CONSTRUCTION METHODS AND

PROJECT MANAGEMENT

CHAPTER 3
Construction Project

N etwor k Pl anni ng

This module provides basic discussion

on the concepts of Network Planning
specifically with regards to PERT and
CPM.
9.1 NETWORK PLANNING
Network Planning
A project schedule network diagram is a graphical
representation of the logical relationships, also
referred to as dependencies, among the project
schedule activities.
Critical Path Method (CPM)
CPM is a systematic scientific method based on
principle of time estimates to perform detailed
analysis of Network in an application of project
management.

Network Analysis
Network Analysis is the general name given to
certain specific techniques which can be used for
the planning, management and control of projects
9.2 CRITICAL PATH METHOD
Critical Path Method (CPM)
It was developed in 1956 / 1957 by Remington Rand
and Du Pont to help schedule maintenance projects in
chemical plants and construction projects.
There are several notations used in CPM to identify
the critical path:
The EARLIEST START (ES), is the earliest time an
activity can begin, assuming all predecessors are
done.
The EARLIEST FINISH (EF), is the time before an
activity can be completed.
The LAST START (LS), is the last time an activity can
start, so the completion time of the whole project will
not delay.
Data Processing by CPM Method
The project components is identified by break the
project scope into activities or activity groups. The next
step is rearranging the activities into a chain, so we
can know the sequence of activities from the start to
the completion of the whole project. Then, find the
forward calculation with the formula (1) and (2). The
forward calculation moves from the initial event to the
terminal event. The point is to calculate the fastest
event, the fastest commencement and the completion
of activities (TE, ES, and EF).
𝑇𝐸(𝑗) = 𝐸𝑆(𝑖,𝑗) = 0 (1)
𝐸𝐹(𝑖,𝑗) = 𝐸𝑆(𝑖,𝑗) + 𝑡(𝑖,𝑗) (2)
which:
ES : The fastest start of activity
TE : The fastest event
EF : The fastest completion of activity
T : Time required for an activity
Data Processing by CPM Method
After the forward calculation, then the countdown
calculation with the formula (3) and (4). The
countdown calculation moves from the event terminal
to the initial event. The objective is to calculate the
latest event, the latest commencement and completion
of activities (TL, LS, and LF).
𝐿𝑆(𝑖,𝑗) = 𝐿𝐹(𝑖) − 𝑡(𝑖,𝑗) (3)
𝐿𝐹(𝑖,𝑗) = 𝑇𝐿 ; 𝑇𝐿 = 𝑇𝐸 (4)
which:
LS : The latest start of activity
LF : The latest completion of activity
TL : The latest event
t : Time required for an activity
The next step is to find the total float and free float to
determine the critical path. TOTAL FLOAT (5) is the
amount of time at which the completion time of an
activity can be postponed without affecting the fastest
time of completion of the project as a whole. This step
is the critical stage or the longest implementation path,
which determines the project completion time. The
CRITICAL PATH has a total float equal to zero
therefore in determining the critical path, then first
calculate the total float of each project activity.
𝑇𝐹 = 𝐿𝐹 − 𝐸𝑆 − 𝑡 (5)
which:
TF : Total float
LF : The earliest start of activity
ES : The fastest start of activity
t : Time required for an activity
Data Processing by CPM Method
Free Float (6) is the amount of time that the
completion of an activity can be measured without
affecting the fastest time from the start of another
activity or the fastest event of another on the network.

𝐹𝐹 = 𝐸𝐹 − 𝐸𝑆 − 𝑡 (6)

