SIKKIM MANIPAL UNIVERSITY DEPARTMENT OF DISTANCE EDUCATION

ASSIGNMENT SEMESTER 4

NAME ROLL NUMBER LEARNING CENTER SUBJECT NAME MODULE NO DATE OF SUBMISSION AT THE LEARNING CENTRE FACULTY SIGNATURE

: : : : : : :

ABHISHEK JAIN 511035358 02882 PROJECT QUALITY MANAGEMENT (PM0017) SET 1 31-MAY-11

MBA 4th Sem Assignment

Project Quality Management PM0017 Set 1

Master of Business Administration-MBA Semester 4 Project Quality Management PM0017

Assignment Set - 1
Q 1. Describe the benefits of quality in project performance [10 Marks] Ans: The benefits of quality in project performance are: Customer satisfaction: It is the result of a quality project and product. If customers expectations are exceeded, the customer will not only readily accept the product but may come back for additional work when need arises. Satisfied customers may refer new customers generating additional work. Reduced cost: Quality processes help in reducing waste, unnecessary work and rework. It improves efficiency and supplies resulting in actual cost of the project being less than planned. Reduced cost may mean increased profit or more sales to an existing customer within existing profit margins. Increased competitiveness: Quality products and services, better project performance and reduced cost directly results in increased competitiveness in the global market-place. Fulfilment of social and economic responsibilities: Competitiveness increases profit effecting global economy and gives an opportunity to employ more people a social responsibility. W.Edwards Deming rightly stated: Improve quality, reduce costs, improve productivity , capture the market, stay in business, provide more jobs Q 2. List and describe in brief the seven Baldridge criterions [10 marks] Ans: The Seven Baldrige Criterion The Criteria for Performance Excellence are the foundation of the Baldrige National Quality Program. The Criteria have played a significant role in strengthening the organisations competitiveness. Now in business/non-profit, education, and health care versions, they are the basis for Conducting organisational self-assessments. Making awards to recognise the achievements of organisations that have improved performance in the critical factors that drive their success. Providing feedback to applicants for the Baldrige Award. Stimulating the improvement of performance practices and capabilities. Communicating and sharing best practices information among U.S. organisations of all types. Understanding and managing for performance excellence and for guiding planning.

Figure 1: Baldrige Criteria The seven Baldrige criteria are: 1. Leadership: This category evaluates how the organisations senior leaders address values, performance expectations and directions. It also focuses on customers and other stakeholders, empowerment, innovation, and learning. Also evaluates organisations governance and how the organisation addresses its public and social responsibilities. This criterion carries 120 points, 70 points for organisational leadership and 50 points for social responsibility. 2011 Abhishek Jain - 511035358 Page 2 of 7

MBA 4th Sem Assignment

Project Quality Management PM0017 Set 1

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Organisational leadership evaluates how senior leaders lead the organisation, the organisational governance system, and how they review organisational performance. Social responsibility evaluates how the organisation addresses its responsibilities to the public, practices good citizenship and ethical behaviour. Strategic planning: This examines the organisations process of developing strategic objectives and action plans. It also examines the implementation process of the chosen strategic objectives and action plans and the progress measurement methods. This criterion carries 85 points, 40 points for strategy development and 45 points for strategy deployment. Strategy development examines how the organisation establishes its strategic objectives which include enhancing its competitive positions, future success and overall performance. Strategy deployment examines the process under taken by the organisation to convert its strategic objectives into action plans, summarising action plans or key performance measures or indicators. Strategy deployment also focuses on projection of the companys future performance on these key performance measures or indicators. Customer and market focus: This examines the organisations strategy to determine requirements, expectations and preferences of customer and market. It also examines how organisations build relationships with customers and determines the important factors that lead to customer acquisition, retention and satisfaction and business expansion .This category carries 85 points, 40 points for customer and market knowledge and 45 points for customer relationship and satisfaction. Customer and market knowledge determines the process used by the organisation to determine requirements, preferences and expectations of customers and markets to ensure the continuing relevance of product/service and to develop new opportunities. Customer relationship and satisfaction evaluates the methods used by the organisation to acquire, satisfy and retain customers, to increase customer loyalty and to develop new opportunities. It also describes how the organisation determines customer satisfaction. Measurement, analysis and knowledge management: This criterion examines the processes used by the organisation to select, gather, analyse, manage and improve its data, information and knowledge assets. This category carries 90 points. 45 points for measurement and analysis of organisational performance and 45 points for information and knowledge management. Measurement and analysis of organisational performance examines how the organisation analyses, measures, aligns and improves its performance data and information at every level and in every part of the organisation. Information and knowledge Management describes the process used by the organisation to ensure the quality and availability of necessary data and information for employees, customers, suppliers and partners and the methods used to build and manage its knowledge assets. Human resource focus: This category examines how the organisations work systems and employee learning and motivation enable employees to develop and utilise their full potential in alignment with the organisations objectives and action plan. It also examines the organisations efforts to build and maintain a work environment and an employee friendly environment leading to performance excellence and to personal and organisational growth. This category carries 85 points, 35 points for work system, 25 points for employee learning and motivation and 25 points for employee well-being and satisfaction. Work Systems examines how the organisations work and job enables the organisation and the employees to achieve high performance. This includes compensation, career progression and related workforce practices. Employee learning and motivation examines how the employee training, education and career development support the overall objectives and contribute to high performance. This also describes how employee knowledge, skills and capabilities can be built by the organisations education, training and career development. Employee well being and satisfaction examines how the organisations maintain an employee friendly environment that contribute to the well-being, satisfaction and motivation of all employees. Process management: This category examines the key aspects of the organisations process management, which includes key products, services and business processes for creating Abhishek Jain - 511035358 Page 3 of 7

