ch05 - ch12 in The Book

10/23/2021
Project Management:
A Systems Approach to
Planning, Scheduling, and Controlling
Twelfth Edition
Excerpted from Project Management 12E

by Harold Kerzner. Copyright 2017 by
John Wiley & Sons, Inc. All rights reserved.
Chapter Twelve
Network Scheduling
Techniques

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Learning Outcomes
After careful studying this chapter You should be able to:
 Identify the three types of scheduling techniques and their
respective and advantages & disadvantages
 Differentiate between activity-on-arrow and activity-on-node
networks
 Describe the four types of precedence networks
 Define basic network terminology such as activities, events,
critical path, and slack (float)
 Differentiate between positive and negative slack
 Describe the schedule compression techniques and crashing
and fast-tracking (concurrent engineering)
 Explain the importance of the work breakdown structure in
network development

Learning Outcomes (cont.)

• Discuss the steps, and their order, for the development of a
network
• Distinguish between the types of dependencies
• Perform a forward and backward pass
• Explain what is resources leveling resource-limited planning
• Differentiate between effort and duration which network
technique uses optimistic, most likely, and pessimistic estimates
and the use of dummy activities
• Lag
• Compare between unlimited versus limited resource
planning/scheduling

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Scheduling Techniques
• Gantt or bar charts
• Milestone charts
• Line of balance
• Networks
 Program evaluation and review technique (PERT)
 Arrow diagram method (ADM) [Sometimes called
the critical path method (CPM)]
 Graphical evaluation and review technique (GERT)
 Precedence diagram method (PDM)
Bar (Gantt) Chart

MONTHS AFTER GO-AHEAD
TASKS 1 2 3 4 5

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Milestone Chart
ACTIVITY
TESTING
ANALYSIS
REPORT
PRESENTATION
TIME

Standard PERT Nomenclature
3 WEEKS
6 3
COMPLETE TESTING COMPLETE FINAL REPORT

LEGEND
EVENT
ACTIVITY

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Dependencies
31 31
26 18 18 26
7 7
BURST POINT SINK

Conversion from Bar to PERT

1 2
BAR CHART 3 4 5
6 7
TIME
3 2
1 2
1 2
PERT CHART 3 2 4 2 5
1
1 4
6 7
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Simplified PERT Network

3
1 2 5 6 7 8 9
4
LEGEND: (TIME = WEEKS)

EVENT
ACTIVITY
CRITICAL PATH ACTIVITY

Dummy Activities
D
A PRECEDING
ACTIVITY ACTIVITY
DUMMY A -
B -
C B
B D A, B
C

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Slack Identification
ACTIVITY EARLIEST START TIME
EARLIEST FINISH TIME
C (8,10)
2 (15,17)
LATEST FINISH TIME

TIME
LATEST START TIME

Types of Slack
[ 20, 26 ] [ 30, 36 ]
[ 24, 30 ] [ 24, 30 ]
POSITIVE SLACK NEGATIVE SLACK

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Negative Slack
FORWARD PASS
3 4
BACKWARD PASS
1 2
CUSTOMER’S CUSTOMER’S
START DATE FINISH DATE

Schedule Compression
• Elimination of some parts of the project
• Addition of more resources
• Substitution of less time-consuming
components or activities
• Parallelization of activities
• Shortening critical path activities
• Shortening early activities
• Shortening longest activities
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Schedule Compression
(Continued)
• Shortening easiest activities

• Shortening activities that are least costly
to speed up
• Shortening activities for which you have
more resources
• Increasing the number of work hours per
day
Resource Leveling
Resource leveling is an attempt to eliminate
the manpower peaks and valleys by
smoothing out the period-to-period resource
requirements. The ideal situation is to do
this without changing the end date.
However, in reality, the end date moves out
and additional costs are incurred.

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Resource Allocation
Resource allocation (or resource limited
planning) is an attempt to find the shortest
possible critical path based upon the
available or fixed resources. The problem
with this approach is that the employees may
not be qualified technically to perform work
on more than one activity in a network.

