Wednesday, August 27, 2008

Implementing Quality Improvement Efforts

Sometimes organizations become lost when they implement quality improvement efforts. Applying solutions to quality problems requires a clear and direct route. In most cases, realizing quality improvements involves setting up change requests and taking corrective action.

Change requests are documented records of changes that happen to improve the quality of a project. Change requests can occur in many ways. They can be:
  • oral or written
  • direct or indirect
  • externally or internally initiated
  • legally directed or optional.
Realizing quality improvements also can involve taking corrective action. This process requires aligning the expected project performances with the project plan. This will help ensure that the project is meeting the requirements of the stakeholders.
Corrective action occurs when rework is required during a project. However, it does more than just fix a problem. It also can help you discover the root cause of the problem and prevent reoccurrence.

To handle change requests and corrective action, you must follow certain procedures. Most quality improvements for project management are implemented according to procedures for integrated change control.

This process coordinates changes across entire projects. There are three main characteristics for integrated change control.

1. Influence the factors that generate change to guarantee that changes are valuable.
Not all changes are valuable. During brainstorming sessions, plan quality improvement efforts that focus on factors that generate change.

2. Establish that a change has taken place.
Keeping an accurate paper trail of all changes helps managers establish that change has taken place. In addition, managers should reexamine their processes to ensure that any changes are maintained.

3. Handle the changes when and as they occur.
Learn to manage quality improvement changes as they occur. Managers should understand that possible schedule changes also will influence the cost, risk, quality, and staffing areas of a project.

Remember, quality improvement doesn't just happen. It includes taking corrective action and preparing change requests that are managed according to integrated change control. These procedures can help make quality a reality for your project.

Monday, August 25, 2008

The Evolution of Project Quality

The view of quality has changed dramatically over the past 100 years. Do you know how companies managed the quality of their products and services that long ago?

Project quality has evolved over time, from sorting good items from bad items, to strategic quality management. Quality was once the responsibility of the Quality Inspector. Now it's everyone's responsibility. Details about the quality time line are provided below.
  • Prior to World War I, companies stressed the importance of inspections. Problems were identified, not prevented. In the 1950s, inspections were still emphasized. However, quality control emerged as statistical and mathematical techniques.
  • From the 1950s to the late 1960s, quality assurance was developed for project management. Companies took steps to prevent problems from occurring, instead of reacting to problems once they were detected.
  • Presently, management teams emphasize strategic quality management. Quality is characterized by the customer's demands and requires the commitment of an entire organization. All levels of an organization must be accountable for the products and services it offers. Quality is a weapon that is used against competitors.
Today, quality begins during the initiation of a project, and must be planned, assured, and controlled within that project. The driving force behind higher levels of quality comes from the demands of customers. Total Quality Management (TQM) is a present-day management system that responds to these demands.
TQM has contributed significantly to the movement toward improved quality. It is a customer-oriented system that can also reduce internal bottlenecks and operating costs. This system boosts organizational morale and increases product quality at the same time.

Quality has reached present-day levels as a result of the contributions of experts in the field of project management. In particular, two influential contributors to the quality movement are W. Edwards Deming and Joseph M. Juran.

W. Edwards Deming believed that 85 percent of quality problems required changing the processes within a company. He thought the roots of quality problems should be identified and eliminated. To help organizations identify the roots of quality problems, he developed the Deming's Cycle for Improvement.

Deming believed that problem solving should be logical and systematic. Deming's Cycle for Improvement, which involves the four steps described below, enables organizations to locate and eliminate the source of a problem, rather than simply eliminating the symptoms of a problem.
  • Plan. The first step involves identifying the problem and establishing priorities. During this step a quality improvement team is formed, and the problem is defined and analyzed. Possible causes for the problem are determined, as well as possible solutions.
  • Do. During the "do" stage, a solution to the problem is selected and implemented.
  • Study. The study stage involves evaluating the solution.
  • Act. Finally, the last stage ensures that the new procedure and controls are maintained. Project teams ensure that continuous improvement occurs.
Joseph M. Juran believed that quality for manufacturers meant adhering to specifications, and quality for customers depended on "fitness for use," which involves five characteristics: quality of design, quality of conformance, safety, use by the customer, and availability.
Juran also discussed the cost of quality and the legal implications of quality. He examined the various grades of quality for products and services. Juran developed 10 steps for quality improvement that can be applied to project management. The 10 steps are:
  • promote the need for improvement
  • establish goals for improvement
  • organize a plan to attain the goals
  • provide training
  • perform projects to solve problems
  • give an account of the progress that is made
  • provide recognition
  • communicate results
  • keep score
  • make improvement part of the process.
The way organizations and customers view quality has changed over time. Today, it is understood that problem solving is an important aspect of quality improvement.

