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Premium member Presentation Transcript PROJECT QUALITY MANAGEMENT : PROJECT QUALITY MANAGEMENT Slide 2: PROJECT QUALITY MANAGEMENT provides all the tools to make sure your project turns out as planned harnessing everyone’s effort to achieve zero defects at lowest cost, and zero defects means continually satisfying customer requirements is viewed as a total commitment to manage a firm’s resources to achieve the highest levels of performance in everything in which the firm is involved. PROJECT QUALITY MANAGEMENT : PROJECT QUALITY MANAGEMENT is a method for ensuring that all the activities necessary to design, develop and implement a product or service are effective and efficient with respect to the system and its performance THREE MAIN COMPONENT OF QUALITY MANAGEMENT : THREE MAIN COMPONENT OF QUALITY MANAGEMENT 1) QUALITY CONTROL In construction engineering and manufacturing, quality control and quality engineering are involved in developing systems to ensure products or services are designed and produced to meet or exceed customer requirements. These systems are often developed in conjunction with other business and engineering disciplines using a cross-functional approach. THREE MAIN COMPONENT OF QUALITY MANAGEMENT : THREE MAIN COMPONENT OF QUALITY MANAGEMENT 2) QUALITY ASSURANCE refers to planned and systematic production processes that provide confidence in a product's suitability for its intended purpose. It is a set of activities intended to ensure that products (goods and/or services) satisfy customer requirements in a systematic, reliable fashion THREE MAIN COMPONENT OF QUALITY MANAGEMENT : THREE MAIN COMPONENT OF QUALITY MANAGEMENT 3) QUALITY IMPROVEMENT These cover product improvement, process improvement and people based improvement. Slide 7: Achieving Quality on Projects Slide 8: The common element of the business definitions is that the quality of a product or service refers to the perception of the degree to which the product or service meets the customer's expectations: Quality has no specific meaning unless related to a specific function and/or object Quality is a perceptual, conditional and somewhat subjective attribute QUALITY? Business has tried to define quality in a producer-consumer context, with the following variations: : ISO 9000: "Degree to which a set of inherent characteristic fulfills requirements." The standard defines requirement as need or expectation. Business has tried to define quality in a producer-consumer context, with the following variations: Business has tried to define quality in a producer-consumer context, with the following variations: : Six Sigma: "Number of defects per million opportunities." The metric is tied in with a methodology and a management system. Business has tried to define quality in a producer-consumer context, with the following variations: Business has tried to define quality in a producer-consumer context, with the following variations: : Philip B. Crosby: "Conformance to requirements." The difficulty with this is that the requirements may not fully represent customer expectations; Crosby treats this as a separate problem. Business has tried to define quality in a producer-consumer context, with the following variations: Business has tried to define quality in a producer-consumer context, with the following variations: : Joseph M. Juran: "Fitness for use." Fitness is defined by the customer. Noriaki Kano presenting a two-dimensional model of quality: "must-be quality" and "attractive quality." The former is near to the "fitness for use" and the latter is what the customer would love, but has not yet thought about. Business has tried to define quality in a producer-consumer context, with the following variations: Slide 13: Genichi Taguchi, with two definitions: "Uniformity around a target value." The idea is to lower the standard deviation in outcomes, and to keep the range of outcomes to a certain number of standard deviations, with rare exceptions. "The loss a product imposes on society after it is shipped." This definition of quality is based on a more comprehensive view of the production system. Slide 14: American Society for Quality: a subjective term for which each person has his or her own definition. In technical usage, quality can have two meanings: the characteristics of a product or service that bear on its ability to satisfy stated or implied needs; a product or service free of deficiencies. Slide 15: Peter Drucker: "Quality in a product or service is not what the supplier puts in. It is what the customer gets out and is willing to pay for." Quality Concepts : Quality Concepts For Design *Aesthetics (good design taste) *Functionality (design does what it is intended to: meet building code requirements) *Safety (safe for occupiers; meet building code requirements) * Cost (within client’s budget) Quality Concepts : Quality Concepts For Construction Workmanship (quality of constructed work) Integrity (according to drawings and specifications) Completion time in the project according to clients requirements Quality Concepts : Quality Concepts Zero Defects – states that there is no tolerance for errors within the system. The