project management basic concepts

Opermgt 345 Shannon January, 20011

Project ManagementBasic Concepts


What is a Project?

A Project is a series of activities and tasks that:

1. Have a specific tasks and activities to be completed with certain objectives.

2. Have a defined start and end dates

3. Have funding limits (if applicable)

4. Consume Resources


Typical Project Structure

ProjectDefinition

ProjectDefinition

ProjectPlanning

ProjectPlanning

ProjectImplementation


ProjectMonitoring

ProjectMonitoring

ProjectAdjustment

ProjectAdjustment

ProjectEvaluation

ProjectEvaluation


Project Life CycleR

esou

rces

and

Eff

ort

Phase 1

•Goals•Scope•Baseline•Requirements•Feasibility•Desirability

ConceptualDesign

Phase 2

AdvancedDevelopment

•Plan•Budget•Schedule•Management Commitment

Phase 3

DetailedDesign

•Define Responsibility•Team•Organization Structure•Detailed Plan•Kickoff

Phase 4


•Manage•Measure•Control•Update and Modify Plan•Problem Solve

ProjectTermination

Phase 5

•Closeout•Document•Suggest Improvements•Reassign•Dissolve Project Team


Successful Projects

A successful project is one which achieves the following objectives:– Completed On Time– Completed Within Cost– Meets Performance Criteria– Minimum Disruption of the Main Work of the

Organization– Effective Utilization of Resources


The Triple Play ofProject Management

Constraints

Time Cost

Performance


Triple Constraint Trade-offs

Budget

ScheduleEarly Late TIME

$

Performance Specifications

Better

Worse


Major causes of failure

Selection of a unsound projectSelecting the wrong person as a project

managerLack of support from upper managementMisused management techniquesProject termination not planned


Project Definition

Build Canoe Rental Building onCoeur d A’lene Lake


Form Project Team

•Select Project Leader

•Identify Key People

•Gain Management Commitment

•Define Project Team Operating Rules


Project Manager


Project Manager Skills• Scheduling and time mgt. skills

• Technical skills ( scope of project )

• Leadership skills ( goals, performance measures)

• Resource mgt., human relationship skills.

• Communication skills

• Negotiation skills

• Marketing, Contracting, customer relationship skills

• Budgeting and cost skills.


Major Interactions of project stakeholders

Project Manager

Government agencies

ConsultantsTop Management

Financial Managers Client

Project Team Other Organization Subcontractors


Project Manager Responsibilities

1. Responsibility to the parent Org.

2. Responsibility to the project and client

3. Responsibility to the member of the project team


Selecting Project ManagerList of some of the most popular attributes:

• A strong technical background

• A hard-nosed manager

• A matured individual

• Someone who is currently avaiable

• Someone on good terms with senior executive

• A person who can keep the project team happy

• One who has worked in several departments

• A person who can walk on ( or part ) the waters.


Selecting the PM

• Credibility– Technical credibility ( technical knowledge )– Administrative credibility ( managing resources( money, people,

material) keeping the project on scheule.

• Sensitivity– It is related to the ability of the manager to discover the problems

at early stages and solve the team’s problems if we have some conflects

• Leadership and management style– Leadership is defined as the ability of affecting others in away

that gurantees the project profitability to the org. and sociey.

• Ability to work under stress


Project Planning

• There are several reasons why we must use considerable care when planning projects

• The primary purpose of planning is to establish a set of directions in sufficient detail to tell the project team exactly :– What must be done?– When it must be done?– What resources to use ?


Project plan Elements:

• Overview : – A short summary of the objectives and scope of

the project– Directed to top mgt. and contains a statement of

goals of the project– A description of the managerial structure that

will be used for the project.– A list of major milestones in the project schdule.



• Objectives:– More detailed statement of general goals noted

on the overview section.– The statement should include profit and

competitive aims as well as technical goals.

• General approach:– Describes both the managerial ( style of mgt. )

and the technical approaches ( required equipments, technology ) to the work.



• Contractual aspects: ( list for )– All reporting requirements– Customer-supplied resources.– Advisory commitees– Project review– Cancellation procedures.– Specific management agreements– subcontracts



• Schedules:– Various schedules.– Lists all milestones events.– All tasks, and their durations…..

• Resources:– The budget– Both capital and expense requirements are

detailed by task. ( Project budget )– Cost monitoring and control procedures.