Saturday, August 23, 2008

The Costs of Project Quality

According to Leon M. Cautillo, "The bitterness of poor quality remains long after low pricing is forgotten!" Therefore, it is important for project managers to understand the cost of quality and the types of costs associated with it.

The cost of quality refers to the total cost of all the processes that are involved in producing a quality product or service. This includes costs that ensure all specified requirements are met, as well as the costs of nonconformance to those requirements. There are three types of costs associated with quality.

1. Prevention
Prevention costs are those costs associated with planning and implementing the project so that it is error-free. Prevention costs are an investment in quality, as they help the project manager ensure that the project is done right the first time. This helps reduce project rework or revisions.

It is cost-effective to find and fix product defects before they reach the customer. When planning, 70 percent of the total cost of quality should be focused on prevention. For example, you can include the costs of staff training, process studies, and vendor surveys in your prevention costs, since all of these can help you ensure project quality.

2. Appraisal
Appraisal costs are the second type of quality cost. These costs are associated with evaluating the working processes and the product to determine how well they will meet customer needs. Ideally, appraisal costs should make up approximately 15 percent of the total cost of quality.

There are many types of appraisal costs, including inspection and testing, maintenance of test equipment, and various types of design reviews, which are described below.
  • Internal design reviews. These reviews are carried out within the company by its own employees. They check to make sure that processes and products meet the specified quality requirements.
  • External design reviews. These reviews are performed by people outside the company. The findings are reported to company officials.
  • Walk-through design reviews. These design reviews check the quality of the products coming off the line. The findings of these spot checks are used to correct quality problems.
  • Expense design reviews. These reviews compare the project budget with the actual costs and are important for future project budgeting.
3. Failure
The last type of cost associated with quality assurance is failure costs. These are incurred when a product does not meet customer requirements. Failure costs can be internal or external.
  • Internal failure costs are the costs incurred to correct product defects before they reach the customer.
  • External failure costs are the costs incurred to correct product defects that were not detected before reaching the customer.
In an ideal situation, internal failure costs should make up 10 percent of the total cost of quality, while external failure costs should make up only five percent.

There are many factors that contribute to the preparation and delivery of a quality product. When planning for the cost of quality, remember to include all the types of quality costs—prevention, appraisal, internal failure, and external failure. Keep in mind that it is cost-effective to find and fix any defects in a product before it reaches the hands of the consumer.

Wednesday, August 20, 2008

Performing Quality Audits

Quality audits are controlled reviews of quality management activities for a project. They are useful for establishing any inconsistencies between actual performances and preferred standards. You can use them to examine a small portion of a process or look at a complete organization. As a general rule, there are four forms of quality audits.
  • Product audit. Product audits reexamine a finished product. This process is usually performed before the purchaser accepts the finished product. These inspections involve verifying that physical attributes conform with standards.
  • Process audit. Process audits generally take a short period of time to perform, as they examine only a selected portion of the total process. They verify that processes, operators, and equipment conform to distinct requirements. They prove that a process is being used.
  • System audit. System audits examine the overall organization. When they are completed internally, they examine the management practices within a company. This type of audit evaluates a system to prove that a company is following it properly.
  • Vendor survey. Vendor surveys are often part of an external system audit. They involve looking at a vendor's management of quality efforts in relation to the expected contractual requirements.
Quality audits verify conformance to specifications and procedures. They provide necessary information about performance, products, and areas for improvement. They also help companies to survive, help companies conform to regulations, and help counteract the actions of others.