goal of all processes is to avoid defects in the product or service The Customer is the Next Person in the Process – based on providing the internal organization a system that ensures the product or service is transferred to the next person in the process in a complete and correct manner Quality Concepts : Quality Concepts Continuous Improvement Process – is a holistic approach to an organization that focuses on principles while making the process improvements Process Capability – in evaluating the processes which will be used to produce a system, it is essential that the process be capable of performing the required functions to achieve the desire outcome. Major Cost Categories of Quality : Major Cost Categories of Quality Prevention Cost – cost to plan and execute a project so that it will be error free. Some areas of prevention cost include planning of the scope, budget, performance and duration to meet customer requirements. (i Training, ii. Process capabilities studies, iii. Surveys of vendors/suppliers, iv. Surveys of subcontractors) Appraisal Cost- cost of evaluating the processes and the output of the process to ensure the product is error free. ( inspection and testing of products, maintenance ad test equipment, cost to process and report inspection data) Major Cost Categories of Quality : Internal Failure Cost – cost incurred to correct an identified defect before the customer receives the product. (scrap and rework, inventory costs) External Failure Cost – relates to all errors not detected and corrected before delivery to the customer. (warranty cost, product liability) Measurement and Test Equipment – capital cost of equipment used to perform prevention and appraisal activities. Major Cost Categories of Quality Slide 22: HOW TO IMPROVE PRODUCTIVITY IN THE WORK PLACE TO ACHIEVE TOTAL QUALITY ON PROJECTS? Slide 23: Achieving Quality on Projects IMPROVING PRODUCTIVITY Motivation of Employees Setting-up of Quality Management System or Process Slide 24: Motivational Theories McGregor`s Theory X & Theory Y : McGregor`s Theory X & Theory Y Theory X - People are lazy by nature; dislike work & will avoid it whenever possible - They must be coerced, controlled and threatened with punishment in order to work. - They lack ambition and seek mainly security. - They avoid responsibility Theory Y - Work is as natural to man as play & rest. - People are capable of self direction to objectives they are committed. - People will even seek responsibility given proper rewards. - Many people are creative, ingenious & imaginative but these intellectual potentialities are utilized only partially in most organizations. Herzberg`s Two-Factor Theory : Herzberg`s Two-Factor Theory Motivators = Growth Hygiene Factor = Replenishment Needs Herzberg`s Two-Factor Theory : Herzberg`s Two-Factor Theory Motivators = Growth Satisfiers Achievement Recognition Responsibility Work itself Advancement Hygiene Factor = Replenishment Needs Dissatisfiers Working conditions Administrative policies Supervision Salary Interpersonal Relations Status Job Security Maslow`s Hierarchy of Human Needs : Physiological Need for air, water, food, warmth, sleep,sex & basic bodily satisfactions Safety-Security Freedom from actual danger & need for assurance of continued well being. Belonging-Love-social Need to give & receive attention, love & affection. Ego-Esteem Need for the respect & recognition of others Existential, Self-Actualization The need to become all that one is becoming. Physiological Safety Social Ego Existential Chronological-Psychological Age Potential of Satisfaction Maslow`s Hierarchy of Human Needs These models are used in the construction industry : FOCUSED ON MOTIVATION, EMPLOYEE NEEDS AND INCENTIVES These models are used in the construction industry Motivation : Motivation The set of processes that determine the choices people make about their behaviours It imparts incentives that require a response on part of someone else of achieve a defined goal Motivation : Motivation In business, motivation is not synonymous with salaries; money is a means for accommodating the economic needs of workers Motivation means an inner wholesome desire to exert effort without the external stimulus money Context of MOTIVATING : Context of MOTIVATING It is the ability of indoctrinating the personnel with a unity of purpose and maintaining a continuing, harmonious relationship among all people. A force which encourages and promotes a willingness of every employee to cooperate with every member of the team Slide 33: Effective Motivation of Employee Create proper conditions that cause people to do their work willingness and enthusiasm The willingness to exert high level of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need Slide 34: EMPOLYEE NEEDS MOTIVATION THRU: Goal Setting Employee reward/incentives Reinforcement Advantage of Productivity Improvement : Advantage of Productivity Improvement Decreased total cost and duration of production Improved quality Growth in market share of product Increased employment and wages without inflationary pressures Enhanced purchasing capacities among employees, employers and customers End of Presentation : End of Presentation Slide 37: