Professional Documents
Culture Documents
Management
Effective Period: September 2021
Project Management
Session 3-4
Thank you
Acknowledgement
Chapter 3
Learning Outcomes
► Single unit
► Many related activities
► Difficult production planning and
inventory control
► General purpose equipment
► High labor skills
► Research Project
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3-8
Management of Projects
1. Planning - goal setting, defining the
project, team organization
2. Scheduling - relate people, money,
and supplies to specific activities and
activities to each other
3. Controlling - monitor resources, costs,
quality, and budgets; revise plans and
shift resources to meet time and cost
demands
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3-9
Project Planning,
Scheduling, and Controlling
Figure 3.1
Budgets
Delayed activities report
Slack activities report
CPM/PERT
Gantt charts
Milestone charts
Cash flow
Figure 3.1schedules
Human Quality
Resources Marketing Finance Design Production
Mgt
Figure 3.2
Project 1
Project 2
Project 3
Project 4
Level
1. Project
2. Major tasks in the project
3. Subtasks in the major tasks
4. Activities (or “work
packages”)
to be completed
Compatible with
Level 4 1.1.2.1
Windows 8
(Work packages)
Compatible with
1.1.2.2
Windows 7
► Gantt chart
► Critical Path Method (CPM)
Technique (PERT)
Time
J F M A M J J A S
Design
Prototype
Test
Revise
Production
C and D cannot
A C begin until both A C
(d) A and B are
completed
B D B D
B and C cannot
begin until A is
completed
A B D D cannot begin A B D
until both B and C
(f) are completed Dummy
A dummy activity C
C activity
is again
introduced in AOA
Activity A
A (Build Internal Components)
Start
Activity B
Start B (Modify Roof and Floor)
Activity
Figure 3.5
A C
Start
B D
F
A C
E
Start H
B D G
nt tal
om d A
(Build Burner)
ro l
po Int
ls)
C uil
H
(B
Dummy 7
E
1 6
Activity (Inspect/
Test)
Ro (M B G ll
of odi ta on
/F fy s i
lo
or (In llut ce)
i
)
3
D Po ev
5 D
(Pour Figure 3.8
Concrete/
Install Frame)
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 33
Determining the Project Schedule
Activity Name
or Symbol
A Earliest
Earliest ES EF
Start Finish
Latest LS LF Latest
Start 2 Finish
Activity Duration
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 37
Forward Pass
Begin at starting event and work forward
EF = ES + Activity time
2 EF of B =
ES ES of B + 3
0
Start
0 of B
B
0 0 3
3
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 42
ES/EF Network for Milwaukee
Paper
A C
0 2 2 4
2 2
Start
0 0
B
0 3
2 2
Start
0 0
= Max (2, 3) D
0
3 7
B
0 3
3
4
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 44
ES/EF Network for Milwaukee
Paper
A C
0 2 2 4
2 2
Start
0 0
B D
0 3 3 7
3 4
2 2 3
Start E H
0 0 4 8 13 15
0 4 2
B D G
0 3 3 7 8 13
3 4 5
Figure 3.10
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 46
Backward Pass
Begin with the last event and work backwards
Latest Finish Time Rule:
