1

CEN327-Computer Systems Engineering

PROJECT MANAGEMENT(Contd)
For this lecture, the learning objectives are:
Understand the variety of applications of Project Management.
Learn the quantitative techniques for Project Management.
Learn the qualitative concepts of Project Management.
Learn the basics of Microsoft Project.

2
Project Management
Program Evaluation and Review Technique (PERT)
Critical Path Method (CPM)
Successful project management asks and answers the following questions:
1. What is an estimate of the projects duration?
2. Among the projects activities, which are likely to be critical activities in the sense that
they will directly affect the projects duration? (While the project is still in its planning
phase, the project manager may take actions that will speed up one or more critical
activities, thereby shortening the projects planned duration. Furthermore, once the
project begins, the project manager should closely monitor critical activities in order to
prevent delays that would otherwise increase the projects planned duration.)
3. For each of the projects activities, what should be the scheduled Start Time and Finish
Time?
4. What are the resource implications of the schedule for the activities?
5. Because a project never proceeds exactly as planned, how can the project manager
quickly recognize and react to a surprise that might otherwise unfavorably affect the
projects duration?

3
Some Applications of Project Management
Construction or renovation of a plant, an office complex, a residential housing
plan, a sports stadium, or a freeway.
Research and development associated with a new product.
Relocation of a major facility (e.g., a plant or a hospital).
Manufacture, maintenance, or repair, of a large item (e.g., an airplane or a
nuclear reactor).
Installation of a new information technology (e.g., a new accounting system or
a new supply chain management system).
Countdown for a launch of a rocket.
Making financial arrangements (e.g., an IPO or a revenue bond).
A fund raising campaign for a charity.
An advertising campaign.
A political campaign.
Performing a complex surgery.
Filming a major motion picture.

4
PROJECT MANAGEMENT:
THE 3 PHASES AND 10 STEPS
Step 1: Project Decomposition
Step 2: Specification of the Precedence Relationships
Step 3: Estimation of the Activity Durations
Phase I: Project Formulation
Step 4: Construction of the Project Network
Step 5: Computation of Each Activitys Earliest Start
Time and Earliest Finish Time
Step 6: Computation of Each Activitys Latest Start Time
and Latest Finish Time
Step 7: Computation of Each Activitys Total Slack and
Identification of the Critical Path
Phase II: Planning & Scheduling
Step 8: Scheduling the Activities
Step 9: Monitoring of the Projects Activities
Phase III: Monitoring & Replanning
Step 10: Replanning of the Remaining Portion of the
Project

5
Example-THE DESIGNER GENES PROJECT
Designer Genes, a rapidly expanding genetic engineering firm, is
relocating to a new office building. Jean Ettic, the project
manager, has already leased a vacant office building and
approved architectural plans for renovating it. To save money
and to gain more control over the project, Jean herself will act as
the general contractor for the renovation. Jean has already
selected the subcontractors that she will employ. The move to
the new building is complicated by the fact that Designer Genes'
current outsourcing of its computer needs is no longer viable.
Therefore, in moving to the new building, Designer Genes will
use this opportunity to purchase a new main-frame computer
and establish an in-house Computer Services Department.

6
Phase I: Project Formulation
Step 1: Project Decomposition
Step 2: Specification of the Precedence Relationships
Step 3: Estimation of the Activity Durations
Estimated
Duration Special
Code Description of Activity (days) Predecessors Responsibility Requirements
A Hiring of Manager of Computer Services Department 10 None
B Structural Modifications 19 None
C Enlarging and Resurfacing of Parking Lot 13 None
D Hiring of Staff of Computer Services Department 8 A
E Purchasing and Receipt of Computer 14 A
F Electrical Modifications 4 B
G Heating and Cooling Modifications 1 B
H Plumbing Modifications 3 B
I Exterior Painting and Installation of Exterior Fixtures 5 B
J Installation of Computer 4 E, F, G
K Sheetrocking of Walls and Ceiling 6 F, G, H
L Training of Staff of Computer Services Department 8 D, J
M Interior Painting and Interior Decorating 9 K
N Landscaping 7 C, I
Coarse versus Fine Decomposition
Hard versus Soft Activities
Redundant Predecessor Relationship
Cyclic Predecessor Relationships

7
Phase I: Project Formulation
Step 4: Construction of the Project Network
D (8)
A (10)
E (14) L (8)
F (4) J (4)
G (1) K (6)
START B (19) M (9) FINISH
H (3)
I (5)
N (7)
C (13)

8
Phase II: Planning & Scheduling
Step 5: Computation of Each Activity's EST & EFT
An activity's Earliest Start Time (EST) is the earliest possible time at which the activity can start.
An activity's Earliest Finish Time (EFT) is the earliest possible time at which the activity can finish.
Step 6: Computation of Each Activity's LST & LFT
An activity's Latest Start Time (LST) is the earliest possible time at which the activity can start without causing the project
to finish after its earliest finish time.
An activity's Latest Finish Time (LFT) is the earliest possible time at which the activity can finish without causing the
project to finish after its earliest finish time.
Step 7: Computation of Each Activitys TS and Identification of the Critical Path
An activity's Total Slack (TS) is the maximum possible increase in the activity's duration that will not increase the project's
earliest finish time (assuming that all other durations remain the same).
A critical activity has a Total Slack of 0. The critical path consists of the critical activities. (It is possible to
have more than one critical path.)

