PROJECT MANAGEMENT HM-401

Project Network
Lec # 5 - 6

Project Network

Graphical portrayal of activities and event Shows dependency relationships between tasks/activities in a project Clearly shows tasks that must precede (precedence) or follow (succeeding) other tasks in a logical manner Clear representation of plan a powerful tool for planning and controlling project

Project Network

Cont

Schedule converts action plan into operating time table Basis for monitoring and controlling project Scheduling more important in projects than in production, because unique nature Sometimes customer specified/approved requirement Based on Work Breakdown Structure (WBS)

Project Network

Cont

Network analysis is the general name given to certain specific techniques which can be used for the planning, management and control of projects

Use of nodes and arrows Arrows An arrow leads from tail to head directionally Indicate ACTIVITY, a time consuming effort that is required to perform a part of the work. Nodes A node is represented by a circle Indicate EVENT, a point in time where one or more activities start and/or finish.
Activity A task or a certain amount of work required in the project Requires time to complete Represented by an arrow Dummy Activity Indicates only precedence relationships Does not require any time of effort

Project Network

Cont

Event Signals the beginning or ending of an activity Designates a point in time Represented by a circle (node) Network Shows the sequential relationships among activities using nodes and arrows
SUCCESSOR ACTIVITY

PRECEEDING

EVENT

Project Network
There are two approaches Activity-on-arrow (AOA)

Cont

Arrows represent activities and nodes are events for points in time, It uses an arrow to depict an activity.
The length of arrow shows relative time to complete tasks

Project Network
There are two approaches

Cont

Activity-on-node (AON) Nodes represent activities, and arrows show precedence relationships, It uses a node to depict an activity.

Project Network Rules

Networks typically flow from left to right. An activity can not begin until all of its preceding activities are complete. Arrows indicate precedence and can cross over each other. Identify each activity with a unique identifier, this identifier must increment (1.2.3, A,B,C etc) as the network proceeds. Looping is not allowed. Conditional statements are not allowed.

Use the start and stop nodes.

Time-Related Task properties

Situations in network diagram

A

B
A must finish before either B or C can start

A
C B A B A
both A and B must finish before C can start

C
D

both A and C must finish before either of B or D can start

B
Dummy

A must finish before B can start both A and C must finish before D can start

Network example
Illustration of network analysis of a minor redesign of a product and its associated packaging.

The key question is: How long will it take to complete this project ?

For clarity, this list is kept to a minimum by specifying only immediate relationships, that is relationships involving activities that "occur near to each other in time".

Preparation of activity network

Is this a Start Activity? Is this a Finish Activity? What Activity Precedes this? What Activity Follows this? What Activity is Concurrent with this?

Emphasis on Logic in Network Construction

Construction of network should be based on logical or technical dependencies among activities Example - before activity Approve Drawing can be started the activity Prepare Drawing must be completed Common error build network on the basis of time logic (a feeling for proper sequence ) see example below

Wrong

Correc t

Example 1- A simple network

Consider the list of four activities for making a simple product:

Activity A B C

Description Buy Plastic Body Design Component Make Component

Immediate predecessors B

Assemble product

A,C

Immediate predecessors for a particular activity are the activities that, when completed, enable the start of the activity in question.

Sequence of activities
Can start work on activities A and B anytime, since neither of these activities depends upon the completion of prior activities. Activity C cannot be started until activity B has been completed Activity D cannot be started until both activities A and C have been completed.

The graphical representation (next slide) is referred to as the PERT/CPM network

Network of Four Activities

Arcs indicate project activities

1
B

A C

2
Nodes correspond to the beginning and ending of activities

Example 2
Develop the network for a project with following activities and immediate predecessors:
Activity A B Immediate predecessors -

C
D E

B
A, C C

F
G

C
D,E,F

Try to do for the first five (A,B,C,D,E) activities

Network of first five activities

1
B C A

3
E

5
We need to introduce a dummy activity

Network of Seven Activities

1
B C A

3
dummy

D E F

Note how the network correctly identifies D, E, and F as the immediate predecessors for activity G. Dummy activities is used to identify precedence relationships correctly and to eliminate possible confusion of two or more activities having the same starting and ending nodes Dummy activities have no resources (time, labor, machinery, etc) purpose is to PRESERVE LOGIC of the network

EXAMPLES OF THE USE OF DUMMYACTIVITY

Network concurrent activities
a 1 b 2 1 b 3 a 2

Dummy

WRONG!!!

RIGHT

Activity c not required for e

a a b c c 1 e d 1 b d 2 e

WRONG !

WRONG !!!

RIGHT

RIGHT

WRONG!!!

RIGHT!!!

a precedes d. a and b precede e, b and c precede f (a does not precede f)

NETWORK TECHNIQUES

PERT -Program Evaluation and Review Technique - developed by the US Navy with Booz Hamilton Lockheed - on the Polaris Missile/Submarine program 1958

CPM
Critical Path Method Developed by El Dupont for Chemical Plant Shutdown Project- about same time as PERT

Both use same calculations, almost similar Main difference is probabilistic and deterministic in time estimation Gantt Chart also used in scheduling

Critical Path Method (CPM)

The Critical Path Method (CPM) is one of several related techniques for doing project planning. CPM is for projects that are made up of a number of individual "activities." If some of the activities require other activities to finish before they can start, then the project becomes a complex web of activities.
It is used for one time estimations. CPM can help to figure out 1. how long the complex project will take to complete 2. which activities are "critical," meaning that they have to be done on time or else the whole project will take longer If you put in information about the cost of each activity, and how much it costs to speed up each activity, CPM can help to figure out: 1. whether you should try to speed up the project, and, if so, 2. what is the least costly way to speed up the project.

