Time Cost Tradeoff

Prof. (Dr) Chitrarekha Kabre

DCRUST, Murthal

Critical Path Method—Crashing a

Project

 Time and costs are interrelated

 Faster an activity is completed, more is
the cost
 Change the schedule and you change the
budget
 Thus many activities can be speeded up
by spending more money

8 -2

1
 What is Crashing / Crunching?

 To speed
p up,
p or expedite,
p ap
project
j
 Of course, the resources to do this must be
available
 Crunching a project changes the schedule for
all activities
 This will have an impact on schedules for all the
subcontractors
 Crunching a project often introduces
unanticipated problems

8 -3

Activity Slope

Crash
C hCCostt  N
Normall C
Costt
Slope 
Crash Time  Normal Time

8 -4

2
 An Example of Two-Time CPM

Table 9-1 8 -5

Activity Slopes—Cost per Period for

Crashing

Table 9-2 8 -6

3
 Crashing the Project

Figure 9-1a 8 -7

Seven Day Schedule

Figure 9-1b 8 -8

4
 Six Day Schedule

Figure 9-1c 8 -9

Five Day Schedule

Figure 9-1d 8-10

5
 Four Day Schedule

Figure 9-1e 8-11

Cost-Crash Curve

Figure 9-2 8-12

6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27