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Copyright 2001 All Rights Reserved


Performance Management Associates, Inc.
Project Scheduling
CPM
CPM
-
-
200: Principles of Schedule
200: Principles of Schedule
Management
Management
IPM 2002 Fall Conference IPM 2002 Fall Conference
PMI PMI- -College of Performance Management College of Performance Management Professional Education Program Professional Education Program
Lesson B: Critical Path Scheduling Techniques
Lesson B: Critical Path Scheduling Techniques
Instructor Instructor
Jim Wrisley
Jim Wrisley
1
Copyright 2001 All Rights Reserved
Performance Management Associates, Inc.
Project Scheduling
Lesson Objectives
Lesson Objectives
-
-
1
1
TLO #1: The student will understand the evolution
of network scheduling, be able to differentiate
between two (2) primary types of network
scheduling methods and understand the value
of resource loading the network.
N ELO #1: The student will recognize the evolution of PERT
Scheduling.
N ELO #2: The student will be able to recognize and the Precedence
Diagramming Method (PDM) type schedule.
N ELO #3: The student will recognize the value of resource loading a
schedule.
2
Copyright 2001 All Rights Reserved
Performance Management Associates, Inc.
Project Scheduling
Lesson Objective
Lesson Objective
-
-
2
2
TLO #2: The student will understand how to create
and analyze a PDM type schedule.
N ELO #1: The student will be able to recognize and use the PERT
Formula for calculating durations.
N ELO #2: The student will be able to define the use of : Finish-to-Start,
Start-to-Start, Finish-to-Finish, relationships.
N ELO #3: The student will be able to define and calculate: critical path,
and total float on a PDM Schedule.
3
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Project Scheduling
Lesson Outline
Lesson Outline
NReviewing History of Network Scheduling
NPERT Durations
NPresent Three Major Types of Network
Schedule Estimating Techniques and
Associated Terminologies
NDemonstrate Network Computations
NDiscuss the Importance of Resource Leveling
NDiscussion
4
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Project Scheduling
Network Scheduling
5
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Performance Management Associates, Inc.
Project Scheduling
The History of Network Scheduling
PERT Scheduling
N U.S. Navy Special Projects
Office
N Polaris Missile Program
N 1957
- Activity-on-Node (AON) also known
as Precedence Diagramming Method
(PDM) --- Most Popular Most Popular
- Activity-on-Arrow (AOA) also known
as Arrow Diagramming Method (ADM)
Critical Path Method
N Remington-Rand and
Dupont
N Chemical processing
N 1957
6
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Project Scheduling
Critical Path Method (CPM) Estimating
Method
An Activity receives a Single Point
Estimate instead of the 3
required by PERT. Hence no
formula is needed.
Example: Estimated Duration = 17 days
7
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Project Scheduling
Program Evaluation Review Techniques
(PERT) Estimating Method
The PERT Formula
Uses a 3 Point Estimate
P
Pessimistic + 4x
M
Most Likely +
O
Optimistic
6
Given:
P = 22 days
M= 17 days
O = 15 days
22 + 68 + 15 105
6 6
= = 17.5
8
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Performance Management Associates, Inc.
Project Scheduling
Monte Carlo Simulations Estimating
Method
Monte Carlo Simulations
uses PERTs 3 Point
Estimates as basis. But it
does not use the PERT
formula.
This statistical technique
utilizes a computer to
simulate the outcome of a
project. It will give you the
probability of completing
the project on any given
day!
9
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Performance Management Associates, Inc.
Project Scheduling
Pros and Cons of Estimating Methods
CPM: Easiest to use. Many
experts believe it is the least
accurate predictor.
PERT: More sophisticated
and requires more thought.
Many experts believe it is
more accurate than CPM.
Monte Carlo Simulations:
Most sophisticated. Many
experts believe it is the best
prediction technique
10
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Performance Management Associates, Inc.
