1. Dr. Sajjad Mubin

2. Project Time Management (3rd Ed)
PROJECT TIME MANAGEMENT
6.1 ACTIVITY DEFINITION
1. Inputs
1. Enterprise
environmental factors .
2. Organizational process
assets
3. Project scope statement
4. Work Breakdown
structure
5. WBS Dictionary
6. Project management
plan
2. Tools and Techniques
1. Decomposition
2. Templates
3. Rolling wave planning
4. Expert judgment
5. Planning component
3. Outputs
1. Activity list
2. Activity attributes
3. Milestone list
4. Requested changes
6.2 ACTIVITY SEQUENCING
1. Inputs
.1 Project scope statement
.2 Activity list
.3 Activity attributes
.4 Milestone List
.5 Approved change requests
2 . Tools and Techniques
.1 Precedence Diagramming
Method (PDM)
.2 Arrow Diagramming
Method (ADM)
.3 Schedule network
templates
.4 Dependency determination
.5 Applying leads and lags
3. Outputs
.1 Project schedule network
diagrams
.2 Activity list (updates)
.3 Activity attributes
(updates)
.4 Requested changes
6.3 ACTIVITY RESOURCE
ESTIMATING
1. Inputs
.1 Enterprise environmental
factors
.2 Organizational process assets
.3 Activity list
.4 Activity attributes
.5 Resource availability
.6 Project management plan
2. Tools and Techniques
.1 Expert judgment
.2 Alternatives analysis
.3 Published estimating data
.4 Project management software
.5 bottom-up-estimating
3. Outputs
.1 Activity resource requirements
.2 Activity attributes (updates)
.3 Resource breakdown
structure
.4 Resource calendars (updates)
.5 Requested changes
Continue on
next slide

3. Project Time Management (Cont..)
PROJECT TINE MANAGEMENT
6.4 ACTIVITY DURATION
ESTIMATING
1. Inputs
.1 Enterprise environmental
factors
.2 Organizational process assets
.3 Project scope statement
.4 Activity list
.5 Activity attributes
.6 Activity resource requirements
.7 Resource calendars
.8 Project Management plan
. Risk register
. Activity cost estimates
2. Tools and Techniques
.1 Expert judgment
.2 Analogous estimating
.3 Parametric estimating
.4 Three-point estimating
.5 Reserve analysis
3. Outputs
.1 Activity duration estimates
.2 Activity attributes (updates)
6.5 SCHEDULE DEVELOPMENT
1. Inputs
.1 Organizational process assets
.2 Project scope statement
.3 Activity list
.4 Activity attributes
.5 Project schedule network diagrams
.6 Activity resource requirements
.7 Resource calendars
.8 Activity duration estimates
.9 Project management plan
. Risk register
2. Tools and Techniques
.1 Schedule network analysis
.2 Critical path method
.3 Schedule compression
.4 What-if scenario analysis
.5 Resource leveling
.6 Critical chain method
.7 Project management software
.8 Applying calendars
.9 Adjusting leads & lags
10. Schedule model
3. Outputs
.1 Project schedule
.2 Schedule model data
.3 Schedule baseline
.4 resource requirements (Updates)
.5 Activity attributes (updates)
.6 Project calendars (updates)
.7 Requested changes
.8 Project management plan (updates)
. Schedule management plan (updates)
6.6 SCHEDULE CONTROL
1. Inputs
.1 Schedule management plan
.2 Schedule baseline
.3 Performance report
.4 Approved change request
2. Tools and Techniques
.1 Progress reporting
.2 Schedule change control
system
.3 Performance measurement
.4 Project management
software
.5 Variance analysis
.6 Schedule comparison bar
charts
3. Outputs
.1 Schedule model data
(updates)
.2 Schedule baseline (updates)
.3 Performance measurements
.4 Requested changes
.5 Recommended corrective
actions
.6 Organizational process
assets (updates)
.7 Activity list (updates)
.8 Activity attributes (updates)
.9 Project management plan
(updates)
Continue on
Previous slide

