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Allocating Resources To The Project
Allocating Resources To The Project
Project
Management
Chapter 7
Allocating
Resources to the
Project
BY : SITI FATMA ABD KARIM
Another References:
Chapter 8:
Scheduling
Resources and
Costs
Chapter 9:
Reducing
Project Duration
How much
flexibility do we
have in using
resources?
Will outside
contractors have
to be used?
Question by
Project
Manager, after
staff and other
resources are
assigned
Do unforeseen
resource
dependencies
exist? Is there a
new critical path?
Is the original
deadline realistic?
People
Materials
Equipment
Equipment is
usually presented
by type, size, and
quantity.
Equipment is often
overlooked as a
constraint.
Example
Equipment
Product raw
material must enough
to produce the
targeted amount of
product
People / Manpower
Time-constrained
Resources Constrained
Definition
must be completed by an
imposed date
Scheduling Terms
Fixed time
Flexible resources
Fixed Resources
Flexible Time
Yes
No
How to determine?
If the critical path is delayed, will
resources be added to get back on
schedule?
Limiting Assumptions
Splitting activities is
not allowedonce
an activity is start,
it is carried to
completion.
Level of resources
used for an activity
cannot be changed.
Risk Assumptions
Activities with the
most slack pose the
least risk.
Reduction of
flexibility does not
increase risk.
The nature of an
activity (easy,
complex) doesnt
increase risk.
The smoothed
resource loading
chart shows the
results of delaying the
fence and walls
activity.
Resource Demand
Leveling Techniques
for Time-Constrained
Projects
Disadvantages
Resource-Constrained Projects
FIGURE 8.4
FIGURE 8.5
Impact
Reduces slack, reduces
flexibility by using slack to
ensure delay is minimized, and
increases the number of
critical and near-critical
activities.
Scheduling complexity
Splitting Activities
Splitting tasks is a
scheduling technique used
to get a better project
schedule and/or to
increase resource
utilization.
Splitting Activities
Why resources
scheduling tie to project
priority?
Submit your answer in
the forum title
Resources scheduling
Project Priority by
today.
Individual opinion/
answer
Project Manager
There is a natural
tendency to assign the
best people the most
difficult tasks.
2.
3.
Resource bottlenecks
Shortages of critical resources required for multiple projects
cause delays and schedule extensions.
Time to market
Due to global
competition and
high speed
technological
advances
For example :
electronics industry
(6 months delay
cause loss of market
share 35%.
Adaptability
Not only on
innovation but also
adaptability
quickly adapt with
new challenges
For example : ESSO
become PETRON
(re-branding)
Unforeseen
delays
Reducing project
time occurs when
unforeseen delays
(target to complete
early so that when
unforeseen delays
happen, losses
occur still
acceptable
For Example : Delay
that occur due to
equipment
breakdown /
adverse weather
Incentive contracts
. Incentive contracts
can make reduction
of project time
rewarding
4For example :
Construction early
completion (give
more profit to both
owner and
contractor)
Imposed deadlines
For example : a
politician makes a
public statement that
a new law building
will be available in
two years.
When
Resources are
not constrained
When
Resources are
constrained
A project manager has fewer options for
accelerating project completion when additional
resources are either not available or the budget is
severely constrained. This is especially true once
the schedule has been established.
Disadvantages
Double or triple payments
Productivity declined
human nature
For example,
Instead of waiting for the final design to be approved, manufacturing engineers
can begin building the production line as soon as key specifications have been
established.
Changing activities from sequential to parallel usually requires closer coordination
among those responsible for the activities affected but can produce tremendous
time savings.
2. Find total
indirect costs for
selected project
durations.
Purpose: The graph is then used to compare additional cost alternatives for benefits.
What is the
central
concern?
finding the
total direct
costs for
specific
project
durations over
a relevant
range.
to decide
which
activities to
shorten and
how far to
carry the
shortening
process.
What manager
do?
need to look
for critical
activities that
can be
shortened
with the
smallest
increase in
cost per unit
of time.
How to select
the critical
activities ?
depends on
identifying the
activitys
normal and
crash times
and
corresponding
costs.
Normal
time
Crash
time
Crash cost
Shortening an
activity is called
crashing. The
shortest
possible time an
activity can
realistically be
completed in is
called its crash
time.
The
corresponding
cost is $400.
The normal
time for the
activity is 10
time units
Priority Rules
There are many possible rules for assigning preference to
some activities over others when allocating scarce
resources.
Most popular project management software packages have
a limited number of rules that can be automatically applied
to level overallocated resources so many of the priority rules
for assigning scarce resources to activities may have to be
applied manually.
Priority Rules
As soon as possible This is the standard
rule in scheduling. Activities are scheduled
to start on their ESTs, and resources are
made available with that in mind.
Tasks
are
supplied
with
resources in inverse
order of their slacks.
This rule usually
minimizes
the
number of late
activities.
Priority Rules
Shortest task duration first Always
consistent
with
technological
precedences, shorter tasks are given
priority over longer tasks. This rule
maximizes the number of tasks that can
be completed by a system in a given time
period.
Most successors The same
as the previous rule except
that all successors are
counted. This rule has the
same rationale as the
preceding rule.
Priority Rules
In addition to these rules, there are many others.