Project Scheduling
Basic Scheduling Terms
Critical Path: Longest path through Project.
Has no slack.
Slack (Float): The amount of time an activity
can be delayed without delaying the project.
Lag: Inserted waiting time between tasks.
Estimating Methods: (CPM, PERT, Monte
Carlo)
Resource Leveling: Allows a more stable
number of resources to be used on the project.
Crashing The Schedule: Adding more resources
to the Critical Path
Fast Tracking: Doing more tasks in parallel.
11
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Performance Management Associates, Inc.
Project Scheduling
The Goals Of Project Management:
to make the most effective use
of available resources such as:
so that project objectives
and goals can be achieved:
N People
N Equipment
N Facilities
N Materials
N Money
N Technology
N Within budget
N On schedule
N To the desired quality
12
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Performance Management Associates, Inc.
Project Scheduling
Work Packages /
Activities
CONTROL ACCOUNT
WBS
WORK
PACKAGES
ACTIVITIES
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Performance Management Associates, Inc.
Project Scheduling
CALCULATING THE NETWORK
NTask Durations
NForward Pass
NBackward Pass
14
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Project Scheduling
Task Durations (Estimates)
N Developed for each activity
N Developed by best
available authority
N Generally assumes normal
conditions (manpower,
equipment, calendar, etc.)
N CAUTION: - Over-
Estimating Tendencies
15
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Performance Management Associates, Inc.
Project Scheduling
DURATION
DRIVEN
EFFORT
DRIVEN
Activity Types
Estimate based on amount of calendar
time necessary for task completion
Estimate based on the amount of
work required to complete the activity
16
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Performance Management Associates, Inc.
Project Scheduling
PDM Network - A
PROJECT LENGTH?
M/S
0
Project
Start
3
B
10
E
4
A
3
D
C
4
F
8
G
6
M
10
Project
Completed
0
M/S
4
H
5
L
4
K
3
J
2
I
17
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Performance Management Associates, Inc.
Project Scheduling
EARLY DATES
Forward Pass
NFrom project start to finish, calculate the earliest
that each activity can start and finish according to
the logical sequence of work and the duration of
each activity
NYields project duration
18
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Performance Management Associates, Inc.
Project Scheduling
PDM Network - A
FORWARD PASS
M/S
0
1 0
000
Project
Start
3
1 3
002
B
10
4 13
005
E
4
1 4
001
A
3
5 7
004
D
1 4
003
C
4
12
006
F
8
5 19
007
G
6
14 29
013
M
10
20
29
014
Project
Completed
0
30 M/S
4
14 17
008
H
5
18 22
012
L
4
19 22
011
K
3
16 18
010
J
2
14 15
009
I
19
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Performance Management Associates, Inc.
Project Scheduling
LATE DATES
Backward Pass
NWorking backward from project finish to start,
calculate the latest that each task must start and
finish in order to meet the end date.
NYields when the project must start to meet the
latest acceptable completion date.
20
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Performance Management Associates, Inc.
Project Scheduling
PDM Network - A
BACKWARD PASS
M/S
0
1 0
000
Project
Start
3
1 3
002
B
10
4 13
005
E
4
1 4
001
A
3
5 7
004
D
1 4
003
C
4
12
006
F
8
5 19
007
G
6
14 29
013
M
10
20
29
014
Project
Completed
0
30 M/S
4
14 17
008
H
5
18 22
012
L
4
19 22
011
K
3
16 18
010
J
2
14 15
009
I
1 0 1 3 4 13
14 17 18 20
2 5 13 6 19 14 29 20
29 30
21 24 25 29
26 29 23 25 21 22
21
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Performance Management Associates, Inc.
Project Scheduling
Why Calculate The Network?
NEstablish ES & EF dates and project duration
NCalculate LF & LS dates based on project completion
NDefines Float
22
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Performance Management Associates, Inc.
Project Scheduling
= 13 days "Float"
N Also called Total/Path/Shared Float
Float
(Leeway Or Slack)
N Amount of time an activity can be delayed before it
