Professional Documents
Culture Documents
Activity
ion n(weeks) sors
Design/a
A pproval 8 -
of plan
Foundati
B on/supers 12 A
tructure
Select
and order
electrical
C 4 A
and other
accessori
es
Wiring
D for the 2 B
building
Carpentr
E 8 B
y works
Laying
F 2 D
of roof
Wall
plasterin
G g/laying 3 E,F
floors/pai
nting
Fixing
fittings(s
H anitary 2 C,G
,electrica
l etc)
Obtainin
g power
and
I water 2 E,F
connecti
ons for
the site
Final
polishing
J 2 I,H
, testing,
handover
Normal
Normal Crash cost(Rs Crash
time(wee time(wee “000” Cost(Rs
ks) ks) ”000”)
)
A 8 6 12 20
B 12 8 24 56
C 4 4 8 NA
D 2 2 9 NA
E 8 5 9 27
F 2 1 12 24
G 3 2 12 22
H 2 1 8 14
I 2 2 6 NA
J 2 1 8 10
Network
Diagram
Normal Crash Normal Crash Crash
time(weeks) time(weeks) cost Cost cost per
unit time
A 8 6 12000 20000 4000
B 12 8 24000 56000 8000
C 4 4 8000 NA NA
D 2 2 9000 NA NA Crash cost per unit time = (Cr
E 8 5 9000 27000 6000 Also called cost slope
F 2 1 12000 24000 12000
G 3 2 12000 22000 10000
H 2 1 8000 14000 6000
I 2 2 6000 NA NA
J 2 1 8000 10000 2000
108000
Total normal
cost 108000 Direct cost includes manpower expenses, material expenses etc.
total indirect
cost 175000 Includes admin expenses, overheads, supervisio expenses
TOTAL COST
OF PROJECT 283000
no. of indirect
Number critical path critical activity weeks direct project cost(Rs total cost
activities crashed crashed cost duration weeks)
1 1-2-3-5-6-7-8 A,B,E,G,H,J None 0 108000 35 175000 283000
2 1-2-3-5-6-7-8 A,B,E,G,H,J J 1 110000 34 170000 280000
3 1-2-3-5-6-7-8 A,B,E,G,H A 2 118000 32 160000 278000
4 1-2-3-5-6-7-8 B,E,G,H H 1 124000 31 155000 279000
5 1-2-3-5-6-7-8 B,E,G E 3 142000 28 140000 282000
6 1-2-3-5-6-7-8 B,G B 4 174000 24 120000 294000
7 1-2-3-5-6-7-8 G G 1 184000 23 115000 299000
Crash cost per unit time = (Crash cost-normal cost)/(normal time-crash time)
Also called cost slope
ervisio expenses
Cost curve
indirect
direct
Weeks cost(Rs total cost 350000
cost
weeks)
35 108000 175000 283000 300000
283000 280000 278000 279000 282000
34 110000 170000 280000
32 118000 160000 278000 250000
50000
35 34 32 31 28
0
1 2 3 4 5
From 35 to 32 weeks ( 3 weeks reduced)
The optimim duration is 32 weeks Weeks direct cost
If we reduce further, the total cost will increase. indirect cost(Rs weeks) total cost
st curve
294000 299000
279000 282000
184000
174000
155000
142000
140000
124000 120000 115000
31 28 24 23
4 5 6 7
direct cost
Rs weeks) total cost