Quality is a vital factor for surviving in a competitive market. Companies that provide products or services more efficiently will usually win business over their competitors. It is imperative that you know how well, or how poorly, your company is performing. Quality audits offer this much-needed information.

Another reason to perform quality audits is to implement and maintain the regulations that are necessary for you to operate a business. Many of these regulations are in the form of licenses or certifications for meeting quality standards and maintenance of preferred supplier status with customers.

Quality audits also are helpful for counteracting the organizations that are looking for your mistakes. Audits show that you are monitoring your company's performance. The purpose of a quality audit is to discover problems when they are relatively small. When outside organizations can see that you have a sound quality system, they are more likely to leave your company alone.

When should audits be scheduled? Most times, they are part of a contract agreement with a customer or initiated from government regulations. Sometimes quality audits are scheduled and other times they are performed randomly. When audits are scheduled, they should be at times when activities can actually be observed, rather than times when only the documentation on those activities can be examined.

It's important that audits be unbiased and objective. The audit team can consist of members of the quality assurance department, the management team, or outside organizations. Audits should never be carried out by the performer of the audited activity.

Audit teams should be comprised of two to six individuals. The ideal quality audit team is comprised of members of all departments within an organization.

Audit teams should be polite and professional. They should ensure projects meet their quality requirements and follow quality procedures and policies. An effective audit team will perform the audit process in four sequential phases, which are described below.
  • Preparation. In the preparation phase, the audit team is selected. Auditors define the purpose and scope of the audit and pinpoint the performance standards and resources. They contact the auditee and develop checklists. They also become familiar with the control systems.
  • Performance. In the performance phase, the auditors meet with the auditee. They gather and analyze information by conducting interviews and examining records. They verify the control system in this phase.
  • Reporting. In the reporting phase of an audit, an exit meeting is held with the auditee. Also, the formal audit report, containing the conclusions of the audit, is written at this time.
  • Closure. The closure phase is sometimes referred to as corrective action. This phase is characterized by actions resulting from the audit observations. Follow-up actions are monitored and evaluated at this time.
Remember, scheduling quality audits can help you learn important information about your organization. It will also help your company stand the test of time.

Monday, August 18, 2008

Design of Experiments and Quality Assurance

Why would a project quality team design an experiment? Design of experiments is an analytical technique for project quality assurance that helps project managers determine which variables have the most effect on an outcome. It can help you determine the capability of a material, process, or product.

Your project can be improved with experiments that test new ideas and possibilities. Designed experiments are helpful in solving chronic quality problems. Properly designed experiments can:
  • reduce rework
  • improve productivity
  • increase customer satisfaction
  • prevent problems
  • reduce the need for extra inspections.
Companies strive for efficiency in most areas. After all, companies that have efficient processes while still maintaining a high level of quality are usually the companies that are best-in-their-class.

Design of experiments is a more efficient and less disruptive experimentation process than most trial method experiments. It requires extra thought and planning. However, it is worth the time and effort put into it.

This technique for quality assurance is beneficial for many company types and is most often used for projects that produce a product. Companies and their project managers usually choose to use this technique for the following reasons.
  • It requires smaller sample sizes to receive the same accuracy of results.
  • It determines interactions between process variables.
  • It tests more variables at one time, making this process more efficient.
Design of experiments is a quality assurance technique that verifies how materials, products, or processes affect your project. It is useful for solving chronic quality problems because it tests new ideas and possibilities.

Saturday, August 16, 2008

Benefit/Cost Analysis and Quality Assurance

When are the added costs of a project worth the expense? Weighing the benefits against the costs is something every project manager must do.

When it comes to quality assurance, performing a benefit/cost analysis can help with major decision-making issues of a project. You can use this quality assurance technique when assessing the procedures your company uses, so you can develop the level of products and services customers demand.

