PRMG

Course

Project Planning
PM 10

Prepared by:

Consultant/Dr. Reda Sabry,

PMP,RMP,SP,PMOC,CCP,PSP, IPMA L-A,PRINCE2
M.Sc. of Construction Management
Doctorate of Business Administration, DBA
Certified Programme & Portfolio Management Consultant (IPMA®PPMC)
 Project Planning

Contents
Project Management Introduction

Critical Path Method CPM

Activity on Arrow (AOA) or Arrow Diagram Method (ADM)

Activity on Node (AON)

Forward and Backward Calculations

PERT & Precedence Diagram

Program Evaluation & Review technique (PERT)

Illustrative Example

Probability of Completing the Project

Precedence Diagram Method (PDM)

Project Crashing

Exercises

Line of Balance

Procedures when preparing a Line of Balance Schedule

Resources Management & Update & Follow up Exercises

Primavera Project Planning P6 Introduction.

Contents
 Project Planning

Project Management Introduction

1. Introduction
1.1 What is a Project?
1.2 What is Project Management?
1.3 Relationship to other Management Disciplines
1.4 Related Endeavors
2. The Project Management Context
2.1 Project Phases and the Project Life Cycle
2.2 Project Stakeholders
2.3 Key General Management Skills
2.4 Socioeconomic Influences
3. Project Management Processes
3.1 Project Processes
3.2 Process Groups
4. Project Work Breakdown Structure (WBS)
4.1 WBS Definition
4.2 WBS Characteristics
4.3 Creation of a WBS has only a few “rules”
4.4 WBS Examples

Time Cost
Scope

Quality

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Introduction

1.1 What is a Project?

A temporary endeavor undertaken to create a unique product or service
● Temporary:
- Has a definite Beginning and End, not an on-going effort.
- Ceases when objectives have been attained. Team disbanded upon completion.
● Unique:
- The product or service is different in some way from other products or services.
● Progressively Elaborated:
- Progressively means “proceeding in steps; continuing steadily by increments”.
- Elaborated means “worked out with care and detail; developed thoroughly”.
Projects Versus Operations
● Similarities between Projects and Operations
- Both performed by people (even 1 person).
- Both are constrained by resources.
- Both are planned, executed and controlled.
- Both are done for a purpose and have interrelated activities
● Differences between Projects and Operations
- Operations are on going and repetitive.
- Projects are temporary endeavor undertaken to create unique products or
services that are progressively elaborated.

1.2 What is Project Management?

The application of knowledge, skills, tools, and techniques to project activities in order
to meet or exceed stakeholder needs and expectations.
● Project Management
● Program Management
● Stakeholder Management

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1.3 Relationship to other Management Disciplines

The Project Management Body
of Knowledge
Generally
Accepted Project
Management
Knowledge &
Practice

General Application Area

Management Knowledge &
Knowledge & Practice
Practice

Related Management Disciplines

● General Management: Planning, organizing, staffing, executing, and controlling the
operations of an ongoing enterprise.
● Application Areas: Common elements that are significant in some Projects but not
present in other projects
- Technical
- Management
- Industry groups

1.4 Related Endeavors

● Program:
Consists of a group of projects supporting broad and general goals managed in a
coordinated way.
● Sub-projects:
Components of a project that are often contracted out.

The Project Management Context

2.1 Project Phases and the Project Life Cycle

● There are different Life Cycles:
- Project Life Cycle
- Process Groups Life Cycle.
- Product Life Cycle.

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Project Life Cycle

● Project Life Cycle:
A collection of generally sequential project phases whose name and number are
determined by the control needs of the organization or organizations involved in the
project.
● Project Phase:
A collection of logically related project activities, usually culminating in the
completion of a major deliverable.

Initial Phase Intermediate Phase Final Phase

Cost & Staffing Level

(One or More)

Start Time Finish

Sample Generic Life Cycle

Full
Installation Operation
100%
Substantially
Complete
Percent Complete

Major
Contracts Let

Project “GO”
Decision

Stage I Stage II Stage III Stage IV

Feasibility Planning & Design Construction Turnover
- Project Formulation - Base Design - Manufacturing & Startup
- Feasibility Studies - Cost & Schedule - Delivery - Final Testing
- Strategy Design & - Contract Terms & - Civil Works - Maintenance
Approval Conditions - Installation
- Detailed Planning - Testing
Life Cycle Stage
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Characteristics of Project Life Cycle

● Cost and Staffing level is lower at the start, higher towards the end.
● Probability of successful completion is lower at the start, higher toward the end.
● Risk and uncertainty is higher at the start, lower towards the end.
● The ability of stakeholder to influence the project product is higher at the start,
lower towards the end.
Key Concepts
● Project Phase:
“A collection of logically related project activities usually culminating in the
completion of a major deliverable”.
● Project Life Cycle:
“Collectively the project phases are known as the project Life Cycle.” It serves to
define the Beginning and the End of a project and it may include several Product
Life Cycles.
● Product Life Cycle:
The natural grouping of ideas, decisions, and actions into Product Phases, from
product conception to operations to Product Phase-out. It serves to define the
Beginning and the End of a tangible and verifiable deliverable.
Project Management Life Cycle
This Life Cycle describes what you need to do to manage the project.
● Initiating
● Planning
● Executing
● Controlling
● Closing
2.2 Project Stakeholders
● A stakeholder is someone whose interests may be positively or negatively impacted
by the project. They may also include those who may exert influence over the
project but would not otherwise be considered stakeholders.
● Examples of Stakeholders are:
- Project Manager: The individual responsible for managing the project.
- Customer: The individual or organizational that will use the product of the project
- Performing organization, government agencies.
- Sponsor: The individual / group who provides the financial resources for the
project.
- Team: Those who will be completing work tasks on the project.
- Internal / External: Stakeholders can come from inside or outside the organization.

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- End users – The individuals or organizations that will use the product of the
project when it is completed.
- Society, citizens – Often members of society can be stakeholders – e.g., instances
when a new road is being build through a community or a new emergency phone
number (such as a 911 number) is being set up.
- Others – Owners, fenders, sellers.
Sponsor Versus Customer
The customer, although not the same as the Sponsor, Both fulfill the same role
● Both formally accept the product of the project.
● Both may provide major key dates and milestones.
● Both risk thresholds should be taken into account.
● Both don’t sign the project charter that is the role of senior management.

Project Office
There is a range of uses for what constitutes a project office. A project office may
operate on a continuum from providing support functions to project managers in the
form of training, software, templates, etc. to actually being responsible for the results
of the project Samples:
● Providing the policies, methodologies and templates for managing projects within
the organization.
● Providing support and guidance to others in the organization on how to manage
projects, training others in project management or project management software
and assisting with specific project management tools.
● Providing Project Managers for different projects and being responsible for the
results of the projects. All projects (or projects of a certain size, type or influence)
are managed by this office.

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2.3 Key General Management Skills

Is a broad subject dealing with every aspect of managing an ongoing enterprise.
Among other topics, it includes:
● Finance and accounting, sales and marketing, research and development, and
manufacturing and distribution.
● Strategic planning, technical planning, and operational planning
● Organizational structures, organizational behavior, personal administration,
compensation, benefits, and career paths.
● Managing work relationships through motivation, delegation, supervision, team
building, conflict management, and other techniques.
● Managing oneself through personal time management, stress management, and
other techniques.
2.4 Socioeconomic Influences
Standards and Regulations:
● A STANDARD is a “ document approved by a recognized body, that provides, for
common and repeated use, rules, guidelines, or characteristics for products,
processes or services with which compliance is not mandatory. “ There are
numerous standards in use covering everything from thermal stability of hydraulic
fluids to the size of computer diskettes”.
● A REGULATION is a “document which lays down product, process or service
characteristics, including the applicable administrative provisions, with which
compliance is mandatory.” Building codes are an example of regulations.
Internationalization:
As more and more organizations engage in work which spans national boundaries,
more and more projects span national boundaries as well. In addition to the traditional
concerns of scope, cost, time, and quality, the project management team must also
consider the effect of time zone difference, national and regional holidays, travel
requirements for face-to-face meetings, the logistics of teleconferencing, and often
volatile political differences.
Cultural Influences:
● Culture is the “totality of socially transmitted behavior patterns, arts, beliefs,
institutions, and all other products of human work and thought”.
● Every project must operate within a context of one or more cultural norms. This
area of influence includes political, economic, demographic, educational, ethical,
religious, and other areas of practice, belief, and attitudes that affect the way
people and organizations interact.

