Quality

c Go n Grow Business Consulting Inc. © Eureka! Business Management Ltd 1

Quality in Projects

A Customer-focused Approach

c Go n Grow Business Consulting Inc. 2

Agenda

Quality Planning Exercise 1Exercise 2

Quality Assurance

Quality Control


Why Quality

Fundamental to staying in business Protect the Brand Retain customers Maintain internal morale Increase unit profitability Promotes versatility


Continuous Improvement

Out of the Crisis by W. Edwards Deming ,1986.


Constancy of Purpose

Long term vision Beyond current customer view Build for the future


Adopt a New Philosophy

Quality ahead of financial returns Starts in the boardroom Clear definition Clear organisation Design a work process, test it then refine it


Cease Mass Inspection

Too expensive to make, inspect, correct and release

Management has the responsibility to Learn the process Adjust it to eliminate defectsReduce inspectors

Move to statistical sampling


Differentiate Products

Stop the price tag alone approach Minimise total cost by

Building long term relationships withHigh quality suppliers Build value – a joint effort


Improve Continuously

Don’t manage the defects or outcomes Manage the system that produced the

defect


Train and Retrain

Skills to perform the job Why it is important How it fits into the system Understand upstream and downstream

user needs You are your supplier’s customer


Improve Leadership

Help people do a better job Help them be consistent Be a Visionary Ensure your managers know the system


Safe-fail Environments

Provide a sense of security Learn from failure Embrace change Acknowledge uncertainty Stress community


Eliminate Inter-Departmental Friction Interdependent NOT independent View the business as a whole Competition is overall improvement in

place of divisional ‘wins’


Eliminate Slogans

Ask people to what they can do Provide support to do a better job Design the system to eliminate problems Exhortations will frustrate where the

system is not designed for quality


Performance Appraisals

Eliminate numerical quotas Focus on well rather than many Reduce competition Substitute cooperation Design organisational rewards


Create Pride

Celebrate success – customer feedback Show how contribution is significant Most valuable asset is people

Their skills Teir ability to work together


Self-improvement

Vigorous programs Knowledge and skills in any area

Steve Jobs: Connecting the dots, humility & death

Job focused Personal development

By learning more, do better


Do It

Top management initiate actionsThrough seminars By teaching Showing by example

Put everyone to work to accomplish the transformation


What is “Quality”

The customer defines your quality standard Expectation = Fitness for Purpose A strategy to consistently meet requirements or

expectations A series of steps and activities that convert

inputs into outputs and deliver “value” Value = effectively satisfying customer needs Effectiveness = efficiency + flexibility


The Customer’s View

Customers feel variation not averages

Six Sigma is all about:

reducing variation in product or service quality

from the customer perspective


Quality Responsibility

Management owns the responsibility: As executives of the organisation As directors of delivery and supporting

processes Errors = 94% Management and processes,

6% worker fault Management have the authority and tools

to align resources to the customer needs


Quality Flows

From identification of the project purpose Integral to scope and deliverable definition Impact on risk and mitigation strategies Execution (assurance) and control

(control) phases Project close – lessons learned folded

back into continuous improvement process


Quality is When?

At each project stage Metrics defined at project planning Where cost of failure is greater than

Cost of appraisal and control and Cost of prevention

As a compulsory project process Integral to the regular status report


Quality is Maintained

Inspection steps throughout the planning, execution and close project phases

Determine special or common causes Problem solving teams – Ishikawa diagram:

People, Methods, Management, Technology, Measurements & Environment.

Change control Continuous improvement


Quality Planning

Define Product Quality Attributes Functionality Usability Reliability Performance Measurements

Plan Quality Processes Change Management Configuration Management Standards Procedures Testing Methods Tools


Define Attributes

Who is the Customer? Common agreement of outcome

What the product will accomplish for the usersClearly defined components What each component does How each component links the other


Who is the Customer?

