Dean Garner MPM357 IP3

Custom New Home Construction Project 1

Phase 3 IP – Project Performance and Quality Assurance

Dean Garner

MPM357-1104B-02

Professor Granville Jones

December 5, 2011


Table of ContentsProject Outline 1

Organizational Readiness for Quality Management 4

Quality Systems Analysis 5

Quality Dimensions Criteria 7

Quality Process Improvement Tools & Techniques 11

Quality Performance Monitoring & Control 13

Three Levels of Quality Management 14

Quality Performance Communication Plan 15

References 16


PROJECT OUTLINE

This is a custom new home construction project for a retired Colonel in the Army. This

home has lots of custom features and will require the services of 6 contractors and their work

teams. This will be a 45 day turnaround for project completion barring unforeseen risks. The

project is scheduled to begin with an RFP process on November 15, 2011. There will be a 7 day

wait for all submitted RFP’s and a 7 day period for review and award of all contracts. The start

of the project is scheduled with the lot clearing and foundation pour on December 1 - 3, 2011. A

contingency plan and a quality system are in place to forestall the unforeseen with regards to

schedule and budget. This project is being managed by ABC Construction, MS Project 2010 and

the Plan-DO-Check-Act (PDCA) management system. The PDCA system will be used to track

and plan the project for continuous improvement from start to finish. (Bulsuk.com, 2009) MS

Project 2010 helps the successful completion of the project because it minimizes the risk to the

schedule and budget as it allows for dynamic changes to be incorporated seamlessly into the

project as the needs arise.


ORGANIZATIONAL READINESS FOR QUALITY MANAGEMENT

ABC Construction has employed several different quality management systems

throughout the years. Systems such as Six Sigma, ISO 9001, Baldrige and PDCA have been

tried, sampled and utilized in order to maintain and improve business performance. Recently,

the PDCA system has provided the most useful format for working in and around the different

contractors that are needed to build a home. With the PDCA system and using MS Project in

concert with one another, we are able to see where the project is at clearly and to also

systematically handle the work projects logistically. With these two tools in place, ABC

Construction is more than capable and prepared for the upcoming custom home construction

project.


QUALITY SYSTEMS ANALYSIS

Below are three of the afore mentioned quality management systems that have been

researched and utilized by ABC Construction. Since ABC already has in place and offered and

explanation of the PDCA system, only Six Sigma, ISO 9001 and Baldrige will be explained here.

Six Sigma

Six Sigma was developed by Motorola back in 1986 as a way to not only increase

proficiency but also to identify and eliminate inconsistencies in business processes. It is a system

specifically designed to reduce the number of defects in a process down to 3.4 parts per

million. Six Sigma has come to be known as being based on a process called DMAIC which

stands for the following: Define-and identify problems and objectives of the project, Measure-

understand performance to the fullest, Analyze-collect, measure and validate root to the problem,

Improve-remove cause of problem and put in place the solution & lastly, Control-in order to

maintain performance, standard must be established. All in all, the Six Sigma system should not

be mistaken for anything other than what it is: a statistical process of strengthening an

organization’s ability and capacity for process improvement; a methodology for reducing

defects. (scm.ncsu.edu, 2003)

ISO 9001

Known as the standard for quality management, ISO 9001 differs from Six Sigma in that

Six Sigma identifies and solves specific problems in quality and ISO 9001 is used as a scale of a

company’s efforts towards quality management. ISO, meaning-international organization for

standardization, comes through certification from a company to its customers to show that


acceptable standards have been met to ensure that the end product or service is of quality. To

accomplish this ISO 9001 offers the user that ability to track, measure and document the

processes and knowledge of those processes for quality control and for training in the future.