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Project Management Processes

3.1 Project Processes

Projects are composed of processes.
A process is "a series of actions bringing about a result".
Project processes are performed by people and generally fall into one of two major
categories:
● Project management processes describe, organize, and complete the work of the
project.
● Product-oriented processes specify and create the project's product. Product-ori-
ented processes are typically defined by the project life cycle and vary by
application area.
Project management processes and product-oriented processes overlap and interact
throughout the project. For example, the scope of the project cannot be defined in the
absence of some basic understanding of how to create the product.
3.2 Process Groups
Initiating Processes : Authorizing the project or phase.
Planning Processes : Defining and refining objectives and selecting the best of the
alternative courses of action to attain the objectives that the
project was undertaken to address.
Executing Processes : Coordinating people and other resources to carry out the
plan.
Controlling : Ensuring that project objectives are met by monitoring and
Processes measuring progress regularly to identify variances from plan
so that corrective action can be taken when necessary.
Closing Processes : Formalizing acceptance of the project or phase and bringing
it to an orderly end

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Initiation Planning
Process Process

Controlling Executing
Process Process

Closing
Process
- Arrows represent flow of information

Links among process Groups in a Phase

Executing
Process
Level of Activity

Planning
Process
Initiation Closing
Process Controlling Process
Process

Phase Phase
Time
Start Finish

Overlap of Process Groups in a Phase

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Project Work Breakdown Structure (WBS)

Work - Sustained physical or mental effort to overcome obstacles and

achieve an objective or result.
- A specific activity, duty, function, or assignment often being a part or
phase of some larger undertaking.
- Something produced or accomplished by effort, exertion, or exercise
of skill.
Breakdown - Divide into parts or categories.
- Separate into simpler substances.
- Undergo decomposition.
Structure - Something arranged in a definite pattern of organization.

WBS Definition:

WBS is defined as a deliverable oriented grouping of project elements that

organizes and defines the total scope of the project.

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WBS Characteristics:

- It’s representative of work as an activity, and this work has a tangible result.
- It’s arranged in a hierarchical structure.
- It has an objective or tangible result, which is referred to as a deliverable.
Code of Accounts:

Uniquely identifies each element of the WBS.

Work packages:

A deliverable at the lowest level of the WBS.

WBS dictionary:
Created with team members’ assistance, a WBS Dictionary is designed to control
what work is done and when, to prevent scope creep and to increase understanding
of the effort for each task. Sometimes entries are also called task descriptions. They
help the project putting boundaries on what is included in the task (or work
package).

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Creation of a WBS has only a few “rules”:

- It is created with the help of the team.
- The first level is completed before the project is broken down further.
- Each level of the WBS is a smaller segment of the level above.
- The entire project is included in each of the highest levels. However, eventually
some levels will be broken down further than others.
- Work toward the project deliverables.
- Work not in the WBS is not part of the project.
- WBS can become a template for future projects.
- Break down the project into work packages or activities that:
* Can be realistically and confidently.
* Cannot be logically subdivided further.
* Can be completed quickly.
* Have a meaningful conclusion and deliverable.
* Can be completed without interruption (without the need for more
information).
* The top level of the WBS is project title.
* The first level is most commonly the same as the project life cycle (for a
software project-requirement analysis, design, coding, testing, conversion
and operation).
* The second and later levels break the project into smaller pieces.
* The lowest level that the project manager will manage the project to call the
work package or activity.
* This work may be broken down again by the person or persons completing
the work.

Summary:

In summary; the WBS:

- Defines the hierarchy of deliverables
- Supports the definition of all work required to achieve an end objective or
deliverable(s)
- Provides a graphical picture or textual outline of the project scope
- Provides the framework for all deliverables across the project life cycle
- Provides a vehicle for integrating and assessing schedule and cost performance
- Provides the association to the responsible stakeholders
- Facilitates the reporting and analysis of project progress and status data
- Provides a framework for specifying performance objectives

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Project 1

Level (1)

Level (2) 1.1 1.2 1.3 1.4 1.5 1.6

Level (3)
1.1.2 1.2.2

1.2.2.3

Level (4)

1.5.4.5

1.1.2.9
1.1.2.9.5
Level (5)

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Banquet

1.1 1.2 1.3 1.4 1.5 1.6

Planning & Room &
Dinner Guests Stuff Speakers
Supervision Equipment

1.1.1 1.2.1 1.3.1 1.4.1 1.5.1 1.6.1

Planning Menu Site Guest Shoppers Invite
/ Room List
1.1.2 1.2.2 1.3.2 1.4.2 1.5.2 1.6.2
Budget Shopping Tables Reservation
Protocol (RSVP) Cooks Transport
List / Chairs
1.1.3 1.2.3 1.3.3 1.4.3 1.5.3 1.6.3
Disbursements Shopping Setting Name Tags Coordinate
Servers
/ Reconciliation / Utensils Topics
1.1.4 1.2.4 1.3.4 1.4.4 1.5.4 1.6.4
Coordination Cooking Special Hosts
Decorations Thank You
Needs

1.2.5 1.3.5 1.5.5

Serving Equipment,
Cleanup
Pots, etc.

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“WBS” Assignment
Task 1:

Object- oriented Function- oriented

• Open air laying out ● Watering

• trees ● to form/ create the open air
laying out
• lightning/ illumination ● to get the construction material
• bushes of flowers ● to plant
• annual flowers ● create a plan for planting
• lawn suitable for playing soccer on it ● fertilize
• grill ● electrical- work
• stones for bordering the slope ● earth- work
• gravel ● craftsman’s work
• climbing tree ● wood- work
• wire netting ● working out of the conception
• plants ● plant- work
• stones for bordering the lawn ● to buy plants
• roses ● digging plant holes
• sand- box ● paving
• swing ● to make price comparison
• seating ● to sow the lawn
• sun- blind ● preparing
• playing field ● to form paths
• terrace ● to set fences
• terrace pavement
• paths
• fences
• pales
• ornamental shrubs
• Playing areas
• Facilities
• Construction Elements

It is required to draw Work Breakdown structure (WBS) for both object- oriented and
function- oriented.

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Project Tasks:
1 - Develop Project Work Breakdown Structure (WBS)
2 - Draw CPM network, Calculate the project total duration and indicate the critical path.
Draw a bar chart and a resource-loading diagram showing the resource requirements profile
3-
(Manpower & Material) for the project over the total time period.
4 - Draw the progress curve (S-curve) for the project for both resources (Manpower & Material).
Details for: Group No.
Project Name

Project Description
Optional Tasks Selected
Grades
Name
Task1 Task2 Task3 Task4

Group
Members'
Details

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Activity on Arrow (AOA) or

Arrow Diagram Method (ADM)

The direction of the arrow represents a precedence relationship.

In the network segment
A
i j

Event i must occur before activity A can commence. Similarly, event j cannot occur until activity A has
been completed.
The precedence relationship is transitive among nodes. If i precedes j and j precedes k, then i precedes k:

i j k

Example:

Activity Duration Predecessors

3 5
1–2 2 ─── 1
1–3 1 ─── 5
1 1
2–3 1 1–2 2 2
2–4 5 1–2
3–5 5 1–3&2–3 5
2 4
4–5 2 2–4

An activity Network
Example:

Immediate
Activity
Predecessors
B ─── B E
1 2 3

C ─── C
X

E B
G 5
4
G C&B An activity Network

CPM (AOA & AON Diagrams) 18

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Arrow Network Techniques

Dummy Activity (Dashed Arrow):

Case 1:
A < C, B & B<D & C<D

(2 ─ 3) = activity C A C D
1 2 3 4
(2 ─ 3) = activity B

The Right:

E is Dummy Activity (Duration = 0)

A C D
1 2 3 4

B
5 E

Case 2:
A<C & B<E & C < D, E

A C D
B

E Because B is not < D

A C D

CPM (AOA & AON Diagrams) 19

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Case 3:
A < D, E
B < E, F
C<F
D
A

B E

C F A is not < F

D
A

B E

C F

Case 4:
A<C & B<D & C<D

A C D
1 2 4 5
Dummy x is unnecessary
B X
3

A C D
1 2 3 4

B
Activity A = (1 – 2 )
Activity B = (1 – 3 )
Activity C = (2 – 3 )
Activity D = (3 – 4 )

CPM (AOA & AON Diagrams) 20

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Case 5:
A<C
B < C, D, E
C<E

C E
A

x z

B
D

B is a redundant restriction on E

C E
A

B
D

No need for Dummy Z

CPM (AOA & AON Diagrams) 21

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Critical Path Method (CPM)

Critical Path Method (CPM):

The critical path method closely resembles Program Evaluation and Review Technique (PERT) in
many aspects but was developed independently by E. I. du Pont de Nemours Company. As a matter of
fact, the two techniques, PERT and CPM were developed almost simultaneously. The major
difference between them is that CPM does not incorporate uncertainties in job times Instead, it
assumes that activity times are proportional to the amount of resources allocated to them, and that by
changing the level of resources, the activity times and the project completion time can be varied.
Thus, CPM assumes prior experience with similar projects from which relationships between
resources and job times are available. CPM then evaluates the trade-off between project costs and
project completion time.
CPM is mostly used in construction projects where one has prior experience in handling similar
projects. Although PERT and CPM were independently developed and come from different origins,
the methods are quite similar. In current practice, the words PERT and CPM are sometimes used
interchangeably the definitions and procedures that follow apply to both PERT and CPM.