Owner or user Owner puts the money up User has significant influence on the

specification Use is daily operational mode Cost-effective Team buy-in

Tripartite negotiations with PM facilitating


Acceptable Quality Level - AQL

Acceptable Quality Level. Also referred to as Assured Quality Level. The largest quantity of defectives in a certain sample size that can make the lot definitely acceptable; Customer will definitely prefer the zero defect products or services and will ultimately establish the acceptable level of quality. Competition however, will 'educate' the customer and establish the customer's values. There is only one ideal acceptable quality level - zero defects - all others are compromises based upon acceptable business, financial and safety levels.


Stakeholder Analysis Chart

Key Stakeholder

Strongly Against Having It Happen

Moderately Against Havening It Happen

Lets It Happen

Helps It Happen

Makes It Happen

Robyn o x

Rick o x

Joanna o x

Ruben o x


Influence Chart

Key Stakeholder Type of Resistance Underlying Issue Strategy

Robyn

Rick

Joanna

Ruben

Technical

Political

Organisational

Individual

Feelings of inadequacy with new technology

Loss of perceived power

Control

Emotional paralysis

Educate, involve in learning and inform

Stress what is gained through successful solutions

Give control over processes or give credit for successes

Support and consult without asking for decisions


Define Functionality

Cost of Quality Specification Duty cycle

Fitness for purpose Conforming to the customer requirement


Define Usability

Use in whose view Multiple perspectives Different outcomes for each perspective Back to the scope Negotiate a compromise Check on ‘fit-for-purpose’ and ‘cost of

quality’


Define Reliability

Availability Expected duty cycle

Expectation of errors Tolerance for errors Impact of errors

Maintainability Difficult, complex Lagging maintenance reduces reliability and, in turn,

availability


Define Performance

Standard a product is expected to deliver Link back into:

Fit for purpose Reliability Cost of quality Scope – Common agreement of outcome


Performance Is..

Input

Suppliers Effectiveness

Process

Your Efficiency

Output

Your Effectiveness

Develop key quality measures

Cycle time

How well you are meeting customer requirements

Cost Structure

Value Added

Labour Applied


Define Measurements

Measure performance Not too many parameters (Analysis paralysis)The ones that show up as a variance in the

customers eyes The ones that increase cost Those that have a significant impact where

performance fails or is sub standard


Measurement Tollgates

Create a Data Collection plan of: What to measure

Input = Supplier Effectiveness (1 to 2) Process = Your Efficiency (1 or 2) Output = Your Effectiveness (2 to 3)

Type of measure: Not too much; not too little Type of data

Discrete = on/off, good/bad Continuous = days, height, weight, length

Operational definitions = common language: no ambiguity Target/Specifications: Target = finite; Specifications = limits up or down Data collection forms that define

What a defect is Categories of defect Time frame to collect data Grid of data collection


Definition Reality

Time

Broadened Scope

Increased Quality to Match New Scope

Original Scope

Original Quality

Larger Team Increased

Cost

People Cost


Threat / Opportunity Matrix

Threats

Long Term Changes require a new skill-set

Lay-off’s through not meeting business goals

Customers regognise and reward organisation for exceptional work

Short Term

Increased negative publicity over internal actions

Profitability targets met

Short Term Long Term

Opportunities


Solution Payoff Matrix

Ease to Implement

Hard Install SAP as the ‘Best Practice’ information system

Install new fab lines without disrupting existing production

Easy

Change web site to provide ‘click-through’ to order entry

Eliminate 60% of non-value add activities in the set-up process

Low High

Business Impact


Solution Vision StatementSolution Action Result Behaviour

Modify patient registration form

Next Solution

Reduce lines to 5 from 14

Actions

Less time registering

Results

Greater personal attention to the customer More discretionary time to manage the process

More flexible behaviour


Plan Change Management Processes You don’t get it right first time As you build, you learn of greater possibilities Involve people in setting the priority changes –

what’s changed Assess the benefits against the cost Compromise on rigidity vs. fluidity Publish the change process widely and often


