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06 - Pert CPM

Network analysis techniques like CPM and PERT allow for planning, management, and control of projects through modeling activities as a network. [1] CPM uses deterministic activity times and single estimates, suited for repetitive work. [2] PERT uses probabilistic times and multiple estimates, suited for non-repetitive research projects. [3] These network techniques identify the critical path of minimum time needed to complete the project and any slack times in the schedule.

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Sreenath Talanki
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50 views22 pages

06 - Pert CPM

Network analysis techniques like CPM and PERT allow for planning, management, and control of projects through modeling activities as a network. [1] CPM uses deterministic activity times and single estimates, suited for repetitive work. [2] PERT uses probabilistic times and multiple estimates, suited for non-repetitive research projects. [3] These network techniques identify the critical path of minimum time needed to complete the project and any slack times in the schedule.

Uploaded by

Sreenath Talanki
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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PROJECT MANAGEMENT

CPM/PERT

V P B Chakravarthi . K
Abhijeet Kumar
Project

● “A project is a series of activities directed


to accomplishment of a desired objective.”

Plan your work first…..then work


your plan
Network analysis
Introduction

Network analysis is the general name given to certain specific


techniques which can be used for the planning, management and
control of projects.
One definition of a project:
“A project is a temporary endeavour undertaken to create a "unique"
product or service”
CPM - Critical Path Method

● Definition: In CPM activities are shown as a network of


precedence relationships using activity-on-node network
construction
– Single estimate of activity time
– Deterministic activity times

USED IN : Production management - for the jobs of


repetitive in nature where the activity time estimates can
be predicted with considerable certainty due to the
existence of past experience.
PERT -
Project Evaluation & Review Techniques

● Definition: In PERT activities are shown as a network of


precedence relationships using activity-on-arrow network
construction
– Multiple time estimates
– Probabilistic activity times

USED IN : Project management - for non-repetitive jobs


(research and development work), where the time and cost
estimates tend to be quite uncertain. This technique uses
probabilistic time estimates.
Gantt chart

Originated by H.L.Gantt in 1918

Advantages Limitations
- Gantt charts are quite commonly used. - Do not clearly indicate details regarding
They provide an easy graphical the progress of activities
representation of when activities (might)
take place. - Do not give a clear indication of
interrelation ship between the separate
activities
CPM/PERT

These deficiencies can be eliminated to a large extent by


showing the interdependence of various activities by means of
connecting arrows called network technique.

● Overtime CPM and PERT became one technique

● ADVANTAGES:
– Precedence relationships
– large projects
– more efficient
The Project Network

● 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 on Node & Activity on Arrow

Activity on Node Activity on Arrow

- A completion of an activity - An arrow represents a task,


is represented by a node while a node is the
completion of a task
- Arrows represent order of
events
Activity Slack

Each event has two important times associated with it :


• Earliest time , Te , which is a calendar time when a event can
occur when all the predecessor events completed at the earliest
possible times
• Latest time , TL , which is the latest time the event can occur with
out delaying the subsequent events and completion of project.

● Difference between the latest time and the earliest time of an event
is the slack time for that event

Positive slack : Slack is the amount of time an event can be delayed


without delaying the project completion
Critical Path

● Is that the sequence of activities and events where there is no


“slack” i.e.. Zero slack

● Longest path through a network


● minimum project completion time
Benefits of CPM/PERT

● Useful at many stages of project management


● Mathematically simple
● Give critical path and slack time
● Provide project documentation
● Useful in monitoring costs
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".
Before starting any of the above activity, the questions
asked would be

•"What activities must be finished before this activity can start"

•could we complete this project in 30 weeks?

•could we complete this project in 2 weeks?

One answer could be, if we first do activity 1, then activity 2, then activity
3, ...., then activity 10, then activity 11 and the project would then take the sum
of the activity completion times, 30 weeks.

“What is the minimum possible time in which we can complete this project ? “
We shall see below how the network analysis diagram/picture we construct
helps us to answer this question.
CRITICAL PATH TAKES 24 WEEKS FOR THE COMPLETION OF THE PROJECT
Packages are available to determine the shortest path
and other relevant information.
Data entry window
Output of the package
Limitations to CPM/PERT

● Clearly defined, independent and stable activities


● Specified precedence relationships
● Over emphasis on critical paths
Thank you

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