CPM (AOA & AON Diagrams) 22

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Total Float:

The Total Float TF of activity is the maximum time that activity can be delayed without causing delay in
the final project completion. It is computed by:

TF = LS - ES or TF = LF - EF

Free Float:

Free Float is a measure of the maximum time activity may be delayed without affecting the start of the
successor activities. Free Float differs from total float in that it measures the time available without
delaying succeeding jobs. It is determined by:

An activity's free float can, of course, never be larger than its total float.

FF = The Smallest ES for the immediate Successor – EF ± Lead

15 0 25
B 0
FS = 5 15 1 0 25
0 0 10
A 0
0 10 10

FS = 10 20 0 25
C 0
20 5 25

- ve Lead

CPM (AOA & AON Diagrams) 23

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Problem:

Activity
Duration Immediate
I.D Description (Days) Predecessors

A Procure parts for subassembly 1 5 None

B Procure parts for subassembly 2 3 None
C Procure parts for subassembly 3 10 None
D Build subassembly 1 7 A
E Build subassembly 2 10 B
F Build subassembly 4 5 D&E
G Build subassembly 3 9 B&C
H Final assembly 4 F&G
I Final inspection and test 2 H

Solution: 2 7 (D)
5 (A)
5
10 (E) 5 (F)
3 (B) 4 (H) 2 (I)
1 3 6 7 8

0 (X) 9 (G)
10 (C)
Activity on Arrow Network
4

Earliest Latest
Duration Critical
Activity Start Finish Start Finish Slack
(Days) Path
ES EF LS LF
A 5 0 5 2 7 2
B 3 0 3 1 4 1
C 10 0 10 0 10 0 *
D 7 5 12 7 14 2
X 0 3 3 10 10 7
E 10 3 13 4 14 1
F 5 13 18 14 19 1
G 9 10 19 10 19 0 *
H 4 19 23 19 23 0 *
I 2 23 25 23 25 0 *

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Problem for Activity on Arrow:

Immediate Duration
Activity
Predecessors (Days)
Q Lead time ─── 10
R Line available ─── 30
A Measure and sketch Q 2
B Develop material list A 1
C Procure pipe B 30
D Procure valves B 45
E Prefabricate sections C 5
F Deactivate line R&B 1
G Erect scaffold B 2
H Remove old pipe and valves F&G 6
I Place new pipe H&E 6
J Weld pipe I 2
K Place valves D&F&G 1
L Fit up pipe and valves K&J 1
M Pressure test L 1
N Insulate K&J 4
O Remove scaffold L&N 1
P Cleanup M&O 1

Solution:
P
14 15
M
12
L
Z O
11
J
N
10 13
I

9
E
A B C K
2 3 4 7
D H
Q G
X
8 Project Network
R F
1 5 6 Y

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Activity - On – Node (AON):

The primary difference in this method is that activities are represented by nodes, with the arrows merely
representing precedence relationships. In other words, time is consumed at the nodes and not the arrows
there is no need at any time to create dummy activities. Any precedence relationship can be expressed
correctly without them.

A D

B E

The construction of the network is facilitated by adding two fictitious activities ("Start" & "Finish").

Problem for Activity - on - Node:

Immediate Duration
Activity
Predecessors (Days)
Q Lead time ─── 10
R Line available ─── 30
A Measure and sketch Q 2
B Develop material list A 1
C Procure pipe B 30
D Procure valves B 45
E Prefabricate sections C 5
F Deactivate line R&B 1
G Erect scaffold B 2
H Remove old pipe and valves F&G 6
I Place new pipe H&E 6
J Weld pipe I 2
K Place valves D&F&G 1
L Fit up pipe and valves K&J 1
M Pressure test L 1
N Insulate K&J 4
O Remove scaffold L&N 1
P Cleanup M&O 1

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R F H
(30) (1) (6)

Start I J
G (6) (2)
(0)
(2)

N O
Q A B E (4) (1)
(10) (2) (1) (5)
P Finish
C (1) (0)
(30)
K L M
(1) (1) (1)

D
(45)

Activity – On – Node Representation

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AOA & AON Diagram

Assignment

Ex (1):
The following activity list represents the job logic for a small construction project. Draw The Activity On
Arrow diagram for this project.

Activity Depend on

A D
B R
C D
E R&S&A
F B&C
D None
S A&C
R A&C

Ex (2):
Draw The Arrow Diagram for this project.

Activity Depend on

A None
C E&A
D A
E A
B A
R B&D&C
H E
F B
N F&R&H
Q F&R&H
Z N
T Z&Q
I N
M I
K M&T

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Ex (3):
Activities, Sequences and Times for the Renewal of a Pipeline.

Code of Activity Time

Activity Activity Code Immediate Requirement
Predecessor (days)
Assemble crew for job A ------- 10
Use old line to build inventory B ------- 28
Measure & Sketch old line C A 2
Develop materials list D C 1
Erect scaffold E D 2
Procure Pipe F D 30
Procure Valves G D 45
Deactivate old line H B, D 1
Remove old line I E, H 6
Prefabricate new pipe J F 5
Place valves K E, G, H 1
Place new pipe L I, J 6
Weld pipe M L 2
Connect Valves N K, M 1
Insulate O K, M 4
Pressure test P N 1
Remove Scaffold Q N, O 1
Cleanup & turnover to operating Crew R P, Q 1

Required:

(i) Develop an activity-on-arrow diagram for the above project.

(ii) Calculate the ES/ EF/LS/LF& Floats.
(iii)Compute the critical path and show it on the diagram.

Ex (4):
Table-1
Activity Immediate Duration Activity Immediate Duration
Identification predecessors (days) Identification predecessors (days)
1-2 - 3 4-5 1-4 2
1-3 - 1 5-8 4-5 3
1-4 - 3 6-8 3-6 4
3-6 1-2& 1-3 2 7-8 3-7& 3-6& 1-4 3
3-7 1-2& 1-3 7

Table-1 gives the precedence list for a 9 activity project

a) Draw the activity on arrow diagram
b) Calculate the early start, early finish, late start, late finish and float for each activity & determine
the critical path.

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Program Evaluation and Review Technique (PERT)

PERT was developed by the U.S. Navy during the late 1950 to accelerate the development of the
Polaris Fleet Ballistic Missile. The development of this weapon involved the coordination of the work
of thousands of private contractors and other government agencies.

Higher

Most Likely
(Used in original CPM Calculations)
PERT Weighted Average =
Optimistic + 4 x Most Likely + Pessimistic
Probability ( 6 )
Of
Occurrence
Beta Distribution

Optimistic Pessimistic
Lower

Shorter Possible Durations Longer

Mean or Average Duration (µ):

(a + 4 m + b)
µ=
6

Variance (σ 2):

[ (b - a)² ]
2
σ =
(6) ²

Standard Deviation (σ):

σ = (b - a)/6

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Illustrative Example:

Duration
Job Predecessors Optimistic Most Probable Pessimistic
a m b
A (1 – 2) ‫ـــ‬ 2 5 8
B (2 – 4) A 6 9 12
C (2 – 3) A 6 7 8
D (4 – 5) B,C 1 4 7
E (2 – 5) A 8 8 8
F (5 – 6) D,E 5 13 17
G (3 - 6) C 3 12 21
H (6 – 7) F,G 3 6 9
I (7 – 8) H 5 8 11

3
C
7 12
5 G
9
1 A 2 4
B 4
8 D
E 13 6 8
5 6 7 8
F H I

Project Network

PERT & Precedence Dig. 31

 Project Planning

Solution:

Standard
Job Average Time Variance
Deviation
A 5 1 1
B 9 1 1
C 7 0.333 0.11
D 4 1 1
E 8 0 0
F 13 2 4
G 12 3 9
H 6 1 1
I 8 1 1

Duration
Activity ES EF LS LF TF
(Days)
A 5 0 5 0 5 0*
B 9 5 14 5 14 0*
C 7 5 12 7 14 2
D 4 14 18 14 18 0*
E 8 5 13 11 19 6
F 13 18 31 18 31 0*
G 12 12 24 19 31 7
H 6 31 37 31 37 0*
I 8 37 45 37 45 0*

Critical Path = A, B, D, F, H, I

Total Duration = 45 days

The Sum of C.P Variances = Project Variances = 1 + 1 + 1 + 4 + 1 + 1 = 9

The Standard deviation for The Project = 3

PERT & Precedence Dig. 32

 Project Planning

Probability of Completing the Project:

In our example, T is normally distributed with mean 45 and standard deviation 3. For any normal
distribution, the probability that the random variable lies within one standard deviation from the mean is
0.68. Hence, there is a 68 % chance that the project duration will be between 42 and 48 days. Similarly,
there is a 99.7% chance that T will lie within three standard deviations (between 36 and 54).

(T - µ)
Zα =
σ

Zα 0.00 0.01 0.02 ……………………………..

0.0 0.5000 0.4860 0.4920 ……………………………..

0.1 0.4602 0.4562 0.4522

0.2 0.4207 0.4168 0.4129
…………….

1 0.1587 0.1562 0.1539 ……………………………..

3 .00135 .0³988 .0³687 ……………………………..