A benefit/cost analysis entails estimating the benefits and costs of meeting quality requirements, and then assessing the available project options. The main reasons for using benefit/cost analysis to determine project quality requirements are that this technique can result in:
  • less rework
  • higher productivity
  • lower overall project costs
  • improved customer satisfaction.
When using a benefit/cost analysis to help with decision making, you should keep in mind that it's really as simple as this—the benefits should outweigh the costs. The calculated difference of subtracting the costs from the benefits should be a positive number. The procedure for analyzing benefits and costs for quality assurance are listed below.
  • Analyze the plan, decision, or process by examining its activities and events.
  • Calculate or estimate the benefits and costs related to each element.
  • Subtract the costs from the benefits.
Benefit/cost analysis is a valuable tool that can help you determine if benefits outweigh costs. Ultimately, it can help you make important decisions relating to project quality assurance.

Thursday, August 14, 2008

Flowcharting for Project Quality Assurance

It's usually beneficial to approach project problems in new ways. One effective technique you can use when addressing problems related to project quality assurance is flowcharting. You can use this method of problem solving to visually map the process or problem in question.

Flowcharts graphically represent processes and activities. They can help you identify the source of specific problems, which will enable you to find solutions. In addition, they can make communication about problems easier, help you discipline your thinking, and show how different elements fit together.

You can use two types of flowcharts for quality assurance purposes—the cause-and-effect diagram, and the process flowchart. Details about these two types of flowcharts are provided below.

1. Cause-and-effect diagrams
For every quality-related effect or problem in a project, a cause must be identified. Cause-and-effect diagrams can help you establish a cause, whether it is a problem or a desirable result an organization has found and wants to reproduce. These diagrams are also called fish-bone diagrams, because they resemble a fishbone with branches slanting off a main "spine."

When causes are established, they are categorized according to type. Cause types can include such things as materials, machines, people, and information. They are represented with a branch on the fishbone diagram. All subcauses connect to these branches.

Cause-and-effect diagrams are useful in brainstorming sessions because they act as visual displays for dividing large problems into manageable parts. Listed below are the four steps for constructing a cause-and-effect diagram.
  • Identify the problem or effect. To identify the problem or effect, place a concise statement of the problem in a box at the end of a horizontal line.
  • Identify the causes. Next, in a brainstorming session, identify any causes for the problem. Focus discussions on one cause at a time. Possible subcauses are identified at this time as well.
  • Build the diagram. In the third step, build the diagram. To do this, organize the causes and subcauses into the diagram layout. Each branch should represent a cause-type, such as materials, machines, and information. Connect subcauses to these branches.
  • Analyze the diagram. Finally, analyze the diagram. Identify the logical solutions by considering whether each solution is achievable.
2. Process flowcharts
Flowcharts also indicate what is done throughout a process, from one step to another. On these process flowcharts, information about a process is placed inside or beside an appropriate symbol.

With some training, anyone on a quality improvement team can draw a process flowchart. However, everyone should clearly understand the meaning of each symbol used on the flowchart, including the symbols for Operation (a rectangle), Movement/Transportation (an arrow), Decision Point (a diamond), Inspection (a large circle), Paper Documents and Delay (both specialized rectangular symbols), Boundary (an oval), and Connector (a small circle).

To create a process flowchart, you draw a picture of the process. With some training and practice, flowcharting can be a straightforward process. Follow the steps listed below to complete this task.
  • Define the process steps. First, you should identify the steps in a process by holding a brainstorming session and letting everyone on the team provide input.
  • Sort the steps in order. Next, identify what is done at each step and then sort the steps in order.
  • Place the steps in the appropriate symbols. The third step involves placing each step in the appropriate symbol. Use standard symbols to sketch the flowchart.
  • Evaluate the steps. Finally, reevaluate the steps. This will ensure that the process is complete, efficient, and free of problems. Be sure to review the actual process and then make any necessary revisions to the flowchart.
Flowcharts are effective tools for enhancing the quality assurance of a project, as they graphically represent processes and activities. They can help you identify the cause of a problem or effect, and identify problems in a process.

Tuesday, August 12, 2008

Benchmarking for Project Quality Assurance

Why would one company want to investigate another company? The main reason for investigating another company is to gather information to use in developing your company's goals and effective processes. This investigation is called a benchmarking process (BMP).