► If an activity is an immediate predecessor for
just a single activity, its LF equals the LS of the
activity that immediately follows it
► If an activity is an immediate predecessor to
more than one activity, its LF is the minimum
of all LS values of all activities that
immediately follow it
LF = Min {LS of all immediate following activities}
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 47
Backward Pass
Begin with the last event and work backwards
Latest Start Time Rule:
► The latest start time (LS) of an activity is the
difference of its latest finish time (LF) and its
activity time
LS = LF – Activity time
2 2 3
Start E H
0 0 4 8 13 15
13 15
0 4 2
B LS = LF
D – Activity timeG
0 3 3 7 8 13
3 4 5 LF = EF
of Project
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 49
LS/LF Times for
Milwaukee Paper
A C F
0 2 2 4 4 7
10 13
2 2 3
Start E H
0 0
LF 4= Min(LS
8 of 13 15
following activity) 13 15
0 4 2
B D G
0 3 3 7 8 13
3 4 5
2 4 10 13
2 2 3
Start E H
0 0 4 8 13 15
4 8 13 15
0 4 2
B D G
0 3 3 7 8 13
8 13
3 4 5
0 2 2 4 10 13
2 2 3
Start E H
0 0 4 8 13 15
0 0 4 8 13 15
0 4 2
B D G
0 3 3 7 8 13
1 4 4 8 8 13
3 4 5
Slack = LS – ES or Slack = LF – EF
0 2 2 4 10 13
2 2 3
Start E H
0 0 4 8 13 15
0 0 4 8 13 15
0 4 2
B D G
0 3 3 7 8 13
1 4 4 8 8 13
3 4 5
t = (a + 4m + b)/6
Probability of 1t in =
100 (a + 4m + b)/6
of < a occurring
Probability
Probability of 1 in 100
v = [(b
Variance of activity − a)/6]2 times:
completion of > b occurring
MOST
OPTIMISTIC LIKELY PESSIMISTIC EXPECTED TIME VARIANCE
ACTIVITY a m b t = (a + 4m + b)/6 [(b – a)/6]2
A 1 2 3 2 .11
B 2 3 4 3 .11
C 1 2 3 2 .11
D 2 4 6 4 .44
E 1 4 7 4 1.00
F 1 2 9 3 1.78
G 3 4 11 5 1.78
H 1 2 3 2 .11
15 Weeks
(Expected Completion Time)
15 16 Time
Weeks Weeks
Figure 3.13
Probability
of 0.01
2.33 Standard Z
From Appendix I deviations
0 2.33
Figure 3.14
possible
$30,000 —
Normal
Normal —
Cost
| | |
1 2 3 Time (Weeks)
Figure 3.15
Crash Time Normal Time
Copyright © 2020 Pearson Education Ltd. All Rights Reserved. 3 - 81
Critical Path and Slack Times
Figure 3.16
for Milwaukee Paper
A C F
0 2 2 4 4 7
0 2 2 4 10 13
2 2 3
Start Slack = 0 Slack = 0 E Slack = 6 H
0 0 4 8 13 15
0 0 4 8 13 15
0 4 2
B D Slack = 0 G Slack = 0
0 3 3 7 8 13
1 4 4 8 8 13
3 4 5
A C F
0 2 2 4 4 7
0 2 2 4 10 13
2 2 3
Start Slack = 0 Slack = 0 E Slack = 6 H
0 0 4 8 13 15
0 0 4 8 13 15
0 4 2
B D Slack = 0 G Slack = 0
0 3 3 7 8 13
1 4 4 8 8 13
3 4 5
A C F
0 1 1 3 3 6
0 1 1 3 9 12
1 2 3
Start Slack = 0 Slack = 0 E Slack = 6 H
0 0 3 7 12 14
0 0 3 7 12 14
0 4 2
B D Slack = 0 G Slack = 0
0 3 3 7 7 12
0 3 3 7 7 12
3 4 5
A C F
0 1 1 3 3 6
0 1 1 3 9 12
1 2 3
Start Slack = 0 Slack = 0 E Slack = 6 H
0 0 3 7 12 14
0 0 3 7 12 14
0 4 2
B D Slack = 0 G Slack = 0
0 3 3 7 7 12
0 3 3 7 7 12
3 4 5
A C F
0 1 1 3 3 6
0 1 1 3 8 11
1 2 3
Start Slack = 0 Slack = 0 E Slack = 5 H
0 0 3 7 11 13
0 0 3 7 11 13
0 4 2
B D Slack = 0 G Slack = 0
0 3 3 7 7 11
0 3 3 7 7 11
3 4 4