4. Content of Presentation
 WBS/ Activity Definition
 Estimation
o [Purpose of Estimation
o Factors influencing Estimates
o Methods of Estimation
o Problems in Estimation
o Accuracy in Estimation
o Importance of Accurate Estimates
 Scheduling (Planning and Scheduling)
o Objectives
o Techniques
o Critical Path Method (CPM)
 Basic Definition of CPM
 Activity
 Activity Duration
 Network Construction
 Example 1
o Histogram
 Resource Histogram
 Constructing Resource histogram
o Procedure for Resource Leveling
o PERT
o Example
 Use of software for planning,
scheduling & control of projects
o Process overview
o Software application
o EVMS

5. Work Breakdown Structure (WBS)
To be able to perform an accurate estimate of the
project targets it is very pertinent to divide project into
manageable sets of components or activities called as
(WBS) of the project. Patrick (2003) defines WBS as “a
hierarchical system that represents the project in
increasing levels of detail to define, organise, and
display the project work in measurable and
manageable components”.
5

6. Work Breakdown Structure (WBS)
 The WBS consists of different levels
where level one is the least detailed level
often representing the entire project.
The number of activities in the WBS
grows quite rapidly and it is not unusual
that a large construction project is
broken down into several hundreds of
activities. There is no specific rule about
which level of detail a WBS should have
but a low level of detail may result in
insufficient detail for effective planning,
whereas a too high level of detail may
become unmanageable and increase
planning costs. It is generally the case
that the WBS is poorly detailed rather
than too detailed. According to Jackson
(2004) the level of detail should
correlate with the control level desired,
i.e. to have enough activities and just the
right amount of detail so that the work-
flow effectively can be monitored and
managed.
6
A proposed WBS for an infrastructure project (multi-storey building project).

7. Creating the Work Breakdown
Structure (WBS)
 A WBS is a deliverable-oriented grouping of the work
involved in a project that defines the total scope of the
project
 WBS is a preliminary document that provides the basis
for planning and managing project schedules, costs
and resources
 Decomposition is subdividing project deliverables
into smaller pieces
 A work package is a task at the lowest level of the
WBS
7

8. Sample Intranet WBS Organized by Phase
8

9. Intranet WBS in Tabular Form
1.0 Concept
1.1 Evaluate current systems
1.2 Define Requirements
1.2.1 Define user requirements
1.2.2 Define content requirements
1.2.3 Define system requirements
1.2.4 Define server owner requirements
1.3 Define specific functionality
1.4 Define risks and risk management approach
1.5 Develop project plan
1.6 Brief Web development team
2.0 Web Site Design
3.0 Web Site Development
4.0 Roll Out
5.0 Support
9

10. Intranet WBS and Gantt Chart in
Microsoft Project
10

11. 11
USEFULNESS OF WBS

12. Estimation
 An estimate is a calculation of the quantities of various items of work, and the
expenses likely to be incurred there on. The total of these probable expenses to
be incurred on the work is known as estimated cost of the work. The estimated
cost of a work is a close approximation of its actual cost. The agreement of the
estimated cost with the actual cost will depend on accurate use of estimating
methods and correct visualization of the work, as it will be done. Importance of
correct estimating is obvious. Under-estimating may result in the client getting
an unpleasant shock when tenders are opened and drastically modifying or
abandoning the work at that stage. Over-estimating may lose the engineer or
estimator his client or his job, or in any case his confidence.
 Estimating is the most important of the practical aspects of Project
management, and the subject deserves the closest. It is a comparatively simple
subject to understand; however, as it brings one up against practical work,
methods and procedure, knowledge of it cannot be acquired without close
application.

13. Estimation
 Planning requires estimation early-on, even though it is likely this
“commitment” will be proven wrong.
 Some degree of uncertainty is unavoidable when predicting into the
future.
 Solid techniques and concrete procedures help reduce the inaccuracy
of estimates .
Definition of estimating
‘To form an approximate notion of the amount,
number, magnitude or position of anything, without
actual enumeration or measurement.’
Oxford English Dictionary

14. Purpose of Estimating
1. Estimating Materials
From the estimate of a work it is possible to determine the quantity of
materials required to complete work as per scope of project and WBS.
2. Estimating Labor
The quantity and type of workers (man hours) of different categories
required to complete the work in the specified time.
3. To give a reasonably accurate idea of the cost
An estimate is necessary to give an accurate idea of the cost of work as
per scope and WBS.
4. Estimating Time
The estimate enable to estimate the time required to complete an
item of work or the work as a whole as per scope and WBS. Time
estimates are used in scheduling work, assigning resources and
determining delivery dates..
Estimation of cost, materials, labor and time is immensely useful in
planning, execution and control of any work.