PERT & Precedence Dig. 33

 Project Planning

PERT & Precedence Dig. 34

 Project Planning

Calculation of Project Standard Deviation

(b - a) 2
1. Calculate Variances for each Critical Path activity (σ2 ) =
36

2. Project Variances = Σ σ2 for Critical Activities.

3. Project Standard deviation = σ = Σ σ2 C.P.A

T - μ
Zα =
σProject

PERT & Precedence Dig. 35

 Project Planning

For the Previous Example:

What is the Probability that the Project will be completed within 50 days?

What is the Completion time having a probability of 80 %?

Zα = (T - µ) / σ = (50 - 45) / 3 = 5/3 = 1.666

From the Chart: area under the curve = .0485

1 - α = 1 - 0.0485 = 0 .9515

Probability for Completing within 50 days = 95 %

80% → 1 - α = 0.8 → α = 0.2

→ Zα = 0.84 = (T - µ) / σ = (T - 45) / 3

→ T = 2.52 + 45 = 47.52 days ≈ 48 days.

PERT & Precedence Dig. 36

 Project Planning

Example:

Duration
Activity
Optimistic Most Likely Pessimistic
1-2 6 7 14
1-3 8 10 12
2-3 2 3 4
2-4 6 7 8
3-4 5 5.5 9
3-5 5 7 9
4-6 4 6 8
5-6 2.5 3 3.5

2 4

1 6

3 5

The table above gives the optimistic, most likely and pessimistic duration for each activity in the
activity- on- arrow diagram.

Required:

(a) Compute the critical path.

(b) What is the probability that the project will be completed within 25 days?
(c) What is the completion time having probability of 73%?

PERT & Precedence Dig. 37

 Project Planning

Solution:

Activity a m b µ σ2
A 6 7 14 8 1.78 *
B 8 10 12 10
C 2 3 4 3 0.11 *
D 6 7 8 7
E 5 5.5 9 6 0.44 *

F 5 7 9 7
G 4 6 8 6 0.44 *
H 2.5 3 3.5 3

• The Critical Path:

C.P = A, C, E, G

• Project Duration = 8 + 3 + 6 + 6 = 23 days

Project Variances = Σ { σ2A + σ2C + σ2E + σ2G } = 2.78

Project Standard Deviation = ( V ) 0.5 = 1.667

For T = 25 → Z α = (25 – 23) / σ = 2 / 1.667 = 1.2

From the Chart Z α = 1.2 → α = 0.1151 (area under the curve)

Probability to finish = remaining area = (1 – α ) x 100 = 88.5%

• Probability to finish 73% means 1 – α = 0.73

α = 0.27 from the chart

Z α = 0.61 = (T – 23) / 1.667 → T = 24 days

PERT & Precedence Dig. 38

 Project Planning

Precedence Diagram Method (PDM):

This is a Method of Constructing a Project network diagram that uses boxes to represent the activities and
connects them with arrows that show the dependencies.

ES TF EF
Activity Title

LS Duration LF

1) Finish to Start:

• Activity A must finish before Activity B can start , the initiation of the work of the successor depends
upon the completion of the work of the predecessor.
• A Leads B by x
• The Gap between B & A = x

A
B

FS = x

2) Start to Start:
• Activity A must start before Activity B can start, the initiation of the work of the successor depends
upon the initiation of the work of the predecessor
• There are overlap between A & B = y
• SS = x = (Duration of A) - y

A
B
SS = x
y

PERT & Precedence Dig. 39

 Project Planning

3) Finish to Finish:
• Activity A must finish before Activity B can finish, the completion of the work of the successor
depends upon the completion of the work of the predecessor.

FF
A
B

4) Start to Finish:

• Activity A must start before Activity B can finish, the completion of the successor is dependent upon
the initiation of the predecessor.

A
B

SF

PERT & Precedence Dig. 40

 Project Planning

Example:
Figure-2 shows the activity-on-node network and the precedence relationships for a project. Find the
critical path by calculating ES, EF, LS, and LF for each activity.

FS=0
D
12

SS=2 FS=5
A B E
FF=3
10 8 5

SS, SF=2,7

SS=8
F
C 4
3
SS=6

PERT & Precedence Dig. 41

 Project Planning

Solution:
13 0 25
D
FS=0
13 12 25
5 0 13
B
5 8 13
SS=2 FS=5
FF= 3
0 0 10 18 2 23 25 0 25
A E End
0 0 10 SS=8 20 5 25 25 0 25

SS, SF=2,7 4 11 7
C
15 3 18
SS=6
13 8 17
F
21 4 25

• The Critical Path:

A, B, D

• Project Duration = 25 days

PERT & Precedence Dig. 42

 Project Planning

Example:

Complete the forward and backward path calculations on the precedence diagram given below.
Assume that the project starts at T=0, and that we have scheduled project duration of 30 days.
Also, assume that no splitting of activates is allowed.

D F
Test & Debug SF15 Document
program program
6 12
FS0

A B
Observe SS3 Write computer FS 0
system cases Program
8 FF4 12

SS 0
C
Collect system E
cases Run Program
FS 0
4 6

Required:

(a) Give detailed forward and backward path calculations.

(b) Show ES, EF, LS, LF and the critical path on the diagram.

PERT & Precedence Dig. 43

 Project Planning

Solution:

1) Forward and Backward Calculations:

Duration
Activity ES EF LS LF TF
(Days)
A 8 0 8 0 8 0

B 12 3 15 3 15 0

C 4 3 7 20 24 17

D 6 15 21 15 21 0

E 6 21 27 24 30 3

F 12 18 30 18 30 0

2) The Critical Path on The Diagram:

15 21 18 30
D F
Test & Debug SF15 Document
program program
6 12
FS0
3 15 15 21 18 30
0 8
A B
Observe SS3 Write computer FS 0
system cases Program
8 FF4 12

0 8 3 15 3 7 21 27
SS 0
C
Collect system E
cases Run Program
FS 0
4 6

20 24 24 30

PERT & Precedence Dig. 44

 Project Planning

Pert & Precedence Diagram

Assignment

Exercise (1):
The Scheduling of the project "Workshop" shall be carried out by means of network planning. Samir
chooses a precedence network for this. He makes an activity list, estimates the respective durations and
relationships (dependencies or linkage) between the activities.

Duration Relationships Distance

No. Activity Name Predecessor
(Days) (Linkage) lead/lag)
1 Specifications 10 -------- FS 00
2 Drawings 30 1 FS 00
1 FS 00
3 Excavation 5
2 SS 20
2 FS 00
4 Foundation 15
3 FS 00
5 Columns 5 4 FS 00
6 Ceiling 20 5 FS 00
7 Bricks 10 5 FS 5
6 FS 00
8 Electrical works 10
7 FS 00
Tiles& machines
9 15 8 SS 00
foundation
8 FS 00
10 Doors & windows 5
9 FS 00
8 FS 00
11 Machines assembling 15
9 FS 00
12 Operation 5 11 FS 00

Required:

− Draw the network of the project "workshop."

− Carry out the forward and backward calculation (earliest and latest initial and final date)
indications. Calculate only with regular (current) days, calendar data are not necessary.
− Note the total duration of the project in days.
− Calculate the total float.
− Calculate the free/blank float.
− Mark (indicate) the critical path in the net plan.
− If activity No. 11 can be executed in parallel with activity No. 9; what is the effect on the total
duration of the project?

PERT & Precedence Dig. 45

 Project Planning

Exercise (2):
For the data given in the following table, it is required to:
• Draw the arrow network.
• Calculate ES, EF, LS, and LF for each activity.
• Calculate the total project duration.
• Calculate total float and free float for each activity.
• Indicate the critical path.

Activity Events Pessimistic Most Likely Optimistic

From To Duration Duration Duration
A 1 2 12 4 2
B 1 3 9 6 3
C 2 4 14 6 4
D 3 4 16 7 4
E 3 5 20 6 4
F 4 6 19 5 3
G 5 7 12 5 4
H 7 8 10 4 4
I 6 8 8 5 2
J 6 9 19 4 1
K 9 10 14 6 4
L 8 10 19 6 5
Dummy 4 5 ----- ------ ------

Exercise (3):
Given the following network and PERT activity time estimates, determine the expected project
completion time and variance, and the probability that the project will be completed in 28 days or less.

Time Estimates (weeks)

Activity Optimistic Most likely Pessimistic
(a) (m) (b)
(1-2) 5 8 17
(1-3) 7 10 13
(2-3) 3 5 7
(2-4) 1 3 5
(3-4) 4 6 8
(3-5) 3 3 3
(4-5) 3 4 5

PERT & Precedence Dig. 46

 Project Planning

Project Crashing
It is often true that the performance of some or all project activities can be accelerated by the allocation of
more resources at the expense of the higher activity direct cost. When this is so, there are many different
combinations of activity durations that will yield some desired schedule duration. However, each
combination may yield a different value of total project cost. Time/cost trade-off procedures are directed
at determining the least-cost schedule for any given project duration.

