lecture 4a1 (cba, gantt, pert)
TRANSCRIPT
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PROJECT MANAGEMENT (PM)
WITHM
ICROSOFTP
ROJECT
What is it and Why should I care?
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ABCS OF PM
If you need to organize a company holiday party,
its a project. If you were handed a three-year Earth
exploration initiative to find oil in Iowa,coordinate subcontractors and government
permits, and work with a team of 300 people,thats definitely a project.
Even that speech you have to present is a project
because it has certain characteristics.
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CHARACTERISTICS OF PM
1. An overall goal2.
A project manager3. Individual tasks to be performed4. Timing for those tasks to be completed (such as
three hours, three days, or three months)
5. Timing relationships between those tasks (Forexample, you cant put a new manufacturing processin place until you train people in how to use theprocess.)
6. Resources (people, equipment, facilities, andsupplies, for example) to accomplish the work7. Abudget (the costs associated with those people,
equipment, facilities, and supplies)
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Project management is simply the process of
managing all the elements of a project, whetherthat project is large or small.
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PM 2TS AND A D
Task
TimingDependencies
If you dont know where youre going, any road willget you there. Lewis Caroll
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TASK
Simply one of those items you used to scribble on
your handwritten to-do lists, such as Write finalreport orApply for permits.
Typically organized intophases (appropriatestages) in Project, arranged in an outline like
structure. Timing is essential in any project, Project helps
you set up and view the timing relationships
among tasks.
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A task can be as broad or as detailed as you like. Forexample, you can create a single task to research yourcompetition, or you can create a project phase thatconsists of a summary task and subtasks below it. Forexample, the summary task might be Competitive
Research, with the subtasks Researching OnlineBusiness Databases, Assembling Company AnnualReports, and Reviewing Competitive Product Lines.
Adding tasks to a Project file doesnt cost you a thing
(except a Nano bit of memory), so a project can haveas many tasks and as many phases as you like. Yousimply use the outlining structure in Project to indentvarious levels of tasks. The more deeply indented in
an outline a task is, the more detailed the task.
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ITSALL IN THE TIMING: TIMING ISEVERYTHING
Rome wasnt built in a day, a stitch in time saves
nine, and dont even ask about choosing exactlywhen to sell your high-tech stocks.
Duration which is the amount of time neededto complete the task.
Milestone is a task of zero duration; in essence, itsimply marks a moment in time that must bereflected in your Project outline.
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DEPENDENCIES
Timing relationships among tasks
After you define and implement timingrelationships among tasks, your schedule canstretch over time like a long rubber band.
For example, one task might begin only afteranother is finished. Another task can starthalfway through the preceding task. The secondtask cannot start until a week after the first task
is finished. Only after you start to assign theserelationships can you begin to see a projectstiming as related to not just each tasks durationbut also the specific ways in which the tasks
relate to each other.
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EXAMPLE OF DEPENDECIES
You cant begin to use a new piece of equipment
until you install it. You must wait for a freshly poured concrete
foundation to dry before you can begin to build onit.
You cant start to ship a new drug product untilthe FDA approves it.
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CONSTRAINTS FOR DEPENDENCIES
For example, say that you dont want to start
shipping your new cake flavor until you get thead for it in your Christmas catalog, so you set adependency between those two events. You canalso set a constraint which says that you must
start producing the cakes no later thanNovember 3. In this case, if you dont make thecatalog deadline, the product will still ship onNovember 3; that task will not be allowed to slipits constraint because of this dependencyrelationship.
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LINING UP RESOURCES
Resources arent just people: Aresource can be
a piece of equipment you rent, a meeting room that you have to pay an hourly fee to
use,
a box of nails or
a software program you have to buy.
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KINDS OF RESOURCES
Awork resource is charged by how many hours or
days the resource (often human) works on a task.Amaterial resource, such as sewing supplies or steel,
is charged by a per-use cost or by a unit ofmeasurement (such as square yards or linear feet or
tons).Acost resource has a set cost, such as a conference
fee of $250; this cost doesnt vary by how much time
you spend at the conference or how many peopleattend.
