This assignment allows the student to apply project management models. This
assignment enables the student to understand how popular project management.
Assignment 4: - Project Management Aims This assignment allows the student to apply project management models. This assignment enables the student to understand how popular project management techniques are applied and implemented.
Introduction A project defines a combination of interrelated activities that must be executed in a certain order before an entire task can be completed. Project management has evolved as a field of study, with the development of two analytical techniques for planning, scheduling, and controlling projects. These techniques are the project evaluation and review technique (PERT) and the critical path method (CPM). The purpose of this exercise is for the student to appreciate project planning issues and the application of PERT\CPM techniques. Please answer the following questions.
Exercise 4 1. Consider the PERT/CPM network shown in diagram 4-1. D
2
3 F
A
E B
1
G
4
J 6
C
7
H I 5
Diagram 4-1
a. Briefly define and describe the function of dummy activities. b. Add any required dummy activity nodes to network 4-1 (to eliminate the problem that the activities have the same starting and ending nodes). c. Add dummy activities that will satisfy the following immediate predecessor requirements shown in Table 4-1:
Activity H I G
Immediate predecessor B, C B, C D, E Table 4-1
2. Piccadilly College is considering building a new multipurpose athletic complex on campus. The complex would provide a new gymnasium for intercollegiate football MATS-31004
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Assignment 4
games, expanded office space, classrooms, and intramural facilities. The activities that would have to be undertaken before beginning constructing are shown in Table 4-2 below.
Activity A B C D E F G H
a. b. c. d.
Description Survey building site Develop initial design Obtain board approval Select architect Establish budget Finalise design Obtain financing Hire contractor Table 4-2
Immediate predecessor A, B C C D, E E F, G
Time (weeks) 6 8 12 4 6 15 12 8
Develop a PERT/CPM network for this project. Identify the critical path. Develop the activity schedule for the project. Does it appear reasonable that construction of the athletic complex could begin 1 year after the decision to begin the project with the site survey and initial design plans? What is the expected completion time for the project?
3. Office Automation, Inc., has developed a proposal for introducing a new computerised office system that will improve word processing and interoffice communications for a particular company. Contained in the proposal is a list of activities that must be accomplished to complete the new office system project. Information about the activities is shown below.
Activity A B C D E F
Description Plan needs Order equipment Install equipment Setup training lab Conduct training Test system
Immediate Time (weeks) predecessor Normal Crash 10 8 A 8 6 B 10 7 A 7 6 D 10 8 C, E 3 3 Table 4-3
Cost ($000’s) Normal Crash 30 70 120 150 100 160 40 50 50 75 60 60
a. Show the network for the project. b. Develop an activity schedule for the project. c. What are the critical path activities, and what is the expected project completion time? d. Assume that the company wishes to complete the project in 6 months or 26 weeks. What crashing decisions would be recommended to meet the desired completion time at the least possible cost? Work through the network, and attempt to make the crashing decisions by inspection. e. Develop an activity schedule for the crashed project. f. What is the added project cost to meet the 6-month completion time? MATS-31004
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4. Hamilton Country Parks is planning to develop a new park and recreational area on a recently purchased 100-acre tract of land. Project development activities include cleaning playground and picnic areas, constructing road, constructing a shelter house, purchasing picnic equipment, and so on. The PERT/CPM network shown below in Figure 4-1 is being used in the planning, scheduling, and controlling of this project. D 2
4
3
A 9
H 6
C
1
I 6
E
6
7 3
0
B
G
6
Activity time in weeks
2
F
3
5 3
Figure 4-1 a. What is the critical path for this network? b. Show the activity schedule for this project. c. The park commissioner would like to open the park to the public within 6 months from the time the work on the project is started. Does this opening date appear feasible? Explain your answer. 5. The East Oil Company owns a pipeline network that is used to transmit oil from its source to several storage locations. A portion of the network is shown in Figure 42: 3 2 0
Flow capacity: 5000 gallons/hour
3 5
5 3
2
2
6
0
2 2
2
3
1 3
6
6
5
0
7
1 0
0
3 4
1 2
Figure 4-2 MATS-31004
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a. What is the maximum flow from source to location 7? b. If the firm is to satisfy a demand of 100,000 gallons of oil to location 7, how long it will take?
Resources Anderson, Sweeney and Williams “An Introduction to Management Science, quantitative approaches to decision making” 7th edition Lapin L, “Quantitative Methods for business decisions with cases”, 5th edition Slack N, Chambers S and Johnston R (2004), Operations Management, fourth edition, Prentice Hall, ISBN 0-273-67906-6 Swift L and Piff S (2005), Quantitative Methods for business, management and finance, second edition, Palgrave Macmillan, ISBN 1-4039-3528-9. Please reference any sources that you have used when compiling your assignment.
Penalties for Late Submission In accordance with the Textile and Paper late submission rules, a 10% per day penalty will be applied to work submitted after the deadline without prior written authorisation by a member of academic or support staff.
Hand-In Date The “Project Management Models” assignment should be submitted to reception before the end of the working day (before 4pm) Friday 11/5/07.
Contact Details Dr Huw Owens, Room B44, Sackville Street Building. Telephone Number: - +44 (0) 161 306 5891 Email: -
[email protected]
MATS-31004
March 2007
Assignment 4