This allows the user to evaluate and revise certain processes that are ineffective or faulty. In

short, ISO 9001 shows guidelines for problem solving, but does not reveal what those process

look like in the case of Six Sigma. Six Sigma on the other hand does not evaluate how quality

management might affect an organization. (ictsecuriti.com, 2010)

Baldrige

This system focuses on the overall management framework and seeks to enhance

performance across the entire organization. As it is applied largely to the culture of the company

and what criteria will lead to a highly ethical and sharp performing group, the Baldrige quality

program works well to align with other systems like ISO 9001 and Six Sigma. Baldrige’s focus

on tracking all-necessary and important-company outcomes is the path to making Six Sigma a

better program in the end. Baldrige offers a sort of direction for how a product focus approach

can be improved upon. Obviously, Baldrige is a macro approach and ISO 9001 and Six Sigma

are closer to a micro approach. There are seven criteria that Baldrige focuses on: Leadership,

Strategic Planning, Customer and Market Focus, Information and Analysis, Workforce focus,

Process Management and Business Results. (sriregistrar.com, 2008)


QUALITY DIMENSIONS CRITERIA

Quality, as defined from the consumers’ perspective, are fewer defects and a greater number

of features that meet the consumer’s needs. (Juran, 1999) These two aspects are the cornerstone

for an effective quality assurance program. The key, according to David Garvin, is not just in

protecting consumers from annoyances but also in pleasing them. (Garvin, 1987) The following

are eight dimensions of quality as defined by David Garvin along with my interpretation of how

that quality can be utilized within my custom home construction project.

Performance refers to the product’s overall operating characteristics with measurable

attributes. Performance on my project can be measured through the timeliness of the

project schedule and the closeness the project is to budget.

Features are the secondary or supplemental aspects of a products’ basic functions. The

features of my project would also be the timeliness with which my company will be a

custom home along with the additional construction aspects of our custom design.

Reliability refers to the probability of a product malfunctioning. Reliability within my

project would be found in our ability to maintain schedule and stay on budget.

Conformance is the design and characteristic of a product that meets established

standards as it applies to defect rates and number of complaints or calls for service from

consumers. Conformance within my project would be the established and historical

craftsmanship of my company’s custom homes.

Durability is the amount of use one gets from a product before it wears down.

Durability within my project would be found in the quality of craftsmanship and the lack

of homeowner maintenance after 5 and 10 years of ownership.


Serviceability is the consumer’s ability to receive speed, courtesy, competence and ease

of repair. Serviceability within my project is found in the relationship established with

the homeowner and adjusting to their individual needs or desires for the project.

Aesthetics are the look, feel, taste, smell and sound of a product. Aesthetics within my

project are the custom hardwood cabinets in every wet area, rounded corners, granite on

all countertops and more.

Perceived quality is the reputation and other indirect measures that are the basis for a

consumer to choose one product over another. Perceived quality within my project is a

history of building a fine custom home at a reasonable price in an expeditious

timeframe.

In conclusion, quality starts with a communication of an organizational culture that

establishes the vision, policies and goals for maintaining said quality. (Juran, 1999) The culture

of an organization must begin and remain with quality as the first priority. My company has

made a name for itself as a company that does a job right the first time and without excuses.

Quality Dimensions

Description of what it is in terms of

project

Criteria to Measure

Meets or exceeds criteria

Performance

Whether the project is on time and budget

Assess MS Project

timelines and budget flows


Features The custom design

aspects of the custom home

Make sure design is

outside of spec home

deliverables

Reliability Refers to the quality of the craftsmanship and also the

ability to stay on time and

budget for the project

Using only the best

materials and qualified

craftsmen to build the

home

Conforms Conformance is the

historical reputation of

ABC construction

company

Make sure all bonding

issues are settled before contracting and before start date of

project

Durability Points to the lack of

homeowner maintenance required for the first 5 & 10 years of ownership.

By using only the most qualified and following a historically

accurate plan

Serviceability

Homeowner has initial

autonomy in chooses several custom

aspects of the construction

Allowing homeowners to be in on all

project stakeholder

meetings and listening and adhering to


and design their requests

Aesthetics Custom aspects like hardwood in high traffic

and tile in all wet areas as

well as custom cabinets

throughout the home.

No cutting of corners here. Only the best craftsmanship and quality materials for the project

Perception The reputation of

quality custom home

building precedes

ABC construction

company

Doing a job right the first time, every time is how to build a positive

perception


QUALITY PROCESS IMPROVEMENT TOOLS AND TECHNIQUES

Process improvements and business processes are put in place to bring the greatest

benefit to the project. A business process by definition is one that involves a series of steps that

are necessary to follow to carry out a particular aspect of a project or task. (McGraw-Hill.com,

2008) These steps are usually linked and are evaluated for their value and how they interact with

one another. Below are three such processes that were evaluated for this project and found to be

a potential fit.