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CONSIDERATIONS
Variations in work force
Rate differences
NOTE:Read Chapter 7:Using your Natural Resourcespage 129 of the MS Project 2007 for Dummiesby Nancy Muir
Read also the tutorial that I have uploaded in ouryahoo groups (punpse) located in the resources
folder
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COST BENEFITANALYSIS
Developmental Cost (DC)
Existing Operating Cost (EOC) Proposed Operating Cost (POC)
Savings(SN)
SN= EOC-POC Interest
I=(1+i)n
Wherein:
1 is constant
i is the actual interest rate (Phil. Rate is 20%)
n is the number of years
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Present Value (PV)
PV=SN/i Payback Period (PBP)
PBP=[DC-CPV of the last x mark/PV of the / mark]+number of x mark
Net Present Value (NPV)
NPV=CPV of the last / mark-DC
Return of Investment (ROI)
ROI=(NPV/DC)100%
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I. Developmental Cost
Name Price Quantity AmountNew Computer 25000 1 25000New Printer 4000 3 12000TOTAL 37000
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I. Existing System
A. Salaries
Personnel Monthly Annually Number ofPersonnel
Amount
Administrative Officer 10,000 120,000 1 120,000
Record Section 10,000 120,000 2 240,000
Faculty 16,000 192,000 330 63,360,000Department Heads 21,000 252,000 5 1,260,000
Principal 25,000 300,000 1 300,000TOTAL 65,280,000
B. Supplies
Name Quarterly Quantity(pieces)
Annually Quantity(pieces)
Price Amount
Envelope 125 500 3 1500
Folders 125 500 7 3500Grading Sheet 300 1200 5 6000Attendance Sheet 300 1200 2 2400
Form 137 0 12057 2 24114Bond Papers 0 2 rims 250 500Record Book 0 330 50 16500Report Card 0 12057 2 24114TOTAL 78628
C. Utilities
Monthly Yearly AmountElectric Bill 440,644.42 5,287,733.04 5,287,733.04
Internet 4000 48000 48000TOTAL 5,335,733.04
D. Other Fees
Miscellaneous 10000
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I. Proposed System
A. Salaries
Personnel Monthly Annually Number ofPersonnel
Amount
Administrative Officer 10,000 120,000 1 120,000
Record Section 10,000 120,000 2 240,000
Faculty 16,000 192,000 330 63,360,000
Department Heads 21,000 252,000 5 1,260,000
Principal 25,000 300,000 1 300,000
TOTAL 65,280,000
B. Supplies
Name Quarterly Quantity AnnuallyQuantity
Price Amount
Ink Refill 6 refills 24 refills 500 12000
Bond Papers 0 5 rims 250 1250
Report Card 12057 2 24114TOTAL 37,364
C. UtilitiesMonthly Yearly Amount
Electric Bill 442,644.42 5,311,733.04 5,311,733.04Internet 4000 48000 48000TOTAL 5,359,733.04
D. Other Fees
Miscellaneous 10000
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COMPUTATIONS:
Total Developmental Cost- 26200
Total Existing Operating Cost- 70,704,361.04 Total Proposed Operating Cost-
70,687,097.04
Savings(SN)SN= EOC-POC
SN= 70,704,361.04-70,687,097.04 = 17264
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Interest
I=(1+i)n
=(1+0.20)n
=1.20n
1st
year 2nd
yearI=(1+i)n I=(1+i)n
=(1+0.20)1 =(1+0.20)2
=1.20 =1.44
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COMPARATIVE TABLE
Year Savings InterestPresentValue
CumulativePresentValue
Mark
1 17264 1.20 14,386.67 14,386.67 X2 17264 1.44 11,988.89 26,375.56
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Present Value
PV=SN/i1st year
PV=17264/1.20
=14,386.672nd year
PV=17264/1.44
=11,988.89
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Pay Back Period
PBP=[DC-CPV of the last x mark/PV of the / mark]
+number of x mark=[26,200-14,386.67/11,988.89]+1
= 1.99
= 1 Year, 11 Months, 29 DaysNote: PBP result must always be converted to numberof years, months and days. Number of years may not beincluded if not applicable. Number of months should becomputed in its standard basis (12 months) and numberof days should be computed in 30 days (for 31 days-excess day should be considered rest day/ extra effort
income
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Net Present Value
NPV=CPV of the last / mark-DC=26375.56-26,200
=175.56
Return of InvestmentROI=(NPV/DC)100%
=(175.56/26200)100%
=0.67%
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PROJECT COST
The cost will be based on COCOMO
Note: COCOMO Calculator is available over theinternet. For your documentation please be guidedwith the example.