For example, consider the simple eight-activity project shown in Table. Each activity can be performed at
different durations ranging from an upper “normal” value, at some associated “normal” cost, down to a
lower, "crash" value, with an associated higher cost. Note that if time/cost trade-off values for each
activity are assumed to be linear, the cost of intermediate activity durations between the normal and crash
durations is easily determined from the single cost "slope" value for each activity [e.g., the cost of
performing activity (0,2) in 7 days instead of 8 equals $400 + $80, or $480].

Normal Crash Cost

Activity
Time (days) Cost Time (days) Cost Slope
(0, 1) 4 $ 210 3 $ 280 $ 70
(0, 2) 8 400 6 560 80
(1, 2) 6 500 4 600 50
(1, 4) 9 540 7 600 30
(2, 3) 4 500 1 1100 200
(2, 4) 5 150 4 240 90
(3, 5) 3 150 3 150 ─ª
(4, 5) 7 600 6 750 150
$ 3050 $ 4280

Table: Illustrative Network With Activity Time/Cost Data.

a This activity cannot be expedited

Solutions:

4 13
1 6 9 15 4 15
4
4 15
0 4 15 22
4 4 7
0 15 22
6 10 10
0 0 5 17 5
10 10
2 8 14 22
8 3
10 2 10 14
15 4 19
3 19

Crashing & CPM Exercises 47

 Project Planning

Earliest Latest
Activity Duration Slack CP
ES EF LS LF
(0, 1) 4 0 4 0 4 0 *
(0, 2) 8 0 8 2 10 2
(1, 2) 6 4 10 4 10 0 *
(1, 4) 9 4 13 6 15 2
(2, 3) 4 10 14 15 19 5
(2, 4) 5 10 15 10 15 0 *
(3, 5) 3 14 17 19 22 5
(4, 5) 7 15 22 15 22 0 *
Total Duration = 22

Critical Path = (0 - 1), (1– 2), (2 – 4) & (4 – 5)

Project Duration = 4 + 6 + 5 + 7 = 22 days

Project Paths = C. P +

2nd Path (0 – 1), (1 – 4) & (4 – 5) = 4 + 9 +7 = 20 days

3rd Path (0 – 2), (2 – 3) & (3 – 5) =8 + 4 + 3 = 15 days

4th Path (0 – 2), (2 – 4) & (4 – 5) =8 + 5 + 7 = 20 days

5th Path (0 – 1), (1 – 2), (2 – 3) & (3 – 5) = 4 + 6 + 4 + 3 = 17 days

Min Project duration = C.P duration after Crashing = 17 days

For C. P Extra Cost = 70 + 100 + 90 + 150 = 410 $

2nd Path after Crashing C. P = 3 + 9 + 6 = 18 days

4th Path after Crashing C. P = 8 + 4 + 6 = 18 days

So we need another 1 days to be Crashed from those Paths, actually from Activity (1 – 4 ) & (0 - 2)

Total Crashed Cost = 410 + 30 + 80 = 520 $

Project Total Cost to reduce the overall duration to be 17 days = 3050 + 520 = 3570 $

Crashing & CPM Exercises 48

 Project Planning

Example:

The table given below shows the duration's and direct costs, for each activity in the network under both
normal and crash conditions.

Required:

Compute the early start, early finish, late start, late finish and the float for each activity.

Establish the minimum direct cost for the project if it's required to reduce the overall duration by two
weeks.

Normal Crash
Activity Duration Total direct cost Duration Total direct cost
(weeks) (L. E.) (weeks) (L. E.)
A 1-2 4 500 3 750
B 2-3 4 100 2 300
C 2-4 2 200 2 200
D 2-5 5 600 4 760
E 3-6 6 700 5 830
F 4-8 4 200 3 300
G 5-7 7 140 5 200
H 6-9 4 200 2 300
I 7-8 2 80 2 80
J 8-9 1 100 1 100
K 9-10 7 600 6 670

3 6

1 2 4 8 9 1

5 7

Crashing & CPM Exercises 49

 Project Planning

Solution:

Activity Earliest Latest Normal Crashed Normal Crashed

TF CP Duration Duration Coat Cost
ES EF LS LF
A 0 4 0 4 0 * 4 3 500 750
B 4 8 5 9 1 4 2 100 300
C 4 6 12 14 8 2 2 200 200
D 4 9 4 9 0 * 5 4 600 760
E 8 14 9 15 1 6 5 700 830
F 6 10 14 18 8 4 3 200 300
G 9 16 9 16 0 * 7 5 140 200
H 14 18 15 19 1 4 2 200 300
I 16 18 16 18 0 * 2 2 80 80
J 18 19 18 19 0 * 1 1 100 100
K 19 26 19 26 0 * 7 6 600 670

Project Paths

C.P = A,D,G,I,J,K
= 4+5+7+2+1+7 = 26 Weeks

2'nd Path [ A,C,F,J,K] = 4+2+4+1+7= 18 Weeks

3'rd Path [A,B,E,H,K] = 4+4+6+4+7= 25 Weeks

To reduce the overall duration by 2 weeks it will become 24 weeks

so, we need 2 weeks from C.P and 1 week from 3'rd path.

the lowest cost for crashing C.P is activity G [1 week=30LE], then k [1 week = 70LE]

So, we take K (as it is included in the two paths}+ 1 week from G

So, the extra crashing cost = 70 + 30 = 100 LE

So, total direct cost for 24 weeks duration

= [500 + 100 + 200 + 600 + 700 + 200 + 140 + 200 + 80 + 100 + 600 ] + 100 = 3520 LE

Crashing & CPM Exercises 50

 Project Planning

EXERCISES

Ex. (1):

Consider a project to promote a new product. The activity durations to complete the project are given in
the table. Find the minimum total time to complete the project.

Time
Precedence
No. Activity Duration
Activities
(Weeks)
A Lead-time planning 3 ────
B Develop training plan 6 A
C Select trainees 4 A
D Draft brochure 3 A
E Conduct training course 1 B, C, D
F Deliver sample products 4 A
G Print brochure 5 D
H Prepare advertising 5 A
M Release advertising 1 H
N Distribute brochure 2 G

Ex. (2):

The possible activity durations of a certain project are given in the table. These figures represent
optimistic (a), most likely (m), and pessimistic (b) times respectively. The scheduled completion time is
17.5 days. Find the probability' of completing the project in the scheduled time.

Duration (days)
Activity
a m b
(1,2) 6 8 10
(1,3) 4 6 7
(1,4) 4 8 12
(2,5) 5 6 8
(3,5) 7 8 9
(4,6) 7 10 14
(5,6) 3 4 5

Crashing & CPM Exercises 51

 Project Planning

Solution of Exercise ( 1 ):

Critical Path = A, D, G & N

Project Duration = 3 + 3 + 5 + 2 = 13 days

Crashing & CPM Exercises 52

 Project Planning

Solution of Exercise (2):

Activity a m b Duration Variance

(1-2) A 6 8 10 8* 16 / 36 = 0.44
(1-3) B 4 6 7 6 9/36 = .25
(1-4) C 4 8 12 8º 64 / 36 = 1.77
(2-5) D 5 6 8 6* 9 / 36 = 0.25
(3-5) E 7 8 9 8 4/36 = 0.11
(4-6) F 7 10 14 10º 49 / 36 = 1.36
(5-6) G 3 4 5 4* 4 / 36 = 0.11

Critical Path = A & D & G

Critical Path = B & E & G
Critical Path = C & F
Project Variance = Σ the Variances for C. P. Activities
= 0.44+0.25+1.77+0.25+0.11+1.36+ 0.11 = 4.29
Project σ = 2.1
Zα = (17.5 – 18) / 2.1 = - 0.5 / 2.1 = - 0.238
α = 0.3669 = area under the curve not (1 - α )
Probaility for 17.5 = 36.7%

Crashing & CPM Exercises 53

 Project Planning

Resources Management

Resource Planning:
Determining physical resources needed (i.e., material, equipment, and people) and what quantities of
each should be used and when they would be needed to perform project activities

Inputs:
• Work breakdown structure (WBS) – Identifies the project elements that require resources
• Historical information – Used to identify the types of resources that were required for similar
work on previous projects
• Scope statement – Contains project justification and the project objectives, which need to be
considered
• Resource pool description – Description of resources available, if necessary, to work on a
project
• Organizational policies – Of the performing organization, regarding staffing and the rental
and purchase of supplies and equipment
• Activity duration estimates

Tools & Techniques:

• Expert judgment – Expertise, provided by any group or individual, used to assess the inputs
to this process

Other units within organization

Consultants

Professional and technical associations

Industry groups
• Alternatives identification
• PM software – Used to organize resource pools, define resource availabilities and rates, and
defines resource calendars

Outputs:
• Resource requirements – Description of the types (e.g., skill levels) and numbers of resources
required by each element of the WBS

Resources Management 54
 Project Planning

Example for Resource Loading:

140
Bar chart: S-curve:
120 Data Date
6/w
1
100 ACWP
8/w
Resources

2 80
2/w BCWS

Cost
3 60

4/w 40
4

3/w 20 BCWP
5
0 2 4 6 8 10 12 14 16 18 20 22 24
0 2 4 6 8 10 12 14 16 18 20 22 24
Week Week
Histogram Chart:

