Republic of the Philippines

State Universities and Colleges

GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

Subject: ED 217–THEORIES AND PRINCIPLES OF EDUCATIONAL

MANAGEMENT
Topic: ED 217 – PROJECT EVALUATION REVIEW TECHNIQUES
Professor: LENIE A. ADUANA, PhD
Reporter: JOEY V. FRANCISCO
Project Evaluation Review Techniques (PERT)
It is a procedure through which activities of a project are represented in its
appropriate sequence and timing. It is a scheduling technique used to schedule,
organize and integrate tasks within a project. PERT is basically a mechanism for
management planning and control which provides blueprint for a particular project. All of
the primary elements or events of a project have been finally identified by the PERT.
The Pert Technique is a statistical way of representing project milestones as a network
diagram. It predicts project completion times putting into consideration, the risk of
uncertainty. It allows the project manager who is often responsible for scheduling, and
coordinating a series of complex tasks and activities, the ability to monitor the progress
of a project.
The PERT Technique is depicted in a flowchart, where the events are
represented as nodes. The nodes can either indicate the beginning or the end of
activities. The directional lines represent the tasks that are to be carried out while the
arrows represent the sequencing of the activities. The network diagram always features
a single start node and a single finish node. In simple terms, it depicts the time taken by
each element of the project and the total time estimated for its completion, thereby
revealing slack periods as the project progresses.
Importance of PERT in Project Management
One of the most important responsibilities of a project manager is making correct
estimations. Since projects are full of uncertainties, it is often difficult for a project
manager to foresee what will happen tomorrow. Besides, project sponsors and key
project stakeholders never like uncertainty regarding project costs and milestone dates.
The project manager’s role and responsibilities include reducing and mitigating
negative project risks as well as increasing the possibility of opportunities. Project
managers should use PERT charts in conjunction with other tools and techniques if they
need more accurate forecasts. Because PERT Chart employs three-time estimations to
provide you an average result. The PERT or Program Evaluation and Review
Technique is a network diagram used for large projects where uncertainties are high
and time is the main constraint. This tool helps project managers develop a sound
schedule when there is little information on activity duration.
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

Characteristics of PERT:
 It serves as a base for obtaining the important facts for implementing the
decision-making.
 It forms the basis for all the planning activities.
 PERT helps management in deciding the best possible resource utilization
method.
 PERT take advantage by using time network analysis technique.
 PERT presents the structure for reporting information.
 It helps the management in identifying the essential elements for the completion
of the project within time.
Advantages of PERT:
 A PERT chart allows managers to evaluate the time and resources necessary to
manage a project. This evaluation includes the ability to track required assets
during any stage of production in the course of the entire project.
 PERT analysis incorporates data and information from multiple departments.
This combining of information encourages department responsibility and it
identifies all responsible parties across the organization. It also improves
communication during the project and it allows an organization to commit to
projects that are relevant to its strategic positioning.
 PERT charts are useful for what-if analyses. Understanding the possibilities
concerning the flow of project resources and milestones allows management to
achieve the most efficient and useful project path.
Disadvantages of PERT:
 The use of a PERT chart is highly subjective and its success depends on the
management’s experience. These charts can include unreliable data or
unreasonable estimations for cost or time for this reason.
 PERT charts are deadline-focused and they might not fully communicate the
financial positioning of a project.
 Because a PERT chart is labor-intensive, the establishment and maintenance of
the information require additional time and resources.
 Continual review of the information provided, as well as the prospective
positioning of the project, is required for a PERT chart to be valuable.
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

Comparison between Critical Path Method (CPM) and Program Evaluation and
Review Technique (PERT)
Although the Critical Path
Method (CPM) and PERT are
conceptually similar, some
significant differences exist mostly
due to the type of projects best
suited for each technique. PERT is
better to use when there is much
uncertainty and when control over
time outweighs control over costs.
PERT handles the uncertainty of the
time required to complete an activity
by developing three estimates and
then computing an expected time
using the beta distribution. CPM is
better suited for well-defined
projects and activities with little
uncertainty, where accurate time
and resource estimates can be
made. The percentage of
completion of the activity can be
determined.