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archive = 23 linesbanner = 6 lineslogin = 273 linesprofile = 100 linesprofile online = 93 linesfooter = 5 linesnewsflash = 20 linespoll = 20 linesbreadcrumbs = 10 lines
feed = 30 linesmain menu = 40 linestabs = 10 lineswrapper = 20 lines
style = 200 lines
template = 100 linestypography = 50 lines
Total = 1000 lines
The cost according to COCOMO is 20,000
The following are
based on thenumber of lines foreach modules
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Development
Delivered Source Instructions (thousands)
(KDSI)1
Development Mode Organic
Average Cost Rate ($/PM) 10000
Maintenance
KDSI added (annual) 0
KDSI modified (annual) 0
Average Cost Rate ($/PM) 10000
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Effort 2 person-months (PM)
Schedule 3 monthsDevelopment Cost 20000Productivity 500 instructions per person-month
Average Staffing 0.7full-time-equivalent softwarepersonnel
Annual MaintenanceEffort
0 person-months
Annual Maintenance
Cost0
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Phase Distribution
Effort (PM) Schedule (mo.) Staff(avg.) Cost
Plans and
requirements *0.1 0.3 0.3 1000
Product Design 0.3 0.6 0.5 3000
Programming 1.4 1.9 0.7 14000
Detailed Design 0.5 5000
Code and unit test 0.8 8000Integration and test 0.3 0.5 0.6 3000
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Activity Distribution (Staff) by Phase
Phase
ActivityPlans and
RequirementsProductDesign
ProgrammingIntegration and
TestMaintenance
RequirementsAnalysis
0.2 0.1 0 0 0
Product Design 0.1 0.2 0.1 0 0
Programming 0 0.1 0.4 0.2 0
Test Planning 0 0 0 0 0
Verification
and Validation0 0 0 0.2 0
Project Office 0.1 0.1 0 0 0
CM/QA 0 0 0 0 0Manuals 0 0 0 0 0TOTAL 0.4 0.5 0.5 0.4
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PROJECT STAFFING
Project staffing is the part of the projectmanagement wherein staff are being allocated todifferent roles and responsibilities.
Steps Identify your staff and their capability
As the PM or team lead, based your role allocation interms of their field of expertise
Provide a role for each staff and give them theirduties and responsibilities.
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Names Role Duties and Responsibilities
Juan Dela Cruz Project Manager,
Programmer
As a project manager:
It is the manger's duty to supervise
and coordinate all the activities.
He has to see to it, that the task is
performed to the fullest of the
efficiency.
A manager has to plan out an
organizational structure to bring
out ease and flow in the task.
As a programmer: To develop the whole functionality
of the system
Perform monitoring tasks to
ensure that the programs which
they develop work as they are
supposed to. This is done by
reviewing programs on a frequent
basis and making adjustments as
are necessary to ensure the properworking of a computer program.
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PROJECT SCHEDULING
The procedural plan of a project that indicatesthe time and sequence of each operation involve.
2 important diagrams PERT
Gantt
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GANTT CHART: BASIC CONCEPT
A popular type of bar chart.
It illustrates the tasks that must be done tocomplete the project, the time frame they mustbe completed in, and the team members who areassigned to each task.
Each task takes up one of the rows. Dates runalong the top in increments of days, weeks ormonths. Rows of bars in the Gantt chart show the
start and finish dates of each task in the project.Tasks may run sequentially, in parallel oroverlapping.
Gantt is not all capitalized- it is not written as
GANTT
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Gantt charts indicate the exact duration of specific tasks,but they can also be used to indicate:
1 The relationship between tasks2 Planned and actual completion dates
3 Cost of each task
4 The person or persons responsible for each task5 The milestones in a project's development
Gantt charts are also used by supervisors and team leadersto schedule team members for various time dependent
tasks such as visiting clients, making sales calls, being onmedical call, being on guard duty, and more. There are twotypes of Gantt Charts: Load Charts and Project PlanningCharts.