QUALITY MANAGEMENT PROGRAM Why quality management? : Why quality management? The implementation of quality management and the guidelines are designed to encourage and assist: • the management of projects and contracts by all customers and service providers to consistently achieve the required outcomes; • a better customer service approach by service providers; Why quality management? : Why quality management? • continual improvement in the delivery of project and contract outcomes; and • a consistent approach by agencies in specifying, and service providers in providing/implementing, Quality Management Systems, Quality Management Plans (including design plans), and Inspection and Test Plans, and in monitoring their implementation. Quality Management Complements Project Management : Quality Management Complements Project Management QM & PM both recognize the importance of four (4) basic principles: Customer satisfaction Prevention over inspection Management responsibility Continuous improvement 1. Customer Satisfaction : 1. Customer Satisfaction Understanding, evaluating, defining, and managing expectations so that customer requirements are met: Conformance to requirements Fitness for use Slide 42: The cost of preventing mistakes is generally much less than the cost of correcting them, as revealed by inspection/assessment Build quality in vs Inspect quality in 2. Prevention over Inspection 3) Management Responsibility : 3) Management Responsibility Success requires the participation of all members of the team, but management is responsible to provide the resources to succeed. Slide 44: The “plan-do-check-act” cycle is the basis for quality improvement. Quality improvement initiatives can improve the quality of project management as well as the quality of the product. 4. Continuous Improvement Slide 45: Quality Plan (PLAN) Inputs 1.1 Quality Improvement 1.2. Quality Policy 1.3 Project Description 1.4. Standard Regulation 2. Tools and Techniques 2.1. Benefit/Cost analysis 2.2 Benchmarking 2.3 Flowcharting 3. Outputs 3.1 Quality Mgt Plan 3.2 Operational Definitions 3.3 Checklist 3.4 Quality Bassline 3.5. Quality Checklist 3.6. Project Management Plan (Update) Quality Assurance (DO) Inputs 1.1 Quality Improvement 1.2. Results of Quality Control Measurement 1.3 Operational Definitions 2. Tools and Techniques 2.1. Quality Planning 2.2 Tools and Techniques 2.3 Quality Audits 3. Outputs 3.1 Quality Improvement Quality Control (CHECK) Inputs 1.1 Work Results 1.2. Quality Mgt Plan 1.3 Operational Definition 1.4. Checklist 2. Tools and Techniques 2.1. Inspection 2.2 Seven New Quality Control Tools 2.3 Other Quality Mngt Tools and Techniques 3. Outputs 3.1 Quality Improvement 3.2 Acceptance Decision 3.3 Rework 3.4 Completed Checklist 3.5. Process Adjustments Quality Improvement (ACT) Inputs 1.1 Quality Improvement Philosophy and Principles 2. Tools and Techniques 2.1. Suggestion Scheme 2.2. 5S 2.3 Work Simplification 2.4. Quality Control Circle 2.5. ISO 9000 3. Outputs 3.1 Improved Quality Standard CONSTRUCTION PROJECT QUALITY MANAGEMENT Slide 46: CONSTRUCTION QUALITY PLANNING INPUTS PROCESS OUTPUT 1) enterprise environmental factors 2) organizational process assets 3) project scope statement 4) project management plan 1) cost benefit analysis 2) benchmarking 3) design of experiments 4) cost of quality 5) quality control tools and techniques 1) requested changes 2) recommended corrective actions 3) organizational process assets (updates) 4) project management plan (updates) Slide 47: PERFORM QUALITY ASSURANCE INPUTS TOOLS/ TECHNIQUES OUTPUT 1) quality management plan 2) quality metrices 3) process improvement plan 4) work performance information 5) approved change request 6) quality control measurements 7) implemented change request 8) implemented corrective actions 9) implemented defect repair 10) implemented preventive actions 1) quality planning tools and techniques 2) quality audits 3) process analysis 4) quality control tools and techniques 1) requested changes 2) recommended corrective actions 3) organizational process assets (updates) 4) project management plan (updates) Slide 48: PERFORM QUALITY CONTROL INPUTS TOOLS/ TECHNIQUES OUTPUT 1) quality management plan 2) quality metrices 3) quality checklists 4) organizational process assests 5) work performance information 6) approved change requests 7) deliverables 1) cause and effect diagram 2) control charts 3) flowcharting 4) pareto chart 5) scatted diagram 6) statistical sampling 7) histogram 8) inspection 9) defect repair review 1) quality control measurements 2) validated defect repair 3) quality baseline 4) recommended quality actions 5) recommended preventive actions 6) requested changes 7) recommended defect repair 8) validated deliverables 9) organizational process assets 10) project management plan Plan-Do-Check-Act Cycle : Plan-Do-Check-Act Cycle DO QUALITY ASSURANCE PLAN QUALITY PLAN CHECK QUALITY CONTROL ACT QUALITY IMPROVEMENT Slide 50: Quality Planning – identify which quality standards are relevant to the project and determining how to satisfy them Input Quality Improvement Quality Policy Project Description Standard Regulation Tools and Techniques Benefit/Cost Analysis Benchmarking