• Personnel :– Expected personnel requirements– Special skills needed– Types of training needed– Possible recruiting problems.– Legal and political restrictions.



• Evaluation Methods:– Every project should be evaluated against

standards and by methods established at the project inception.

– This section include :• A brief description of the procedure to be followed

in monitoring , collecting, storing, and evaluating the history of the project.



• Potential problems:– External and internal potential problems.


Work-Breakdown- Structure (WBS)

• It is a result family tree , subdivision of the major tasks( hw, services , etc ) and the data required to produce the final product , it acts as a vehicle for breaking down the work into smaller elements.


Work-Breakdown- Structure (WBS)

• We have 2 types of WBS:– Managerial level

– Technical level

Work Breakdown Structure.htm


Earned Value Analysis• It is a continuous comparison between the

plan of the project data and the actual data.

Budgeted and Committed Cost:

Variance = Budgeted cost – committed cost

Variance (+ve ) = Unconsumed Cost

Variance ( -ve ) = Over spend activities


Cost and Schedule Variances


BCWSBudgeted Cost of Work Schedule

A B C D E F G H I J

X1 X2 X3 X4 X5 X6 X7 X8 X9 X10

NOW

BCWS = X1 + X2 + X3 + X4 + X5 $

This is the sum of all the costs up to the specific activity that is stated in budget plan.


BCWPBudgeted Cost of Work Performed

BCWP = X1 + X2 + X3 + 0.8 X4 + 0.5 X5 $

This is the sum of all the costs up to the specific activity in relation with its completion percentage.

A B C D E

100%

X1

100%

X2

100%

X3

80%

X4

50%

X5


ACWPActual Cost of Work Performed

ACWP = Actual cost of work done.

This is the total costs of the work done on reality provided by project manager on the financial monitor.


• If BCWP > BCWS ( over spend )

• If BCWP < BCWS ( time is late -ve )

• If BCWP > BCWS

( +ve time is more than sufficient )


Forecasting• It is the process of prediction of the future

events.

• Benefits of forecasting:1. To estimate the cost of remaining parts

of a project ( forecasted value ).

2. To identify the source and places of certain problems in the budget plan.

3. It is a tool for corrective actions.


ForecastingMathematical Expressions

• The Cost Performance Index ( CPI ):

CPI = BCWP / ACWP

• It gives a good indication whether the project is performing financially well or not.

• CPI > 1 : Good performance.

• CPI < 1 : Bad performance ( shortages

• Overspend ).



• The Schedule Performance Index ( SPI ):

SPI = BCWP / BCWS

• It is a good indicator for the project timing.

• SPI > 1 : Good performance.

• SPI < 1 : Bad performance (Poor ).



• Budgeting Cost to Completion ( BCC ):

• The Amount of money needed to completion.

• BCC = BAC – BCWP

• It is defined as the amount of money required to complete a project where it is partially completed ( remaining money ).



• Estimated Cost to Completion ( ECC ):

• Its more realistic value than budgeted.

• ECC = BCC / CPI

• It depends on CPI which is a by product of the actual cost of work performed.

• Forecasted Cost to Completion ( FCC ):

• FCC = ACWP + ECC


Example

• The R&D department of a company has been developing a new product line, the project manager is concerned whether the following provided data is exhibiting a good project performance, calculate the following and comment on the project status to convince the project manager.

1. CPI,BCC, ECC, SPI, FCC.


Work Package

Budgeted Cost Completion Time month

Actual Cost

% Complete

B49 20000 1 23500 100%

B50 20000 2 20500 100%

B51 37000 3 23000 70%

B52 27000 4 27000 100%

B53 12000 5 4500 60%

B54 28000 6 18500 75%

B55 40000 7 ---- ----

184000


Solution• BCWS = 20000 + 20000 + 37000 + 27000 + 12000 + 28000 =

144000 $• ACWP = 23500+20500+23000+27000+4500+18500 =

117000 $• BCWP = 20000 + 20000 + ( 37000 x 0.7 ) + 27000 +

( 12000 x 0.6 ) + ( 28000 x 0.75 ) =

119900 $

CPI = BCWP / ACWP = 119900 / 117000 = 1.02 good performance.


