Project Management Models

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Assignment 4: - Project Management Aims
This assignment allows the student to apply project management models. This assignment enables the student to understand how popular project management techniques are applied and implemented.

A project defines a combination of interrelated activities that must be executed in a certain order before an entire task can be completed. Project management has evolved as a field of study, with the development of two analytical techniques for planning, scheduling, and controlling projects. These techniques are the project evaluation and review technique (PERT) and the critical path method (CPM). The purpose of this exercise is for the student to appreciate project planning issues and the application of PERT\CPM techniques. Please answer the following questions.

Exercise 4
1. Hamilton Country Parks is planning to develop a new park and recreational area on a recently purchased 100-acre tract. Project development activities include cleaning playground and picnic areas, constructing road, constructing a shelter house, purchasing picnic equipment, and so on. The PERT/CPM network shown below is being used in the planning, scheduling, and controlling of this project. D 2

9 1 6





6 7 3 Activity time in weeks

6 3


5 3

Network 1-1: Network diagram for the Hamilton County Parks Project. a. b. c. d. Briefly define and describe the function of dummy activities. What is the critical path for this network (Network 1-1)? Show the activity schedule for this project. The park commissioner would like to open the park to the public within 6 months from the time the work on the project is started. Does this opening date appear feasible? Explain.


March 2008

Assignment 4

2. Office Automation, Inc., has developed a proposal for introducing a new computerised office system that will improve word processing and inter-office communications for a particular company. Contained in the proposal is a list of activities that must be accomplished to complete the new office system project. Information about the activities is shown below. Immediate Time (weeks) Cost ($000’s) Activity Description predecessor Normal Crash Normal Crash Plan needs A 10 8 30 70 Order equipment B A 8 6 120 150 Install equipment B 10 7 100 160 C Setup training lab D A 7 6 40 50 Conduct training D 10 8 50 75 E Test system F C, E 3 3 60 60 Table 2-1: Project Information for the Office Automation Inc Proposal a. Show the network for the project. b. Develop an activity schedule for the project. c. What are the critical path activities, and what is the expected project completion time? d. Assume that the company wishes to complete the project in 6 months or 26 weeks. What crashing decisions would be recommended to meet the desired completion time at the least possible cost? Work through the network, and attempt to make the crashing decisions by inspection. e. Develop an activity schedule for the crashed project. f. What is the added project cost to meet the 6-month completion time? 3. Northwest University is installing a computerised electronic mail system that will enable messages to be transmitted instantly among eight department offices. The network with possible electronic connections among the offices is shown below. Distances between the offices are shown in kilometres (km). a) Develop a design for the office communication system that minimises the total length of the connections among the eight offices. 3 2 2.5 0.5 1.5 1 3 1 3 4 1.2 5 1 4 4 7 1 6 2

Network 3-1: Northwest University: Distances between sites
2.5 8




March 2008

Assignment 4

4. 4-1).

Part of the Northwest Highway network system can be seen below (Network

2 2 4 1 3 3 2 2 2 5 2 2 1 1 2 4

Vehicle flow capacity: 5000 vehicles per hour 5 6

Network 4-1: Northwest Highways Traffic flow Network. a) b) Determine the maximal flow in...
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