9
Phase II: Planning & Scheduling
Step 8: Scheduling the Activities
The Gantt Chart (Stripped Down Version)
NOTE: Temporarily ignore the [bracketed numbers] after the activity codes.
G [4]
1 2 3 0 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 36 37 38 32 33 34 35
L [1]
M [3]
TIME
EARLIEST START TIME (EST) GANTT CHART
A [4]
B [1]
C [4]
D [4]
E [2]
F [3]
N [3]
I [3]
J [2]
K [2]
H [1]

10
GANTT CHARTS: EST versus LST
G [4]
1 2 3 0 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 36 37 38 32 33 34 35
L [1]
M [3]
TIME
EARLIEST START TIME (EST) GANTT CHART
A [4]
B [1]
C [4]
D [4]
E [2]
F [3]
N [3]
I [3]
J [2]
K [2]
H [1]
G [4]
H [1]
I [3]
N [3]
C [4]
J [2]
B [1] F [3] K [2] M [3]
D [4]
L [1]
A [4]
E [2]
TIME
LATEST START TIME (LST) GANTT CHART
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0

11
G [4]
= EST = LST = In Between EST & LST
C [4]
H [1]
I [3]
N [3]
J [2]
B [1] F [3] K [2] M [3]
D [4]
L [1]
A [4]
E [2]
TIME
HYBRID GANTT CHART
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0

12
GANTT CHARTS: EST versus LST versus Hybrid
G [4]
1 2 3 0 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 36 37 38 32 33 34 35
L [1]
M [3]
TIME
EARLIEST START TIME (EST) GANTT CHART
A [4]
B [1]
C [4]
D [4]
E [2]
F [3]
N [3]
I [3]
J [2]
K [2]
H [1]
G [4]
H [1]
I [3]
N [3]
C [4]
J [2]
B [1] F [3] K [2] M [3]
D [4]
L [1]
A [4]
E [2]
TIME
LATEST START TIME (LST) GANTT CHART
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0
G [4]
= EST = LST = In Between EST & LST
C [4]
H [1]
I [3]
N [3]
J [2]
B [1] F [3] K [2] M [3]
D [4]
L [1]
A [4]
E [2]
TIME
HYBRID GANTT CHART
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0

13
ADDING A RESOURCE TO THE DESIGNER GENES PROJECT
In the Designer Genes project, assume (unrealistically) that the same type of
laborers perform all activities.
More specifically, assume that the table below displays the size of the daily
workforce of these laborers required to perform each activity, where an activitys
daily requirement remains constant during the activitys duration.
For example, for each day of activity Cs duration, 4 laborers are required.
ACTIVITY A B C D E F G H I J K L M N
REQUIRED SIZE OF
DAILY WORKFORCE
(laborers)
4 1 4 4 2 3 4 1 3 2 2 1 3 3
Note: In the preceding Gantt Charts, the above numbers were the [bracketed
numbers] that appeared after the activity codes.

14
FROM EST GANTT CHART TO EST RESOURCE LOADING DIAGRAM
G [4]
1 2 3 0 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 36 37 38 32 33 34 35
L [1]
M [3]
TIME
EARLIEST START TIME (EST) GANTT CHART
A [4]
B [1]
C [4]
D [4]
E [2]
F [3]
N [3]
I [3]
J [2]
K [2]
H [1]
4
3
8
7
6
7 7
3
13
9 9
11
1 2 3 0 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 36 37 38 32 33 34 35
TIME
EARLIEST START TIME (EST) RESOURCE LOADING DIAGRAM
13
12
11
10
9
8
7
6
17
16
15
14
5
4
3
L
A
B
O
R
E
R
S
0
1
2
20
19
18

15
FROM LST GANTT CHART TO LST RESOURCE LOADING DIAGRAM
G [4]
H [1]
I [3]
N [3]
C [4]
J [2]
B [1] F [3] K [2] M [3]
D [4]
L [1]
A [4]
E [2]
TIME
LATEST START TIME (LST) GANTT CHART
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0
16
11
7
10
9
18
12
15
1
5
3
7
5
4
3
L
A
B
O
R
E
R
S
0
1
2
20
19
18
17
16
15
14
TIME
LATEST START TIME (LST) RESOURCE LOADING DIAGRAM
13
12
11
10
9
8
7
6
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0

