Project Quality Management chapter 1

The sponsor tries to balance the three constraints and make trade offs between them.

Quality is the forth among them. It may be closely tied to scope because scope is based on costumer requirments and so is quality. This linkage addresses quality of the PRODUCT is the project.

Prevention costs

Related to what the organization does rather than the outcomes of a process -prevention costs begin w/planning. Planning generates early costs [meetings...] however, goof planning prevents later costs that come later to change the initial plan. The cost of change increases as the project progresses. [changes made during implementation are more expensive than changes made during planning] 1. Quality planning [puts quality management system] 2. Quality audits [Makes sure system works as intended] an audit compares performance to plan 3. Process planning [shows steps to be taken to produce the product] 4. Control [ensures that the process performs as expected] 5. Product reviews 6. Evaluating suppliers cost 7. Training workers is a one time cost

Benefits of quality

1. COSTUMER SATISFACTION [and they may become unpaid sales representatives, may even lead to costumer delight which is more than customer satisfaction 2. REDUCED COSTS [through reducing waste, improve suppliers] 3. INCREASE PROFITS 4. INCREASED COMPETITIVENESS

Juran defined quality as

1. FEATURES OF A PRODUCT which meet costumer needs and lead to costumer satisfaction 2. FREEDOM FROM DEFICIENCIES (freedom from rework) Juran also made a distinction between "Big Q" and "Little Q" Big Q: More recent and system wide, it takes a broader view of quality that includes goals of the company and usually used by top man. Little Q: More limited in scope, often focusing on individual products or costumers. Used by Technical or Staff.

The sources of cost of quality

1. Failure [internal & external] 2. Prevention 3. Appraisal [conformance] *Prevention and Appraisal are Internal failure costs 4. Morale costs

Appraisal costs [conformance]

1. Inspections [to make sure production is following plan] 2. Testing is a cost but pays back over time.

Wrong assumptions of quality

1. Process to get good quality is expensive, No quality pays, when you improve the quality of a process, you reduce the defects. The payback will be more than the original cost, so quality will be free. 2.High prices does not mean good quality. Good quality is comes from the ability to satisfy costumer needs. 3. Time consuming. In reality, getting good quality is not time consuming. what really is time consuming is the rework. In reality, quality saves aloooot of time. so quality is free and quality saves time and a high cost product does not mean good quality

Quality can be defined in terms of

1. Products: We define quality by our view of the features of the product. 'Ill know when I see" 2. Defects: We expect quality products to have no defects. 3. Processes: The processes that produce the product affect the outcome 4. Costumers: If quality meets customer requirements 5. Systems: (A group of things that work together)

Internal failure costs (compliance costs)

Costs before product has been delivered to costumer 1. Scrap: [when completely unfixable] 2. Rework: [when their is a chance to go back and fix]

External failure costs (Non-compliance costs)

Costs incurred after product is delivered to costumer and reputation loss 1. Repairs (repeats, warranty) 2. Recalls [More expensive than repairs] 3. Liability costs [death...] 4. Complaints & complaint handling [loss of customers]

Difference between these costs

Failure costs; Responses that occur repeatedly over time Prevention and appraisal; Investments that provide cost benefits repeatedly over time

Quality

The degree to which a set of inherent characteristics fulfill requirements Inherent characteristics may be of a product, process, or system. The requirements may be those of costumer or stakeholders.

Quality is counterentropic, It is NOT the natural order (not a natural occurring event, it a result of hard work)

The second law of thermodynamics states that things naturally move from a state of organization to a state of disorganization.

Moral costs

costs incurred when defects discovered after product reaches costumer 1. liability 2. warranties 3. direct cost