15. Factors Influencing Estimates
 Deadlines and Time Constraints
 Skill and Knowledge of Quantity Surveyor
 Experience of Estimation
 Nature of work and product/project
 Productivity of labor and machinery

16. Problems in Estimation
a) There is no established project estimation process.
b) Inaccurate data is used, or historical data may not be
complete.
c) The forecasting techniques and tools are inefficient.
d) There is no ability to track actual project performance,
which can be used to refine estimates.
e) The project planners are inexperienced.

17. Example of Reality Check
500 1000 1500 2000 2500
Mission Cost ($ mln)
0
0
20
40
60
80
100
120
140
160
180
Mission
Duration
(mo)
HEAD
Magillan
Landsat 7
URAS LISA
CGRO Chandra (AXAF)
Galileo
Terra
HST
GOES I-M
Aqua
NASA’s LISA Project cost estimation

18. 18
When estimates are required
Project phase Estimates required
Initiation/ Concept/
Inception Stage
Time, cost and benefit estimates in project
definition.
Planning Stage Time estimates in project schedule.
Cost estimates in project budget.
Cost and benefit estimates in business case.
Start of project stages Time and cost estimates reconfirmed for the
stage.
Execution To calculate the Earned Value, Estimated time
to complete project, Quantities worked out and
billing of contractor.

19. Accuracy in Estimate

20. Rough Estimate of Installation Cost
Ref: K.M. Guthrie, "Process Plant Estimating, Evaluation, and

21. Component Range,% Range,
%
MOL
(PDIL)
MOL, %
Direct Cost
Engineering (Design) 2-5% 2.31% 1.5%
Equipment 20-60% 60% 54%
Instrument and Control 2-8 % 4.5% 2.275%
Piping 4-20 % 8.1% 4.1%
Electrical 2-10 % 7.1% 3.58%
Equipment Installation 6-15 % 6%
Construction (building,
found)
5-20 % 23% 20%
Indirect Cost
Service facilities 8-15 % 7.4% 3.74%
Misc. 2-5% 5%
Total Direct & Indirect
Cost
100 %

22. Description of Items Variation
Minimum (-ve) Maximum (+ve)
1 Major Equipment Pricing 15% 21%
2 Bulk Material Quantification 30% 40%
3 Bulk Material Pricing 20% 25%
4 Normal Factors and Allowances 25% 40%
5 Steel Price Fluctuation 5% 20%
6 Field Labor Productivity 20% 25%
7 Subcontract Rates 15% 20%
8 Construction Productivity 5% 8%
9 Engineering Productivity 10% 10%
10 Third Party Costs 15% 18%
11 Labor Productivity 10% 15%
12 P&ID Development 5% 15%
13 World Wide Market 5% 8%
14 Overall Schedule Delay 11% 9%
15 Productivity (CPI & SPI) 23% 13%

23. 1. Rough Estimate
Various researchers have developed various relationships between the
cost and maximum output capacity of a process plant.
where
Cx = Cost of plant and/or equipment item of size Ex
Ck = Known cost of plant and/or equipment of size Ek
N = Cost capacity exponent
N
k
x
E
E






 .
C
C k
x
Estimation Method
2. Detailed Estimate

24. Project Planning and Scheduling
 Project Planning:
Process of identifying all the activities necessary to successfully
complete the project is called project planning.
 Project Scheduling:
Process of determining sequential order of planned activities,
assigning realistic duration, to each activity and determining start
and finish dates of each activity is called project scheduling.
Project planning is prerequisite to project scheduling because there is
no way to determine the sequential order of activities until they are
identified. However, the terms planning and scheduling are often
used synonymously because they are performed interactively. E.g.
when some schedule is reviewed, it may be decided that additional
activities may be added or rearranged in order to get the best
schedule of events of projects.

25. Objectives of Project Planning & Scheduling
 Finish project on time.
 Continuous (uninterrupted) flow of work.
 Reduced amount of rework.
 Minimize confusion and misunderstanding.
 Increased knowledge of status of project to every one
(including management).
 Knowledge of distribution of costs of project.
 Accountability of people / defined responsibility and clear
understanding of who does what, when and how much.
 Exploitation and optimum use of resources.