Critical Path Method (CPM)

Example

Find the total path and the critical path

Critical path

Earliest start & earliest finish time

We are interested in the longest path through the network, i.e., the critical path. Starting at the networks origin (node 1) and using a starting time of 0, we compute an earliest start (ES) and earliest finish (EF) time for each activity in the network. The expression EF = ES + t can be used to find the earliest finish time for a given activity. For example, for activity A, ES = 0 and t = 5; thus the earliest finish time for activity A is EF = 0 + 5 = 5

Arc with ES & EF time

EF = earliest finish time ES = earliest start time Activity 2

t = expected activity time

Scheduling with activity time

Activity

A B C D E F G H I

Immediate predecessors A A A E D,F B,C G,H

Completion Time (week) 5 6 4 3 1 4 14 12 2 Total 51

This information indicates that the total time required to complete activities is 51 weeks. However, we can see from the network that several of the activities can be conducted simultaneously (A and B, for example).

Network with ES & EF time

2
D[5,8] 3

5 7 6

4 1

3
Earliest start time rule: The earliest start time for an activity leaving a particular node is equal to the largest of the earliest finish times for all activities entering the node.

Activity, duration, ES, EF, LS, LF

EF = earliest finish time ES = earliest start time Activity 3

2 LS = latest start time LF = latest finish time

Latest start & latest finish time

To find the critical path we need a backward pass calculation. Starting at the completion point (node 7) and using a latest finish time (LF) of 26 for activity I, we trace back through the network computing a latest start (LS) and latest finish time for each activity The expression LS = LF t can be used to calculate latest start time for each activity. For example, for activity I, LF = 26 and t = 2, thus the latest start time for activity I is LS = 26 2 = 24

Network with LS & LF time 2

D[5,8] 3[7,10]

5 7 6

4 1

3 Latest finish time rule:

The latest finish time for an activity entering a particular node is equal to the smallest of the latest start times for all activities leaving the node.

Precedence Relation

Precedence Relation

Precedence Relation

Precedence Relation

Precedence Relation

Precedence Relation

Precedence Relation

Precedence Relation

Precedence Relation
So there are 5 paths ACFI, ADHJ, ADGJ, AEHJ, BFI

Now identify the critical path

A-C-F-I = 5+3+4+6 = 18 weeks A-D-H-J = 5+4+6+4 = 19 weeks A-D-G-J = 5+4+5+4 = 18 weeks A-E-H-J = 5+6+6+4 = 21 weeks B-F-I = 4+4+6 = 14 weeks

Now identify the critical path

A-C-F-I = 5+3+4+6 = 18 weeks A-D-H-J = 5+4+6+4 = 19 weeks A-D-G-J = 5+4+5+4 = 18 weeks A-E-H-J = 5+6+6+4 = 21 weeks B-F-I = 4+4+6 = 14 weeks

Now find the early start and early finish time by using forward pass

EF = ES + D

Duration

The Early start time

The Early finish time, find it by EF = ES + D

EF = ES + D

EF = ES + D

Slack or Free Time or Float

Slack is the length of time an activity can be delayed without affecting the completion date for the entire project. For example, slack for C = 3 weeks, i.e Activity C can be delayed up to 3 weeks 3 (start anywhere between weeks 5 and 8).

2
ES 5 LS 8 EF 9 EF 12 LF-EF = 12 9 =3 LS-ES = 8 5 = 3

LF-ES-t = 12-5-4 = 3

Activity schedule for our example

Activity Earliest start (ES) Latest start (LS) Earliest finish (EF) Latest Slack finish (LF) (LS-ES) Critical path

A B C D E F G H I

0 0 5 5 5 6 10 9 24

0 6 8 7 5 6 10 12 24

5 6 9 8 6 10 24 21 26

5 12 12 10 6 10 24 24 26

0 6 3 2 0 0 0 3 0

Yes

Yes Yes Yes

Yes

Importance of Float (Slack) and Critical Path

1.

Slack or Float shows how much allowance each activity has, i.e how long it can be delayed without affecting completion date of project
Critical path is a sequence of activities from start to finish with zero slack. Critical activities are activities on the critical path. Critical path identifies the minimum time to complete project If any activity on the critical path is shortened or extended, project time will be shortened or extended accordingly

2.

3. 4.

Importance of Float (Slack) and Critical Path (cont)

5. So, a lot of effort should be put in trying to control activities along this path, so that project can meet due date. If any activity is lengthened, be aware that project will not meet deadline and some action needs to be taken. If can spend resources to speed up some activity, do so only for critical activities. Dont waste resources on non-critical activity, it will not shorten the project time. If resources can be saved by lengthening some activities, do so for non-critical activities, up to limit of float. Total Float belongs to the path

6.

7.

8.

9.

The End