Software Management(SM-404) Home Assignment

1. Time Management
a. Explain the concept of Critical Path Method and its components. How does CPM help Project
Manager to develop a project schedule

In Project Management, the Critical Path is the succession of connected tasks
that will take the longest to complete. The Critical Path is the longest path to complete
the project. Therefore, to complete the project on schedule it is the critical path and the
tasks that are part of it that must be managed most closely.
All tasks in the project first are assigned a duration, an estimate of how long they
will take to complete. Then the connections between the tasks, known as dependencies,
are established. By following a path among the project tasks that is the longest duration
between connect (dependent) tasks and adding these durations together the critical
path is calculated.
The critical path refers to the way the diagram shows those activities that must
be completed, and complete in a specific order, so that the project can be completed
successfully and on time. A series of lines and circles visually depict the critical path.
Each circle represents an activity that needs to be completed and each line shows the
relationship between two activities. The critical path will be the longest path through
the diagram, and will show how long a project is expected to take if the scope does not
change and everything goes according to plan.


CPM helps Project Manager to develop a project schedule in the following ways:

Makes dependencies visible between the project activities; this is done by
constructing project network diagrams or precedence diagrams.
Organizes large and complex projects, hence allowing a more systematic approach
to project planning and scheduling, project execution, and risk management.
Enables the calculation of the float (slack) of each activity. The float tells you
exactly how long an activity can come in late without it impacting the project
schedule.
Encourages the Project Manager to reduce the project duration by optimizing the
critical path and using compression techniques as applicable.
Increases visibility of impact of schedule revisions, which are usually necessary
when major milestones have been missed or when the risk of missing a major
milestone looms large.
Enables the Project Manager to optimize efficiency by allocating resources
appropriately, consequently the overall cost can be reduced.
Provides opportunities to respond to the negative risk of going over-schedule by
identifying the activities that are most critical.
They provide a basis to help you track project progress.

b. Consider the following table to answer the follow up questions:

Activity Preceding Activity Estimate in Month
Start 0
D Start 4
A Star 6
Software Management(SM-404) Home Assignment

F D, A 7
E D 8
G F, E 5
B F 5
H G 7
C H 8
End C, B 0


2. Cost Management

a. Explain in detail the budget determination process in a software project
management situation

b. What do you understand by Earn Value Management? What are the basic advantages
of using EVM for project performance management?

c. Your project is running well. In the latest earn value report, you see the CPI = 1.2, the
SPI = 0.8, the PV = $600,000, and SV = -$120,000. You cant find the CV in the report, so
you calculate it based on the information given. What is the CV?