Performing a BMP can help you know your company better and understand your competition. Benchmarking compares the performance of one company against another that is best-in-its-class. This involves a thorough examination and understanding of processes, products, or performances.

The BMP also provides information about where a company stands when compared to standards that are set by customers, companies, certification organizations, and industry associations.

The BMP will indicate the areas of strength within a company and uncover opportunities for improvement. First, the BMP examines a company's own processes. This will reveal which ones are the best. In addition, examining the processes of another company can help you identify the areas in your own company that need improvement.

Performing a BMP will identify your competitive position. Although there are costs involved with this process, the benefits of performing a BMP will far outweigh the costs or efforts involved. There are four common types of benchmarking assessments you can perform.
  • Internal. This is usually the first BMP to take place for most companies. For this BMP, a company examines it own organization to find the best practices. It's an easy BMP to carry out, as security issues do not exist.
  • Competitive. This BMP type is also called reverse engineering. It involves studying the services, products, and processes of a company's competitors. One way to perform this type of BMP is to buy and analyze the competitor's product.
  • World-class operations. To perform this type of BMP, a company examines an organization in an industry related to its own. This technique can reveal innovative processes not currently used by the company.
  • Activity-type. This type of benchmarking examines a specific process activity in an industry different from its own. You can use this BMP type to study many activities, such as recruiting and invoicing.
Customer satisfaction is a top project goal. Performing a BMP can support a company's desire to improve and change, and ultimately improve the level of satisfaction of its customers. There are six separate stages for every BMP. These six stages are described below.
  • Process design (planning). In the first stage, you should decide which quality process will be benchmarked. Then determine the measurements that will be used to perform the BMP.
  • Internal data collection. The second stage involves learning your company's own practices and performances. This can be done using such techniques as system and process flowcharts, and cause-and-effect diagrams.
  • External data collection. In the third stage, select a competitor that is best-in-its-class, and collect data about that company. For world-class or activity-type benchmarking, use a company in a different industry.
  • Data analysis. Next, compare the information you've gathered with the information you've learned about your company's own practices and performances.
  • Process upgrading. Based on the information you've learned about your competitor, identify which ideas will be adopted for your own processes and decide how to implement them.
  • Periodic reassessment. Finally, monitor the effectiveness of the new ideas and make plans to re-benchmark them after a specific interval of time.
Benchmarking is like an investigation. Organizations perform BMPs to set goals and develop effective processes. There are four types of benchmarking assessments a company can perform: internal, competitive, world-class operations, and activity-type. In doing each type, there are six steps to follow. Knowing these steps will help you identify and improve your company's competitive position.

Sunday, August 10, 2008

Results of Quality Control Measurements

Results of quality control measurements are inputs to project quality assurance. These results are the testing and measurement records of quality control, and include acceptance decisions, rework, and process adjustments.

From a quality assurance perspective, you can use the results of quality control measurements for comparison and analysis purposes. Specifically, you can compare the results found with the expected results of the product or process, pinpoint exactly where non-conformities took place, and examine the reasons for non-conformities. Details about these important inputs to project quality assurance are provided below.

1. Acceptance decisions
How many work-related decisions do you make in one day? The number is likely to be much higher than you realize. Throughout the duration of a project, the number of quality issues that require a decision may seem endless.

One type of quality assurance decision is an acceptance decision. This results from an inspection of a process stage, or a final product or service. The acceptance decision is simply this—the item will either be accepted or rejected.

2. Rework
When an item or process is rejected as the result of an acceptance decision, it may require rework. The purpose of rework is to make non-conforming or defective items or processes meet requirements or specifications. Companies try to minimize the need for rework, as it causes projects to miss deadlines and budgets.

3. Process adjustments
Immediate corrective or preventative action should take place when rework is required as the result of an acceptance decision. This course of action is called a process adjustment.