Plan Configuration Management Processes Identify errors as early as possible in the

lifecycle Costs of change are highly geared the further

you are in the process Spend time at the front doing lots of ‘what-if’

scenarios Start the Quality Control Walkthroughs right at

the beginning of the project lifecycle


Impact on the User - Historical

Traditional Project Transition

Transition Point

Degree of Change

Time

Learning CurveTurns Positive

T1 T3

Project Team Rolls OffOperations Takes Over

T2

The Valley of Despair


Current View

Early Project Transition

Transition Starts

Degree of Change

Time

Learning CurveTurns Positive

T1 T2

Transition Point

Project Team Rolls OffOperations Takes Over

Joint Team EffortTransition Gradient

T3

Project Team

Operations Team

a

b

c


Cause & Effect Diagram

Why are there so many'waits' in this process

Machine Methods

People Materials

Measurement

Mother Nature

Numbers inplace ofminutes

Traffic conflict

Tempramental

Thermometers

Pushproduction

Electrical'brown-outs'

Inferiormaterials

Costpressures

Layout

Training

Staff turnover

Power linesdown


Plan Procedures

Design or apply processes to Monitor quality Trigger changes

Align project processes to internal processes Bring your internal customers into the team as

experts Publish procedures widely and show respect for

the process – walk the talk.


Procedures - Actions

Communication Build awareness of demand for quality & opportunity for improvement Set goals for improvement Report progress Celebrate success and learning from failure

Organise Make the process acceptable to the people Take advice: use cross-functional teams

Train & retrain Don’t apply yesterday’s tools to today’s problems

Keep score Compare actual outcome to baseline


Plan Quality Management Tools

Tools include Critical to quality trees Process mapsCause and effect analysis Pareto diagrams and histogramsAffinity diagrams Run and control charts


10 Technical Tools

1. Critical to Quality Tree 2. Process Map 3. Histogram 4. Pareto Chart 5. Process Summary Worksheet6. Cause-Effect Diagram 7. Scatter Diagram8. Affinity Diagram 9. Run Chart 10. Control Chart


10 Soft Tools

Stakeholder Analysis Chart Planning for Influence Table Threat / Opportunity Matrix Pay-off Matrix Solution Vision Statement Team Meeting Agenda Ground Rules Parking Lot Plus / Delta Meeting Review Activity Reports


Balance People with Tools

Six Sigma is tool-heavy Statistics Processes Solutions

Six Sigma requires changed behaviours Managers Supervisors Line workers

Successful Six Sigma projects require: Intense strategic

communication Bringing people along as

part of the change process Training and retraining Providing safe-fail

environments Celebrating failures and

successes


Critical to Quality Tree

Registration

Courtesy

Timeliness

Accuracy

General Need Behaviour Required

Type of Room

Hospital Ward


The Critical To Quality Tree

Start with the Customer needs State the need as a noun with no adjective Move left to right until ‘how to measure’ is

described – not the unit of measure Once started, a branch should define

greater detail – not a new requirement


Your Turn, Now

For the next 45 minutes: Get into your teams and take a whiteboard Start defining and planning your quality

approach to your Archer solution At the end of 30 minutes, report out the full

class on your key activities


A Little Bit of Six Sigma

The Six Sigma HistoryMotorola under Bob Galvin

Acted on processes producing most variance

Allied Signal under Larry Bossidy Understood customer measures of effectiveness

General Electric under Jack Welch Pursued with passion


Philosophy of Six Sigma

Management responsible for work gets done

Customers see business as a series of processes

Strategic business objectives are: Revenue less Costs = Profit Margin Growth: continued customer satisfaction Sustainability via employee satisfaction


Standard Deviation


Partial Process Sigma Table

Long Term Yield Process Sigma Defects per 1,000,000

99.99966 6 3.4

99.98 5 233

99.4 4 6,210

93.3 3 66,807

84.1 2.5 158,655

69.1 2 308,538

50.0 1.5 500,000


Σ Calculation

Unit = food order Defects = too early or too late (1), inaccurate (1), not

fresh (1) Opportunities = 3 Examine 50 orders: result = early or late (13), inaccurate