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HISTORY
The first known tool of this type was reportedlydeveloped in 1896 by Karol Adamiecki, whocalled it a harmonogram. Adamiecki onlypublished his chart in 1931.
Gantt chart was developed by Henry L. Gantt
(1861-1919), an American engineer, in 1917. Hecreated the first Gantt chart for planningbuilding ships in the times of First World War.
The chart proved to be a powerful analyticalinstrument that it had not undergone anychanges for many years. It was only in 90s of thelast century when link lines between tasks were
added to the Gantt chart.
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One of the first major applications of Ganttcharts was during the First World War.
In the 1980s, personal computers allowed for
widespread creation of complex and elaborateGantt charts.
NOTE: For further information
about Henry Gantt, read further his
biography over the internet. This
might be included in the exam
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VARIANTS
Milestones: important checkpoints or interimgoals for a project.Resources: for team projects, it often helps tohave an additional column containing numbers orinitials which identify who on the team is
responsible for the task.Status: the projects progress, the chart is updatedby filling in the task's bar to a length proportionalto the amount of work finished.
Dependencies: an essential concept that someactivities are dependent on other activities beingcompleted first.
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COMPONENTS Activity ID (for easy reference) Activity/Task
The operation in the project
Predecessor
An indicator for the task to which another has succeeded Time Estimates
Optimistic Time Estimates (commonly denoted by O) The earliest time that the task will be accomplished
Normal Time Estimates (commonly denoted by M) Actual allocated time for a certain task to be accomplished
Pessimistic Time Estimates (commonly denoted by P) The latest time that the task will be accomplished
Expected Time
Formula (O+4M+P)+6
Task Duration (Start Date and Finish Date)
Milestone/ Deliverables Goal of a certain task
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HOW TO CREATE AGANTT CHART?Step 1 list the tasks with a corresponding task IDin the project
Step 2 add task durations
Step 3 add dependencies/ predecessor (whichtasks cannot start before another task finishes)
Step 4 provide the O and P based on the NStep 5- Calculate their expected time
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NOTE
42
NOTES
The arrows indicate dependencies.
Task 1 is a predecessor of task 2 i.e. task 2 cannot start before task 1 ends.
Task 3 is dependent on task 2. Task 7 is dependent on two other tasks
Electrics, plumbing and landscaping are concurrent tasks and can happen atthe same time, so they overlap on the chart. All 3 can start after task 4 ends.
Painting must wait for both electrics and plumbing to be finished.
Task 9 has zero duration, and is a milestone
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EXAMPLE
Activity
IDActivity
Predec
essor
Time estimates
Expected
time
Task DurationMilestone/Deliver
ablesOpt.(O) Normal(M) Pess.(P) StartTime
FinishTime
A Planning 2 4 6 4.00 Jan. 10 Jan. 14ProjectPlan
BRequirements
Gathering
A 3 5 9 5.33 Jan. 15 Jan. 20Data
gatheredC Data Analysis B 4 5 7 5.17 Jan. 20 Jan. 25 Findings
D Coding C 4 6 10 6.33 Jan. 25 Jan. 31 Modules
EComponentTesting
C,D 4 5 7 5.17 Feb. 1 Feb. 6 Findings
F
System andIntegrationTesting
E 3 4 8 4.50 Feb.6 Feb. 10 Findings
G Deployment F 3 5 8 5.17 Feb. 10 Feb. 15Documentation
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For the Ganttchart Lets do it
on the board.
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PERTCHARTProgram Evaluation andReview Technique
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PERT BASICS PERT is an acronym so its in capital letters Gantt is a name, so only has an initial capital In Gantt chart, the length of a tasks bar is
proportional to the length of the task. Thisrarely applies to PERT charts.
There are a few different flavours of PERT andGantt charts
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PERT CHARTS
This PERT chart follows the Activity on Arrow style.
The tasks are shown by arrows. Task name are shown by letters,in this case.
The circles are called nodes. The nodes indicate the startor endoftasks.
Task durations are the shown by the numbers.
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ACTIVITY ON NODE STYLE PERT
Activity on Nodeis a different flavour of PERT: this time
the nodesare tasks, and the arrowsare merelyconnectors.
The examiners prefer very simple PERT charts
sometimes hybrid beasts that defy categorisation.
