Lecture 4 Project Resource Management
Lecture 4 Project Resource Management
By
Henry Waruhiu
Resource Allocation Problem
• A shortcoming of most scheduling procedures is that they
do not address the issues of resource utilization and
availability.
• Scheduling procedures tend to focus on time rather than
physical resources.
Resource Allocation Problem
• Schedules should be evaluated not merely in terms of
meeting project milestones, but also in terms of the
timing and use of scarce resources.
• A fundamental measure of the project manager’s success
in project management is the skill with which the trade-
offs among performance, time, and cost are managed.
Resource Allocation Problem
• The extreme points of the relationship between time use
and resource use are the following:
• Time Limited: The project must be finished by a certain
time, using as few resources as possible. But it is time,
not resource usage, that is critical
• Resource Limited: The project must be finished as soon as
possible, but without exceeding some specific level of
resource usage or some general resource constraint
Resource Loading
• Resource loading describes the amounts of individual
resources an existing schedule requires during specific
time periods.
• The loads (requirements) of each resource type are listed
as a function of time period.
• Resource loading gives a general understanding of the
demands a project or set of projects will make on a firm’s
resources.
Resource Loading
• The project manager must be aware of the flows of usage
for each input resource throughout the life of the project.
• It is the project manager’s responsibility to ensure that the
required resources, in the required amounts, are available
when and where they are needed.
Resource Loading Table
Resource Leveling (Smoothing)
• Resource leveling aims to minimize the period-by-period
variations in resource loading by shifting tasks within their
slack allowances.
• The purpose is to create a smoother distribution of resource
usage.
• Resource leveling, referred to as resource smoothing, has two
objectives:
– To determine the resource requirements so that they will be
available at the right time,
– To allow each activity to be scheduled with the smoothest possible
transition across usage levels.
Resource Leveling (Smoothing)
• Resource management is a multivariate, combinatorial
problem, i.e. multiple solutions with many variables, the
mathematically optimal solution may be difficult or
infeasible.
• More common approach to analyzing resource leveling
problems is to apply some resource leveling heuristics.
Resource Leveling Heuristics
• Prioritizing resource allocation include applying
resources to activities:
– with the smallest amount of slack
– with the smallest duration
– that start earliest
– with the most successor tasks
– requiring the most resources
Resource Leveling Steps
• Create a project activity network diagram
• Create a table showing the resources required for each
activity, durations, and the total float available
• Develop a time-phased resource loading table
• Identify any resource conflicts and begin to smooth the
loading table using one or more heuristics
Resource Leveling Techniques
1. Shift the start date of an activity within its slack time
2. Split the activity within its slack time
Activity Shifting
Activity Splitting
Draw an initial loading chart with each
8 activity scheduled at its ES.
Resources
6
Resource
4 imbalance
A D F
B
2 E
C
2 4 6 8 10 12 14
Project Days
Activity Splitting
Rearrange activities within their slack to
create a more level profile. Splitting C
8 creates a more level project.
Resources
4 C
A D F
B
2 E
C
2 4 6 8 10 12 14
Project Days