Project Management Tools 

simpler - Gantt Chart  More modern CPM/PERT  Newest Microsoft Project


planning & controlling benefits    

It is consistent framework of planning, scheduling, monitoring & controlling project. It illustrates the interdependence of all tasks, work packages, and work elements. It denotes the time when specific individual must be available for work on a given task. It aids in ensuring that the proper comm. take place between department and functions. It determines an expected completion date. It defines so-called critical activities that, if sodelayed, will delay the project completion.


I also identifies activities with slack that can be delayed for some time. It determines the dates at which a task should be started. It illustrates which task must be coordinated to avoid resources and timing conflict. It also illustrates which task must run parallel to meet completion date. It relieves interpersonal conflict by showing task dependencies.

Gantt Chart
Days After Start Activity
Foundation Framing Plumbing Electrical Wall Board Siding Paint Interior Paint Exterior Fixtures Start 5 10 15 20 25 30 35 40 45 50 Start 5 10 15 20 25 30 35 40 45 50

Days After Start

Easy to understand Easy to construct .Advantages of Gantt 1. 2.

By using PERT or CPM managers are able to obtain:     PERT AND CPM A graphical display of the project activities An estimate of how long the project will take An indication of which activities are most critical An indication of how long an activity can be delayed without lengthening the project .  PERT (program evaluation and review technique) and CPM (critical path method) are two of the most widely used techniques for planning and coordinating large scale projects.

Late 1950s CPM was developed to plan and coordinate maintenance projects in chemical industry. Used to planning and controlling many programs & projects consisting of various activities (all activities be completed) .Network Models PERT & CPM      PERT Initial use was for the Polaris Missile Project . Although two techniques were developed independently. Initial differences between them have disappeared. they have a great deal in common.

The framework of PERT and CPM  For proceeding with PERT/CPM following common six points have to be followed:       Define the project with significant activities or tasks Develop relationship among the activities Draw network connecting all activities Assign time and/or cost estimates to each activity Compute the critical path Use network to help plan. monitor and control the project . schedule.

Terminology       Activity: Activity: A specific or set of tasks required by the project Event: Outcome of one or more activities Event: Network: Network: Combination of all activities and events Path: Series of connected activities or between any two events Critical path: Longest .Any delay would delay the project Slack/float: Allowable slippage for a path .

PERT/CPM Type Projects     Construction Engineering Software Development Anything with many interdependent activities/steps .

Activities  Some may be executed simultaneously DO THIS AND AT THE SAME TIME DO THAT  Some cannot be performed until others are completed .

Times are known with some high degree of certainty. Management can determine the duration of a project and concentrate efforts on Critical Path activities. .CPM -Critical Path Method    A tool to determine duration based on the identification of the Critical Path through the activity network.

PERT Program Evaluation and Review Technique   Time are NOT known well (uncertainty) Statistics used to estimate probability of finishing within a given time .

PERT/CPM  Activities are shown as lines or arrows  Activities require time and other recourses .

PERT/CPM    Events or nodes or mileposts or circles They consume NO time and show connections between activities Every PERT/CPM chart has one Start event and one end event .

Simple CPM Chart START Open Book 1 Read Chapter END .

Calculating times 4 3 4 2 START END 3 2 4   Time for top route = 2 + 4 + 4 + 3 = 13 Time for bottom route = 2 + 3 + 2 + 4 = 11 .

Critical Path 4 3 4 2 START END 3 2 4    Time for top route = 2 + 4 + 4 + 3 = 13 Time for bottom route = 2 + 3 + 2 + 4 = 11 Top is Critical path .

Slack time No SLACK here 4 2 4 3 START END 3 2 4    Time for top route = 2 + 4 + 4 + 3 = 13 Time for bottom route = 2 + 3 + 2 + 4 = 11 For activities not on Critical path  Slack time = 2 .

not if the cause was the activity that should have taken 3 days took 4 . if the cause was the 2 day activity following start took 3 days No.Slack time 4 3 4 2 START END 3 B 2 4    For activities not on critical path the slack time is extra time that could be used is necessary If event B is reached in 6 days is there a significant problem? Yes.


