university of sunderland engm91 unit 5 engm91 risk, quality and human asspects unit 5

University of Sunderland ENGM91 Unit 5

ENGM91ENGM91

RISK, QUALITY RISK, QUALITYandand

HUMAN ASSPECTSHUMAN ASSPECTS

Unit 5Unit 5


IntroductionIntroduction

• This unit will give an overview of– Risk– Quality– Human Aspect

• These topics may be covered in depth within other modules


Risk ManagementRisk Management

Project Project Hazard Management Hazard Management andand

Contingency PlanningContingency Planning



• Introduction– Will look at the management of risk during the

project– risks vary in importance– the importance of a particular risk depends on

the project– Risk Management should reduce the danger of

risk for the particular project of interest


RiskRisk

• For some people risk is part of work– http://www.youtube.com/watch?v=PMIErnMF0us

• Sometimes work is more risky than others days– http://www.youtube.com/watch?v=r0DGkBdGTmM

• For other risk is what they search for away from work– http://vimeo.com/31481531

• Risk is part of all our lives and work


Risk categoriesRisk categories

• Risk types to be found on Project– those caused by the inherent difficulties of

estimation– those due to assumptions made during the

planning process– those of unforeseen (or at least unplanned)

events occurring



• Estimation errors– some tasks are easier to estimate than others

• manual writing is a reasonably straight forward task• software program testing and debugging may not be

– analysing historic data for similar things can help with deciding the level of accuracy to be assigned to a particular estimation



• Planning errors– assumptions are used when planning, if the

assumption are wrong then the plan is at risk• e.g. the need for rework may not be planned

– when a plan is prepared the assumptions that have been made should listed and details given to the affect on the plan if the assumption are incorrect



• Eventualities– some eventualities might never be foreseen– it has to be accepted that such eventualities do

happen, even if they are rare!– Most unforeseen eventualities generally could

have been identified and predicted• e.g. the required hardware not arriving on time

– plans should be in place to minimise the damage caused by an unforeseen event


Managing riskManaging risk

• There are various models of risk management

• They are generally similar and identify to main elements– risk identification– risk management

• This module will look at the US DOD Model


RiskIdentification

RiskMitigation

Plan Implementation

RiskMitigationPlanning

RiskAnalysis

RiskTracking

Managing riskManaging risk

US DOD Risk Management Process


Risk identificationRisk identification

• Identification of hazards that may affect a project must be the first steps in a risk assessment

• A hazard is an event that if it occurs may adversely affect the project

• The risk a hazard presents to a particular project must decided



• Checklist are often used to help in identifying hazards

• Knowledge based software is also available to help with the task of hazard identification

• Some hazards will be generic

• Other hazards will be project specific



• Typlical Risk Sources as define by the DOD– Threat– Requirements– Technical Baseline– Test and Evaluation– Modeling and Simulation (M&S)– Technology – Logistics– Production/Facilities



• Typlical Risk Sources as define by the DOD cont.– Concurrency – Industrial Capabilities – Cost – Management – Schedule – External Factors – Budget – Earned Value Management System


Risk analysisRisk analysis

• Once identified risks should be assessed for their possible affect on the project– What is the likelihood of the risk occurring

– What would be the consequences in terms of• performance, schedule, and cost

– What is the risk level or risk exposure


Risk MitigationRisk Mitigation

• There are five broad categories for risk reduction– hazard prevention– likelihood reduction– risk reduction– risk transfer– contingency planning



• Risk Mitigation Planning– preparing contingency plans– large project will use a risk manager to do this

• Risk Tracking– ongoing assessment of the importance and

relevance of particular risks


Risk ConclusionRisk Conclusion

• Risk– Identify

– Analyse

– Mitigate

– Track


Quality Aspects

Of

Projects


QualityQuality

• Introduction– Generally agreed that “quality” is a good thing– Quality often thought of as

• an add on• something you have to do ‘cause the boss tells you• something that stops the real job from being done

– The use of the principles of quality help to ensure that the project is a successfully completed


Historical Development Historical Development of Quality of Quality ManagementManagement

• 1800’s Individual craftsmen• 1920’s Scientific management• 1940’s Quality control• 1960’s Quality Assurance• 1980’s Total quality management• 2000’s Whole life management

• dates are approximate give or take a decade


Total qualityTotal qualitymanagementmanagement

• TQM was a significant step in the development of quality management

• The take up of TQM by business meant that both managers and worker had to change their attitudes and and approach to work


Total quality Total quality managementmanagement

• Total– This is involving everyone

• Quality– Value for the pound

• Management– A systematic approach to processes– Management are responsible for facilitating in

such a way that workers can do their job



• The issue of quality was once seen as something that was only of concern to manufacturing

• Quality is now just as important in the service sector



• Customers must be the prime concern

• Customer satisfaction, successful problem resolution and worker empowerment are key aims in today’s enlightened organisation



• BS7850 definition of TQM– Management philosophy and company practices

that aim to harness the human and material resources of an organisation in the most effective way to achieve the objectives of the organisation.

• The next two slides contain 3 notes that go with this definition



• The objectives of an organisation may include– customer satisfaction– business objectives such as growth profit

and market share– the provision of services to the community – but, they should always be compatible with

the requirements of society whether legislated or as perceived by the organisation



• An organisation operates within the community and may directly serve it, this may require a broad conception of the term customer

• The use of this approach goes under many other names such as– continuous quality improvement– total quality– total business management


TQM fundamental TQM fundamental conceptsconcepts

• Commitment– everyone is included– continuous improvement is the key– meeting customer need should be of prime

importance



• Customer satisfaction– Understanding and satisfying customers needs

and expectations should be a key objective– For most people this will mean customers

internal to their organisation, as in most organisation only a small number of people have contract with external customers



• Quality losses– Whenever an organisation does not utilise its

human, financial, physical and material resources, effectively and efficiently in a given process, then the lost opportunity is referred to as a quality loss.



