Week 6 Quiz

1. (TCO B) Crashing Problem

Using the network below and the additional information provided, find:
(a) The crash cost per day per activity?
(b) Which activities should be crashed to meet a project deadline of 12 days at minimum cost?
(c) What is the extra cost to crash the project?

Activity Normal
Time
Crash
Time
Normal
Cost
Crash
Cost
A 5 3 $300 $600
B 3 2 $250 $450
C 6 4 $400 $500
D 5 3 $150 $400

(Points : 16)


D $125 2
B)
A + D
$300 + $275 = $575 in 4 fewer days, or 6 days total
B + C + D
$200 + $100 + $275 = $575 in 5 fewer days, or 9 days total
Both paths exceed the 12 day requirement.
C)
Regardless of which path you choose, it's $575 in crash costs.


2. (TCO F) We have discussed at length the Earned Value Management process. I am sure all of you
have used the traditional process of assessing projects where we compare actual dollars spent to the
amount we had planned to spend. This was quick and easy, but it has its shortcomings, and the Earned
Value Management process is said to be better.

(a) Why is this traditional approach different from using earned value when assessing project
performance?
(b) Describe the EVM process used to determine how far our project is ahead of or behind
schedule. (Points : 16)


A)
Traditional approach for project performance measures, compares, and analyzes
schedule performance such as actual start and finish dates, percent complete,
and remaining duration for work in progress. EVM integrates the cost and
schedule, baselines. Develops metrics to apply to those baselines.
B)
Schedule performance measurements such as schedule variance (SV) and
schedule performance index (SPI) are used to assess the magnitude of variation
to the original schedule baseline. Important aspects of schedule control include
determining the cause and degree of variance relative to to the schedule baseline.,
estimating the implications of those variances for future work to completion, and
deciding whether corrective or preventive action is required.


3. (TCO E) The following information is extracted from a project to develop a state of the art alternative
power energy storage device:
Activity Duration Predecessors Resources
A 4 days -- 1 Research Engineer
B 3 days A 1 Test Engineer
C 5 days A 1 Design Engineer
D 2 days A 1 Marketing Specialist
E 3 days B 1 Prototype Builder
F 4 days D 1 Test Engineer

The Owner has stipulated that in order to provide continuity throughout the project, the same individual
must handle all activities under his or her discipline. Activities on this project cannot be split.

(a) Identify any resource conflicts in the above project. State the activities involved, the time frame of the
conflict(s), which resources(s) are involved, and the quantity required.
(b) Given the owner's stipulation regarding project continuity and the need to minimize project duration,
how can this conflict be resolved? What will be the effect on the project duration? (Points : 16)


A)
The resource conflict that occurs is between activity C and D between days 5-9.
Both of these tasks require 1 design engineer during overlapping time periods.
B.)
To resolve the conflict I would early start activity D and late start activity C, based
on slack so the design engineer could focus on each activity without splitting
them. This will not effect the project duration because neither one of these tasks
are on the critical path.So using slack we will make up for the two overlapping day
by manipulating the slack of one day for each task.


4. (TCO F) The following data were obtained from an Information Systems project to upgrade and
expand a Local Area Network:
Activity Duration Predecessors Task Budget
A 3 Days --- $4,920
B 6 Days --- $7,680
C 3 Days A $15,140
D 2 Days B $3,980
E 3 Days B $5,630
F 2 Days C, D $2,270

At the end of Day 7, the status of the project is as follows:
Activity % Complete Actual Cost
A 100% $4,200
B 100% $8,740
C 100% $18,250
D 75% $2,600
E 10% $560
F 0% $0

(a) Calculate the Cost and Schedule Variances and Indexes for tasks A, B, C, D, and E.
(b) As project manager, write a brief summary of the status of the project at this time. (Points : 16)


PV EV SV CV
A 4,920 4920 0 4920-4200= 720
B 7,680 7,680 0 7680-8740= -1,060
C 15,140 15,140 0 15,140-18,250= -3,110
D 2,490 2,739 249 2,739-2600=139
E 1,857.9 563 -1,294 (563-560)= 3
B)
CPI SPI
A 4920/4200=1.171 4920/4920=1
B 7680/8740=.879 7680/7680=1
C 15140/18250=.83 15140/15140=1
D 2739/2600=1.053 2739/2490=1.376
E 563/560=1.005 563/1857.9= .1
Based on my calculations task E is late based on the schedule variance. Based on
the cost variance tasks B and C are overrun. Based on the CPI, tasks A, D, E are
under budget. And based on the SPI, task E is behind schedule while tasks A,B,C
were on schedule, and task D is ahead of schedule.