Flowcharting 3. Outputs Quality Management Plan Operational Definitions] Checklist Slide 51: CONDUCTING SWOT ANALYSIS PROJECT PLANNING STRATEGY What STRENGTHS do we have? How can we take advantage of them? What WEAKNESSES do we have? How can we minimize the impact of these? What OPPORTUNITIES are there? How can we capitalize on them What THREATS might prevent us from getting there? (consider technical obstacles, competitive responses, values of people within your organization, and so on) Slide 52: SWOT ANALYSIS Strengths Threats Opportunities Weaknesses External Internal Slide 54: For every obstacle identified, what can we do to overcome or get around them? (This helps you develop contingency plans) Slide 55: “ Obstacles are those frightful things you see when you take your eyes off your goal” Henry Ford 7 : 7 S There are seven aspects of an organization that need to harmonize with each other, to point in the same direction like the needless of seven compasses If each aspect supports the others then the organization can be said to be “organized” 7 : 7 S Skills Shared Values Staff Style Structure Systems Strategy Slide 58: Quality Assurance - evaluating overall project performance on a regular basis to provide confidence that the project will satisfy the relevant quality standards Input Quality Management Plan Results of quality control measurement Operational Definitions Tools and Techniques Quality Planning (Tools and Techniques) Quality Audits Outputs Quality Improvements Slide 59: Quality Control - monitoring specific project results to determine if they comply with the relevant quality standards and identify ways to eliminate causes of unsatisfactory performance Input Works results Quality Mngt Plan Operational Definition Checklist 2. Tools and Techniques Inspection Seven New Quality Control Tools (Pareto Analysis, Data –Tables, Cause-Effect Analysis, Trend Analysis Histograms, Scatter Diagrams, Control Charts) and other Management Tools and Techniques 3. Outputs Quality Improvements Acceptance Decisions Rework Completed Checklist Process Adjustments Slide 60: Quality Improvement - includes taking action to increase the effectiveness and efficiency of the project maintaining and improving the current standard Input Quality Improvement Philosophy and Principles 2. Tools and Techniques Suggestion Scheme 5’s (Sort, Systematize, Sweep, Sanitize, Self-Discipline) Work Simplification (Work Measurement & Work Study) Quality Circle ISO 9000 (Quality Management System Standards) 3. Output Improved Quality Standard Slide 61: Why Quality Assurance? Why Quality Control? Do I Have A Quality Assurance Program? : Do I Have A Quality Assurance Program? Often times the phrase “quality assurance” is mis-used and mis-understood To avoid any confusion, the following table can be utilized as a tool to assess if you have a quality assurance program. DO I HAVE A QUALITY ASSURANCE PROGRAM? : DO I HAVE A QUALITY ASSURANCE PROGRAM? IF “NO” WAS ANSWERED TO ANY OF THE ABOVE QUESTIONS, YOU DO NOT HAVE AN EFFECTIVE QUALITY ASSURANCE PROGRAM Slide 65: Why Quality Assurance? What Is Quality Assurance? : What Is Quality Assurance? Quality assurance is about being “in control” of all major areas of your business (“key processes”) so that you can assure quality. Being “in control” also reduces variation, which improves quality. “Control” and “variation reduction” is accomplished using various methods. Slide 67: QUALITY ASSURANCE = P-D-C-A CYCLE OR DEMING CYCLE Plan: Documented processes via quality procedures & quality plans Do: Work systematically by following your procedures. Check: Verify with quality audits & by documenting Non-conformances Act: Act upon the results by implementing CAPA & conducting Management Reviews. Slide 68: Document Control: To ensure employees have the correct procedures and the procedures are properly maintained. Audits: To verify quality procedures are being followed. . Quality Assurance have a little value if the systematic methods were not properly managed that includes: Slide 69: Non-conformance Tracking: To monitor and track quality issues to ensure that defects are kept from your customer CAPA (corrective action and preventative action): To correct flawed processes (i.e. qualityprocedures) when detected via audits and non-conformance tracking to prevent defects from reoccurring. Quality Assurance have a little value if the systematic methods were not properly managed that includes: Slide 70: Management Review: Reviewing quality system data (performance) (quality metrics) to determine if the quality system is working and if it is not, taking the appropriate action to improve the system. Quality Assurance have a little value if the systematic methods were not properly managed that includes: Numerical Data : Numerical Data Control and variation reduction is established by statistically evaluating the process capability and then controlling the process via process control charts using SPC (statistical process control). Slide 72: Control and variation is also reduced by instituting systematic methods (i.e. quality procedures). This is also referred to as “systematizing”, “standardizing”, or “proceduralizing” your key business processes. Non-Numerical