26. 26
Importance of accurate estimates
 Inaccurate time estimates can result in inefficient use of resources
and late delivery.
 Inaccurate cost estimates can result in insufficient budget being
allocated, or excess budget being set aside for the project when it
could be used for other projects.
 If the cost or benefits estimates are inaccurate this can lead to
incorrect decisions about proceeding with the project being made.

27. Techniques for Planning and scheduling
Techniques used for scheduling depends upon the type, size,
complexity, duration, personal and owner requirement. It is
preferred to use a simpler technique which is simple to use and
easily interpreted by all project participants. There are two general
techniques which commonly used for planning and scheduling.
 Bar Chart (Gantt Chart):
It is the graphical representation of Time (X-axis) and Activities
on Y-axis, so that the status of project may be visualized and
controlled.
 Net work analysis system (CPM and PERT):
It is the schematic representation of various activities. This
method calculates the minimum completion time for a project
along with start and finish time of project activities.
 Software application: (MS Project, Primavera, Pertmaster, Risky
Project.

28. Bar Chart
 Bar Chart was developed by Henery L. Gantt in 1917, which is the most common
planning tool even now and provided basis for developing planning and
scheduling software.
 Bar Charts are the easiest and most widely used form of scheduling in project
management. Even with other scheduling techniques the eventual schedule is
presented the form of a bar chart. A typical Bar chart is a list of activities with the
start, duration and finish of each activity shown as a bar plotted to a time scale.
The level of detail of the activities depends on the intended use of the schedule.
The most commonly used bar chart for engineering works is called Gantt chart.
 A Gantt chart is a type of bar chart that illustrates a project schedule. Gantt charts
illustrate the start and finish dates of the terminal elements and summary
elements of civil engineering project. Terminal elements and summary elements
comprise the work breakdown structure of the project. Some Gantt charts also
show the dependency (i.e. precedence network) relationships between activities.
Gantt charts can be used to show current schedule status using percent-complete
shadings.
 Gantt charts have become a common technique for representing the phases and
activities of a project work breakdown (WBS), so they can be understood by a
wide audience all over the world.

29. Critical Path Method (CPM)
The Critical Path Method is a method where activities are arranged
based on interrelationship. It is a planning and control technique that
provides an accurate, timely and easily understood picture of the
project. Its purpose is to allows effective scheduling and controlling,
after the project starts. One of the most important features of CPM is
the logic diagram. The logic diagram graphically portrays the
relationship between project activities.
 Critical path in a network is a longest path in terms of time unit, which
gives minimum overall duration to complete the project.
 CPM calls attention which activities must be completed before other
activities can begun.
A
B
D
F
G
E
C
H

30. Basic Definitions of CPM Terms
 Activity:- The performance of a task required to complete the project e.g.
foundation design, contract document, RCC form work, pouring of concrete.
 Network:- A diagram to represents the relationship of activities to complete
the project.
 Duration:- The estimated time required to perform an activity.
 Early Start (ES):- The earliest time an activity can be start.
 Early Finish (EF):- The earliest time an activity can be finished.
 Late Finish (LF):- The latest time an activity can be finished.
 Late Start (LS):- The latest time an activity can be started without delaying
the completion of project. (LS = LF – D)
 Total Float (TF):- The amount of time an activity may be delayed without
delaying the completion date of project.
Mathematically, TF = LF – EF = LS – ES.
 Critical Activity:- If total float for an activity is zero, activity is called critical
activity.
 Critical path is a longest path in terms of time unit in a network, which gives
minimum overall duration to complete the project.

31. Activity
A common technique used to understand and organize complex undertaking is
to break the project into smaller pieces. This technique is used both planning
and estimating. Each activity is a discrete task. Activities should be only be
specified as per level of management. The number and detail of listed quality
will vary from job to job and depend on the intended level of control. Usually
for planning purposes activity doesn’t exceed from 25 days, if exceeds may be
divided into further components. The activities must have four characteristics.
1. Time consumption: An activity must consume time.
2. Use of resources: An activity usually consumes Labour, Material or
Equipment resources.
3. Definite Start and Finish time: An activity represents a definite scope of work
i.e. Starting and Ending point in time.
4. Activities are measurable. The progress towards completion of activity’s
scope of work must be measureable.

