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Course outline

 Gantt chart
 Critical path method (CPM)
Chapter 3  Program evaluation and
LOADING AND SCHEDULING review technique (PERT)

TECHNIQUES

‘The purpose of life is a life of purpose.’

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Loading and scheduling techniques 1. Gantt chart

Scheduling can be considered as a typical queuing problem The Gantt chart is actually a
with following criteria: modified bar chart in which
i. Each job joins the end of the queue with first in first out horizontal bars are drawn for
priority. each activity in proportion to the
ii. Job/activity with the longest duration always goes first. time required for completing it.
A cursor attached to the Gantt
iii. Jobs may be ranked according to earliest delivery date. chart can be moved across the
chart to compare between
The schedules based on above criteria can be prepared with actual progress and planned
the help of following techniques: work till any particular date.
1. Gantt chart There are basically two types of
2. CPM Gantt charts.
3. PERT i. Order/activity control chart. Henry L. Gantt

ii. Machine load chart

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1. Gantt chart 1. Gantt chart

Advantages Limitations
• Different activities to be
performed. • Limitation of the size
• Time required for each • Showing many
activity for its completion. activities become
• Dates on which different complicated.
labors, materials and
equipment are needed. • Not able to show
• Progress of each item interrelationships &
• A picture of plan and its interdependencies
comparative progress • Critical activities are
• Bar chart has also difficult to identify
advantage of preparing it for
different levels of authority • Floats are not known.
as per requirements. • Not useful for time
uncertainty projects
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1. Gantt chart 1. Gantt chart

Linked bar chart Milestones chart

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2. Critical Path Method (CPM) 2. Critical Path Method (CPM)

The Critical Path Method or Critical Path The essential technique for using CPM is to
Analysis, is a mathematically based algorithm
for scheduling a set of project activities. construct a model of the project that includes
It is an important tool for effective project the following:
management .  A list of all activities required to complete
It is commonly used with all forms of projects, the project (also known as Work Breakdown
including construction, software development,
research projects, product development, Structure)
engineering, and plant maintenance, among  The time (duration) that each activity will
others.
take to completion
Any project with interdependent activities can
apply this method of scheduling.  The dependencies between the activities.
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2. Critical Path Method (CPM) 2. Critical Path Method (CPM)

 CPM calculates Definitions

Event
 The longest path of planned activities to the end of the
An event is a specific instant of time which indicates the beginning or
project end of the activity. Event is also known as a junction. It is represented
 The earliest and latest that each activity can start and finish by a circle and the event number is written within the circle. Unlike
without making the project longer activity, an event consumes neither time nor resources.
 Determines “critical” activities (on the longest path) Activity
 Prioritize activities for the effective management and to Every project consists of number of job operations or tasks which are
shorten the planned critical path of a project by: called activities. An activity is any time or resource consuming part of
the project which has definable start and finish. It may be process such
 Pruning critical path activities as moulding, finishing, cutting etc.; a material handling or material
 “Fast tracking" (performing more activities in parallel) procurement cycle.
An activity is represented by an arrow in the network diagram. It begins
 “Crashing the critical path" (shortening the durations of in start event which is also known as ‘tail event’, and ends in
critical path activities by adding resources) completion event or ‘head event’.

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2. Critical Path Method (CPM) 2. Critical Path Method (CPM)

Network Diagram
It is pictorial representation of a project plan showing
the inter-relationship and interdependencies between
the various activities in a sequence; in which they are
to be performed to complete the project.

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2. Critical Path Method (CPM) 2. Critical Path Method (CPM)

Earliest Start Time (EST): It is the earliest possible time at which an activity can
start, and is calculated by moving from first to last event in the network
diagram.

Earliest Finish Time (EFT): It is the earliest possible at which an activity can
finish.
EFT = EST + duration of that activity

Latest Start Time (LST): It is the latest possible time by which an activity can
start without delaying the date of completion of the project.
LST = LFT – duration of the activity.

Latest Finish Time (LFT): It is the latest time by which the activity must be
completed so that the scheduled date for the completion of the project may
not be delayed. It is calculated by moving backwards i.e. from last event to first
event of the network diagram.