2011

MBA 4th Sem Assignment

Project Quality Management PM0017 Set 1

organisational and customer value and key support process. This category carries 85 points, 50 points for value cre ation process and 35 points for support processes. Value Creation Processes examines how the organisation identifies and manages its key processes for creating customer value and achieving business success and growth. Support Processes describe how the organisation manages its key processes that support the value creation processes. 7. Business results: This category examines the organisations key business areas performance and improvement. This includes customer satisfaction, product and service performance, human resource results, financial and marketplace performance, operational performance and governance and social responsibilities. It also examines performance levels relative to those of competitors. This category carries 450 points. 75 points for customer focused results, 75 points for product and service results, 75 points for financial and market results, 75 points for human resource results, 75 points for organisational effectiveness results and 75 points for governance and social responsibility results. Customer-Focused results examines the organisations key customer-focused results this includes customer satisfaction and customer perceived value. Results are segmented by customer groups and market segments, as appropriate, and include comparative data. Product and service results examine the organisations key products and service performance results. Results are segmented by product groups, customer groups and market segments, as appropriate, and include comparative data. Financial and market results examines the organisations key financial and marketplace performance results by market segments, as appropriate, and include comparative data. Human resource results examine the organisations key human resource results, including work system performance and employee learning, development, well-being and satisfaction. Results are segmented to address the diversity of the workforce and the different types and categories of employees and include comparative data. Organisational effectiveness results examine the organisations key operational performance results that contribute to the achievement of organisational effectiveness. Results are segmented by product groups and market segments, as appropriated, and include comparative data. Governance and social responsibility results include evidences of fiscal accountability, ethical behaviour, legal compliance, and organisational citizenship. Results are segmented by business units, as appropriate, and include comparative data. Q 3. List the advantages of an Enterprise Project management system (EPM) [10 marks] Ans: Advantages of an EPM System Below are some of the advantages of EPM are: One of the key rewards of converting to an EPM system is that projects have superior focus to their profitability. They fit within the organisation as building blocks to successfully meet the objectives and goals. Often, organisations discover that the wrong projects are being pursued because of a lack of criteria for selecting projects. Many times there are projects with less priority that would make a greater contribution to the organisations success than the current ongoing projects. EPM requires an efficient approach to the allocation of resources to projects that have the more importance to the organisations success. Once selected and implemented, the most important projects must get priority for resources and apt decisions for issues linked to those projects. Policies and procedures supporting the EPM will encourage the best allocation of critical resources. Q 4. Describe the techniques used for Quality planning. [10 marks] Ans: The techniques that are used for Quality planning are: Cost-benefit analysis The quality planning will have to consider the cost benefits trade-offs. The main benefit of meeting the quality requirements is minimal rework which means more productivity, lower costs and also increased stakeholder satisfaction. Benchmarking The benchmarking involves comparing the actual or the planned project practices to those of the other projects to give ideas for improvement and also to give a basis to measure performance. 2011 Abhishek Jain - 511035358 Page 4 of 7

