Chapter 6 Network Analysis

1. After completion of this chapter, you should be able to:

To identify or define:
- Critical Path
- AOA Networks
- Forward and backward passes
- Variability in Actiity times
- Cost and Networks
To describe or explain:
- !escribe how a P"#$ network analysis works
- Critical path method %CP&'
- Variability in Actiity times
- !eterminin( the Pro)ect *chedule+
2. Managing proects with networks !s!ally in"ol"es fo!r steps:
- !escribin( the pro)ect
- !ia(rammin( the network
- "stimatin( time of completion
- &onitorin( pro)ect pro(ress
#. $becti"es of network analysis
- &inimi,ation of total pro)ect cost
- &inimi,ation of total pro)ect duration+
- &inimi,ation of idle resources
- &inimi,e production delays, interruptions and conflicts+
%. Manage&ent of large proects
- 'lanning - (oal settin(, pro)ect definition, team or(ani,ation
- (ched!ling - relatin( people, money, and supplies to specific actiities
and actiities to one and other
- Controlling - monitorin( resources, costs, .uality, and bud(ets/ reisin(
plans and shiftin( resources to meet time and cost demands+
). 'roect planning
Pro)ect plannin( is the process of identifyin( all the actiities necessary to
successfully complete the pro)ect+ 0t consists of:
- "stablishin( ob)ecties
- !efinin( pro)ect
- Creatin( work breakdown structure
- !eterminin( resources
- Formin( or(ani,ation
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6. 'roect (ched!ling
Pro)ect *chedulin( is the process of determinin( the se.uential order of the
planned actiities, assi(nin( realistic durations to each actiity, and determinin(
the start and finish dates for each actiity+
- 0dentifyin( precedence relationships
- *e.uencin( actiities
- !eterminin( actiity times and costs
- "stimatin( materials and worker re.uirements
- !eterminin( critical actiities
*. '!rposes of 'roect (ched!ling
- *hows the relationship of each actiity to others and to the whole pro)ect+
- 0dentifies the precedence relationships amon( actiities+
- "ncoura(es the settin( of realistic time and cost estimates for each
actiity+
- 2elps make better use of people, money and material resources by
identifyin( critical bottlenecks in the pro)ect+
+. ,escribing the proect
Acti"ity
- the smallest unit of work effort consumin( both time and resources
that the pro)ect mana(er can schedule and control+
'recedence -elationship
- determines a se.uence for undertakin( actiities/ it specifies that
one actiity cannot start until a precedin( actiity has been
completed+
.. ,iagra&&ing the Network
Acti"ity/$n/Arc 0A$A1 network
0t uses arcs or arrows to represent actiities and nodes to represent eents+
2"ent - is the point at which one or more actiities are to be completed
and one or more other actiities are to be(in
- an eent consumes neither time nor resources+
- A-O-A emphasi,es actiity connection points+
- 2ere, precedence relationships re.uire that an eent not occur until
all precedin( actiities hae been completed+
13.Acti"ity $n Node 0A$N1 Network
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Nodes represent actiities and the arcs indicate the precedence
relationships between them+
$he approach is actiity oriented+
2ere the precedence relationships re.uire that an actiity not be(in until
all precedin( actiities hae been completed+
11. 'roect Manage&ent Techni4!es
4antt chart
Critical Path &ethod %CP&'
Pro(ram "aluation and #eiew $echni.ue %P"#$'
12.5antt Chart
A 4antt Chart is a simple techni.ue that can be used to attach a time scale
and se.uence to a pro)ect+ 4antt charts, also known as milestone plans, are
a low cost means of assistin( the pro)ect mana(er at the initial sta(e of
schedulin(+ $hey ensure that:
All actiities are planned for,
$he se.uence of actiities is accounted for,
$he actiity time estimates are recorded/ and
$he oerall pro)ect time is recorded+
1#.'2-T and C'M
Network techni.ues
!eeloped in the 15678s
- CP& by !uPont for chemical plants %1569'
- P"#$ by :oo,, Allen and 2amilton with the ;+* Nay, for Polaris missile
%156<'
Consider precedence relationships and interdependencies+
"ach uses a different estimate of actiity times+
&ethod to analyse the tasks inoled in completin( a (ien
pro)ect, especially the time needed to complete each task, and
identifyin( the minimum time needed to complete the total pro)ect+
1%.'rogra& 2"al!ation and -e"iew Techni4!e 0'2-T1
- A flowchart dia(ram that depicts the se.uence of actiities needed to
complete a pro)ect and the time or costs associated with each actiity+
- "ents: "ndpoints for completion
- Actiities: time re.uire for each actiity
- *lack time: the time that a completed actiity waits for another actiity to
finish so that they can be(in )ointly another actiity+
=
- Critical path: the lon(est path of actiities that allows all tasks to be
completed+
1). Critical 'ath Method C'M
$he Critical Path &ethod, abbreiated CP&, is a mathematically based al(orithm
for schedulin( a set of pro)ect actiities+ 0t is a ery important tool for effectie
pro)ect mana(ement+ 0t was deeloped in the 15678s in a )oint enture between
!uPont Corporation and #emin(ton #and Corporation for mana(in( plant
maintenance pro)ects+ $oday, it is commonly used with all forms of pro)ects,
includin( construction, software deelopment, research pro)ects, product
deelopment, en(ineerin(, and plant maintenance, amon( others+ Any pro)ect
with interdependent actiities can apply this method of schedulin(+
16.The six steps co&&on to '2-T and C'M
!efine the pro)ect and prepare the work breakdown structure+
!eelop relationships amon( the actiities+
!raw the network connectin( all the actiities+
Assi(n time and cost estimates to each actiity+
Compute the lon(est time path throu(h the network+ $his is called the
critical path+
;se the network to help plan, schedule, monitor, and control the pro)ect+
1*."rrors and lo(ical se.uence
$hree types of errors in lo(ic may arise when drawin( network, particularly when
it is a complicated one+ $hese are known as
>oopin(: Normally in the network, the arrow points from left to ri(ht+
$his conention is to be strictly adhered, as this would aoid the illo(ical
loopin(, as shown wron(ly below+
!an(lin(: $he situation represented by the followin( dia(ram is also at
fault, since the actiity represented by the dan(lin( arrow 9-< is
undertaken with no result+
1+.!ummy arrows
!ummy arrows are used to transfer lo(ic from one eent node to another
in the net work+ $hey are represented by broken arrows+
?
A dummy arrow has ,ero duration and does not represent an actiity+
$hese symbols are used to represent the relationships amon(st the
actiities+
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