Data Construction Industry Needs : Construction Industry Needs To be effective, a quality assurance program designed for construction must be streamlined, user-friendly, not overly-burdensome, and geared for the intended audience. In addition, it must strike the right balance between added cost and added value. Construction Industry Needs : Construction Industry Needs Unfortunately, the only quality assurance “standard” that is currently available to the construction industry is the “ISO 9000” quality system, which is well known due to high levels of publicity This standard has for the most part been completely ignored by the construction industry in the U.S. as only 42 construction companies are certified. Construction Industry Needs : Construction Industry Needs To be effective, a quality assurance program designed for construction must be streamlined, user-friendly, not overly-burdensome, and geared for the intended audience. In addition, it must strike the right balance between added cost and added value. Construction Industry Needs : Construction Industry Needs Unfortunately, the only quality assurance “standard” that is currently available to the construction industry is the “ISO 9000” quality system, which is well known due to high levels of publicity This standard has for the most part been completely ignored by the construction industry in the U.S. as only 42 construction companies are certified. Construction Contractor Quality System Audit Checklist : Construction Contractor Quality System Audit Checklist Due to the lack of a basic construction quality assurance program for the construction industry, a construction contractor, quality system audit checklist was developed to assess a construction contractor’s quality system. The checklist was developed utilizing the following steps: 1) Using the ISO 9000: 1994 standard as a guide. 2) Stripping those elements from the standard that are not essential to construction. 3) Adding quality elements that are unique to construction. Corporate Construction Quality Assurance Program : Corporate Construction Quality Assurance Program Due to a lack of a standard quality assurance program that meets the needs of the construction industry, a back-to-basics and streamlined construction quality assurance program was developed. The goal was to develop a system that captured the essence of quality assurance, including: Assuring quality. Corporate Construction Quality Assurance Program : Corporate Construction Quality Assurance Program Adding value. Utilizing a risk-based approach (to minimize the cost of a quality system). Reducing the cost of quality (and increasing profit). Providing the tools required to successfully: o Get the job done right the first time. o To find & correct defects before your customer finds them. o Prevent defects from re-occurring. Slide 81: Why Quality Control? It is a process of diagnosis and cure. As the facility is erected and commissioned it is checked against the specification to ensure that it is of the required standard, and any variance are eliminated. The activities by which this is done must be (a) planned, (b) tested, ( c) recorded and, (d) analysed. Planned: quality control consumes resources, and so activities must be planned so that those resources are allowed for in the projects estimated and are available to conduct the tests at the right time Slide 82: Tested: it must be known that the method of checking the specification will highlight variances Recorded: the results must be recorded to provide a historical record for planning future projects, and to be able to analyse trends Analysed: the results must be analysed to determine the cause of any variance so it can be eliminated and the analysis of trends can indicate potential problems before they occur. Slide 83: Quality Control Quality Assurance Quality Management Zero Defects Do the Right Thing Right the First Time Construction Improvement Process Slide 84: * Management by Objectives Management by Exception Management by Walking * Cost Analysis * Personnel/Equipment Allocation * Participative Management/Employee Involvement Obligations and responsibilities ofmanagement “ Edward Deming’s 14 Points” : Obligations and responsibilities ofmanagement “ Edward Deming’s 14 Points” (1) Create constancy of purpose for the improvement of product or service (2) Adopt the new philosophy (3) Cease dependence on mass inspection (4) End the practice of awarding business on the basis of price tag (5) Improve constantly (6) Institute more thorough training (7) Institute leadership Slide 86: W. Edwards Deming – 14 Points (8) Drive out fear (9) Break down barriers between departments (10) Eliminate slogans and targets (11) Eliminate work standards (12)Remove the barriers that rob employees of their right to pride in workmanship (13) Institute programs of education and self-improvement (14) Put everybody to work to accomplish the transformation Slide 87: Basic Quality Control Tool: Cause and Effect Diagram (Fish Bone Diagram) Slide 88: Basic Quality Control Tool: Cause and Effect Diagram (Fish Bone Diagram) Control Charts : Control Charts Control charts for variable data are used in pairs. The top chart monitors the