32. Activity Duration
 One of the most important steps in planning a project is estimating the
time required to complete each activity. The duration of each activity is
a function of quantity of work and work production rate. Work
production rates are based on planned composition of labor and
equipment used to perform the task. Careless estimates of production
rates may cause un economical use of personnel, materials, equipment
and time.
 When the project bid estimate is prepared, the estimator calculates the
quantity of material that must be put in place and assumes a
production rate to get the cost of each work, which is based
construction method and technique. The bid preparation information
can be served as the tool for calculating g an activity duration.
 All Activities in a schedule should have same unit of time, which may
be in months, weeks, days and hours.

33. Example
In estimating a three storey office building, it was determined
that 480 light fixtures would be installed on each floor. The
production rate of two fixture per man hour may be used for
installation. The company has five electrician. The normal
working day will be 8 hours. What will be the duration (in days)
to install all lights in the building.
SOLUTION:
Production Rate: 2 fixture x 5 electrician = 10 fixtures per man hour
1-man hour
Activity Duration = 480 fixture x 3 floors = 144 hours
10
Activity Duration = 144 hours = 18 day
8 hours

34. Network Construction
The performance of a task required to complete the project. Activity must have
a specific duration except the dummy activity, having zero duration. Each
activity is represented as can arrow or node. Arrows are not drawn according to
scale. The brief description about activity is written over arrow or node.
Duration (hours, week, months) to complete that activity is written under the
arrow, where 1 and 2 are the event. Which are written inside the circles or
boxes. The starting event is masked at the tail and finish event at the head of
the arrow.
Rules:
1. Each activity should be represented by a separate arrow.
2. The arrow may be straight or inclined lines.
3. Dummy activity should be represented with dotted lines.
4. Critical path must be shown clearly with double line.
5. Intersection of activity is not allowed.
6. Boxes are provided for event times (ES, EF, LS, LF)
7. EST is some reference time, normally EST = 0 at the start of the project /
work. EFT = EST + Duration.
8. Each activity is followed by a predecessor and successor except start and
finish activities. Any starting activity must have predecessor none, or finish
activity must have no successor.

35. Example 1. CPM
Activity Duration
(days)
Events Preceding
Activity
(Predecessor)
A 4 1 – 2 None
B 6 2 – 3 A
C 8 2 – 4 A
D 10 3 – 6 B
E 5 3 – 5 B
F 7 4 – 5 C
G 12 6 – 7 D
H 8 5 – 7 E, F
I 3 7 – 8 G,H
1. Construct AOA network
2. Find ES, EF, LS and LF
of all activities
3. Find total float of all
activities (days)
4. Find the project
duration (days)
5. Mark critical path on
the network

36. Example 2. CPM
Activity Duration Predecessor Resource Early
Start
(ES)
Early
Finish
(EF)
Late
Start
(LS)
Late
Finish
(LF)
Total
Float
(TF)
Remark
O 8 None 10
N 3 O 2
M 13 N 5
L 7 O 15
K 12 O 8
J 3 K 4
I 10 L 3
H 8 L 10
G 6 H,M 8
F 20 I 4
E 16 I 6
D 8 J 4
C 4 G, E 20
B 5 F 6
A 3 B, C,D 3
1. Construct AOA network
2. Find ES, EF, LS and LF of all
activities
3. Find total float of all activities (days)
4. Find the project duration (days)
5. Mark critical path on the network

37. Example 3. CPM
Activity Duration Predecessor Resource (ES) (EF) (LS) (LF) (TF) Remark
Q 8 None 5
P 10 Q 6
O 7 Q 10
N 6 O 2
M 9 Q 5
L 5 M 15
K 4 O 8
J 7 L, K 4
I 9 L, K 3
H 20 P 10
G 12 H 8
F 9 N 4
E 20 N 6
D 11 I 4
C 7 E, J 20
B 7 G, F 6
A 3 B, C,D 3
1. Construct AOA network
2. Find ES, EF, LS and LF of all
activities
Find total float of all activities (days)
4. Find the project duration (days)
5. Mark critical path on the network

38. Example 3. CPM
1. Construct AOA network
2. Find ES, EF, LS and LF of all
activities
3. Find total float of all activities (days)
4. Find the project duration (days)
5. Mark critical path on the network
6. Resource Histogram
Solution: Critical Path = Q – P – H – G – B – A, Project Duration = 60 days
2nd Path = Q – O – N – F – B – A, Duration = 40 days
3rd Path = Q – O – N – E – C – A, Duration = 51days
4th Path = Q – O – K – J – C – A, Duration = 36 days
5th Path = Q – O – K – I – D – A, Duration = 42 days
6th Path = Q – M – L – J – C – A, Duration = 39 days
7th Path = Q – O – K – I – D – A, Duration = 45 days

