Project Management

Dr. Everette S. Gardner, Jr.

PERT / CPM advantages

1. Disciplined planning
2. Realistic objectives 3. Unambiguous communication 4. Allows management by exception of critical tasks

Project Management

Drawing networks
Activities on nodes (AoN) A B

Activities on arrows (AoA) A B

Dummy activities In AoA, any 2 events in network can be directly connected to only one activity. Wrong:
w x 11 y 12 w

Right:

11

x
13

Dummy

12 y

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Drawing networks (cont.)

Many computer programs require one initial event and one terminal event 1 0 A x 98
100

2
Dummy start

99 Dummy stop

Whats wrong with this? 10 L

J
K

12

11

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Drawing exercise 1
Activity A B C D E F G Predecessors A A B,C C D E,F

Draw this format in AoN format. Repeat in AoA format.

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Drawing exercise 2
Activity A B C D E F G Predecessors A,B A,B C C,D F

Project Management

Scheduling calculations:
1. Forward pass Start each activity as early as possible. ES = Max. EF of immediate predecessors EF = ES + Task time

2. Backward pass Work backward from the project completion time in step 1, starting each activity as late as possible. LS = LF Task time LF = Min. LS of immediate successors
3. Compute slack times. Slack = LS ES or LF EF
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Black Lagoon project

Work breakdown table:
Preceding tasks A B Succeeding tasks A B 3 5 5 6 7 8 4 6

Description Edit script Casting Special effects Build sets Horror scenes Other scenes Previews Edit film

Task # 1 2 3 4 5 6 7 8

Days 2 1 2 2 3 1 1 2

1 1 3 2 5 5

4 4 6

Project Management

Black Lagoon project (cont.)

Precedence diagram:
#3 (2 days) Special effects
#4 (2 days) Build sets

#1 (2 days) Edit script

#5 (3 days) Horror scenes

#7 (1 Day) Previews

#2 (1 day) Casting

#6 (1 day) Other scenes

#8 (2 days) Edit film

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Time-cost tradeoffs
Activity direct costs Crash Activity fully expedited

Direct cost

Normal No expediting

Time

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Time-cost tradeoffs (cont.)

Project direct costs

All activities crashed Direct cost

All activities normal

Time

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Time-cost tradeoffs (cont.)

Project total costs Total cost

Total cost

Indirect cost (overhead) Direct cost Time

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Network crashing problem

Consider the following AoA network: Duration 4

1
70 8 80 50

9 30

4
5 90

7 150

Cost slope

5 3
3 **

4 200

** Activity 3-5 cannot be expedited The duration of each task is shown above the arrows. The cost slope for each task is shown below the arrows. The initial critical path is 0-1-2-4-5 @ 22 days. The initial cost is $3,050.
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Network crashing problem (cont.)

Cost and time data are:
Normal Time Cost 4 days $210 8 400 6 500 9 540 4 500 5 150 3 150 7 600 3,050 Crash Time Cost 3 days $280 6 560 4 600 7 600 1 1,100 4 240 3 150 6 750 4,280

Activity 0-1 0-2 1-2 1-4 2-3 2-4 3-5 4-5

Cost Slope 70 80 50 30 200 90 ** 150

** Activity 3-5 cannot be expedited

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Network crashing problem (cont.)

Develop schedules ranging from 22 to 17 days for this project. Record the critical paths and total costs below: Schedule Duration 22 21 20 19 18 17
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Critical Path(s) 0-1-2-4-5

Total Cost $3,100