which:
FF : Free Float
EF : The fastest completion of activity
ES : The fastest start of activity
t : Time required for an activity
9.3 PROGRAM EVALUATION AND REVIEW TECHNIQUES
Program Evaluation and Review Techniques (PERT)
PERT is also known as BACK RESEARCH
TECHNIQUE. It is a project management tool used to
schedule, organize, and coordinate tasks within a
project. It is basically a method to analyze the tasks
involved in completing a given project, especially the
time needed to complete each task, and to identify the
minimum time needed to complete the total project.
Developed by U.S. Navy Special Project Office IN
1957 to support the U.S. Navy’s Polaris Nuclear
submarine project. Early example, it was used for the
1968 Winter Olympics in Grenobole.
The time estimate used in PERT are three types. The
difference between these three types of time is a
relative measure of the uncertainty of each activity:
The MOST OPTIMISTIC TIME (Wo), is the shortest
possible time of completion, if all work goes well.
The MOST PESSIMISTIC TIME (Wp), is the most
likely time of completion, account possible delays.
The NORMAL TIME (Wn), is a possible completion
time as appropriate.
The time estimate used in PERT are three types. The
difference between these three types of time is a
relative measure of the uncertainty of each activity:
The MOST OPTIMISTIC TIME (Wo), is the shortest
possible time of completion, if all work goes well.
The MOST PESSIMISTIC TIME (Wp), is the most
likely time of completion, account possible delays.
Data Processing by PERT Method
PERT using an arrow diagram to illustrate the project
path. In terms of calculation in the same critical
activity, critical path or float in PERT is known as
SLACK. The difference between CPM and PERT is
very clear in the estimation of the activity period.
The next step is looking for the average time
value by using the formula (7):
𝑀𝑒𝑎𝑛 (𝑇𝑒) = "𝑇𝑜+4 𝑇𝑚+𝑇𝑝" /6 (7)
Then, determine the critical path of PERT network.
This is identified by slack calculation, where the
activity has the value of free slack (FS) and total slack
(TS) = 0. After the critical path is known, then the next
step is to calculate the variance (8) and standard
deviation (9) for each activity.
𝑉 = "(𝑇𝑝 − 𝑇𝑜)" /6 (8)
𝑆 = √𝑉 (9)
In the calculation of settling time using PERT
method, the probability of completion construction time
is calculated using deviation formula (10).
𝑍 = "𝑋− ∑ 𝑇𝑒 𝑐𝑟𝑖𝑡𝑖𝑐𝑎𝑙" /√("𝑉 𝑐𝑟𝑖𝑡𝑖𝑐𝑎𝑙" ) (10)
Example of PERT/CPM
1. WORK BREAKDOWN STRUCTURE
A method of breaking down a project into individual
elements (components, subcomponents, activities,
tasks) in hierarchical structure which can be
scheduled and cost.
It is developed before identification of dependencies
and estimation of activity durations.
2. IDENTIFY WORK DEPENDENCIES
3. ESTIMATE TIMELINE USING GANT CHART
𝑃𝑅𝑂𝐷𝑈𝐶𝑇𝐼𝑉𝐼𝑇𝑌= 𝑉𝑂𝐿𝑈𝑀𝐸/(𝑀𝐴𝑁−𝐷𝐴𝑌𝑆)
4. NETWORK DIAGRAM
FLOAT – is the maximum amount of time that this
activity can be delay in its completion before it
becomes a critical activity, i.e., delays completion of
the project
𝑭𝑳𝑶𝑨𝑻=𝑳𝑺−𝑬𝑺=𝑳𝑭−𝑬𝑭
SLACK – amount of time that an activity can be
delayed past its ES or EF without delaying the
project.
𝑺𝑳𝑨𝑪𝑲=𝑳𝑺−𝑬𝑺=𝑳𝑭−𝑬𝑭
4. NETWORK DIAGRAM
The main difference between float and slack is
that slack is typically associated with inactivity,
while float is associated with activity. Slack time allows
an activity to start later than originally planned,
while float time allows an activity to take longer than
originally planned.
CRITICAL PATH - the sequence of activities and
events where there is no “slack”.
Important Terminologies and Figures
1. PROJECT CRASHING
CRASHING – reducing project time by expending
additional resources
CRASH TIME – an amount of time an activity is
reduced
CRASH COST – cost of reducing activity time
GOAL – reduce project duration at minimum cost
2. ARROWS - Leads from tail to head directionally
3. ACTIVITY / TASK- A task or certain amount of work
required in the project; require time to complete;
represented by an arrow
4. DUMMY ACTIVITY / TASK - Indicates only
precedence relationships
5. NODE - Commonly represented by circles which
indicates an event
6. EVENT - A point in time where one or more
activities start and/ or finish; signals the beginning or
ending of an activity; represented by a circle (node)
CPM Algorithm
FORWARD PASS
Earliest Start Time (ES)
Earliest time an activity can start
ES = maximum EF of immediate predecessors
Earliest Finish Time (EF)
Earliest time an activity can finish
EF = ES + D
Where: D - duration
BACKWARD PASS
Latest Start Time (LS)
Latest time an activity can start without delaying
critical path time
LS = LF - D
Latest Finish Time (LF)
Latest time an activity can be completed without
delaying the critical path time
LS = minimum LS of immediate predecessors
 EXAMPLE OF PERT/CPM
ACTIVITY PREDECESSORS DURATION (DAYS)
A - 5
B - 4
C - 6
D A,B,C 4
E A,B,C 8
F D 6
G D,E 3
H D,E 4
I F 2
J G 8
K H 4

5 6 10 14 16 23
F
2 5 6 days
7
ES EF
A I
0 0 D1
25 25
D
B D3 J
1 4 days 3 4 6 8 8 days
10

START G 17 17
K
END
C D2 D4

E H
4 8 days
6 4 days
9
6 6 14 14 18 21
 EXAMPLE OF PERT/CPM
ACTIVITY PREDECESSORS DURATION (DAYS)
Tasks
SLACK = LS -ES
A - 7 1. Create a PERT/CPM chart. SLACK = LF -EF
B - 9
C A 12 2. What is the project’s duration? ES +D =EF
D A,B 8
E D 9 3. What is the critical path?
F C,E 6
G E 5
A

LS= D -LF

SLACK = 2 SLACK = 7 SLACK = 0

0 7 7 7 12 19 26 6 32
A C F PROJECT DURATION:
2 7 9 14 12 26 26 6 32 32 DAYS

START END

0 9 9 9 8 17 17 9 26 26 5 31
B D E G
0 9 9 9 8 17 17 9 26 27 5 32
SLACK = 0 SLACK = 0 SLACK = 0 SLACK = 1