(3), not fresh (0) Calculate: defects (16)/(units (50)x opportunities (3))x

1,000,000 [16/(50x3)x1,000,000 = 106,667] Σ between 2.7 and 2.8


Process Frequency Distribution

X

X

X X

X X X x

X X X X X X

x x x x X x x

Previous Day

12:00 to 2:00

2:01 to 4:00

4:01 to 6:00 6:01 to 8:00

8:01 to 10:00

Later Day


High-level DMAIC MethodologyDefine

Measure

AnalyseImprove

Control

• Charter • Customer needs, requirements• High-level process map

•Data collection plan•Data collection implementation plans

•Data analysis•Process analysis •Root cause analysis

•Solution generation•Solution selection•Solution implementation

•Control methods •The response plan


The Process Map

Map the representative process – not the best or worst

Capture steps as the actually occur – both easily seen and invisible (waits or moves)

Verify the map: Talk to people in the process Follow the process from beginning to end

Use verbs or adjectives to describe steps Use nouns to describe output and input Now, do a ‘to be’ process map of what should be

happening.


Process Map – Five Categories

DMAIC Step Define Analyse Improve

Identity of suppliers to the process

High level

Start the process of measurement

Greater detail

Understand the detail and validate the measurements

Should be maps

Map the solution and validate with experiments

Inputs provided

Function of the process

Out from the process

Customers of the process


Process Summary Worksheet

Process Step 1 2 3 4 5 6 Total Minutes

Percent

Time ( in minutes) 1 20 15 45 10 15 106 100.0

Value added x x 16 15.1

Non-value added x x x x 90 84.9

Moves 0 0

Delays x 45 42.5

Set-up 0 0

Internal failures x x 25 23.5

External failures x 20 18.9

Control / Inspection 0 0

Value-enabling 0 0


Plan Testing Methods

Statistical sampling User engagement via test scripts Component testing Unit testing Batch testing System testing Consolidated testing Final user acceptance testing


Run Chart – The Foundation

Weight by Week

55

60

65

70

75

80

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Weeks

Kilo

's

Kilo's


Your Turn, Again

Get to your whiteboard space and: Brainstorm some processes that fit your

Archer project approach Develop a stakeholder map and strategies to

move the stakeholders to a positive point Brainstorm and justify your testing methods

Take 45 minutes – no more! Report out to the full group


Quality Assurance

Audit Processes

Verify Quality of the System


Quality Assurance

A planned and systematic set of activities to ensure that variances in processes are clearly identified, assessed and improving defined processes for fullfilling the requirements of customers and product or service makers.

A planned and systematic pattern of all actions necessary to provide adequate confidence that the product optimally fulfils customer's expectations.

A planned and systematic set of activities to ensure that requirements are clearly established and the defined process complies to these requirements.

"Work done to ensure that Quality is built into work products, rather than Defects." This is by (a) identifying what "quality" means in context; (b) specifying methods by which its presence can be ensured; and (c) specifying ways in which it can be measured to ensure conformance (see *Quality Control*, also *Quality*).


Quality Control – Assess Quality

Verify and Validate ProductsWalkthrough reviewsTechnical reviewsPhase reviews

Perform Acceptance TestingSolution Acceptance

Review Quality Standards


To Assess Quality

Clear specifications: don’t change the agreed definitions – modified by change processes

Use defined standards from an agreed baseline Historical experience Qualified resources Impartial design reviews


Quality Control

Also called statistical quality control. The managerial process during which actual process performance is evaluated and actions are taken on unusual performance.It is a process to ensure whether a product meets predefined standards and requisite action taken if the standards are not met.

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Quality Control measures both products and processes for conformance to quality requirements (including both the specific requirements prescribed by the product specification, and the more general requirements prescribed by *Quality Assurance*); identifies acceptable limits for significant *Quality Attributes*; identifies whether products and processes fall within those limits (conform to requirements) or fall outside them (exhibit defects); and reports accordingly. Correction of product failures generally lies outside the ambit of Quality Control; correction of process failures may or may not be included.


Run Chart – With Control Limits

Weight by Week

55

60

65

70

75

80

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Weeks

Kilo

's

Kilo's

Upper Control Limit

Lower Control Limit

Trend


Run Chart: Expected Revised Control Limits

Weight by Week

55

60

65

70

75

80

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Weeks

Kilo

's

Kilo's

Revised Upper Control Limit

Revised Lower Control Limit


Thank You for Your Participation

[email protected]

http://www.isixsigma.com/

Quality

Business

Transcript of Quality