16
FROM HYBRID GANTT CHART TO HYBRID RESOURCE LOADING DIAGRAM
G [4]
= EST = LST = In Between EST & LST
C [4]
H [1]
I [3]
N [3]
J [2]
B [1] F [3] K [2] M [3]
D [4]
L [1]
A [4]
E [2]
TIME
HYBRID GANTT CHART
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0
7
4
7
9
7
8
5
9
11
1 2 3 0 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 36 37 38 32 33 34 35
TIME
HYBRID RESOURCE LOADING DIAGRAM
13
12
11
10
9
8
7
6
17
16
15
14
5
4
3
L
A
B
O
R
E
R
S
0
1
2
20
19
18

17
RESOURE LOADING DIAGRAMS: EST versus LST versus HYBRID
4
3
L
A
B
O
R
E
R
S
8
7
6
7 7
3
13
9 9
11
1 2 3 0 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 36 37 38 32 33 34 35
TIME
EARLIEST START TIME (EST) RESOURCE LOADING DIAGRAM
13
12
11
10
9
8
7
6
14
5
4
3
0
1
2
L
A
B
O
R
E
R
S
16
11
7
10
9
18
12
15
1
5
3
7
5
4
3
0
1
2
19
18
17
16
15
14
TIME
LATEST START TIME (LST) RESOURCE LOADING DIAGRAM
13
12
11
10
9
8
7
6
36 37 38 32 33 34 35 28 29 30 31 24 25 26 27 20 21 22 23 16 17 18 19 12 13 14 15 8 9 10 11 4 5 6 7 1 2 3 0
7
4
L
A
B
O
R
E
R
S
7
9
7
8
5
9
11
1 2 3 0 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 36 37 38 32 33 34 35
TIME
HYBRID RESOURCE LOADING DIAGRAM
12
11
10
9
8
7
6
5
4
3
0
1
2

18
In fact, from among all possible Hybrid Schedules, there is one that has a
peak resource usage of 10 laborers.
Desirable Characteristics of a Resource Loading Diagram
1.
2. What happens when there is more than one resource?

19
Phase III: Monitoring & Replanning
Step 9: Monitoring of the Projects Activities
Step 10: Replanning of the Remaining Portion of the Project
Thus far, Phases I & II have provided a plan for how the project should go. However, once the project
begins, this plan must undergo periodic revision. A revision should occur in one of the following two
ways:
On a periodic basis at the end of every week, 2 weeks, or month whichever is most appropriate.
Whenever there is a big surprise.
Step 9: Monitoring of the Projects Activities
As the project progresses, the project manager must closely monitor the projects activities, comparing
the planned progress to the actual progress. Such monitoring will enable the project manager to quickly
recognize and react to an unforeseen event that significantly affects one or more activity durations.
Step 10: Replanning of the Remaining Portion of the Project
When its time for a periodic review (e.g., an end-of-the-week review), or when an unforeseen event
occurs that significantly affects one or more activity durations, the project manager should proceed as
follows:
1. Considering the most up-to-date information, the project manager should revise the estimate of all activity durations.
(At the time of revision, there is no uncertainty about the durations of the activities that have already finished.
However, for those activities either in-progress or not-yet-started, the most up-to-date information should lead to
more accurate estimates of the durations.)
2. Using these revised estimates of the activity durations, the project manager should determine a revised plan by
repeating Phase IIs planning and scheduling.

20
PROJECT MANAGEMENT: QUALITATIVE CONCEPTS
1. Post the project network, schedule, and other data prominently (e.g., on a wall or on a
website).
2. Form a Planning & Monitoring Committee consisting of the Project Manager and the
persons responsible for the major activities. Have this Planning & Monitoring
Committee meet regularly to review any new information and to anticipate potential
problems. For each potential problem, formulate a plan that will either resolve or
mitigate the problem.
3. Create a culture that fosters timely and honest communication. There should be no
punishment for conveying bad news. The punishment should be for delaying or
concealing bad news.
4. Learn from prior similar projects (e.g., Boeing with its 707, 727, 737, 747).
5. Create a Change Order Board to review each change order, assess the change
orders impact on both schedule and budget, and decide for each change order which
is more important schedule or budget.
6. Leave as little as possible to chance. Before the project begins, anticipate what might
go wrong and prepare a contingency plan (e.g., Boeings approach to the
transportation of the 767s body sections from Japan to Seattle).
7. Create a policy that a project is never done until it has been reviewed in a timely
manner by asking and answering the following three questions:
What did we do well that must been sustained in the future when performing similar projects?
What did we do poorly that must be improved in the future when performing similar projects?
Have we transferred the knowledge gained to the corporate level, so that the entire organization
can benefit?