5. (TCO E) We have all been associated with projects with resource problems. As a project manager,
you will be responsible for resolving these problems. Remember, resources are human and otherwise. If
you can name it, it may be a resource.

(a) When there are not enough resources available to fill all the needs in the project plan, what are some
specific remedies a project manager can take to complete the project. How does each of these affect the
project plan and performance?
(b) Describe 5 of the many benefits to resource leveling. (Points : 16)


Resource leveling is a technique used to examine unbalanced use of resources
over time in a project, and for resolving over-allocations or conflicts.
The difference is that resource allocation assigns the resources, while leveling
resolves conflicts. If two tasks start at the same time and require the same
resource we can level these tasks to meet certain criteria.
B)
Five benefits of resource leveling are:
1.When resources are used on a more constant basis, they require less
management.
2. It helps avoid over allocation
3. It ensures that resource availability never falls below resource demand
4. It may enable project managers to use a just-in-time inventory policy in place of
expensive resources.
5. Helps the morale of the project team as well. And quality of the products when
they are able to deliver on time or finish a project on time and not over budget.

Week 6 Quiz



1. (TCO B) Crashing Problem

Using the network below and the additional information provided, find:
(a) The crash cost per day per activity?
(b) Which activities should be crashed to meet a project deadline of 12 days at minimum cost?
(c) What is the extra cost to crash the project?

Activity Normal
Time
Crash
Time
Normal
Cost
Crash
Cost
A 5 3 $300 $600
B 3 2 $250 $450
C 6 4 $400 $500
D 5 3 $150 $400

(Points : 16)



2. (TCO F) We have discussed at length the Earned Value Management process. I am sure all of you
have used the traditional process of assessing projects where we compare actual dollars spent to the
amount we had planned to spend. This was quick and easy, but it has its shortcomings, and the Earned
Value Management process is said to be better.

(a) Why is this traditional approach different from using earned value when assessing project
performance?
(b) Describe the EVM process used to determine how far our project is ahead of or behind
schedule. (Points : 16)



3. (TCO E) The following information is extracted from a project to develop a state of the art alternative
power energy storage device:
Activity Duration Predecessors Resources
A 4 days -- 1 Research Engineer
B 3 days A 1 Test Engineer
C 5 days A 1 Design Engineer
D 2 days A 1 Marketing Specialist
E 3 days B 1 Prototype Builder
F 4 days D 1 Test Engineer

The Owner has stipulated that in order to provide continuity throughout the project, the same individual
must handle all activities under his or her discipline. Activities on this project cannot be split.

(a) Identify any resource conflicts in the above project. State the activities involved, the time frame of the
conflict(s), which resources(s) are involved, and the quantity required.
(b) Given the owner's stipulation regarding project continuity and the need to minimize project duration,
how can this conflict be resolved? What will be the effect on the project duration? (Points : 16)



4. (TCO F) The following data were obtained from an Information Systems project to upgrade and
expand a Local Area Network:
Activity Duration Predecessors Task Budget
A 3 Days --- $4,920
B 6 Days --- $7,680
C 3 Days A $15,140
D 2 Days B $3,980
E 3 Days B $5,630
F 2 Days C, D $2,270

At the end of Day 7, the status of the project is as follows:
Activity % Complete Actual Cost
A 100% $4,200
B 100% $8,740
C 100% $18,250
D 75% $2,600
E 10% $560
F 0% $0

(a) Calculate the Cost and Schedule Variances and Indexes for tasks A, B, C, D, and E.
(b) As project manager, write a brief summary of the status of the project at this time. (Points : 16)



5. (TCO E) We have all been associated with projects with resource problems. As a project manager,
you will be responsible for resolving these problems. Remember, resources are human and otherwise. If
you can name it, it may be a resource.

(a) When there are not enough resources available to fill all the needs in the project plan, what are some
specific remedies a project manager can take to complete the project. How does each of these affect the
project plan and performance?
(b) Describe 5 of the many benefits to resource leveling. (Points : 16)