impacts Project Completion
N Calculated by comparing LF to EF
001
A
4
1 4
17 14
23
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Performance Management Associates, Inc.
Project Scheduling
Total Float
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
LF
EF ES
LS
A
Total Float for Activity A
A
24
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Performance Management Associates, Inc.
Project Scheduling
3
D
5 7
H
14 17
4
6 days "Free Float"
004 008
Activity (Free) Float
NAmount of time an activity can be delayed before
it impacts any succeeding activity
25
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Performance Management Associates, Inc.
Project Scheduling
PDM Network - A
M/S
0
1 0
000
Project
Start
3
1 3
002
B
10
4 13
005
E
4
1 4
001
A
3
5 7
004
D
1 4
003
C
4
12
006
F
8
5 19
007
G
6
14 29
013
M
10
20
29
014
Project
Completed
0
30 M/S
4
14 17
008
H
5
18 22
012
L
4
19 22
011
K
3
16 18
010
J
2
14 15
009
I
Critical Path
1 0 1 3 4 13
14 17 18 20
2 5 13 6 19 14 29 20
29 30
21 24 25 29
26 29 23 25 21 22
26
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Performance Management Associates, Inc.
Project Scheduling
Critical Path
NLongest path of logically related activities through
the network which has the least Total Float.
NDefines project duration.
NPath:
B E G M
3 10 6 10 + + + = 29 days
27
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Performance Management Associates, Inc.
Project Scheduling
Resource Leveling
28
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Performance Management Associates, Inc.
Project Scheduling
N Assignment of resources (people, equipment, facilities,
materials, etc.) to each activity within the project
N Comparison of Needs vs. Availability
N Resulting Profiles (Histograms)
N Cumulative Plots (S-Curves)
N Other descriptive terms:
Resource Allocation
Resource Leveling
Resource Scheduling
Resource Smoothing
Why We Resource Load Networks
29
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Performance Management Associates, Inc.
Project Scheduling
This OFTEN is not true
The availability of resources has a direct
bearing on the duration of each activity.
We Develop A Staffing Plan
Because...
During Critical Path Method (CPM) schedule
development, the assumption has been that
unlimited manpower, material and equipment
are available
30
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Performance Management Associates, Inc.
Project Scheduling
CONTROL ACCOUNT
$ $ $
$ $ $ $ $ $
$ $ $
Total $1 $1 $2 $1 $2 $2 $2 $1 $1
$
M
a
n
u
a
l
?
A
u
t
o
m
a
t
e
d
?
Hrs Hrs Hrs
Hrs Hrs
Hrs
Hrs
Hrs
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Performance Management Associates, Inc.
Project Scheduling
Resources-loaded Schedules
NSchedules that have required resources identified
to a specific schedule activity
ACTIVITY X
DURATION: 2 days
TF = 1
Resources: 1 Hydrogeologist
1 Hydrogeologist Assistant
32 Hours
TITLE:
EARLY
START
LATE
START
EARLY
FINISH
LATE
FINISH
Review Geology Report
4/1
4/2
4/2
4/3
32
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Performance Management Associates, Inc.
Project Scheduling
PDM Network - A
M/S
0
000
Project
Start
3
002
B
10
005
E
4
001
A
3
004
D
003
C
4
006
F
8
007
G
6
013
M
10
014
Project
Completed
0
M/S
4
008
H
5
012
L
4
011
K
3
010
J
2
009
I
1 May 4 May
18 May 23 May
1 May 3 May
1 May 3 May
1 May 4 May
2 May 7 May
7 May 9 May
24 May 29 May
4 May 17 May
4 May 17 May
7 May 16 May
8 May 17 May
18 May 23 May
30 May 4 Jun
18 May 21 May
30 May 31 May
18 May 25 May
18 May 25 May
22 May 24 May
1 Jun 5 Jun
24 May 31 May
5 Jun 11 Jun
25 May 31 May
6 Jun 11 Jun
29 May 11 Jun
29 May 11 Jun
11 Jun 1 May
33
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Performance Management Associates, Inc.
Project Scheduling
Activity Duration Total Float Free Float Resources
*Duration Driven
A
B
C
D
E
F
G
H*
I
J
K
L
M
4
3
4
3
10
8
6
4
2
3
4
5
10
13
0
1
13
0
1
0
7
7
7
7
7
0
0
0
0
6
0
1
0
0
0
0
7
7
0
24
6
12
3
40
16
30
4
14
18
8
20
20
215
Network A
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Performance Management Associates, Inc.
Project Scheduling
Activity
A
B
C
D
E
F
G
H
I
J
K
L
M
1
6
2
3