20

15 14 k
Cost

10 k
10
8k
7k
6k 6k
5 4k
3k
2k
0
Week
0 2 4 6 8 10 14 16 20 22

Week 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22
Cost 6 6 14 8 8 8 10 2 2 2 2 2 6 4 4 4 4 7 3 3 3 3
Total 6 12 26 34 42 50 60 62 64 66 68 70 76 80 84 88 92 99 102 105 108 111
Cost

Resources Management 55
 Project Planning

Resources or Cost Leveling (smoothing):

Workers required Slake

30
1 9

2 3 25

3 6
20
4

Workers
4
Job

8 15
5
6 7 10

7 2
5
8 1

0
0 1 2 3 4 5 6 7 8 9 10 1 2 3 4 5 6 7 8 9 10

Day
30
1
2 25

3
20
4
Workers

15
5
6 10
7
5
8
0
0 1 2 3 4 5 6 7 8 9 10 1 2 3 4 5 6 7 8 9 10

1 30

2 25
3
20
4
Workers

5 15

6 10
7
5
8

0 1 2 3 4 5 6 7 8 9 10 0
1 2 3 4 5 6 7 8 9 10

Resources Management 56
 Project Planning

Exercise (1):
Consider the simplified activity-on-arrow description of a project network given in the table.

Duration
Task Activity
(days)
A (1,2) 8
B (2,3) 10
C (2,4) 2
D (3,4) 16
E (3,5) 4
F (4,5) 8
G (3,6) 7
H (4,6) 12
I (5,7) 3
J (6,7) 8
K (7,8) 2

(a) Draw the CPM network for this task structure.

(b) Determine the project duration.
(c) Assume that each task requires exactly one person daily to perform the associated activity. Draw a
bar chart and a resource-loading diagram that profiles the resource usage through time (assume
that all jobs start at the earliest possible time).
(d) Use the resource-leveling procedures to minimize the, total manpower usage per day over the
entire project duration.

Solution:

25 6 46
18 G 46 J
0 A 8 8 B 18 46 54
39 7
34 H 46
34 12 46

1 2 3 8
8 10 18 54 54 K 56
0 8 8 7 8
8 C 18 D
10 18 34 54 2 56
32 2 16 34
34 45
4
18 54
I
47 E
43 8
34 F

3
4 22 42
51
51
51
42

Project Duration = 56 days & Critical Path = A, B, D, H, J & K

Resources Management 57
 Project Planning

Bar Chart for (Early & late)

Solution:
1 / Day
A
8
B
18
C
8 10 21 23
D

34
E
Activities

18 22 23 27
F
42 51
G
25 27 34
H
34 46
I
42 45 54
J
46 54
K 56

0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42 44 46 48 50 52 54 56 Days
Days
Resources Resource Histogram
5

3
3
2 2 2
2
1 1 1
1

0 Days
0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42 44 46 48 50 52 54 56
Resources Resource Leveling
5

3
2
2
1 1
1

0 Days
0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42 44 46 48 50 52 54 56

Resources Management 58
 Project Planning

Exercise (2):
Consider the following CPM network (activity-on-node) with the activity durations (weeks) above the
node and the crew sizes per week required to perform the activity below the node.
5 9
B F 12
8 3
K
3 12 8 4

A C G
2 6 3

4 5 10

D H J
1 7 4

3 7
E I
2 6
(a) Find the critical path for this project network.
(b) Compute the total float & free float for all activities.
(c) Draw a bar chart and a resource-loading diagram showing the resource requirements profile for
this project over the total time period (assume all jobs at earliest possible start).
(d) Use resource-leveling techniques to "smooth out" the manpower requirements.
Solution:
3 16 8 8 16 17

B 0 F 16
19 5 24 24 9 33

3 0 15 15 0 23 33 0 45

C 0 G 0 K 0
3 12 15 15 8 23 33 12 45
0 0 3
A 0
3 11 7 7 11 12 23 0 33
0 3 3
D 0 H 11 J0
14 4 18 18 5 23 23 10 33

3 10 6 6 10 13

E 0 I 10
13 3 16 16 7 23

Critical Path = A, C, G, J & K & Project Duration = 45 Weeks

Resources Management 59
 Project Planning

Bar Chart for Early & Late

2/W
A
3 8/W 8 19 24
B
3 6/W 15
C
3 1/W 7 18
D
3 2/W 6 16
E
Activities

8 3/W 17 24 33
F
15 3/W 23
G
7 7/W 12 23
H
6 6/W 13 23
I
23 4/W 33
J
33 4/W 45
K
0 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 30 31 32 33 34 3536 37 38 39 40 41 42 43 44 45

Resource Days
Histogram

30
27
27
24 22
21
21
18 17
15 15
12
9 9
6 6
3 4
3 2
0
0 3 6 9 12 15 18 21 24 27 30 33 36 39 42 45
Resource Leveling
30
27
24
21
19
18
15
13 12 12
12 11
9
9 6 7
6 4
3
3 2
0
0 3 6 9 12 15 18 21 24 27 30 33 36 39 42 45

Resources Management 60
 Project Planning

Exercise (3):
Given the data for a small project.

Duration Cost Rate

Activity Depends On
(Days) L.E./Day
A 5 - 200
B 6 A 300
C 4 A 400
D 7 C 250
E 9 C 250
F 5 D,B 300
G 3 E,F 700

a) Plot the S- Curve of direct costs derived from the Early Schedule.
b) Plot the S- Curve of direct costs derived from the Late Schedule.

Solution:

5 5 11 16 0 21
B F
10 6 16 16 5 21
0 0 5

A
0 5 5 21 0 24
5 0 9 9 0 16
G
C D
21 3 24
5 4 9 9 7 16

9 3 18

E
12 9 21

Critical Path = A, C, D, F & G & Project Duration = 24 days

Resources Management 61
 Project Planning

Bar Chart for Early & Late

200 / Day
A
5 300 / Day
B

5 400 / Day 10 11 16
C
Activities

9 250 / Day
D
9 250 / Day 16 18
E
21
300 / Day
F 12
16 21 700 / Day
G
24
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

Days
S-curves

14000

12000 12000

10000 9900
9000
8250
8000 7900
7150

6000 5900
5400
4600
4000 3800 3950
3400
2850
2600
2000
1000

0 0
0 5 9 10 11 12 16 18 21 24

0 5 9 10 11 12 16 18 21 24
ES 0 1000 3800 4600 5400 5900 7900 9000 9900 12000
LS 0 1000 2600 2850 3400 3950 7150 8250 9900 12000

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Resources Management
Assignment

Ex. (1):
For a Construction project, the main activities are shown in table (1). The following is required:

Table (1)

Preceding Duration
Activity Cost / Day
activity (Days)
1 --- 5 50
2 1 10 100
3 1 5 100
4 2 10 200
5 3 5 200
6 3 10 200
7 4, 5 10 100
8 6 10 100
9 7, 8 5 50

a- Draw the network for the project & determine the project duration.
b- Construct a bar chart.
c- Draw the progress curve (S-curve) for the project.

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Ex. (2):
For the given activities, it is required to draw a network:
Preceding Duration
Activity Cost / Day
activity (Days)
1 0 3 100
2 1 5 200
3 1 9 200
4 1 7 300
5 2 8 300
6 3 10 400
7 4 3 400
8 5 9 400
9 5, 6 4 300
10 7 5 300
11 8 5 200
12 9,10 3 200
13 11, 12 14 200
14 13 3 100
15 14 11 100
• Draw Bar Chart for the following activity
• Draw S-curie for the following activity by ES & LS

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Line of Balance
The line of balance chart indicates the rates of working from one operation to the other. The objective
should be to keep all balance lines parallel and as close as possible to the required rate of construction.
Out of balance manning levels can be readily observed by comparing the slopes of balance lines.

PROCEDURE WHEN PREPARING A LINE OF BALANCE SCHEDULE:

When preparing a line of balance schedule the following stages should be systematically undertaken:

1. Preparation of logic diagram:

The logic diagram illustrates the sequence of undertaking the Construction operations relative to
the finish and start of related activities. A number at logic diagrams (or a range of repetitive
operations are shown in Figure 7 A to D.