• Participation by all– This concept builds on the first one, commitment– An organisation needs to harness the strengths

and abilities of all its members to ensure maximum effectiveness and efficiency

– Everyone should be given recognition as a valuable member of the chain that links all members of the organisation.



• Process measurement– Process measurement should be applied to all

organisational activities, when need.– Data is generally expensive to collect if it is not

used don’t collect it.– Only relevant data, that is used should be

collected.



• Process measurement (cont.)– Many organisation act on subjective information

this generally results in failure– Basing action on objective data will generally

result in success– When being given information it is important to

decide is it perceived or fact.



• Continuous improvement– An organisation has to continually strive to

improve all of it aspects– This generally translates into people, product

and process improvement– An organisation should never be satisfied,

improvements must be always sought and monitored.



• Problem identification– Problems must be identified and resolved quickly

in an effective and efficient manner– This should apply to both actual and potential

problems– Problem identification should be continuous.



• Alignment of corporate objectives and individual attitudes

– Removal of prejudices and restrictive approval that inhibit the effectiveness of the organisation needs continuous attention.



• Personal accountability– Individuals within an organisation should

recognise and accept their responsibilities within it. While recognising the responsibility and authority of others.

• personal development– The organisation must strive to develop the

individuals within it, so that they meet its needs, while being sympathetic to personal development wishes and needs of the individual.


Quality ConclusionQuality Conclusion

• Quality is important

• Quality matters

• But quality cannot be used in isolation

• Quality is part of all aspects of an organisation


Human AspectsHuman Aspectsofof

Projects Projects


Human Aspects of Human Aspects of ProjectsProjects

• Introduction– organisational behaviour

• staff selection, development and motivation

– creating effective team– staff motivation is often the key to success– many risks associated with staffing that can

affect a projects success– ability of staff to do the job is important when

allocating tasks


Understanding Understanding behaviourbehaviour

• How people behave within organisations should be understood.

• People are the key to successful projects

• There have been many studies on how people behave and act within organisations

• Different environments affect how people act

• Main early theorists: Taylor, Mayo and McGregor


Background to Background to Organisational BehaviourOrganisational Behaviour

• Organisation behaviour studies started by Frederick Taylor in late 19th century and early 20th century

• Studied mainly manual workers – selecting the best person for the job– instructing person in best methods– giving incentives in the form of higher wages

• Major work centred on Bethlehem Steel Works



• Elton Mayo– Researched how workers output varied with

different conditions– Major work carried out at Hawthorne Works of

Western Electric in Chicago– Hence came about the Hawthorne Effect



• Donald McGregor– Developed the idea of Theory X and Theory Y

• Theory X– average human dislikes work– need coercion, direction and control– people tend to avoid responsibility

• Theory Y– work is natural– coercion, direction and control not only way of managing– average human can learn to accept responsibility– capacity to use imagination and be creative


Selecting the right Selecting the right personperson

• Belbin suggests that skills rather than experience is important

• Belbin distinguishes between those that are eligible for a job and those that are suitable

• Therefore don’t be narrow minded in the selection process


MotivationMotivation

• Taylorist model– This is reflected in him advocating piece rate

working– Rewards have to be related in a simple and

direct way to work produced• this is not easy to do when developing a computer

system



• Hierarchy of Need– developed by Abraham Maslow (1908 - 1970)– Published 1954– Modified by Maslow 1970

– different people are motivated by different things– As lower level needs are satisfied then higher

level needs emerge– therefore team members needs will vary


Motivation (Maslow)Motivation (Maslow)

SelfActualisation

Esteem

Belonging / Love

Safety

Physiological


Motivation (Maslow)Motivation (Maslow)

SelfActualisation

Cognitive & Asthetic

Esteem

Belonging / Love

Safety

Physiological



• Herzberg’s two factor theory– hygiene or maintenance factors

• these can make you dissatisfied if they are not right– e.g. level of pay or the working conditions

– motivators• things that make you feel the job is worth while

– e.g. sense of achievement or the nature of the work itself



• How can understanding what motivates different types and groups of people make a managers job easier?


Improving motivationImproving motivation

• Setting specific goals

• Providing feedback

• Job design

• Job enlargement

• Job enrichment


Becoming a teamBecoming a team

• Tuckman and Jensen’s classification– forming– storming– norming– performing– adjourning


Team rolesTeam roles

• Belbin’s suggestion on the people types found in a balanced team– The chair– The plant– The Monitor-evaluator– The shaper– The team worker– The resource investigator– The completer finisher– The company worker


Group performanceGroup performance

• Additive tasks– effort of all participants are added together

• Compensatory tasks– judgements of individual group members are

pooled so that errors are compensated for


Group performanceGroup performance

• Disjunctive tasks– there is only one correct answer– someone must find this and the others recognise

this fact

• Conjunctive tasks– progress governed by the slowest performer


Human Aspects Human Aspects ConclusionConclusion

• Human Aspects in projects– organisational behaviour – motivation– teams– group performance


Unit ConclusionUnit Conclusion

• Risk

• Quality

• Human Aspect

university of sunderland engm91 unit 5 engm91 risk, quality and human asspects unit 5

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