MBA 4th Sem Assignment

Project Quality Management PM0017 Set 1

Design of Experiments (DOE) The statistical method which helps to recognise the factors which may influence the particular variables of a product or process which are under development or production. Cost of Quality (COQ) The quality costs are the total costs obtained by the investment in preventing the non-conformance to the requirements, appraising the product or the service for conformance to the requirements, and also failing to meet the requirements or rework. The failure costs are often grouped into internal and external. The failure costs are also called as the cost of poor quality. Additional quality planning tools The additional quality planning tools are the affinity diagrams, the force field analysis, the nominal group techniques, the matrix diagrams, the flowcharts and also the prioritisation matrices Quality metrics The quality metrics is the statistics which are captured during the different activities undertaken as part of the quality assurance. It is an operational definition which is used to recognise the areas where the quality improvement can be made. It is also used to measure the effectiveness of the quality improvement activities. Quality checklist The checklist is a structured tool which is usually component specific and is used to check if the set of required steps has been performed. The checklist can be simple or complex. Quality baseline The quality baseline is used to record the quality objectives of the project. It is the basis for measuring and also reporting quality performance as part of the performance measurement baseline. Quality control activities The quality control activities will make sure that the deliverable will meet the quality expectations. For example, a quality control checklist can be prepared for every major deliverable. Quality assurance activities The quality assurance activities that will be performed to make sure that the effective processes are being used to create the deliverables on the project. For example, a complete quality assurance checklist can be prepared at the end of each phase. Process improvement plan or project management plan The process improvement plan is an act of advancing the business interest by refining the structure of the operations in the organisation. This helps to move the attention away from finding the faults or assigning the blame and to focus on eliminating the faulty activities so that the productivity can be improved. Other outputs The quality roles list, the implementation test chart, the project monitoring checklist, the project review checklist and also the operational definitions table. In quality planning, the producers of the deliverable should be involved whereas the others involved will be dependent on the type of the quality event. It is also useful to have some kind of representation from the receivers of the information to make sure that the jargons are not used. This might be clear to the producers but it may not be clear to the receivers. Q.5. Describe the major inputs of Quality Assurance Process [10 marks] Ans: Inputs to quality assurance process The inputs to quality assurance are: Project management plan: This contains quality management plan which describes how quality assurance will be performed in the project (discussed earlier in section 2.3.2) and process improvement plan which gives the steps for analysing process to identify activities that enhance their value. Quality metrics: This is an output of quality planning. Work performance information: As the project progresses the performance information from project activities is routinely collected. The performance results that support the audit process include: o Technical performance measures. o Project deliverables status. o Schedule progress. o Costs incurred. Quality control measurements: These are the results of quality control activities which are used to analyse and evaluate the quality standards and processes of the performing organisation. Q 6. Write short note on: [52=10 marks] a. Brainstorming 2011 Abhishek Jain - 511035358 Page 5 of 7

MBA 4th Sem Assignment

Project Quality Management PM0017 Set 1

b. Affinity diagrams c. Force field analysis d. Nominal group techniques e. Matrix diagrams Ans: a. Brainstorming: This is a process for developing creative solutions to problems. Brainstorming works by focusing on a problem, and then deliberately coming up with as many solutions as possible by discusing it in a project group. b. Affinity diagrams: This is used to visually identify logical grouping based on natural relationship. Because many decision-making exercises begin with brainstorming, this is one of the most common applications of affinity diagrams. After a brainstorming session there are usually pages of ideas. These won't have been edited in any way, many of them will be very similar, and many will also be closely related to others in a variety of ways. What an affinity diagram does is start to group the ideas into themes.

Figure 2: Affinity Diagram c. Force field analysis: These are diagrams of forces for and against change. For example, if a manager wants to decide whether to install new manufacturing equipment in his factory. He might draw up a force field analysis like the one in Figure 3.

Figure 3: Force Field Analysis 2011 Abhishek Jain - 511035358 Page 6 of 7

MBA 4th Sem Assignment

Project Quality Management PM0017 Set 1

d. Nominal group techniques: This allows brainstorming ideas in small groups which would then be reviewed by a large group. e. Matrix diagrams: This includes two to four groups of information and shows relationships between factors, causes, and objectives.

Figure 4: Matrix Diagram

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