Logic Diagram:
A B C

Fig. 1 Logic Diagram for Sequence

Fig 2 Line of Balance diagram - non-parallel work

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Fig 3 Line of Balance diagram – ideal relation ship

A D

Fig 4 Logic Diagram for Sequence

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Fig 5 Line of Balance diagram – Operation B and C commencing together

Fig 6 Line of Balance diagram – Operation B and C finishing together

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Logic Diagrams
A – Foundation Sequence:

Site Strip FNDNS EXT. BWK

B – Housing Sequence:

1st Fix Joiner

Foundation Super- Roof 1st Fix Plumber Plaster

structure
1st Fix
Electrician

C – Column Sequence:

Fabricate Fix RFT Fix FWK Concrete

RFT Columns

Fabricate FWK

D – Steel Framed Factory Building:

External
Brickwork
Piling Pile Caps Ground Erect Steel
Beams
Roof Cladding

Fig. 7 Logic Diagrams

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2. Assessment of Man hours per operation:

This may be based on an analysis of the man-hours allocated at the tender or planning stage or
simply passed on practical experience. The man-hour allocation is required in order to calculate
the operation duration once the gang size has been established. It is also used in the assessment of
the rate of construction based upon the forecast completion or handover rate.
Operation – foundations
Gang size - 2 laborers
Man-hours allocated per unit - 64 man-hours
Duration for one unit based on an 8 hour working day.

man-hours allocated
Duration =
Gang size x 8 hours/day

64 hours
Duration = = 4 gang days
2 x 8 hours

3. Selection of 'buffer times':

The buffer time is the time period in days between the finish of one operation and the
commencement of the succeeding one in the construction sequence. The buffer period allows
flexibility to be built into the planning process and is intended prevent operations overlapping. It
enables one trade to be clear of the work area before the next trade commences.
The buffer period may be directly affected construction constraints such as allowances curing
times or drying out periods. Where related operations proceed at different rates of construction,
the buffer time between units will tend to increase as work progresses from unit to unit - refer to
the comparison of buffer times at the commencement and completion of activities A and B as
Shown in Figures 2 and 3.

4. Assessment of the rate of construction for two related operations for the
Foundation project Figure 7 – A:
Rate of construction - 2 house units per week.
Number of units to be constructed - 10 houses.
Site Strip - 32 hours/unit - Operation 1
Foundations - 120 hours/unit - Operation 2
Ext Bwk - 160 hours/unit - Operation 3
SITE STRIP - OPERATION 1
Man hours required for 2 units = 2 x 32 hours = 64 man hours
64 m h
Planned no. of men to achieve 2 units/week = = 1.5 men
40 hours/week
Optimum number of men in gang = 2 men

Number of gangs to he used = 1 gangs

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Actual no. of men

Actual rate of construction = X required rate of construction
Planned no. of men

Actual no. of men to be used on site strip 1 gang consisting of 2 men = 2 men
Planned no. of men to achieve forecast rate of construction of 2 units/week = 1.5 men
Actual construction rate = (2.0 / 1.5) x 2.0 = 2.66
Rate of construction required = 2.0 houses/week
Utilising the labor resources as shown the rate of construction on site strip will be faster than required
rate.
The duration of the site strip for each unit will be:

32 man hours/unit 32
= = 2 days
2 men x 8 hours 16

FOUNDATIONS - OPERATION 2

Man hours required for 2 units = 2 x 120 hours

= 240 man hours
Planned number of men to achieve 2 units/week = 240 / 40 hours/week = 6
Optimum number of men in gang = 3 men.
Number of gangs to he used = 2 gangs

Actual no. of men

Actual rate of construction = X required rate of construction
Planned no. of men
Actual no. of men to be used on foundations
Two gangs consisting of 3 men = 6 men
Planned no. of men to achieve forecast rate of construction of 2 units / week = 6 men
Actual construction rate = (6.0 / 6.0) x 2.0 = 2.0
Rate of construction required = 2.0 hours/week
Using the labor resources as shown, the rate of constriction on foundations will be at the required rate.
The duration of the foundations work for each unit will be

120 man hours/unit 120

= = 5 days
3 men x 8 hours 24

The rate of construction for the Site strip (2.66 units / week) is faster than the rate of construction for the
foundations 2.0 units/week). The balance line for the site strip will therefore be at a greater slope than that
of the foundations.

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5. Assessment of start and finish times for first and last Unit
In order to develop the balance lines for each operation. The start and finish time of the first and last unit
must be calculated. Assume that a minimum buffer time of 2 days is to be allowed between the site strip
and foundation works.

SITE STRIP - OPERATION 1

For the first house unit - site strip operations
Commencement of first unit = Day 0
Completion of first unit = Day 0 + Duration
0 + 2 days
= Day 2
(No. of unit - 1) x (duration) (10 – 1) x 2
Start of last unit = = = 18
No. of gangs 1
Start of last unit = Day 18
Finish of last unit = Day 18 + Duration
= Day 18 + 2
= Day 20
Summary. Site strip
House unit 1 - Starts Day 0, Finishes Day 2
House unit 10 - Starts Day 18, Finishes Day 20
The balance line for the site strip has been plotted as Shown in Figure 8. The dotted line indicates the
movement of the gang from unit to unit.

Fig. 8 Line of Balance Schedule – Foundations Project

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FOUNDATIONS - OPERATION 2

Commencement of first unit. As the rate of construction for the foundations is slower than the site strip
operation, the balance line for the foundations construction will be at a lower gradient. The foundations
works can therefore proceed relative to the completion of the Site strip works to the first house unit.
Commencement of first unit = Unit 1
Completion of site strip to Unit 1 = Day 2 + 2 day buffer = Day 4
Completion of foundations to Unit 1 = Day 4 + 5 day duration = Day 9
(No. of units – 1) x duration
Start of last unit =
No. of gangs

Day 4 + ((10 – 1) x 5) / 2 = (9 x 5) / 2
Day 4 + Day 22.5 = Day 26.5
Completion of last unit = Day 26.5 + 5 day duration = Day 31.5

Summary: Foundations

House unit 1- Starts Day 4, Finishes Day 9

House unit 10 - Starts Day 26.5, Finishes Day 3l.5

The balance line for the foundations has again been plotted as shown in Figure 8.

EXTERNAL BRICKWORK - OPERATION

Man-hours required for 2 units = 2 x 160 hours = 320 m h

Planned no. of men to achieve 2 units/week

= 320 m h
40 hours/week
= 8.0 men
Optimum gang size = 3.0 men

Number of gangs to be used = 3 nr

Actual rate of construction = (9.0 / 8.0) x 2.0 = 2.25 hours / week

Rate of construction required = 2.00 hours / week

Using 3 gangs of 3 men the rate of construction will be faster than the required rate
160 mhs 160
Duration for 1 unit = = = 6.7 days say 7 days
3 men x 8 hours 24 mh
As the rate of construction for the external brickwork is faster than the foundations operation. The balance
line will be at a Steeper gradient. The external brickwork balance line must therefore relate to the
completion of the last house unit on foundations in order to prevent operations overlapping.

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Commencement of last house unit - unit 10

Completion of foundations to Unit 10 = Day 31.5 + 2 day buffer
Commencement of external brickwork for Unit 10 = Day 33.5
Completion of external brickwork for Unit 10 = Day 33.5 + 7 day duration = Day 44.5
Commencement of Unit 1 for ext. bwk
(Nr of units – 1) x duration
Commencement of ext. bkw to Unit 10 =
Nr of gangs

= Day 33.5 – ((10 – 1) x 7) / 3

= Day 33.5 – (9 x 7) / 3

= Day 33.5 – 21 days = Day 12.5

Commencement of external brickwork Unit 1 - day I 2.5

Completion of brickwork Unit 1 = Day 12 + 7 days duration = Day 19.5

Summary: External brickwork

House Unit 1 - Starts Day 12.5, Finishes Day l9.5.

House Unit 10 - Starts Day 33.5, Finishes Day 40.5

The relationships between the balance lines for the three operations are shown in Figure 9. Similar
calculation principles are applied to all operations.

Fig. 9 Line of Balance Schedule – Foundations Project

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 Project Planning

Example:
1. The construction plan for a house is shown in fig. (1), Table (1) gives the man-hours required and
the team size for each operation. Prepare a line of balance schedule for a contract of 30 houses
using a target rate of build of four houses per week and each team working at their natural rate.
Assume a minimum buffer time of five days between operations and five working days per week
and 8-hour/day.
What is the overall duration of the project and when will the first team of bricklayers
(superstructure operation) leave the site?

X
Plumper
U V W Z
Substructure Super- Internal Finishes
structure Partition Y
Electrician

Fig. (1) Construction plan for one house

Table (1)
Man-Hours and team size

Operation U V W X Y Z
Man-Hours per house 120 290 250 40 30 220
Men per team 3 6 4 4 2 5

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Solution:

Man
Optimum Required No. Of Actual No. Actual rate of Duration for 1
Operation hours/hous
Gang size Men/week Gangs Of men construction house
e

U 120 3 12 4 12 4 x 12 / 12 120/3x8=5

290/6x8=6.04≈
V 290 6 29 5 30 4 x 30 / 29
6

W 250 4 25 7 28 4 x 28 / 25 250/4x8=7.8≈8

X 40 4 4 1 4 4x4/4 40/4x8=1.25≈1

Y 30 2 3 2 4 4x4/3 30/2x8=1.88≈2

Z 220 5 22 5 25 4 x 25 / 22 220/5x8=5.5

Man hours x 4 houses

• Required Men to finish 4 houses/Week =
Hours/Week for every man (8x5)

Required Men
• No. of Gangs Required = Approx. to the next full gang
Optimum gang size

• Actual No. Of Men = No. of Gangs approx. X optimum gang size.