History of PERT
In 1958, the U.S. Navy introduced network scheduling techniques by developing
PERT as a management control system for the development of the Polaris missile
program. PERT’s focus was to give managers the means to plan and control processes
and activities so the project could be completed within the specified time period. The
Polaris program involved 250 prime contractors, more than 9,000 subcontractors, and
hundreds of thousands of tasks.
PERT was introduced as an event-oriented, probabilistic technique to increase
the Program Manager’s control in projects where time was the critical factor and time
estimates were difficult to make with confidence. The events used in this technique
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

represent the start and finish of the activities. PERT uses three-time estimates for each
activity: optimistic, pessimistic, and most likely. An expected time is calculated based on
a beta probability distribution for each activity from these estimates.
Terms Used in a PERT chart:
 Float/Slack – Refers to the amount of time a task can be delayed without
resulting in an overall delay in completion of other tasks or the project
 Critical Path – Indicates the longest possible continuous path from the start to the
end of a task or event
 Critical Path Activity – Refers to an activity without any slack
 Lead Time – Refers to the amount of time needed to finish a task without
affecting subsequent tasks
 Lag Time – The earliest time by which a successor event/task can follow a prior
event/task
 Fast Tracking – Refers to handling tasks or activities in parallel
 Crashing Critical Path – Shortening the amount of time to do a critical task
Planning Process of PERT
Project Evaluation and Review Technique (PERT) depicts the activities and
schedule of the activities or tasks through a network diagram. PERT is used to estimate
the complete time of the project.
1. Identification of definite activities and breakthroughs:
It is convenient to list all the tasks and breakthroughs required to complete
the project in the table. The breakthroughs represent the starting point and
deadline of one or more activities. With the help of identification of activities,
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

tasks at later stage can be expanded to build information on sequence and

duration.
2. Determining the proper sequence of the activities:
This step in PERT planning process is used to regulate the sequence of
activities. Activities can be serial or parallel, the sequence represents the
dependency of one activity on other activity. As in the first step the identification
of the activities is done, it is necessary to identify the relationships between
activities in this step. The analysis of exact order in which the activities performed
are required for other tasks.

3. Construction of network diagram:

A network diagram is drawn with the help of the activity identification and
activity sequence information. Once you established the sequence of activities,
you can represent both serial and parallel activities in the diagram. Each activity
should represent a node in the network, and you can use arrows to show
relationships between activities.
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

4. Estimation of the time required for each activity:

All activities in the project are illustrated by the persistent or steady unit of
time. PERT has the capacity to deal with ambiguity and unpredictability in the
completion time of the activities. The commonly used unit in software engineering
for the activity completion time is weeks.
PERT incorporates uncertainty by making it possible to schedule a project
while not knowing precise details and durations of all activities. The time shown
for each project activity when creating the network diagram is the time that the
task is expected to take based on a range of possibilities that can be defined as:
 The optimistic time - the minimum time required to complete a task
 The pessimistic time - the maximum time required to complete a task
 The most likely time - an estimate of how long the task will actually take

The expected time (the

time that will appear on the
network diagram) is defined
as the average time the
task would require if it were
repeated a number of times over a period of time, and can be calculated using
the following formula:

expected time = (optimistic time + (4 x most likely time) + pessimistic time) / 6

Example: (8 + 4(14) +20)/6 = 14 Weeks

5. Determination of Critical Path:

Critical path is the path which takes the maximum amount of time. There
are many paths in the network diagram which demonstrates the start and end
events of the project. Critical path is determined by adding the time taken by the
activities in each sequence and then determining the longest path in the project.
Total calendar time needed for the project is given by the critical path.
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

6. Update the PERT chart:

PERT charts are modified as the project work progresses. As the project
work continues, many changes to the PERT chart are made such as addition of
resources and changes in the estimation time by the actual time.
A PERT chart provides a realistic estimate of the time required to complete a
project, identifies the activities on the critical path, and makes dependencies
(precedence relationships) visible. It can also identify the earliest and latest start and
finish dates for a task, and any slack available. Resources can thus be diverted from
non-critical activities to those that lie on the critical path should the need arise, in order
to prevent project slippage. PERT charts can become unwieldy, however, if the number
of tasks is too great. The accuracy of the task duration estimates will also depend on
the experience and judgment of the individual or group that make them.
 Republic of the Philippines
State Universities and Colleges
GUIMARAS STATE COLLEGE
GRADUATE SCHOOL
McLain, Buenavista, Guimaras

References:
https://www.geeksforgeeks.org/project-evaluation-and-review-technique-pert/
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%20is%20a%20procedure%20through,integrate%20tasks%20within%20a
%20project.
https://corporatefinanceinstitute.com/resources/knowledge/other/project-
evaluation-review-technique-pert/
https://acqnotes.com/acqnote/tasks/pert-analysis
https://activecollab.com/blog/project-management/pert-network-chart-method
https://www.projectcubicle.com/pert-method-definition-examples/
https://www.nutcache.com/blog/the-significance-of-pert-in-project-management/
#:~:text=The%20Program%20Evaluation%20and%20Review%20Technique
%20is%20advantageous%20to%20project,the%20project%20is%20at%20any