ALPHA UNIVERSITY COLLEGE

SCHOOL OF GRADGUATE STUDIES

MBA PROGRAM
IN DEPARTMENT OF PROJECT MANAGEMENT

Assignment on Quality Management for Project

Managers

Assignment one

Prepared by: Seid Yimam Hussen

ID Number: MPM1/15/047/12

Submitted to: Dr. Worku M.

Month 2020
Addis Ababa
1. Describe several views of quality in the context of your own knowledge or

experience. Include at least three of the following: products, defects, processes,

customers, systems, or others. 
Quality is a much more complicated term than it appears. It seems that every quality expert
defines quality is a somewhat different way. There are a variety of perspectives that can be
taken in defining quality (e.g., customer's perspective, specification-based perspective). So,
as looks it in the above the definition of quality depends on several things. This are: -
i. Product: quality is associated with products. This may be the most obvious linkage. it can
be said that product is of satisfactory quality, if its satisfiers the consumers/user. The
consumer will buy a product or service only if it suits his requirements.
ii. Defects: The idea of defects in a product is closely related to the view of products
themselves. It is also called product defect. Any deviations from customer requirements
are called quality defects. There are three categories of quality defects. One Critical
defect which is the worst defects. For example, a user can be harmed by the product.
Second Major defects which most customers would not buy a product with a major defect
if they had the choice. Third Minor defects is the discriminating customers would not buy
products with minor defects.
iii. Process: Process quality refers to the degree to which an acceptable process, including
measurements and criteria for quality, has been implemented and adhered to in order to
produce the artifacts.
iv.Customer: Customer expectations are a qualitative measure of how well a product or
service meets a customer's needs. Often quality is defined in terms of reliability or life
cycle so that longer term use of the product is required in order for a consumer to assess
its quality.
v. Systems: A system is a group of things that work together. At a higher level of analysis,
quality may be viewed as arising from things that work together.
2. Select a product (goods or services) about which you have some personal

knowledge. Explain how components of features and freedom from failures

relate to the quality of that product. 
The definition of quality includes two components that are critical to its management.
1. Quality includes “features that meet customer needs.” These features should, among
other things, increase customer satisfaction, prevail over the competition, and enhance
product sales. Because more or better features add to design, it is reasonable to say that
higher quality costs more.
2. Quality also includes “freedom from failures.” These failures may be errors during
production that require rework (doing something over again) or failures in the field after
purchase that may result in warranty claims, customer dissatisfaction, or dire
consequences to the user. Because an absence of failures means an absence of associated
costs, it is reasonable to say that higher quality costs less.
3. Discuss the cost of quality considering failure, prevention, and appraisal costs. Give
examples from your own knowledge or experience 
The sources of cost of quality are three: failure, prevention, and appraisal.
1. Failure: Failure costs may result from either internal or external failure.
 Internal Failure: The major costs associated with internal failures, those that occur
before a product has been delivered to a customer, are scrap and rework. Internal failure
costs are costs that are caused by products or services not conforming to requirements
or customer/user needs and are found before delivery of products and services to
external customers. They would have otherwise led to the customer not being satisfied.
Deficiencies are caused both by errors in products and inefficiencies in processes.
Examples include the costs for: Rework, Delays, Re-designing, Shortages, Failure
analysis, Re-testing, Downgrading, Downtime and Lack of flexibility and adaptability
 External failures: those that occur after a product has been delivered to a customer, may
generate costs for repairs in accordance with product warranty obligations. They may
also generate product recalls, which can be far more expensive. External failure costs
are costs that are caused by deficiencies found after delivery of products and services to
external customers, which lead to customer dissatisfaction. Examples include the costs
 for: Complaints, Repairing goods and redoing services, Warranties, Customers’ bad
will, Losses due to sales reductions, Environmental costs
2. Prevention: Prevention costs are fundamentally different from failure costs. These costs
are related to things that an organization does rather than to outcomes of a process.
Prevention costs begin with planning. It is he costs incurred to avoid or minimize the
number of defects at first place. Prevention costs are costs of all activities that are
designed to prevent poor quality from arising in products or services. Examples include
the costs for: improvement of manufacturing processes, workers training, quality
engineering, statistical process control, Quality planning, Supplier evaluation, New
product review, Error proofing, Capability evaluations, Quality improvement team
meetings, Quality improvement projects and Quality education and training etc.
3. Appraisal costs are costs that occur because of the need to control products and
services to ensure a high-quality level in all stages, conformance to quality
standards and performance requirements. Appraisal costs begin with inspection of
incoming supplies. The computer science phrase “garbage in, garbage out” applies
equally here. The quality of a product is significantly affected by the quality of materials
that go into its production. Examples include the costs for: Checking and testing
purchased goods and services, In-process and final inspection/test, Field testing, Product,
process or service audits and Calibration of measuring and test equipment