PERT Activity Times  3 time estimates    Optimistic times (a) (a MostMost-likely time (m) (m Pessimistic time (b) (b    Follow normal distribution Expected time: t = (a + 4m + b)/6 (a 4m Variance of times: v = ((b .a) /6) 2 ((b .

A simple project network diagram -Order furniture 4 Locate facilities 2 Remodel Furniture setup 1 Interview 5 Move in 6 3 Hire & train .

Activity relationship a c b a b c .

a c d b a b c Dummy Activity .

a c b d .

(A) (C) 3 1 (B) 2 (D) 4 Activity A B C D Immediate Predecessors A A. B .

A 1 2 C 3 B 5 Dummy Activity 4 D .

2 (A) (B) (E) 1 (C) (D) 4 5 3 Activity List for a Two-Machine Maintenance Project Expected Time Activity Description (in days) A B C D E Overhaul machine I Adjust machine I Overhaul machine II Adjust machine II Test system 7 3 6 3 2 .

I . E H F.Product Design (A) Routing (C) 2 Prototype (D) 5 Testing (G) Cost Estimates (F) 1 Market Research Plan (B) 4 Marketing Brochure (E) 7 Pricing and Forecast (I) Final Report (J) 8 COMPLETION 3 Market Survey (H) 6 Activity list for the Daugherty Porta-Vac Project Activity A B C D E F G H I J Description R&D product design Plan market research Routing (manufacturing engineering) Build prototype model Prepare marketing brochure Cost estimates (industrial engineering) Preliminary product testing Market survey Pricing and forecast report Final report Immediate Predecessors A A A C D B. G.

F E. B. B. F D.PERT Diagram Activity A B C D E F G H I J K Preceding Activity ---A A C C E. H G. J . I.

D 2 A B E 5 J H 4 F I G J 6 K 7 1 C 3 .

Sales Management Training Program          A B C D E F G H I Plan topic Obtain speakers List meeting locations Select location Speaker travel plans Final check with speakers Prepare and mail brochure Take reservations Last minute details .

Network Diagram 2 A 1 4 C 3 D E B G 5 H 7 6 F I 8 .

c c g.c b.c b.e .h d.Activities of a project Activity a b c d e f g h I j Predecessor Activity a b.

N et ork  a 1 c 4 b 3 h 2 d iagram 6 e g 5 7 i .

Make a Network Diagram .

8 1 D. 5 N. 5 10 4 J. 5 P. 3 6 2 Dum1 K. 3 3 A. 10 9 O. 1 G. 2 5 H.I.6 E. 2 F. 4 8 M. 3 B. 3 K. 9 7 Q. 2 C. 10 11 .

G. H L. J K. J. E. D M.                A B C D E F G H I J K L M N O P ---A A A C C B. G. L I. F B. O 6 7 8 5 6 8 5 6 6 4 3 5 4 2 4 4 . F E. H I. N.

6 5 O. 4 9 2 A.2 M. 6 4 6 L. 4 8 P. 8 G. 8 1 B. 5 H. 6 F.Network Diagram D. 4 I. 5 7 Dum N. 7 3 J. 6 C. 4 . 5 E.

E.Problem I A (8) 1 B (10) 3 F (7) 5 (Activity time in days in parenthesis) H (3) 2 D (7) C (3) E (6) 6 B. F 4 G (5) .

for how many days! What is the schedule for activity F (I.. start and completion times) .e.Questions??      Identify the critical path How long will it take to complete this project? Can activity E be delayed without delaying the entire project? Can activity D be delayed without delaying the entire projec?.

Exercises Ex. Identify Critical Path and Calculate Critical Time. 1 Draw a PERT Network. .

