Critical Chain Project Scheduling

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INSTRUCTOR’S RESOURCE MANUAL

CHAPTER ELEVEN

Critical Chain Project Scheduling

To Accompany

PROJECT MANAGEMENT:
Achieving Competitive Advantage

By
Jeffrey K. Pinto

CHAPTER 11

PROJECT PROFILE – Canada’s Oil Sands Recovery Projects
INTRODUCTION
11.1 THE THEORY OF CONSTRAINTS AND CRITICAL CHAIN PROJECT SCHEDULING
Theory of Constraints
Common Cause and Special Cause Variation
11.2 CCPM AND THE CAUSES OF PROJECT DELAY
Method One: Overestimation of Individual Activity Durations
Method Two: Project Manager Safety Margin
Method Three: Anticipating Expected Cuts from Top Management 11.3 HOW PROJECT TEAMS WASTE THE EXTRA SAFETY THEY ACQUIRE
Method One: The “Student Syndrome”
Method Two: Failure to Pass Along Positive Variation
Method Three: Negative Consequences of Multitasking
Method Four: Delay Caused by Activity Path Merging
11.4 THE CRITICAL CHAIN SOLUTION TO PROJECT SCHEDULING
Developing the Critical Chain Activity Network
Critical Chain Solutions versus Critical Path Solutions
PROJECT PROFILE – BAE Systems and Critical Chain Project Management 11.5 CRITICAL CHAIN SOLUTIONS TO RESOURCE CONFLICTS
11.6 CRITICAL CHAIN PROJECT PORTFOLIO MANAGEMENT
PROJECT MANAGEMENT RESEARCH IN BRIEF – Advantages of Critical Chain Scheduling 11.7 REACTIONS TO CCPM
Summary
Key Terms
Solved Problems
Discussion Questions
Problems
Case Study 11.1: Judy’s Hunt for Authenticity
Case Study 11.2: Ramstein Products, Inc.
Internet Exercises
Bibliography

TRANSPARENCIES

11.1 FIVE KEY STEPS IN THEORY OF CONSTRAINTS

11.2 DISTRIBUTION BASED ON COMMON CAUSE VARIATION

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11.3 DISTRIBUTION BASED ON MISINTERPRETATION OF VARIATION

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11.4 GAUSSIAN (LOG NORMAL) DISTRIBUTION

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11.5 STUDENT SYNDROME MODEL

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11.6 EFFECTS OF MULTITASKING ON ACTIVITY DURATIONS

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11.7 THE EFFECT OF MERGING MULTIPLE ACTIVITY PATHS

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11.8 REDUCTION ON PROJECT DURATION AFTER AGGREGATION

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11.9 CCPM NETWORK EMPLOYING FEEDER BUFFERS

11.10 EXAMPLE – ORIGINAL PROJECT SCHEDULE USING EARLY START

11.11 EXAMPLE (CON’D) – REDUCED SCHEDULE USING LATE START

11.12 EXAMPLE (CON’D) – CRITICAL CHAIN SCHEDULE WITH BUFFERS ADDED

11.13 CRITICAL PATH NETWORK WITH RESOURCE CONFLICTS

11.14 THE CRITICAL CHAIN SOLUTION

11.15 CRITICAL CHAIN PORTFOLIO MANAGEMENT – THREE PROJECTS STACKED TO USE A DRUM RESOURCE

11.16 APPLYING CCB’S TO DRUM SCHEDULES

DISCUSSION QUESTIONS

1. For questions 1 and 2, refer to the BAE Systems case at the beginning of the chapter. What are the practical implications internally (in terms of team motivation) and externally (for the customer) of making overly optimistic project delivery promises?

Setting high goals challenges the team to become more efficient, to work faster and set high standards for member performance. As for the customer, optimistic delivery dates makes BAE Systems initially more appealing to potential clients.

2. In considering how to make a big change in organizational operations (as in the case of switching to CCPM), why is it necessary to go through such a comprehensive set of steps; that is, why does a shift in project scheduling require so many other linked changes to occur?

A number of problems confront us when...
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