11
2
6
2
3










11
3
6
2
3










11
4
6

3

4








13
7



1
4
2







7
8



1
4
2







7
9



1
4
2







7
10




4
2







6
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4
2







6
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4
2







6
15




4
2







6
16




4
2







6
17




4








4
18






5
1
7




13
21






5
1
7




13
22






5
1

6



12
23






5
1

6



12
24






5


6

4

15
25






5



2
4

11
29










2
4
2
8
30










2
4
2
8
31










2
4
2
8
1












2
2
4












2
2
5












2
2
6












2
2
7












2
2
8












2
2
11












2
2
( = Late Finish)
May
June
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Performance Management Associates, Inc.
Project Scheduling
0
2
4
6
8
10
12
14
16
R
e
s
o
u
r
c
e

R
e
q
u
i
r
e
m
e
n
t
s
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
Project Days
Total Resources by Day - Net A
Net A Resource Profile
36
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Performance Management Associates, Inc.
Project Scheduling
Why We Do Resource Analysis
NDetermine resource requirements
(manpower projections, hire/fire strategies)
NBalance resource usage
NConsider time/resource tradeoff
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Performance Management Associates, Inc.
Project Scheduling
Total Float
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
LF
EF ES
LS
A
Total Float for Activity A
A
38
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Performance Management Associates, Inc.
Project Scheduling
Activity
A
B
C
D
E
F
G
H
I
J
K
L
M
1
6
2
3










11
2
6
2
3










11
3
6
2
3










11
4
6

3

4








13
7



1
4
2







7
8



1
4
2







7
9



1
4
2







7
10




4
2







6
11




4
2







6
14




4
2







6
15




4
2







6
16




4
2







6
17




4








4
18






5
1
7




13
21






5
1
7




13
22






5
1

6



12
23






5
1

6



12
24






5


6

4

15
25






5



2
4

11
29










2
4
2
8
30










2
4
2
8
31










2
4
2
8
1












2
2
4












2
2
5












2
2
6












2
2
7












2
2
8












2
2
11












2
2
( = Late Finish)
May June
39
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Performance Management Associates, Inc.
Project Scheduling
PDM Network - A
M/S
0
1 0
000
Project
Start
3
1 3
002
B
10
4 13
005
E
4
1 4
001
A
3
5 7
004
D
1 4
003
C
4
12
006
F
8
5 19
007
G
6
14 29
013
M
10
20
29
014
Project
Completed
0
30 M/S
4
14 17
008
H
5
18 22
012
L
4
19 22
011
K
3
16 18
010
J
2
14 15
009
I
Critical Path
1 0 1 3 4 13
14 17 18 20
2 5 13 6 19 14 29 20
29 30
21 24 25 29
26 29 23 25 21 22
40
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Performance Management Associates, Inc.
Project Scheduling
Activity
A
B
C
D
E
F
G
H
I
J
K
L
M
1
6
2
3










11
5
2
6
2
3










11
5
3
6
2
3










11
5
4
6

3

4








13
7
7



1
4
2







7
6
8



1
4
2







7
6
9



1
4
2







7
6
10




4
2







6
11
6



4
2







6
12
14
6



4
2







6
12
15
6



4
2







6
12
16
6



4
2







6
12
17



1
4








4
5
18



1


5
1
7




13
14
6
21



1


5
1
7




13
14
6
22






5
1
7
6



12
13
23






5
1
7
6



12
13
24






5
1

6

4

15
12
25






5
1

6
2
4

11
12
29









6
2
4
2
8
12
30










2
4
2
8
31










2
4
2
8
1










2
4
2
2
8
4










2
4
2
2
8
5












2
2
6












2
2
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2
2
8












2
2
11












2
2
Total
Float
13
0
1
13
0
1
0
7
7
7
7
7
0
5
5
5
5
5
5
5
LOGIC A "DRIVES" D
D "DRIVES"
H - L - I - J - K
( = Late Finish)
May June
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Performance Management Associates, Inc.
Project Scheduling
0
2
4
6
8
10
12
14
R
e
s
o
u
r
c
e

