Project Quality Management Quality Theories. Evolution of Quality Management Nayyer Kazmi2.

Project Quality Management

Quality Theories

Evolution of Quality Management

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Quality Management – Historical Perspective

• Prior to World War I– Inspection– Sorting out the good items from the bad– Problem identification

• World War I to 1950– Quality Control principles were emerging– Statistical and mathematical techniques– Sampling tables– Process control charts

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Quality Management – Historical Perspective

• 1950 – 1960– Quality control evolved into Quality Assurance– Problem avoidance rather than problem detection– Cost of Quality– Zero Defect– Reliability engineering– Total Quality Control

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Quality Management – Historical Perspective

• Prior to the recession of 1979 – 1982– Ford, GM and Chrysler were competitors rather

than Japanese• Prior to the recession of 1989 – 1994– High-tech engineering companies never fully

recognized• Need for shortening product time• Relationship between project management, total

quality management and concurrent engineering

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W. Edwards Deming: 1927 - 1940• Deming’s 14 points for management• Use of statistics and sampling methods• Influenced by Shewhart’s Plan/Do/Check/Act• Deming Cycle for Improvement• 85% of quality problems require management

initiatives and 15% controlled by the workers• Quality of raw materials, purchasing policies

and procedures responsibility of management• Processes to be placed under statistical

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W. Edwards Deming: 1927 - 1940

• Continuous refinement of processes rather than quotas

• Common cause variations inherited in processes – poor lots of raw material, poor product design, work conditions, equipment

• Special or assignable causes of variations – lack of knowledge by workers, workers trained in the use of statistical process control charts

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PDSA Details• Plan– Evaluate current process– Collect procedures, data, identify

problems– Develop an improvement plan,

performance objectives• Do– Implement the plan – trial basis

• Study– Collect data and evaluate against

objectives• Act– Communicate the results from trial– If successful, implement new

process

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Plan-Do-Check-Act Cycle

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Dr. Joseph M Juran - 1954

• 10 Steps to quality Improvement (1958)• Juran Trilogy : – Quality Improvement– Quality Planning– Quality Control

• Manufacturer's view of quality - adherence to specifications

• Customer view of quality – “Fitness for Use”

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Dr. Joseph M Juran - 1954

• Five attributes of “Fitness for Use”– Quality of Design– Quality of conformance– Availability– Safety– Field Use

• Cost of Quality

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Dr. Joseph M Juran - 1954• Legal implications of quality– Criminal liability– Civil liability– Appropriate corporate actions– warranties

• Grades of Quality– Structural– Sensory– Time-oriented– Commercial– ethical

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Phillip B. Crosby

• 14 steps to quality improvement• Conformance to requirements• Quality comes from prevention• Performance standard “zero defects”• Quality is measured by the cost of

nonconformance

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Genichi Taguchi – after world war II• Optimize the process of engineering

experimentation• Design of experiment• Quality designed into the product and not

inspected into it• Quality - minimizing deviation from the target

and immune to uncontrollable environmental factors

• Cost of quality – function of deviation from the standard

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Genichi Taguchi – after world war II

• Parameter design approach – Low cost or cost solution may be achieved by

adjusting the levels and controlling the variation of other factors

– Cost savings realized far exceed the cost of additional experiments needed to reduce variations

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Cake Baking Experiment

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Factors and Levels for a Pound Cake Experiment

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Taguchi Experiment Flow Diagram

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Quality Gurus

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Strategic Quality Management

• Quality is defined by the customer• Quality is linked with profitability on both the

market and cost sides• Quality has become a competitive weapon• Quality is now an integral part of strategic

planning process• Quality requires an organization-wide

commitment

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Critical Factors that can affect quality is market expectations

• Salability : the balance between quality and cost

• Produceability• Social acceptability• Operability• Availability• Reliability • Maintainability

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Defining Quality – 5 Ways

1. Conformance to specifications Does product/service meet targets and

tolerances defined by designers?2. Fitness for use

Evaluates performance for intended use3. Value for price paid

Evaluation of usefulness vs. price paid4. Support services

Quality of support after sale5. Psychological

Ambiance, prestige, friendly staff

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Changing Views of QualityPAST PRESENT

Quality is the responsibility of blue-collar workers and direct labor employees working on the floor

Quality is everyone's responsibility, including white collar workers, the indirect labor force, and the overhead staff

Quality defects should be hidden from the customers (and possibly management)

Defects should be highlighted and brought to the surface for corrective action

Quality problems lead to blame, faulty justification, and excuses

Quality problems lead to cooperative solutions

Corrections-to-quality problems should beaccomplished with minimum documentation

Documentation is essential for "lessons learned" so that mistakes are not repeated

Increased quality will increase project costs Improved quality saves money and increases business

Quality is internally focused Quality is customer focused

Quality occurs during project execution Quality occurs at project initiation and must be planned for within the project

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Manufacturing Quality vs. Service Quality

• Manufacturing quality focuses on tangible product features– Conformance, performance, reliability, features

• Service organizations produce intangible products that must be experienced– Quality often defined by perceptional factors like

courtesy, friendliness, promptness, waiting time, consistency

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Cost of Quality – 4 Categories

Early detection/prevention is less costly – (Maybe by a factor of 10)

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Source: Operations Management – An Integrated Approach Fourth Edition by Reid and Sanders