 = 384

• Motorola, Inc. pioneered the adoption of Six

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