average, or the centering of the distribution of data from the process. The bottom chart monitors the range, or the width of the distribution. If your data were shots in target practice, the average is where the shots are clustering, and the range is how tightly they are clustered. Control charts for attribute data are used singly. The control chart is a graph used to study how a process changes over time. Data are plotted in time order. A control chart always has a central line for the average, an upper line for the upper control limit and a lower line for the lower control limit. These lines are determined from historical data. By comparing current data to these lines, you can draw conclusions about whether the process variation is consistent (in control) or is unpredictable (out of control, affected by special causes of variation). When to use a Control Chart : When to use a Control Chart When controlling ongoing processes by finding and correcting problems as they occur. When predicting the expected range of outcomes from a process. When determining whether a process is stable (in statistical control). When analyzing patterns of process variation from special causes (non-routine events) or common causes (built into the process). When determining whether your quality improvement project should aim to prevent specific problems or to make fundamental changes to the process Improving Quality : Improving Quality Four-Step Approach to Quality Improvement. 1) Early QI efforts assumed that improvements could be readily attained by adding new or more things, such as new machines, procedures, training, or supplies 2) It was believed that simply adding more resources or inputs would improve quality 3) People working to improve quality learned that increasing resources does not always ensure their efficient use and, consequently, may not lead to improvements in quality. Four Step Approach to Quality Improvement : Four Step Approach to Quality Improvement 1) Step one: Identify > Determine what to improve 2) Step two: Analyze > Understand the problem 3) Step three: Develop > Hypothesize about what changes will improve the problem and develop solution strategy based on these changes 4) Step four: Test and implement > Test the hypothesized solution 1) Identify : 1) Identify The goal of the first step, identify, is to determine what to improve. This may involve a problem that needs a solution, an opportunity for improvement that requires definition, or a process or system that needs to be improved. Examples of problems or processes that are commonly identified include low coverage, inadequate counseling, lack of drugs, lost lab reports, and excessive waiting time. 1) Identify : 1) Identify This first step involves recognizing an opportunity for improvement and then setting a goal to improve it. Quality improvement starts by asking these questions: What is the problem? How do you know that it is a problem? How frequently does it occur, or how long has it existed? What are the effects of this problem? How will we know when it is resolved? Slide 98: How Project Quality Management can be Applied More Effectively? Customer-First Attitude Teamwork & Cooperation Customer-First Attitude Teamwork & Cooperation Internal Customer Support Long Term Improvements are Better Than Quick Fixes Customer-First Attitude Teamwork & Cooperation Internal Customer Support Long Term Improvements are Better Than Quick Fixes Facts and Data are Better Than Hunches and Guesses (Walang Patsamba tsamba) Worry About Solutions. Don’t Concentrate on Finding Fault Customer-First Attitude Teamwork & Cooperation Internal Customer Support Long Term Improvements are Better Than Quick Fixes Facts and Data are Better Than Hunches and Guesses (Walang Patsamba tsamba) Worry About Solutions. Don’t Concentrate on Finding Fault Total Involvement is the Key Make this a People Intensive Process Promote a Spirit of Commitment Slide 99: IS CONSTRUCTION SCHEDULE IMPORTANT TO ATTAIN PRODUCTIVITY IN CONSTRUCTION? Slide 100: IMPORTANCE OF QUALITY PROJECT PLANNING AND SCHEDULING IN CONSTRUCTION PROJECT MANAGEMENT CYCLE Slide 101: The objectives of the Project Quality Management is defined as an attempt to make the most efficient and effective use of the resources: * Money * Manpower * Machine/Equipment * Methods * Materials Proper utilization of resources will result a higher productivity, improve performance and customer satisfaction Slide 102: COST Quality Time Case Study : Case Study The Utility Operations organization of the construction company received a new heavy equipments. It is the latest technology and will replace its twenty five (25) year old model. It uses computerized controls vs manual in the old system. There has been very little turnover in the utility staff over the last 30 year and most operators are not familiar with computerized applications. Managements expectations are that the new system will be more efficient, come on line quicker than the old system and last longer. The team has been asked to write a procedure and develop training to ensure the expectations are met. Question: How would you apply the three steps of quality management? – Quality Planning – Perform Quality Assurance – Perform Quality Control Slide 104: Quality/Grade % Quality Training Qualification Procedure Complexity Low High Slide 105: IMPORTANCE OF QUALITY PROJECT PLANNING AND SCHEDULING IN CONSTRUCTION PROJECT MANAGEMENT CYCLE Slide 106: IMPORTANCE OF QUALITY PROJECT PLANNING AND SCHEDULING IN CONSTRUCTION PROJECT MANAGEMENT CYCLE Slide 107: IMPORTANCE OF QUALITY PROJECT PLANNING AND SCHEDULING IN CONSTRUCTION PROJECT MANAGEMENT CYCLE Slide 108: IMPORTANCE OF QUALITY PROJECT PLANNING AND SCHEDULING IN CONSTRUCTION Slide 109: MONITORING PROCEDURES AND CONTROL OF WORK PROGRESS Slide 110: Control Cycle Slide 111: CONTROL INFORMATION PROVIDES A BASIS FOR MANAGEMENT DECISIONS, AND THE FOLLOWING REQUIREMENS SHOULD BE SATISFIED BY AN EFFECTIVE CONTROL SYSTEM: It should draw immediate attention to significant deviations from what is planned true and meaningful comparisons must be possible the information should indicate what corrective action is necessary, and by whom the action should be taken key areas of control must be chosen with care, so that the results of control are worth the time and effort Slide 112: THREE ELEMENTS TO BE CONTROLLED IN A CONSTRUCTION PROJECT Slide 113: A Quality Management System provides a structure, including documentation and processes, which enables the delivery of products and services to be controlled and managed to consistently meet the specified requirements. The extent and detail of the documentation and processes included in a service provider’s Quality Management System would be determined to suit the products, services, practices and characteristics of the service provider, its customers’ requirements, and the needs of its personnel and its own service providers. Establishing and implementing a Quality Management System involves: • Identifying the areas and assessing the associated level (likelihood and impact) of risk of products and services not conforming with the specified requirements; • developing processes, generally documented as plans and procedures, to manage the risks; • identifying and providing resources and allocating responsibilities to suit the plans and procedures; • implementing the plans and procedures; • monitoring, auditing and improving the implementation of plans and procedures; and • regularly reviewing and improving the Quality Management System. QUALITY MANAGEMENT SYSTEM Slide 114: A Quality Management System provides a structure, including documentation and processes, which enables the delivery of products and services to be controlled and managed to consistently meet the specified requirements. The extent and detail of the documentation and processes included in a service provider’s Quality Management System would be determined to suit the products, services, practices and characteristics of the service provider, its customers’ requirements, and the needs of its personnel and its own service providers. Establishing and implementing a Quality Management System involves: • Identifying the areas and assessing the associated level (likelihood and impact) of risk of products and services not conforming with the specified requirements; • developing processes, generally documented as plans and procedures, to manage the risks; • identifying and providing resources and allocating responsibilities to suit the plans and procedures; • implementing the plans and procedures; • monitoring, auditing and improving the implementation of plans and procedures; and • regularly reviewing and improving the Quality Management System. QUALITY MANAGEMENT SYSTEM Slide 115: Developing a Quality Management System The scope and extent of documentation in a service provider's Quality Management System will depend on the products and services delivered by the service provider and the particular customer requirements, including those of the agencies with which they wish to work. Service providers must allocate resources, including personnel with sufficient knowledge, skills and experience in quality management, and have corporate procedures for developing, implementing and maintaining their Quality Management System, Quality Management Plans, and Inspection and Test Plans, as applicable, and to monitor their effective implementation with contracts. Service providers that purchase or subcontract products and/or services would ensure each customer’s quality requirements are reflected in the applicable purchase or subcontract documents. 5.1.2 Addressing agency requirements Service providers interested in tendering for agency contracts must address the applicable agency Slide 116: TIME CONTROL Planned Completion Dates for each Stage or Phase Contractor’s responsibility is to prepare a DETAILED WORK PLAN which meets the requirements of the contract Responsibility of the General Contractor to coordinate the work of his subcontractors, suppliers and other stakeholders of the project Slide 117: Important Steps That We Need To Do (Project Engineer) In Controlling The Progress Of The Project Slide 118: ESTIMATE PRICE ESCALATION MATERIALS COST FORECAST Slide 119: A GOOD AID TO KEEP THE COST FORECAST UP TO DATE IS A “COST DIARY” FOR EACH ACCOUNT These diaries should include such information as: cost checks prepared during the designing