39. Histogram
 A histogram is a graphical data analysis technique for summarizing the
distributional information of a variable. The response variable is divided into
equal sized intervals (or bins). The number of occurrences of the response
variable is calculated for each bin. The histogram consists of:
 Vertical axis = frequencies or relative frequencies;
 Horizontal axis = response variable (i.e., the mid-point of each interval).
 Histogram is a summary graph showing a count of data points falling in various
ranges. The histogram displays a single variable in a bar form to indicate how
often some event is likely to occur by showing the pattern of variation
(distribution) of data. A pattern of variation has three aspects: the center
(average), the shape of the curve, and the width of the curve. Histograms are
constructed with variables such as time, weight, temperature and are not
appropriate for attribute data.

40. Resource Histogram
 It is a graphical
representation of time on
X-axis and resources on Y-
axis.
 It is a view of project data
in which resource
requirements, usage, and
availabilities are shown
against a time scale. The
personnel, equipment,
materials, and services
needed to complete tasks in
a project are resources.

41. Types of Resource Histogram
1. Labor Resource Histogram
2. Material Resource Histogram
3. Equipment Resource
Histogram
4. Cost Histogram
In these resource histograms time is
taken on x axis and the resource is
taken on y axis. For a construction
project total resources are
mentioned according to that
particular time these histograms
also help us to calculate cost for a
particular resource of a project at a
particular time because resource
can be converted in terms of cost.

42. Procedure for Resource Leveling
1. Plan and Schedule project activities.
2. Construct a Network for the project.
3. Mark Critical Path (CP).
4. Construct the Bar Chart for the Project.
5. For each working day show resources of each activity at their
respective duration on Bar Chart.
6. Sum up the total resources vertically for each working day.
7. Plot the histogram for the resource.
8. Mark the sudden drop or rise in resource histogram.
9. Utilize the total float available for non critical activity to level
the resources by hit & trial method.
10. Recheck the leveled histogram and prepare a new schedule of
work / execution.

43. Activity Duratio
n
Pred. ES EF LS LF float
A 6 None 0 6 0 6 0
B 20 A 6 26 15 35 9
C 5 A 6 11 6 11 0
D 8 A 6 14 17 25 11
E 10 D 14 24 25 35 11
F 14 C 11 35 11 35 0
G 8 C 11 19 45 53 34
H 12 C 11 23 31 43 20
I 6 B, F 14 20 37 43 23
J 10 E, H 23 33 43 53 20
K 18 G, I, J 35 53 35 53 0
Constructing Resource Histogram

44. Constructing Resource Histogram

45. Programme Evaluation and Review Technique (PERT)
 PERT is a management tools for defining and integrating events; a
process which must be accomplished in time to assure completing
project objectives on schedule.
 PERT is an inherent planning technique forces the manager to develop
a comprehensive plan and allows realistic scheduling. The procedure
for monitoring, forecasting and simulating allows the manager to
respond quickly to unexpected changes in the project, detect trouble
areas early and evaluate proposed alternative courses of action. PERT
also helps to evaluate alternatives at any time during projects duration
by looking effect of each change on its completion date. PERT also
helps to simulate the project time &a cost and effects of alternate
decisions.
 In other words it can be defined it can be defined as a planning
techniques that precuts statistical information regarding the
uncertainties associated with completing the different activities
associated to a project. Expected Value of activity direction

46. Example: PERT
Activity Duration Pred
.
Expected
Time
Variance
O M P te σ2
A 8 10 15 Nil
B 8 10 12 A
C 11 12 13 B
D 18 20 26 B
E 1 2 4 B
F 1 2 5 C
G 3 4 7 E
H 1 2 3 F
I 10 15 21 D
J 3 5 7 G
K 32 40 56 H,I,J
L 4 8 13 K
(i)Draw net work for PERT
(ii)Find Expected Time “te” for all activities
(iii)Find Variance “σ2” for all activities
(iv)Find “Z” value, when Ts= 103
(v)What is the probability that project will finish
in 104 days?
(vi)What is the probability that activity “K” will
start on 55th day of project execution?
Calculations:

