NAME: JAYA BHAVANI P

DEPARTMENT :III BBM

SUBJECT: ENTREPRENEURIAL
DEVELOPMENT
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ROLL NO:31

UNIT 3: NETWORK ANALYSIS

(PPT)
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Network Analysis

WHAT IS A NETWORK?
§ A GRAPHICAL PRESENTATION OR AN ARROW
DIAGRAMPRESENTED TO THE MANAGEMENTIN
RESPECT OF A PROJECTWHICH CONSISTS OF ALL
DETAILS REGARDING CONSUMPTION OF TIME AND
COST NOT ONLY FOR EACH ACTIVITY BUT ALSO
FOR THE WHOLE PROJECTSO THAT MANAGEMENT
CAN MANIPULATE THE RESOURCES AND COST CAN
BE CONTROLLED IN A MORE EFFECTIVE MANNER.
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Network Analysis:
§ ❖ Network is a graphic plan of all events and
activities to be completed in order to reach an
end objective.Two common types of network
technique:PERT(Programme Evaluation and
ReviewTechnique)CPM (Critical Path Method)
§
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Network Analysis Defined

§ "Network analysis is a method of collecting and analyzing
data from multiple individuals or organizations that may
be interacting with one another".Provan KG, Veazie MA,
Staten LK, and Teufel-Shone NI. (2005). The Use of
Network Analysis to Strengthen Community
Partnerships. Public Administration Review. 65(5):603-
613.September 2014
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Why Network Analysis?

§ National MCH Workforce Development CenterAnd one
more critical question:"What are the benefits and
drawbacks of collaboration, have these changed
over time, and how can benefits be enhanced and
drawbacks minimized?"- Provan et al, 2005
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Objectives of Network Analysis

Analysis is a successful technique frequently used to

plan, monitor and control the projects involving
thousands of activities.
1. To minimize project cost.
2. To minimize the project time.
3. To ensure optimum utilization of human and other
resources.
4. To ensure minimum conflicts and unnecessary delays.
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Advantage of Network Analysis

*Aids management in planning, scheduling and

controlling the activities of projects.
• Helps in ascertaining time schedules.
• Helps in guiding and directing team efforts more
effectively.Encourages discipline.Aids in handling
uncertainties regarding time schedules, coordination
of various activities and controlling costs involved
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Diagram of Network Analysis
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Importance of Network Analysis

• Knowing which activities lie on the critical path is

important for the project manager and other
stakeholders• These are the activities that are most
likely to cause a delay to the project
scheduleIdentifying the critical path helps the project
manager concentrate his or her time on areas of the
project that are most likely to cause delays• The
critical path is also used to help plan and schedule
resources for the project
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§ THE STRATEGIC IMPORTANCE OF LOGISTICAL NETWORK

ANALYSIS:
§ 1) Critical variables in network design

§ 2) Shifting Locations of Customer and/or Supply Markets

§ 3)Change in Corporate Ownership

§ 4)Cost Pressures

§ 5) Competitive Capabilities

§ 6) Corporate Organizational Change

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How to represent an activity?

§ 1.Activity should be represented by an arrow connecting
2 nodes.
§ 2.All activities should be in forward direction, it may be
upward or downward direction but it can never be in
reverse direction.
§ 3.Activities should be either represented by numbers or
alphabet.
§ 4.All alphabets and nos. should be in ascending order.-2