R
e
q
u
i
r
e
m
e
n
t
s
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
Project Days
"Net A" Resource Profile
42
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Performance Management Associates, Inc.
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S Curves
R
E
S
O
U
R
C
E
S
TIME
TIME-PHASED RESOURCE PLAN
(CUMULATIVE PLOT)
43
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Performance Management Associates, Inc.
Project Scheduling
( = Late Finish)
May June
Activity
A
B
C
D
E
F
G
H
I
J
K
L
M
1
6
2
3










11
2
6
2
3










11
3
6
2
3










11
4
6

3

4








13
7



1
4
2







7
8



1
4
2







7
9



1
4
2







7
10




4
2







6
11




4
2







6
14




4
2







6
15




4
2







6
16




4
2







6
17




4








4
18






5
1
7




13
21






5
1
7




13
22






5
1

6



12
23






5
1

6



12
24






5


6

4

15
25






5



2
4

11
29










2
4
2
8
30










2
4
2
8
31










2
4
2
8
1












2
2
4












2
2
5












2
2
6












2
2
7












2
2
8












2
2
11












2
2
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Performance Management Associates, Inc.
Project Scheduling
"Net A" Resource Curves
0
25
50
75
100
125
150
175
200
225
250
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
Project Days
C
u
m
u
l
a
t
i
v
e

R
e
s
o
u
r
c
e
s
Early Start
Late Start
Scheduled (Baseline)
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Performance Management Associates, Inc.
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FORECASTING RESOURCES
2 4 6 8 10 12 14 16 18 20 22 24 26 28 30
1 2 4 6
5
3
A

B

C

D

E

F

G

H
TOTAL
CUM
1 1 1 1
1 1 1 1 1
1 1 1 1 1 1
1 1 1 1 1 1
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
1 1 1
1 1 1 1 1 1 1 1 1 1
1 1 1 1
1 1 1 1 3 3 3 3 3 2 2 2 2 2 2 2 1 1 1 1 2 2 2 2 2 2 2 2 1 1
1 2 3 4 7 10 13 16 19 21 23 25 27 29 31 3334 35 36 37 39 41 43 45 47 49 51 5354 55
A
4
E
16
G
10
F
4
H
4
B
5
C
6
D
6
RESOURCES
3
2
1
TIME
PROFILE
USAGE TABLE
CUMULATIVE (S) CURVE
R
E
S
O
U
R
C
E
S
50
40
20
30
10
1
46
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Performance Management Associates, Inc.
Project Scheduling
Should I Resource Load My
Schedule?
Pros:
Tight integration of schedules and budgets
Visibility of resource requirements by skill category
Facilitates enterprise-wide resource planning
Ease of what if modeling during the planning phase
Facilitates recovery planning
Cons:
Requires expert scheduling capabilities (software & personnel)
Over reliance on software tools instead of resource managers
Some resources are more critical than others
Benefits diminished if not done on an enterprise-wide basis
47
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Performance Management Associates, Inc.
Project Scheduling
Planning & Budgeting
Establish the Baseline - An Iterative 3-Step Process
$
Time
Mgmt Res
Baseline
1. Define The Work
2. Schedule The Work
3. Allocate Resources
Project Budget Base
15
25
30
30
100
40
60
48
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Project Scheduling
Additional Reading Resources
Scheduling Guide for Program Managers: Defense
Acquisition University - 2001
A Guide To Project Management Body of Knowledge:
Project Management Institute- 2000
PMP Exam Prep- 2
nd
Edition: Rita Mulcahy, PMP
49
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Project Scheduling

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