47. Solution
Activity Duration Pred Expected
Time
Variance
O M P te σ2
A 8 10 15 Nil
B 8 10 12 A
C 11 12 13 B
D 18 20 26 B
E 1 2 4 B
F 1 2 5 C
G 3 4 7 E
H 1 2 3 F
I 10 15 21 D
J 3 5 7 G
K 32 40 56 H,I,J
L 4 8 13 K
= 10.5 days
= =
= 1.36

49. Difference between PERT and CPM
CPM PERT
CPM uses one time estimate that represents
the normal time.
PERT uses three time estimates (optimistic, most likely,
and pessimistic) to derive an expected time.
CPM is deterministic in nature. PERT is probabilistic in nature,
CPM is used for those projects where percent
complete can be determined with reasonable
accuracy such as construction.
PERT is used for R&D, where percent complete is
almost impossible to determine except a completed
milestones.
CPM is activity oriented and can be used as
an arrow diagram network.
PERT is event oriented rather than activity oriented
and can be used as an arrow diagram network.
CPM as a controlling device for the simple
reason that one must repeat the entire
evaluation of the project each time the
changes are introduced into the network
PERT serves a useful control device as it assist the
management in controlling a project by calling
attention through constant review to such delays in
activities which might lead to a delay in the project
completion date.
Cannot be used for risk analysis and
management
Can be used for risk analysis and management
CPM Gives Critical Path PERT gives probability in % to achieve critical path
May be used successfully for projects without
uncertainties and risks
May be used successfully for projects with uncertainties
and risks

50. Planning, Scheduling and Control
 MS Project
 Primavera (P3, P6)
 Risky Project
 Pertmaster
Software application

51. Process Overview

52. 1. Project Baseline Schedule
2. Project Baseline Budget

53. Earned Value Management System (EVMS)
Status at Month 3
Progress at end of 3rd Month:
Project Budget (BAC): 37.22 lakhs
Funds Used (AC): 16.40 lakhs
Utilization = 44.1 %
Additional EV Parameters:
Planned (PV): 19.82 lakhs
Earned (EV): 14.50 lakhs
Sheet 1 of 1
Ac ti vi ty
I D
Ac ti vi ty
De s cri p ti o n
Ori g
Du r
Bu d ge t
(BAC)
P l a nn e d
(BCW S )
E a rne d
(BCW P )
Ac tua l
(ACW P )
R ural H ealth C linic
T o t a l 2 1 0 3 , 7 2 2 , 0 0 0 . 0 0 1 , 9 8 2 , 8 0 0 . 0 0 1 , 4 5 0 , 0 0 0 . 0 0 1 , 6 4 0 , 0 0 0 . 0 0
G ener al
S u b to t a l 2 1 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 0 0 0 P r o j e c t S t a rt 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 1 1 0 P r o j e c t C o m p l e t e 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
Foundation
S u b to t a l 5 4 8 5 0 ,0 0 0 . 0 0 8 5 0 ,0 0 0 . 0 0 8 5 0 ,0 0 0 . 0 0 9 5 0 ,0 0 0 . 0 0
1 0 1 0 E a r t h w o r k s 1 8 5 0 , 0 0 0 . 0 0 5 0 , 0 0 0 . 0 0 5 0 , 0 0 0 . 0 0 6 0 , 0 0 0 . 0 0
1 0 2 0 F o u n d a t i o n u p t o P li n t h 2 4 8 0 0 ,0 0 0 . 0 0 8 0 0 ,0 0 0 . 0 0 8 0 0 ,0 0 0 . 0 0 8 9 0 ,0 0 0 . 0 0
S tr uctur e W or k
S u b to t a l 5 1 1 , 5 3 6 , 0 0 0 . 0 0 1 , 1 3 2 , 8 0 0 . 0 0 6 0 0 ,0 0 0 . 0 0 6 9 0 ,0 0 0 . 0 0
1 0 3 0 S u p e r - s t r u c t u r e 5 0 1 , 4 4 0 , 0 0 0 . 0 0 1 , 0 3 6 , 8 0 0 . 0 0 5 0 4 ,0 0 0 . 0 0 5 8 4 ,0 0 0 . 0 0
1 0 4 0 B l o c k M a s o n r y 1 5 9 6 , 0 0 0 . 0 0 9 6 , 0 0 0 . 0 0 9 6 , 0 0 0 . 0 0 1 0 6 ,0 0 0 . 0 0
Finishes
S u b to t a l 1 0 5 1 , 3 3 6 , 0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 0 5 0 P l a s t e r 4 0 1 9 2 ,0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 1 0 0 P l u m b i n g 1 5 1 0 0 ,0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 0 9 0 E l e c t r i c a l W o r k s 2 5 2 0 0 ,0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 0 7 0 F l o o r i n g 4 5 3 0 0 ,0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 0 6 0 P a i n t 4 0 1 4 4 ,0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
1 0 8 0 W o o d W o r k 2 0 4 0 0 ,0 0 0 . 0 0 0 . 0 0 0 . 0 0 0 . 0 0
M o nth s
1 2 3 4 5 6 7 8 9 1 0
P ro j ec t S ta rt
P ro j ec t Co m p l e te
E a rthwo rk s
F o u nd a ti o n u p to P li n th
S u p er-s tru ctu re
Bl o ck M a s on ry
P l a ste r
P l u m b i n g
E l e ctri c a l W o rk s
F l o ori n g
P a i nt
W o od W o rk
R e s o u rc e / Co s t P ro fi l e L e g e n d
P l a n n e d v a l u e c u rv e
E a rn e d v a l u e c u rv e
C u rre n t e s t im a t e c u rv e
T o t a l e a rl y c o s t p e r M o n t h ( C u rre n t E s t i m a t e )
T o t a l o f A l l R e s o u rc e s D e t a i l s c a l e ( l e f t ) : X 1 0 0 0 0 0
C u m u l a t i v e s c a l e (ri g h t ) : X 1 0 0 0 0 0
1 2 3 4 5 6 7 8 9 1 0
M o nth s
1
2
3
4
5
6
7
8
9
1 0
4
8
1 2
1 6
2 0
2 4
2 8
3 2
3 6
4 0
x 1 0 0 0 0 0 x 1 0 0 0 0 0
Sheet 1 of 1
PV
EV
AC
EAC
BAC
Project Cost Management