The changes that are made as a result of a process adjustment will help prevent the defect from occurring in the future. More details about process adjustments are provided below.
  • Find the source of the problem. Process adjustments involve more than fixing non-conformities. They include discovering the source of the problem itself.
  • Take corrective action. Process adjustments may be small adjustments, or major undertakings, depending on the nature of the problem.

The results of quality control measurements are acceptance decisions, rework, and process adjustments. These quality assurance inputs are an important part of discovering the reasons behind non-conforming projects or processes.

Tuesday, August 5, 2008

Developing a Quality Management Plan

Implementing effective quality management for your project takes a great deal of organization. Developing a quality management plan and applying it to a project will help ensure that effective quality management has taken place.

A quality management plan is a document that details the quality practices and activities of a product or service. It is a part of an organization's quality system and should include the responsibilities, procedures, processes, organizational structure, and resources required to implement effective quality management.

Created by the project manager and the project team members, it should describe how a quality policy will be carried out and detail the project objectives by breaking down the project activities into lower-level activities. It should also identify specific quality actions.

Quality management plans can take on many forms. They can be formal, informal, detailed, or general, depending on the needs of each particular project. They can also be represented in many ways visually. For example, a plan can be displayed as a tree-like diagram.

A new plan should be developed, or old plans should be changed to reflect the different activities of each unique project. A quality management plan does not stand completely alone—it becomes a part of the overall project plan.

Project quality can be described as meeting or exceeding customer requirements. This means customers should have input into the quality of the project. Remember, the bottom line to any project is satisfying the customers. Without them, there are no future projects.

Effective quality management plans play an important role in this process of satisfying customers. The characteristics of good quality management plans are as follows.
  • They should identify customers.
  • They should prove that goals and objectives are being met.
  • They should affect the design of a process that meets the ever-changing needs of customers.
  • They should enable the company to bring in suppliers early in the process.
It is the responsibility of the project manager to make certain that the project's quality actions are thoroughly documented. This process will enable the company to prove that it has the right processes in place to meet the needs of its customers.

Sustaining a quality system and creating a quality management plan requires a great deal of effort, planning, and organization. The following is a list of the high-level steps in the process of creating a quality management plan.

1. State all measurable features of the project's product.

2. Identify how the product will be produced and its quality measured against specifications.

3. Determine how the project approach will be measured.

4. Conduct a quality risk assessment and develop non-conformance procedures.

5. State the method for quality reporting and monitoring.

6. Outline the formal acceptance criteria and document the project's final product.

In summary, quality management plans are documents that describe the quality practices, resources, and sequence of activities related to a specific service or product. They act as a guide for satisfying the customers' needs.

Sunday, August 3, 2008

Operational Definitions and Project Quality

Individuals working on a project should have an eye for detail, as it is an important aspect of quality. What kind of quality details do you keep in mind throughout a project?

Operational definitions focus on many kinds of details. Perhaps these include details you have also considered. Operational definitions describe what something is and how it is measured by the quality control process.

Operational definitions, sometimes referred to as metrics, are used to measure quality. They are quality assurance inputs that project management teams used to indicate the specifics about the quality of their projects.

For example, to define the testing process of a new pharmaceutical drug, the operational definition must describe the drug's composition, the type of study conducted, the variables tested, and the subjects used.

Defining how something is measured can be challenging, as there are many details to consider. To simplify this process, an operational definition answers the following three questions.

1. What is measured?
For example, A.L. Textiles manufactures a wide variety of textile products for industry and commerce. To be sure each material conforms to its intended purpose, the operational definition details the makeup of the textile and indicates how it is measured for quality.

2. How is it measured?
A.L. Textiles measures the durability of the medical uniform style AJ347. The product is 65 percent polyester and 35 percent cotton. It's available in adult sizes, small to extra large, and comes in colors white, gray/blue, and green.

3. When is it measured?
The durability of uniform style AJ347 is measured after initial manufacturing by washing the garment 300 times. The condition of the garment is recorded on a check sheet. In addition, the durability of the uniform is measured after any necessary product rework.

Remember, operational definitions are used to measure quality. They indicate the specifics about the quality of a project's product or service. In particular, they describe what something is, describe how it is measured, and describe when it is measured.