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A PERT PROBLEMPERT PROBLEMS
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1: Which tasks are on the critical path? 2: What is the slack time for tasks C, D and G? 3: Task C is delayed by one day. What impact
would this have on the completion date of the
project? Why? 4: Task A will be delayed by 2 days because some
equipment has arrived late. If the projectmanager wants to finish the project on time he
will need to shorten the duration of one or moreof the tasks. How can he achieve this? 5: The project manager reduces the durations of
tasks D and F by one day each. How will this
affect the finishing date of the project?
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1: Which tasks are on the critical path?
ANSWER: A,B,D,F,I
Possible paths:
A,B,C,E,I = 2+3+1+4+3 = 13 daysA,B,D,F,I = 2+3+3+3+3 = 14 days
A,G,H,I = 2+2+5+3 = 12 days
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3: Task C starts one day late. What impact would thishave on the completion date of the project? Why?
No impact, because task Chas one days slack (as
discovered in previous
question!)
4 T k A ill b d l d b 2 d b
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4: Task A will be delayed by 2 days because some
equipment has arrived late. If the project manager stillwants to finish the project within the original timeframe, he will need to shorten the time for one or moreof the tasks. What steps can he take to reduce the
number of days allocated to a task?
The answer has NOTHING to do with
the chart! Just say how jobs can befinished more quickly, e.g. bringing in
extra workers from slack tasks,
working longer hours, working
weekend, streamlining work practices,
automating tasks etc.
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5: The project manager decides to reduce the time needed for
tasks D and F by one day each. How effective will this reductionbe in achieving his aim of maintaining the original finish timefor the project?
It is only partially effective. Reducing tasks D and F byone day each means the path A,B,D,F,I is now 12dayslong. However, path A,B,C,E,I is still 13days so itbecomes the longest path, and therefore becomes the
new critical path.
The project is now 13 days long instead of 14, a savingof only oneday.
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SOME GANTT / PERT TERMSLead time
Occurs when a task should theoretically wait for itspredecessor to finish, but can actually start a little
early. The time that the tasks overlap is lead time.E.g. when replacing computers in a computer lab,
you could actually start bringing in the newcomputers while the old ones were being packed upand moved out.
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SOME GANTT / PERT TERMSLag time
The minimum amount of time that must passbetween the finish of one activity and the start of its
successor(s).
For example, if task A is laying a houses concreteslab, and dependent task B is putting up the house
walls, there would need to be some lag timebetween the end of task A and the start of task B tolet the concrete set.
Lag time is shown in a PERT chart as an arrow with
a duration but no task assigned to it.
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SOME GANTT / PERT TERMSDummy Task
Shown by a dotted arrow on a PERT chart, it showsa dependency but no task. The next example showsthis
A FAMILY ROUTINE
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59
A FAMILYROUTINE
QUESTIONS
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QUESTIONS
Q1. What tasks are on the critical path?
Q2. What is the minimum time it would take for the
family to reach the footy game after the alarm goes
off?
Q3. How much more time could dad walk the dog
before eating breakfast got delayed? (Note: Muminsists the entire family eats together)
Q4. What is this time called?
Q5. If mum skipped her 40 minute shower, how much
earlier would they get to the game?
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Q1
What is the critical path?
Path 1 = 5+5+40+15+15+5+25 = 110 min
Path 2 = 5+5+30+15+5+25 = 85
Path 3 = 5+5+10+15+15+5+25 = 80
The critical path is the longest path : path 1
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Q2
What is the minimum time it would take for the familyto reach the footy game after the alarm starts ringing?
The duration of the critical tasks 110
minutes
Q3 & 4
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Q3 & 4
How much more time could dad walk the dog beforeeating breakfast got delayed?
What is this time called?
30 minutes
Shower+Prep Brekky = 55 min vs
Walk Dog+Dad Shower= 25 min 30 mindiff
Slack time (or float)
Q5
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Q
If mum skipped her 40 minute shower, how
much earlier would they get to the game? When the critical path is reduced by 40 minutes,it stops being the critical path.
Path 2, at 85 min, becomes the critical path.
Since it is 25 min shorter than the original 110minute critical path, there is a 25 minute saving.
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Better understanding to PM may yield to higherrevenue of a project and more fulfilling feelings.