Actual No. of Men

• Actual Rate of construction = Required rate of construction x
Required No. of Men

Man hours/house
• Duration for 1 House = Approx. to the nearest 1/2 day
Optimum Gang size x 8
Operation U:

• Start of unit 1 = 0 Day 0

Finish of unit 1 = 0+5=5

• Start of unit 30 = 0+ ((30-1)x5) /4 =36.25 day

Finish of unit 30 = 36.5+5= 41.5

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Operation V:
Rate of V = 4.13 > rate of U = 4

• Start of unit 30 = 41.5 + 5 = 46.5

Finish of unit 30 = 46.5 + 6 = 52.5

• Start of unit 1 = 46.5 – ((30-1) x 6 / 5 ) = 11.7 ~ 12

Finish of unit 1 = 12+6 = 18

Operation W:
Rate of W = 4.48 > rate of V = 4.13

• Start of unit 30 = 52.5+5 = 57.5

Finish of unit 30 = 57.5 + 8 = 65.5

• Start of unit 1 = 57.5 – ( (30-1) x8 / 7) = 24.35 = 24.5

Finish of unit 1 = 24.5 + 8 = 32.5

Operation Y:
Rate of Y = 5.33 > rate of W = 4.48

• Start of unit 30 = 65.5+5 = 70.5

Finish of unit 30 = 70.5+ 2 = 72.5

• Start of unit 1 = 70.5 - ( (30.1) x 2.0 / 2) = 41.5

Finish of unit 1 = 41.5+2 = 43.5

Operation X:
Rate of X = 4.0 < rate of W = 4.48

• Start of unit 1 = 32.5+5 = 37.5

Finish of unit 1 = 37.5+1.00 = 38.5

• Finish of unit 30 = 72.5

Start of unit 30 = 72.5 – 1 = 71.5

Operation Z:
Rate of Z = 4.545 < rate of Y
• Start of unit 1 = 43.5 + 5 = 48.5
Finish of unit 1 = 48.5 + 5.5 = 54

• Start of unit 30 = 48.5 + ( (30-1)x5.5 / 5 ) = 80.4

Finish of unit 30 = 80.4+ 5 = 85.4
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So, the team of Brick layer will leave after finishing unit # 26.
So, Start of unit # 26 = 46.5 – (5 – 1) x 6) / 5
= 46.5 – 24 / 5 = 41.7 ≈ 42
Finish of unit # 26 = 42 + 6 = 48 days
So, They will leave the Site after 48 days.

36.5 41.5 46.5 52.5 57.5 65.5 70.5 71.5 72.5 80.4 86
30 Units

U V W Z

First
Units 5 12 18 24.5 32.5 48.5 54

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Line of Balance
Assignment

Exercise (1):
Consider a housing contract for 40 houses with a planned hand- over rate three houses per week. Figure 1
shows the logic diagram and Table-1 gives the needed information. Construct the lines of balance for the
activities if the buffer time = 2 days.

Sub structure Super structure Roof

Figure - 1

Table - 1

Activity Man-hours per house Optimum gang size

Substructure 100 4
Superstructure 180 8
Roof 50 4

Line of Balance Assignment 78

 Project Planning

Progress Update & Follow up

Schedule Control:
• Influencing factors that cause schedule changes
• Determining that the schedule has changed and managing the changes
Inputs:
• Project schedule – The approved project schedule is called the schedule baseline; provides the
basis for measuring and reporting schedule performance
• Performance reports – Provide information on schedule performance, such as which planned
dates have been met and which have not
• Change requests – Occur in many forms
• Schedule management plan

Tools & Techniques:

• Schedule change control system – Defines the procedure for changing the project schedule
• Progress measurement (Earned Value) – Assessment of schedule variations to determine
whether they require corrective actions
• Additional planning – Prospective changes may require new or revised activity duration
estimates, modified activity sequences, or analysis of alternative schedules
• PM software – Useful tool for tracking planned dates against actual dates and for forecasting the
effects of schedule changes
• Variance Analysis – comparing target dates with actual start and finish dates to detect deviations
and implement corrective solutions in case of delays

Outputs:
• Schedule updates – Modification to the schedule information used to manage the project
• Corrective action – Anything done to bring expected future schedule performance back in-line
with the project plan
• Lessons learned – Documentation of the causes of variances, of the reasons the corrective actions
were chosen, and of other information learned through controlling the schedule

Basic Terminology:
• Schedule revisions – Changes to the scheduled start and finish dates in the approved (or baseline)
schedule

Schedule Optimization:

 Crashing – Decreasing the total project duration with the least cost possible
 Fast tracking – Doing activities in parallel that, normally, would be done in sequence
 Reduce critical path – To fast track, shorten the duration of critical activities, or increase
working hours
 Resource leveling – Reducing peak overloads by
re-distributing allocations to activities with float (Can result in increased duration)

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 Project Planning

Progress Update & Follow up Exercises

Exercise (1):
Data for a small project is tabulated below:

Duration Depends Cost/Rate Total Cost

Activity
(Days) on (L.E./Day) (L.E)
A 2 ------ 200 400
B 10 A 300 3000
C 7 A 400 2800
D 15 B 400 6000
E 5 B 600 3000
F 6 C 500 3000
G 3 E, F 800 2400
H 6 F 700 4200
K 3 D, G, H 200 600

Required:
• The project scheduler has decided that the target schedule will be an early start schedule except
for activities D, E & G which will be scheduled at their late times.
• Plot the S-curve of costs for this project derived from the target schedule.
• The project has been worked on for ten days. During this time, L.E. 6000 has been charged against
the costs. Plot the actual S-curve developed.

Solution:

2 6 9 9 6 15 15 6 21

C 0 F 0 H 6
8 7 15 15 6 21 21 6 27

0 0 2 2 0 12 12 0 27 27 0 30

A 0 B 0 D 0 K 0
0 2 2 2 10 12 12 15 27 27 3 30

12 7 17 17 7 20

E 0 G 7
19 5 24 24 3 27

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Bar Chart for Early & Late

200 / D
A
300 / D
B
400 / D
C
400 / D
D
Activities

600 / D
E
500 / D
F
800 / D
G
700 / D
H
200 / D
K

0 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 30
Date

Date 2 9 12 15 19 21 24 27 30
Cumulative Cost 400 5300 7700 10400 14800 18200 21200 24800 25400

30000
S-curve
25400
25000 24800

21200
20000
BCWS (PV)
Cost
15000 14800

10400
10000
6000 7700

ACWP (AC) 5300

5000
5500

0 400
0
0 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 30
Date
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Progress Update & Follow Up
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Exercise (2):

0 5 5 12

A D
0 5 5 8 7 15
5 9
B
9 12 15 17
5 4 9
E H
12 3 15 15 2 17
5 8
C
6 3 9 9 15
F
9 6 15

8 13
G
10 5 15

You are given the above network for a small construction project. The progress report after 10
days shows the following data:

• Activities B and C are finished on time.

• Activity F has 3 days left.
• Activities g and E are on schedule.
• Activity D: its material will not be delivered before 3 days from now.

Required:

a. Calculate the original project duration.

b. Update the network and determine the project duration, the new critical path, and the new total
and free floats.

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Solution:

a. The original project duration = 17 days , Critical Path = A, B, F, H

0 5 13 0 20
A D 0
5 13 7 20
5 9
B
9 8 12 20 0 22
4
E 8 H 0
17 3 20 20 2 22
5 8
C
3 9 7 13
F 7
16 4 20

8 7 13
G 7
15 5 20

b. The new project duration = 22 days,

The new Critical Path = D, H "A is already finished"

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Exercise (3):
The progress report at the end of the day 14 of the following project was such that:

• Activities A, B, C & D were completed.

• Activities E & F still need 3 & 2 days to be finished.
• Activity G still needs 1 day to be completed.
• Activities H, I, J & K did not start yet.
• The duration of activities H & I are not 7 & 4 but will be 5 & 5 days.
• Activity J cannot start unless activity E is completed.
• Activity K cannot start before the 30th day after starting the project and its duration is 3day.

Required:
1. Construct the reduced network.
2. Update the project network.
3. Indicate the critical activities.

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Solution:

K is the only critical activity

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Progress Update & Follow up

Assignment
Exercise (1):

10 13 13 18
C E
10 3 13 22 5 27
0 10 27 39
A G
13 21
0 10 10 27 12 39
D
13 8 21
10 18 21 27
B F
13 8 21 21 6 27

For the shown network:

The progress report after 12 working days included the following information:

Activity D: delayed in start by 2 days.

Activity E: was under-estimated, and is now believed to require 10 days instead of 5 days.
Activity F: cannot start before working day 30.
Activity G: was over-estimated, and is now believed to require 10 days instead of 12 days.

Required:

a. Find the project duration.

b. Construct the reduced network at day 12.
c. Update the network and determine the project duration, new total & free floats & new critical
path.
d. If the initial project completion is not to be delayed, comment on the status of the project and
suggest corrective action if necessary.

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