• BAC = Budget at Completion = 184000• BCC = BAC – BCWP = 184000 – 119900 =

64100$• ECC = BCC / CPI = 64100/1.02 = 62843.14

$• SPI = BCWP / BCWS = 119900 / 144000 =

0.832 < 1 Poor performance according to time.

• FCC = ACWP + ECC = 117000 + 62843.14

= 179843.14 $


Comments• We do not have any financial problem i.e the

budgeted cost (money resources) is larger than the forecasted values, we conclude that the money is available , it is more than sufficient as the indicators were positive, the only problem we have is the time.


Comparing ProjectsProject SPI CPI

A 0.78 (2) 0.68 (2)

B 0.96 (1) 0.98 (1)

C 0.46 (3) 0.51 (4)

D 0.46 (4) 0.64 (3)


Problem : Compare between the following projects according to the time and cost consumed:

WP budget actual %comp

A 435 395 100%

B 320 409 90%

C 125 -

d 570 -

WP budget actual %comp

A 820 800 100%

B 750 920 90%

C 1000 730 65%

D

E

700

850

--

---

--

---

Project A Project B


Scheduling

• Scheduling : is the process of converting a project action plan into an operating time table.

• Why scheduling ? To answer the following questions:– If each activity goes according to plan , then when will the

project be completed?– Which tasks are most critical to ensure the timely completion

of the project?– Which tasks can be delayed , if necessary , without delaying

project completion and by how much?– More specifically , at what times should each activity begin

and end?– At any given time during the project, how much money

should have been spent?– Is it worthwhile to incur extra costs to accelerate some of the

activities? If so, then which ones?


Network Techniques

• PERT• CPM• PERT/CPM is based on a diagram that

represents the entire project as a network of arrows and nodes.

• Two most popular approaches are :– AOA : activity on arrow ( PERT )– AON : activity on node ( CPM )


Project Representation

• A network is a form of project representation schemes that use arrows and nodes to represent activities and their relationships.

» A

» 3 days

1 5


Rules for constructing a network

1. Arrow represents the activity

2. Circles represents time event ( start, finish)

3. Any activity can be represented by one arrow only

4. All activities having no predecessor should start at the same “start node” of the network.

5. All activities having no successors should finish in one “finish node” in the network.

6. Two nodes can only represent one activity


Notes for constructing a network


Forward Path Calculation

• Early Start ( ES )

• Early Finish ( EF )

• The earliest possible start time of an activity leaving a node equals the maximum of the early finish time of all activities entering that node

• EF = ES + duration


Backward Path Calculation

• Late Finish ( LF )

• Late Start ( LS )

• The latest possible finish time of an activity entering a node equals the minimum of the late start time of all activities leaving that node

• LS = LF - duration


4 questions must be answered to begin modeling process:

• What are the major project activities?

• What are the sequencing requirements or constraints for these activities?

• Which activities can be conducted simultaneously?

• What are the estimated time requirements for each activity?


Estimating the duration of project activities

• The length of each activity should be approximately in the range 0.5% to 2% of the length of the project.( 1 year -> between a day and week)

• If the number of activities is very large ( above 250 ) then the project should be divided into subprojects.


Two approaches are used for estimating the length of an activity

• Deterministic approach– Past data – If not exist :

• Modular approach • Benchmark job technique approach• Parametric technique ( cause-effect analysis , reg. analysis )

• Stochastic approach– Expected time estimation for an activity depends on:– a: Optimistic time : which will be required if execution goes

extremely well– m:most likely time, which will be required if execution is

normal– b: pessimistic time , which will be required if everything goes

badly.– Et(A) = ( a + 4 m + b ) / 6


Difference Between PERT and CPM

• PERT used the arrow to represent an activity and CPM used the node.

• PERT used three estimates ( Opti, Pess. and Most likely ) of an activity’s required time, whereas CPM used just a single, best-time estimate.