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2. Critical Path Method (CPM) 2. Critical Path Method (CPM)

Float (slack): It is the amount of time that a task can be delayed without
Steps in CPM
causing a delay to: 1. Break the project into various activities.
 subsequent tasks (free float = EFT - EST) 2. Arrange all the activities in a logical sequence considering
 project completion date (total float = LST – EST = LFT - EFT) the pre-operations, post operations and concurrent
operations.
Critical path: It is the sequence of activities which add up to the longest overall
duration. It is the shortest time possible to complete the project. Any delay of 3. Construct the arrow diagram.
an activity on the critical path directly impacts the planned project completion 4. Number all the events and activities.
date (there is no float on the critical path). A project can have several, parallel,
near critical paths. An additional parallel path through the network with the 5. Mark the activity times on the arrow diagrams.
total durations shorter than the critical path is called a sub-critical or non- 6. Calculate EST, LST, EFT, LFT for each activity.
critical path.
7. Tabulate various times and mark EST and LFT.
Critical activity: It is an activity with zero float 8. Calculate total float and for each activity.
9. Identify the critical activities and mark the critical path on
Resource leveling: It is an iterative process of assigning crews to activities in the arrow diagram.
order to calculate their duration
10. Calculate the total project duration.
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2. Critical Path Method (CPM) 2. Critical Path Method (CPM)

Backward LF
Consider the following project:
Immediate ES
6 20
Activity Predecessor time (days) Forward
6 19
A -- 6 D
2 5 5
B -- 4 J
C A 3 1 6
0 A 3
6 E 13 H 23
D A 5
1 C 3
E A 1 4 7
F B,C 4 0 4 F 5
13 5
G B,C 2 B 4 I 23
K
H E,F 6 2
3 6
I E,F 5 G
J D,H 3 9 18
K G,I 5 18
9
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2. Critical Path Method (CPM) 3. Program Evaluation and Review Techniques (PERT)

Earliest/Latest Times PERT gives a way of identifying critical activities right at

Activity time ES EF LS LF Slack the planning stage so that management is aware of these
A 6 0 6 0 6 0 *critical potentially troublesome areas and exercise proper control
B 4 0 4 5 9 5 over them, so as to complete the project within the
EF = ES + t C 3 6 9 6 9 0* scheduled time.
D 5 6 11 15 20 9
LS = LF – t E 1 6 7 12 13 6
Where t is the F 4 9 13 9 13 0* PERT, actually developed as a research and development
G 2 9 11 16 18 7 planning tool where activity timings could not be
Activity time estimated with enough certainty. It can be employed at
H 6 13 19 14 20 1
I 5 13 18 13 18 0* those places where a project cannot be easily defined in
Slack = LF – EF
J 3 19 22 20 23 1 terms of time or resource required.
= LS - ES
K 5 18 23 18 23 0*
– The estimated project completion time is the Max EF at node 7 = 23.
PERT is mainly concerned with events and it is thus event-
oriented system.

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3. Program Evaluation and Review Techniques (PERT) 3. Program Evaluation and Review Techniques (PERT)

Estimation of activity time

PERT simplifies the calculation of standard deviation of the time and
1. Optimistic time (to): It is the shortest time in which an activity can given by
be completed assuming that everything goes exceptionally well. It
has low probability of occurrence. Estimates, σt = (tp – to)/6 and variance, V = σt2
2. Most likely time (tm): It is the most likely time required to
completer the activity taking into consideration all favorable and If the time required for an activity is highly variable – if the range of our
unfavorable elements. This estimate of time lies between the estimate is very large – then we will be less confident of the average
optimistic and pessimistic time. value we calculate than if the range is narrower.
3. Pessimistic time (tp): it is the time which an activity will take to
complete if everything turns out to be against expectation (i.e. Case 1: Case 2:
under adverse conditions). Similar to optimistic time it has low
probability of occurrence. • to = 5 • to = 8
4. Expected time (te): The three time estimate to, tm, tp are
combined statistically to develop the expected time te. It is given • tp = 17 • tp = 10
by
Te = (to + 4tm + tp)/6 • tm = 8 • tm = 9
• te = 9 • Te = 9
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3. Program Evaluation and Review Techniques (PERT)

Benefits of CPM/PERT Limitations of CPM/PERT

• Useful at many stages • Clearly defined,
of project
management. independent and
• Mathematically simple. stable activities
• Give critical path and • Specified precedence
slack time.
relationships
• Provide project
documentation. • Over emphasis on
• Useful in monitoring critical paths
costs.

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