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Ch06 Allocating Resources To The Project

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71 views55 pages

Ch06 Allocating Resources To The Project

Uploaded by

Josh Chama
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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Chapter 6

Allocating Resources to the


Project

MEM 612 Project Management


Introduction
• Projects Compete With One Another for
Resources
– resources that are not consumed
– resources that are consumed
• Goal of Resource Allocation is to Optimize Use of
Limited Supply
• Requires making trade-offs
– time constrained
– resource constrained

MEM 612 Project Management


EXPEDITING A PROJECT

MEM 612 Project Management


The Critical Path Method
• Normal Duration Estimates
• Normal Costs
• Crash Duration Estimates
• Crash Costs
• Crash Cost Per Day

Normal Duration - Crash Duration


Crash Cost - Normal Cost
MEM 612 Project Management
Figure 6-1(a) Gantt Chart Crash
Problem -- 21-Day Project

MEM 612 Project Management


Figure 6-1(b) AON Network for Sample
Crash Problem -- 21-Day Project

MEM 612 Project Management


Figure 6-2 Gantt Chart for 20-
Day Solution to Crash Problem

MEM 612 Project Management


MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
MEM 612 Project Management
Resource Allocation and the
Project Life Cycle
Figure 6-20 Project or task life cycles

MEM 612 Project Management


GOLDRATT’S CRITICAL CHAIN

MEM 612 Project Management


Introduction
• Similar issues that trouble people about working on
projects regardless of type of project
– unrealistic due dates
– too many changes
– resources and data not available
– unrealistic budget
• These issues/problems related to need to make
trade-offs
• To what extent are these problems caused by
human decisions and practices?

MEM 612 Project Management


Figure 6-21 Three Project
Scenarios

MEM 612 Project Management


Table 6-6 Project Completion Time Statistics Based
on Simulating Three Projects 200 Times

Scenario 1 Scenario 2 Scenario 3


Average 50.4 51.9 53.4
Std Dev 7.1 6.3 5.3
Max 69.4 72.7 69.3
Min 30.1 36.1 39.3
Median 50.0 51.8 53.1

MEM 612 Project Management


Observations
• Average Completion Times
• Implications of Assuming Known Activity
Times
• Shape of the Distribution
• Worker Time Estimates
• Impact of Inflated Time Estimates
• Student Syndrome

MEM 612 Project Management


Multitasking
Figure 6-24 Two Small Projects

MEM 612 Project Management


Figure 6-25 Alternative Gantt
Charts for Projects A and B

MEM 612 Project Management


Common Chain of Events
• Underestimate time needed to complete
project
– assumption of known activity times and
independent paths
• Project team members inflate time estimates
• Work fills available time
– student syndrome
– early completions not reported

MEM 612 Project Management


Common Chain of Events
continued
• Safety time misused
• Misused safety time results in missed
deadlines
• Hidden safety time complicates task of
prioritizing project activities
• Lack of clear priorities results in poor
multitasking

MEM 612 Project Management


Common Chain of Events
concluded
• Poor multitasking increases task durations
• Uneven demand on resources also results
due to poor multitasking
• More projects undertaken to ensure all
resources fully utilized
• More projects further increases poor
multitasking

MEM 612 Project Management


Reversing the Cycle
• Reduce number of projects assigned to each
individual
• Schedule start of new projects based on
availability of bottleneck resources
• Reduce amount of safety time added to
individual tasks and then add some fraction back
as project buffer
– activity durations set so that there is a high probability
the task will not be finished on time

MEM 612 Project Management


The Critical Chain
• Longest chain of consecutively dependent
events
– considers both precedence relationships and
resource dependencies
• Project Buffer
• Feeding Buffer

MEM 612 Project Management


Figure 6-26 Sample Network
Diagram

MEM 612 Project Management


Figure 6-27 Project and Feeder
Buffers

MEM 612 Project Management


Copyright
Copyright John Wiley & Sons, Inc.
All rights reserved. Reproduction or translation of this work beyond that
permitted in Section 117 of the 1976 United States Copyright Act
without express permission of the copyright owner is unlawful.
Request for further information should be addressed to the
Permissions Department, John Wiley & Sons, Inc. The purchaser
may make back-up copies for his/her own use only and not for
distribution or resale. The Publisher assumes no responsibility for
errors, omissions, or damages, caused by the use of these programs
or from the use of the information herein.

MEM 612 Project Management

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