The Top Level Project Tasks

Brainstormthe

Major Tasks

Brainstormthe

Major Tasks

EstablishWork Flow

EstablishWork Flow

AB

C

D E F

G


Define Top Level TasksCanoe Example

Site Preparation

Build Dock

Build Building

Finish and Ready for Business


Sequence Top Level Tasks

Site Preparation

Build Dock

Build Building

Finish


Sub-Tasks

A

B

C

D E F

G

Detailed Tasks

Detailed Tasks

Develop Work Sequence


Brainstorm Sub-Tasks

Site Preparation Build Dock Build Building Finish

Dock Site

Building Site

Install Pilings

Build Dock

Foundation

Frame

Roof

Power

Siding

Paint

Order Canoes

Landscape

AssembleCanoes

Open forBusiness


Work Breakdown Structure

Top Level Task

2nd LevelTask

2nd LevelTask

2nd LevelTask

2nd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

3rd LevelTask

Lower Level Tasks


Sequence Sub-TasksTask Description Immediate Predecessor

A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canoes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M


Build Network Diagram(PERT Chart)

(Activities on Arrows)

1

A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M

Task Predecessor



1 3A

Prep Dock Site


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

J


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings9

E

Build Dock


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings9

E

Build Dock

G

Power To H

ut A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M

Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings9

E

Build Dock

G

Power To H

ut

LAssemble Canoes


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings9

E

Build Dock

G

Power To H

ut

LAssemble Canoes

7F

Frame Hut

Roof

I


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings

7F

Frame Hut8

H

Side Hut

9E

Build Dock

G

Power To H

ut

I Roof

K Paint Hut

LAssemble Canoes


Task Predecessor



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings

7F

Frame Hut8

H

Side Hut

9E

Build Dock

G

Power To H

ut

I Roof

K Paint Hut

LAssemble Canoes

10M

FinishLandscape

11N

Open forBusiness


Task Predecessor


Build Network Diagram(PERT Chart) Canoe ExampleAdd Times

1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut

L (10)Assemble Canoes

10M (4)

FinishLandscape

11N (2)

Open forBusiness

A Prepare Dock Site 3 d B Prepare Hut Site 4 d C Install Dock Pilings 6 d D Foundation for Hut 3 d E Build Dock 4 d F Frame Hut 3 d G Power to Hut 2 d H Side the Hut 2 d I Roof the Hut 3 d J Order Canoes 2 d K Paint Hut 4 d L Assemble Canoes 10 d M Finish Landscaping 4 d NOpen for Business 2 d

Task Description Time



1 3A

Prep Dock Site

2

Order

Canoes

4

J

B

Prepare

Hut S

ite

6

D

HutFoundation

5C

Install Pilings

7F

Frame Hut8

H

Side Hut

9E

Build Dock

G

Power To H

ut

I Roof

K Paint Hut

LAssemble Canoes

10M

FinishLandscape

11N

Open forBusiness


Task Predecessor


Build Network Diagram(PERT Chart) Canoe ExampleAdd Times

1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

A Prepare Dock Site 3 d B Prepare Hut Site 4 d C Install Dock Pilings 6 d D Foundation for Hut 3 d E Build Dock 4 d F Frame Hut 3 d G Power to Hut 2 d H Side the Hut 2 d I Roof the Hut 3 d J Order Canoes 2 d K Paint Hut 4 d L Assemble Canoes 10 d M Finish Landscaping 4 d NOpen for Business 2 d

Task Description Time


Determining Project Length

Option 1: Sum all the task durations: A Prepare Dock Site - 3 d B Prepare Hut Site - 4 d C Install Dock Pilings A 6 d D Foundation for Hut B 3 d E Build Dock C 4 d F Frame Hut D 3 d G Power to Hut D 2 d H Side the Hut F 2 d I Roof the Hut F 3 d J Order Canoes and Receive Canoes - 2 d K Paint Hut H 4 d L Assemble Canoes J 10 d M Finish Landscaping L,I,K,E,G 4 d N Open for Business M 2 d

Sum = 52 daysAnything wrong with this approach?


Determining Project Length

Option 2: Determine duration of each network path


Network DiagramProject Paths

1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

Paths:

A-C-E-M-N = 19 days


1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

Paths:

A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 days



1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

Paths:

A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-I-M-N = 18 days



1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

Paths:

A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-J-M-N = 18 daysB-D-G-M-N = 15 days



1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

J (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

Paths:

A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-J-M-N = 18 daysB-D-G-M-N = 15 daysJ-L-M-N = 18 days



Critical Path

The Critical Path is the Longest PathThrough the Network.


