PROJECT MANAGEMENT:

PERT/CPM
August 25, 2015
LEARNING OBJECTIVES
At the end of the discussion, you should be able
to :
Give the general description of CPM/PERT
Techniques.

Construct a network diagram.

Describe the purposes and advantages of

CPM//PERT.

PERT Program Evaluation and Review Technique

CPM Critical Path Method
LEARNING OBJECTIVES
Demonstrate how to schedule projects involving
resource limitations.

Analyze networks that have deterministic times and

probabilistic times.

Describe activity crashing and solve simple problems.

Suggest ways to manage the reduction of project time

USES OF PERT & CPM
Can be used to plan, schedule and control a wide
variety of projects:

Research and development of new products and

processes

Construction of plants, buildings, and highways

Maintenance of large and complex equipments

Design and installation of new systems

PERT & CPM CAN HELP ANSWER THE
FOLLOWING QUESTIONS

What is the total time to complete the project?

What are the scheduled start and finish dates

for each specific activities?
PERT & CPM CAN HELP ANSWER THE
FOLLOWING QUESTIONS

Which activities are critical and must be

completed exactly as scheduled to keep the
project on schedule?

How long can noncritical activities be delayed?

PERT

developed for the Polaris missile project

developed to handle uncertain activities

CPM

developed primarily for industrial projects for

which the activities are known

offered the option of reducing activity times by

adding more workers, usually at an increased
costs
EXAMPLE
The NSNU is considering building a new athletic
complex on campus. The complex would provide a
new gymnasium for inter-school sports activities,
expanded office space, classrooms, and
intramurals facilities. The following activities
would have to be undertaken before construction
starts.
EXAMPLE - NSNU
Activity Description Immediate Time
Predecessors (Weeks)

A Survey building site -- 6

B Develop initial design -- 8

C Obtain board approval A,B 10

D Select architect C 5
s
E Establish budget C 6

F Finalize design D,E 14

G Obtain financing E 13

H Hire contractor F,G 7

EXAMPLE - NSNU
a) Draw a project network.

b) Identify the critical path.

c) Develop activity schedule for the project.

d) Determine the expected completion time of the

project.
STEP1 : DETERMINE THE LIST OF ACTIVITIES, ITS
IMMEDIATE PREDECESSORS, AND APPROXIMATE TIME.

Activity Description Immediate Time

Predecessors (Weeks)

A Survey building site -- 6

B Develop initial design -- 8

C Obtain board approval A,B 10

D Select architect C 5
s
E Establish budget C 6

F Finalize design D,E 14

G Obtain financing E 13

H Hire contractor F,G 7

STEP 2: DEVELOP THE PROJECT NETWORK

A D
Start C F
B E H End
G
STEP 3: DETERMINE THE COMPLETION
TIME PER ACTIVITY
STEP 4: DETERMINE THE EARLIEST START AND
EARLIEST FINISH TIME OF THE INITIAL ACTIVITIES

Let ES = earliest start time for an activity

EF = earliest finish time for an activity
t = activity time

ES = ES + t
Activity EF = ES + t
=0+6=6
__ ES EF A 0 6
t LS LF 6
 Step 5: Compute for the ES and EF using the
forward pass

Step 6: Develop the latest start time and latest

finish time using the backward pass.
STEP 6
Let LS = latest start time for an activity
LF = latest finish time for an activity
t = time

Then LS = LF - t

Activity

__ ES EF H 38 45
t LS LF 7 38 45

LS = LF-t
=45 7
= 38
 Step 7 : Compute for the latest finish time and
latest start time.

Step 8 ; Compute for the slack of all activities

using the formula below and identify the zero
slack to determine the critical path. The slack
value can be obtained using the formula below;

Slack = LS ES = LF - EF
ACTIVITY SCHEDULE FOR NSNU
Activity ES LS EF LF Critical
path?
A 0 2 6 8 2 N

B 0 0 8 8 0 Y

C 8 8 18 18 0 Y

D 18 19 23 24 1 N

E 18 18 24 24 0 Y

F 24 24 38 38 0 Y

G 24 25 37 38 1 N

H 38 38 45 45 0 Y
CRITICAL PATH : B C E F H

A D
Start C F
B E H End
G