stage contracts with consultants, contractors, suppliers and other organizations variations orders, and variations foreseen expected cost changes due to disturbances in the planned progress of the works Slide 120: Control Curves S-Curve relate to the value of WORK done, not to cash payments Contractors are paid PERIODICALLY, usually monthly, in a way related to the value of the WORK COMPLETED Cash Flow may be derived from the value of S-Curve Slide 121: QUALITY CONTROL Quality control in a construction project should aim at satisfying the client’s stated needs and requirements. QC must be exercised during all stages of a project BRIEFING STAGE COMMISSIONING STAGE DESIGNING STAGE TENDERING STAGE CONST. STAGE OVERALL CONTROL DECISION MAKING PREQUALIFICATION OF INCOMPETENT BIDDERS Control fulfillment of requirements inspection Special test Control building in use Slide 123: Thank You Slide 124: VALUE ENGINEERING - is a creative systematized approach whose objective is to seek out the best functional balance between cost, reliability and performance of a project - utilizes a functional analysis that modifies or delete elements that add to the cost of the project without contributing to its required functions Slide 125: Value Engineering is a technique that is used to identify poor value functions and identify ideas for lower cost, higher value alternatives. It allows the creative generation of solutions to specific functionality problems, without reducing the scope of the process. Slide 126: 1. Conceptual Phase : Program Needs, Project Feasibility 2. Planning Phase : Scope of the Project, Site Location, Construction Budget 3. Design Phase : Design, Construction Materials, Space Utilization, Site layout, etc. 4. Construction Phase : Bidding, Contract, Construction 5. Operational Phase: Utilization of Facility Life Cycle Phases of Facility Slide 127: One of the techniques of Value Engineering is asking a series of penetrating questions about a system or process. What is it? What does it cost? What does it do? What is it worth? What else might do the job? What do the alternatives cost? What is needed to Implement the alternative? Which alternative is least expensive? Will the alternative meet the requirements? Slide 128: Materials Manpower Methods Machine Value engineering is not cost cutting but defining properly the function of work, activity and resources Slide 129: The main differences between value engineering and cost cutting are summarised as follows: Slide 130: Systematic and organized The Value Engineering process uses tested and successful procedures that are directed toward achieving success in meeting the purposes for the "project" by all involved. A standard "job plan" is used to guide the entire process. The Success of Value Engineering Slide 131: Alternatives The Value Engineering generates, examines, and refines creative alternatives toward the concept of producing an end product that produces high customer acceptance. The process endeavors to widen the number and scope of the available alternatives. This is done to increase the potential for enhanced satisfaction, and take advantage of the added expertise brought into the studied activity through the value study process. Slide 132: Functions and FAST One of the most unique and useful qualities of the Value Method is its use of functions to describe the activity or product being studied. The value study breaks the "project" into components so as to avoid misunderstanding of the planned intents for the project. Slide 133: Value The true value of a activity or product is its relationship to its perceived worth as opposed to its life-cycle costs. In Value Engineering terms: Value = Worth / Cost. When an item has a Value greater than 1.0, the item is perceived to be a fair or good value. When an item has a Value is less than 1.0, the item is perceived to be a poor value or bad value. When the perceived worth far exceeds the life-cycle cost, we usually consider purchasing the item. Slide 134: Worth The worth of a product involves many features. The most common cited are: benefits received, services obtained, satisfaction of the product performance, quality, safety, and convenience. The worth of the product is a measure of what is in it for the customers involved. It is a measure of how well the end product meets the involved essential needs and the added desires of those that have a voice in the product selection or its use. An end product must always supply the essential need, or its worth will be poor Slide 135: Life-Cycle CostsT The true cost of an item is not just the amount of money that you pay when you buy it. Much more is involved. When you buy something, you also buy its long-term effects. The initial costs plus these long-term costs are called life-cycle costs. This includes things like the time involved to get the project done, the people needed (number, expertise and so on), the degree of difficulty involved, availability of money or other resources, the amount of maintenance needed, and the money that must be expended and kept in reserve. THANK YOU : THANK YOU You do not have the permission to view this presentation. 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