M N.I I E.Q L.G G.Activities A B C D E F G H I J O K L M N P Q R Preceding Activities ---------A.B.F. B.R H. C A. C Duration (Days) 2 3 1 4 2 3 4 2 2 1 1 3 2 1 3 4 4 3 .R E.C D D D E.J A. B.Q G.O.K.

9 H(2) D5 2 A (2) R D1 6 E(2) I(2) J (1) 10 D3 O(1) K (3) 1 B(3) C(1) 3 D2 D(4) 5 F(3) G(4) 7 D4 11 P (4) 14 N (3) Q 4 8 L (2) 12 D6 M (1) 13 .

Exercises Ex. Estimate Activity Time and Draw a PERT Network. 2 Take a Real World or Hypothetical Project. Identify Critical Path and Calculate . Identify Activities.

ES i for the tail events ESj of all the incoming activites(i . The number computed at each node (shown in triangles ) represents the latest occurrence time of the corresponding event. The first phase is called the forward pass. These numbers are shown in Figure 13-5 in squares . The forward Dij (i pass calculations are thus obtained from the formula ESj ESj = max {ESi + Dij}. for all (i. {ESi Dij}. ES0 = 0. move to the end node. where calculations begin from the start node and pass. ESi If i = 0 is the start event. j) activities defined i (i Where ES0 = 0. Thus ESi represents the earliest occurrence time of event i. Let Dij be the duration of activity (i. called the 13backward pass. The forward pass is considered now. to compute ESj for event j. for the critical path calculations. Thus.CRITICAL PATH CALCULATIONS The critical path calculations include two phases. j) must be computed first activites(i . begins calculations from the end node and moves to pass. then conventionally. Let ESi be the earliest start time of all the activities emanating ESi from event i . The second phase. At each node a number is computed representing the earliest occurrence time of the corresponding event. j). the start node.

The forward pass calculations applied to Figure 13-5 start with ESo = 0. as shown in the square above event 0. 1) to event 1 with D01 = 2. Since there is only one incoming activity (0. ES1 = ESo + D01 = 0 + 2 = 2 .

[Notice that event 3 cannot be considered at this point.] Thus ES2 = ESo + D02 = 0 + 3 = 3 which is entered in the square associated with event 2.3 + 3} = 6 1=1. we have ES3 = max {ESi + Di3} = max{2 + 2. 3) and (2.which is entered in the square associated with event 1. 3). The next event to be considered is 3. since ES2 (event 2) is not yet known. Since there are two incoming activities. again. we consider event 2. Thus . Next. is entered in the square of event 3. The procedure continues in the same manner until ESj is computed for all j. (1.2 which.

Dij. for all (i. . The objective of this phase is to compute LCi. if i = n is the "end" event. The backward pass starts from the "end" event. j) The values of LC (entered in the triangles ) are determined as follows. In general. (i. j) activities defined ij. for any node i. LCn = ESn LCn ESn initiates the backward pass. the latest completion time for all the LCi activities coming into event i. LCi min{LCj LCi = min{LCj . Thus.These calculations complete the forward pass.

2). 5). (4. 6) define the critical path in Figure 13-5. Hence they are not critical. j) lies on the critical path if it satisfies the following three conditions: These conditions actually indicate that there is no float or slack time between earliest start (completion) and the latest start (completion) of the critical activity. 4).Actually." . the critical path represents the shortest duration needed to complete the project. and (5. Notice also that the critical path must form a chain of connected activities that spans the network from "start" to "end. 3). The critical path activities can now be identified by using the results of the forward and backward passes. (3. (2. 5). In the arrow diagram these activities are characterized by the numbers in and being the same at each of the head and the tail events and that the difference between the number in (or ) at the head event and the number in (or ) at the tail event is equal to the duration of the activity.The backward pass calculations are now complete. 4). and (4. (3. Notice that activities (2. 6) satisfy conditions (1) and (2) for critical activities but not condition (3). Activities (0. (3. 6). An activity (i.