Planning Objectives (Primary)
• Best time
• Least cost
• Least risk

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Planning Objectives (Secondary)
• Studying alternatives
• Optimum schedules
• Effective use of resources
• Communications
• Refinement of the estimating process
• Ease of project control
• Ease of time or cost revisions

Planning Objectives (Limitations)
• Calendar completion
• Cash or cash flow restrictions
• Limited resources
• Management approvals

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Program Crashing Costs

ALL ACTIVITIES CRASHED
MINIMUM COST
160,000 TOTAL CRASH CRASH B
PROGRAM COST, $
150,000
CRASH E
140,000 CRASH F
130,000 CRASH A
NORMAL OPERATIONS
120,000
110,000
10 12 14 16 18 20 22 24
PROGRAM COMPLETION TIME, WEEKS

Precedence Network
MONTHS AFTER GO-AHEAD
TASKS 1 2 3 4 5

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Types of Precedence Charts
FINISH START
FINISH-TO-START ACTIVITY 1 ACTIVITY 2
START
START-TO-START ACTIVITY 1
START
ACTIVITY 2

Types of Precedence Charts

FINISH
FINISH
FINISH-TO-FINISH ACTIVITY 1
ACTIVITY 2
PERCENT COMPLETE
ACTIVITY 1
50 %
20 %
ACTIVITY 2

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Activity Information
EARLY START TIME DURATION EARLY FINISH

01/06/17 2 WORK-WEEKS 14/06/17
TOTAL
SLACK (TS)
ACTIVITY 4 $250,000
FREE SLACK
(FS)
LATE START COST/PROFIT LATE FINISH

15/06/17 CENTER 2810 28/06/17

Schedule Compression Myths

Compression Myth Reality
Technique
Use of overtime Work will progress at the same The rate of progress is less on overtime, more mistakes
rate on overtime. may occur, and prolonged overtime may lead to
burnout.
Adding more The performance rate will It takes time to find the resources; it takes time to get
resources (i.e., increase due to the added them up to speed; the resources used for the training
crashing) resources. must come from the existing resources.
Reducing scope (i.e., The customer always requests The customer needs all of the tasks agreed to in the
needed, reducing more work than actually statement of work.
functionality) needed.
Outsourcing Numerous qualified suppliers The quality of the suppliers’ work can damage your
exist. reputation; the supplier may go out of business; and
the supplier may have limited concern for your
scheduled dates.
Doing series work in An activity can start before the The risks increase and rework becomes expensive
parallel previous activity has finished. because it may involve multiple activities.

14

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10/23/2021

Excerpted from Project Management 12E

Excerpted from Project Management 12E

Excerpted from Project Management 12E

Learning Outcomes (cont.)

Excerpted from Project Management 12E

Bar (Gantt) Chart

Excerpted from Project Management 12E

Excerpted from Project Management 12E

Standard PERT Nomenclature

COMPLETE TESTING COMPLETE FINAL REPORT

Excerpted from Project Management 12E

BURST POINT SINK

Excerpted from Project Management 12E

Conversion from Bar to PERT

Simplified PERT Network

LEGEND: (TIME = WEEKS)

Excerpted from Project Management 12E

Excerpted from Project Management 12E

ACTIVITY EARLIEST START TIME

EARLIEST FINISH TIME

LATEST FINISH TIME

Excerpted from Project Management 12E

POSITIVE SLACK NEGATIVE SLACK

Excerpted from Project Management 12E

Excerpted from Project Management 12E

• Shortening easiest activities

Excerpted from Project Management 12E

Excerpted from Project Management 12E

Planning Objectives (Primary)

Excerpted from Project Management 12E

Planning Objectives (Secondary)

Excerpted from Project Management 12E

Planning Objectives (Limitations)

Excerpted from Project Management 12E

Program Crashing Costs

Excerpted from Project Management 12E

Excerpted from Project Management 12E

Types of Precedence Charts

Excerpted from Project Management 12E

Types of Precedence Charts

Excerpted from Project Management 12E

EARLY START TIME DURATION EARLY FINISH

LATE START COST/PROFIT LATE FINISH

Excerpted from Project Management 12E

Schedule Compression Myths

Excerpted from Project Management 12E

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