PROCESS IMPROVEMENT TOOLS

Value Stream Mapping – this process is a lean manufacturing analysis of the flow of materials

and/or information. This process was developed by Toyota and brought to the U.S. in 1957. The

focus is on what is of value and what is a waste within the project processes. (Summers, 2009)

Kaizen – is a Japanese word meaning “change for the better” and it involves the continuous

improvement of processes from manufacturing to business management. These activities meant

to improve processes include, but are not limited to, the purchasing of materials and logistics of

critical resources from both time and budget. (Summers, 2009)

Kanban – is another Japanese word meaning signboard or billboard and is a scheduling system

telling what, when and how to produce something. Specifically, it” improves process

management by focusing on visual control of the process (Summers, 2009)”. Toyota again is the

progenitor of this process improvement method and utilized the system with literal colored cards

that signaled the depletion of inventory or materials. Electronic or E-Kanban systems work as an


enterprise resource planning (ERP) tool which allows for real time signaling of demand for a

product or service.

CONTRAST

Although all three of these processes seek to improve on the flow and management of

either people, time or money within a given task or project, the clear winner for me and my

project is the Kaizen process. Philosophically and procedurally, Kaizen is a better fit for ABC

Construction Company and this custom new home construction plan. Kaizen focuses on

business management through the prism of human resource management; It is the quintessential

focus on “work smarter, not harder”. Kaizen follows the Plan, Do, Check and Act (PDCA)

system that was identified by this project manager as the best fit for quality management in this

project. There are five key elements found in Kaizen, they are: quality, effort, involvement of all

employees, willingness to change, and communication.

In conclusion, and to reiterate, this is a custom new home construction project. This

project will rely on the cooperation of multiple contractors and the project manager to work in a

cohesive fashion in order to stay on time and on budget. By utilizing the principles and

guidelines within Kaizen and PDCA this project and future projects for ABC will benefit greatly.

KAIZEN CARD EXAMPLE:


QUALITY PERFORMANCE MONITORING AND CONTROL

(Wcmfg.com, n.d)


THREE LEVELS OF QUALITY MANAGEMENT


QUALITY PERFORMANCE COMMUNICATION PLAN


REFERENCES

Bulsuk.com, (2009). Taking the first step with the PDCA. Retrieved on November 21, 2010

from: http://www.bulsuk.com/2009/02/taking-first-step-with-

pdca.html#axzz1fPM54oLL

Garvin, D.A., (1987). Competing on the eight dimensions of quality. Retrieved on November 23,

2011 from:

http://ehis.ebscohost.com.proxy.cecybrary.com/eds/pdfviewer/pdfviewer?sid=a6286586-

a4af-4e23-9c14-36e376cc6b5f%40sessionmgr113&vid=4&hid=121

Juran, J.M., (1999) Juran’s quality control handbook. McGraw –Hill : Columbus, OH

McGraw-Hill.com, (2008). Process management. Retrieved on November 30, 2011 from:

http://highered.mcgraw-hill.com/sites/0073526703/student_view0/ebook/chapter1/

chbody1/process_management.html

Summers, D., (2009). Lean tools and techniques, Ch. 12. Prentice Hall: Upper Saddle River, NJ

Wcmfg.com, (n.d.) Kaizen pocket cards. Retrieved on December 5, 2011 from:

ttp://highered.mcgraw-h

http://ehis.ebscohost.com.proxy.cecybrary.com/eds/pdfviewer/pdfviewer?sid=a6286586-a4af-4e23-9c14-36e376cc6b5f@sessionmgr113&vid=4&hid=121

http://ehis.ebscohost.com.proxy.cecybrary.com/eds/pdfviewer/pdfviewer?sid=a6286586-a4af-4e23-9c14-36e376cc6b5f@sessionmgr113&vid=4&hid=121

ttp://www.bulsuk.com/2009/02/taking-first-step-with-p

ttp://www.bulsuk.com/2009/02/taking-first-step-with-p


http://www.wcmfg.com/KaizenSupplies.htm

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Dean Garner MPM357 IP3