Operations Management OMGT – 701 Case Study # 2

Smart housing Inc.

Smart housing Inc. is negotiating a deal to build a house. The owner wants to start in early
spring when the weather begins to moderate and build through the summer into the fall. The
completion time is so critical for the owner that they insisting a project management network
accompany the proposal with an estimate of the completion time for the house. The smart
housing Inc. are experienced builders , so they listed the activities involved in building a house
and times for each activity (optimistic(a),realistic (m), pessimistic (b)) as per the below table :

Time (DAYS)
Activity Description Predecessor a m b
A Buying the land - 3 4 6
B Excavation and lay foundation A 2 3 5
C Frame and roof B 2 4 5
D Lay drain tiles B 1 2 4
E Sewer and drains B 1 2 3
F Insulation C 2 4 5
G Basement E 2 3 5
H Rough plumbing E 2 4 7
I Windows F 1 3 4
J Electrical wiring F 1 2 4
K Heating and cooling systems C,G 3 5 8
L Exterior bricks I 5 6 10
M Plasterboard J,H,K 6 8 12
N Roof shingles L 2 3 6
O Gutter N 1 2 5
P Grading D,O 2 3 7
Q Subflooring M 3 4 6
R Driveways P 4 6 10
S Carpentry Q 3 5 12
T Kitchen Q 2 4 8
U Bathrooms Q 2 3 6
V Painting T,U 4 6 10
W Wood floors V,S 2 5 8
X Light fixtures V 1 3 4

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You have been hired as the manager of this project; the company has asked you to complete
the following:
1. Develop a CPM/PERT network. (13 Marks)
Operations Management OMGT – 701 Case Study # 2

2. Determine the critical path of the project. (7 Marks)

A critical path time is the longest time it takes for a project to be done. In this case, the longest
time it will take for the project to be accomplished is 71 days. Following the path, A, B, E, G, K,
M, Q, T, V, W.

6+5+3+5+8+12+6+8+10+8 = 71 days

3. The owner requested that the house to be ready in 55 days, what your estimation of the
project time? What is the probability of finishing it in 55 days? (8 Marks)
4. Discuss the positive impact that project management can have on housing projects in
order to convince the company to use your services in the future. (7 Marks)