54. TIME
COST
Schedule Analysis BAC
Data Date
AC
EV
PV
Progress at end of 3rd Month:
Project Budget (BAC): 37.22 lakhs
Funds Used (AC): 16.40 lakhs
Utilization = 44.1 %
Additional EV Parameters:
Planned (PV): 19.82 lakhs
Earned (EV): 14.50 lakhs
Schedule Performance
Planned (PV): 19.82 lakhs
Earned (EV): 14.50 lakhs
Schedule Variance = EV-PV = -5.32
Schedule Performance Index = EV/PV = 0.73
SV

55. TIME
COST
Cost Analysis BAC
Data Date
AC
EV
PV
Progress at end of 3rd Month:
Project Budget (BAC): 37.22 lakhs
Funds Used (AC): 16.40 lakhs
Utilization = 44.1 %
Additional EV Parameters:
Planned (PV): 19.82 lakhs
Earned (EV): 14.50 lakhs
Cost Performance
Actual Cost (AC): 16.40 lakhs
Earned (EV): 14.50 lakhs
Cost Variance = EV-AC = -1.90
Cost Performance Index = EV/AC = 0.88
CV

56. TIME
COST
Estimate at Completion BAC
Data Date
AC
EV
PV
Progress at end of 3rd Month:
Project Budget (BAC): 37.22 lakhs
Funds Used (AC): 16.40 lakhs
Utilization = 44.1 %
Additional EV Parameters:
Planned (PV): 19.82 lakhs
Earned (EV): 14.50 lakhs
Estimate at Completion
Actual Cost (AC): 16.40 lakhs
Earned (EV): 14.50 lakhs
EAC = BAC/CPI = 42.3
Variance at Completion = BAC-EAC = -5.07

57. 1.0
.9
1.1
“GOOD”
“BAD”
1.2
.8
COST PERF INDEX (CPI) = EV
AC
SCHED PERF INDEX (SPI) = EV
PV
CPI
SPI
TIME
Performance Indices Trend

58. Benefits of EVPM
 Accurate picture of project status
 cost, schedule, and technical
 Early and accurate identification of trends and
problems
 Basis for course correction
 Bring project in on schedule and cost

59. 59
Thank You