1 3A (3)

Prep Dock Site

2

Order

Canoes

4

J (2)

B (4)

Prepare

Hut S

ite

6

D (3)

HutFoundation

5C (6)

Install Pilings

7F (3)

Frame Hut8

H (2)

Side Hut

9E (4)

Build Dock

G (2)

Power To H

ut

I (2) Roof

K (4)Paint Hut


10M (4)

FinishLandscape

11N (2)

Open forBusiness

Network Diagram Canoe ExampleCritical Path

Paths:

A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-J-M-N = 18 daysB-D-G-M-N = 15 daysJ-L-M-N = 18 days


Completed Task Timetable

Task Description Immediate Predecessor Time ES LS EF LF

A Prepare Dock Site - 3 d 0 3 3 6 B Prepare Hut Site - 4 d 0 0 4 4 C Install Dock Pilings A 6 d 3 6 9 12 D Foundation for Hut B 3 d 4 4 7 7 E Build Dock C 4 d 9 12 13 16 F Frame Hut D 3 d 7 7 10 10 G Power to Hut D 2 d 7 14 9 16 H Side the Hut F 2 d 10 10 12 12 I Roof the Hut F 3 d 10 13 13 16 J Order Canoes and Receive Canoes - 2 d 0 4 2 6 K Paint Hut H 4 d 12 12 16 16 L Assemble Canoes J 10 d 2 6 12 16 M Finish Landscaping L,I,K,E,G 4 d 16 16 20 20 N Open for Business M 2 d 20 20 22 22


Slack Time

Total Slack = The length of time an activity can bedelayed without affecting the projectcompletion time.

Total Slack = Late Start - Early Start

Total Slack = Late Finish - Early FinishFor Critical Activities

Free Slack = The time a task can be delayed without delaying another task.


Slack Time

Task Description Immediate Predecessor Time ES LS EF LF Slack

A Prepare Dock Site - 3 d 0 3 3 6 3 B Prepare Hut Site - 4 d 0 0 4 4 0 C Install Dock Pilings A 6 d 3 6 9 12 3 D Foundation for Hut B 3 d 4 4 7 7 0 E Build Dock C 4 d 9 12 13 16 3 F Frame Hut D 3 d 7 7 10 10 0 G Power to Hut D 2 d 7 14 9 16 7 H Side the Hut F 2 d 10 10 12 12 0 I Roof the Hut F 3 d 10 13 13 16 3 J Order Canoes and Receive Canoes - 2 d 0 4 2 6 4 K Paint Hut H 4 d 12 12 16 16 0 L Assemble Canoes J 10 d 2 6 12 16 4 M Finish Landscaping L,I,K,E,G 4 d 16 16 20 20 0 N Open for Business M 2 d 20 20 22 22 0


Critical Path Tasks

Critical Path = All tasks with slack = zero


Critical Path Tasks

Task Description Immediate Predecessor Time ES LS EF LF Slack

A Prepare Dock Site - 3 d 0 3 3 6 3 B Prepare Hut Site - 4 d 0 0 4 4 0 *** C Install Dock Pilings A 6 d 3 6 9 12 3 D Foundation for Hut B 3 d 4 4 7 7 0 *** E Build Dock C 4 d 9 12 13 16 3 F Frame Hut D 3 d 7 7 10 10 0 *** G Power to Hut D 2 d 7 14 9 16 7 H Side the Hut F 2 d 10 10 12 12 0 *** I Roof the Hut F 3 d 10 13 13 16 3 J Order Canoes and Receive Canoes - 2 d 0 4 2 6 4 K Paint Hut H 4 d 12 12 16 16 0 *** L Assemble Canoes J 10 d 2 6 12 16 4 M Finish Landscaping L,I,K,E,G 4 d 16 16 20 20 0 *** N Open for Business M 2 d 20 20 22 22 0 ***

Critical Path = B - D - F - H - K - M - N


CPM ( A-O-N) : ExampleCPM network for computer Design Project:

Activity Designation Pred. Dura

Design A - 21

Build prototype B A 4

Evaluate equipment C A 7

Test Prototype D B 2

Write equipment report E C,D 5

Write methods report F C,D 8

Write final report G E,F 2


A21

C7

B4

F8

D2

E5

G2


Determine the Critical path

• Forward pass:– ES : the earliest possible time the activity can

begin.– EF : the early start time the time needed to

complete the activity. ( EF = ES + Dur ) Backwards pass

project management basic concepts

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