Project Scheduling,

Gaunt Chart, CPM and

PERT Models

Lecture 8

IMB 533
Engineering & Project
Management

L. Seboni
Project scheduling -
Terminology
Activity: A task or set of tasks required by the
project. Something to be done.
(Activities Use Up Resources and
Take Time to Complete).

Event: An instant in time, e.g. start or

finish of an activity, completion of
one or more activities; an end state
occurring at a particular time.
(Events do not Use Resources).

Interface event: Completion of a task and

simultaneous start of subsequent
task(s).

Milestone event: A major occurrence such as the

complement of several critical
tasks or a major approval.

Milestone : Dates by which major activities are

performed.
Project scheduling -
Terminology
Critical Activities/Events:
Activities/Events which, if delayed,
will delay the completion of the
project.

Network: The combination of all activities (arcs)

and events (nodes at the beginning
and end of an arc), defining the
project and the predecessor-successor
relationships among activities .

Path: Series of connected activities or

intermediate events between any two
events in a network.

Critical Path: Sequence of critical activities and

critical events that connect the
project’s “start” event and “finish”
event.
Setting up a Gantt Chart

Homework:

Review how to setup a gaunt chart.

 Project Scheduling

Task A Task B Task C

1 2 3 4
Time

Relationship between tasks and events

1, 2, 3 and 4 – signifies EVENTS

A, B, and C – signifies TASKS

 CPM and PERT Models
1. What other work must be
completed before the job can
start.

2. What other work can be started as

soon as the task is completed.

3. What other work can be going on

while the job is in progress.
 Characteristics of
CPM/PERT
1. The project must consist of a well
defined collection of activities.
2. The activities may be started and
stopped independently of each
other within a given sequence.

3. The activities are ordered, that is,

they must be performed in
technological sequence.
 Project Network Rules
1. All nodes, except the terminal node, must have at
least one following node.

2. All nodes, except the first, must have at least one

preceding node.

3. There must be only one initial node and one

terminal node.

4. The length of the arrow has no correlation to the

time duration of either or the activities it connects.

5. The compass direction of the arrow has no time

meaning, although it is conventional to show the
arrows going from left to right.

6. No arrows may be left dangling. Every arrow must

have a starting node and an ending node.

7. Avoid redundant precedence descriptions.

8. Avoid closed-loop precedence relationships.

In establishing precedence
requirements, there are three kinds
of precedence restrictions that may
be involved:

▫ Technical constraints
▫ Procedural constraints
▫ Imposed constraints
 The AON (Activity-On-Node)
Project Network
• Node: A node is a circular representation
of an activity.

• Arrow: An arrow is a line connecting two

nodes and having an arrowhead at one
end.

• Activity: An activity is a time-consuming

effort required to perform a part of the
overall project.
 The AON (Activity-On-Node)
Project Network
How many activities/tasks are there?

3a

2a
1a

2b 3b
1b

Start Finish
2c
1c 3c

2d

3d
 Activity-On-Node (AON) Diagram

Start time = 60 Finish time = 660

Take
shower
(600)

AON representation for an activity

Time in seconds
Planning and Scheduling
Networks
 Arrow Diagram
Budgeting Project

Job Alternat Job Description Departme Time to

Identificati e nt Perform Job
on (days)
a (1,2) Forecasting unit Sales 14
sales
b (2,4) Pricing sales Sales 3

c (2,3) Preparing production Production 7

schedules
d (3,4) Costing the Accounting 4
production
e (4,5) Preparing the budget Treasurer 10

14 days
1 a 2 5

Arrow diagram of the budgeting process

Source: Wiest, J. D. Levy, F. K.; “A Management Guide to PERT/CPM” (Prentice Hall) p.7. [WL]
 Cost Elements
1. Normal time and cost estimates indicate the
duration required to complete an activity with
the least amount of budget expenditure.

2. Crash time and cost estimates indicate the

minimum duration in which an activity can be
completed and the associated increased cost.
Direct Cost of Job

Crash Normal Job

Duration

Time-cost tradeoff relationship for a typical job

 Resource Levelling in
Project scheduling

Leveling Resources
Resource Levelling Strategies
 Utilizing available slack.
 Shifting the project finish date.
 Smoothing.
Alternative Methods of Scheduling
Tasks

 Further decomposition of tasks.

 Stretching tasks.
 Assigning substitute resources.