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PERT and CPM Network Analysis Guide

The document provides an overview of Network Analysis focusing on PERT and CPM, detailing their development, application stages, and time computations. PERT is a probabilistic model used for R&D projects, while CPM is a deterministic model suited for construction projects, emphasizing time-cost trade-offs. The document outlines the stages of application, including project planning, network construction, time estimation, critical path determination, and monitoring.

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0% found this document useful (0 votes)
9 views5 pages

PERT and CPM Network Analysis Guide

The document provides an overview of Network Analysis focusing on PERT and CPM, detailing their development, application stages, and time computations. PERT is a probabilistic model used for R&D projects, while CPM is a deterministic model suited for construction projects, emphasizing time-cost trade-offs. The document outlines the stages of application, including project planning, network construction, time estimation, critical path determination, and monitoring.

Uploaded by

prabjyot.869
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

Certainly!

Here's a detailed explanation of Network Analysis with a focus on PERT


(Program Evaluation and Review Technique) and CPM (Critical Path Method), their
development, application stages, and time computations:

📘 UNIT: Network Analysis — PERT/CPM

1. Background and Development


PERT (Program Evaluation and Review Technique)

 Developed by: U.S. Navy in 1958 for the Polaris missile project.
 Need: To plan and control large, complex projects with uncertain
activity durations.
 Characteristic:
o Probabilistic model.
o Uses three time estimates per activity.
o Suitable for R&D and developmental projects.
o Focus is on time (not cost).

CPM (Critical Path Method)

 Developed by: DuPont & Remington Rand in the 1950s.


 Need: For scheduling construction and industrial projects.
 Characteristic:
o Deterministic model (fixed activity times).
o Includes time-cost trade-offs.
o Suitable for repetitive and predictable projects.
o Focuses on both time and cost.

2. Stages in Application of PERT/CPM


Stage 1: Project Planning

 Define the entire project.


 Break it into smaller activities or tasks.
 Determine precedence relationships among activities.

Stage 2: Network Construction

 Draw a network diagram:


o Activity-on-Arrow (AOA) for traditional PERT/CPM.
o Activity-on-Node (AON) for modern project software (like MS
Project).
 Represent activities by arrows and events by nodes.

Stage 3: Time Estimation

 PERT requires:
o Optimistic time (O): Minimum time to complete an activity.
o Most likely time (M): Best estimate of time.
o Pessimistic time (P): Maximum time if everything goes wrong.
o Expected Time (TE) is calculated using:

T_E = \frac{O + 4M + P}{6}


Stage 4: Critical Path Determination

 The critical path is the longest path from start to end.


 It determines the minimum project duration.
 Activities on this path are critical (no slack).

Stage 5: Time Analysis (Forward and Backward Pass)

 Calculate Earliest Start (ES), Earliest Finish (EF).


 Calculate Latest Start (LS), Latest Finish (LF).
 Determine Slack (Float) = LS – ES or LF – EF.

Stage 6: Monitoring and Control

 Use PERT/CPM for progress tracking.


 Revise the plan in case of delays or changes.

3. Critical Path Method (CPM)


Purpose:

To identify the sequence of activities that must be completed on time to avoid delaying the entire
project.

Key Concepts:
Term Meaning

Activity A task with defined duration.

Event Start or end point of an activity.


Term Meaning

Critical
Longest duration path in the network.
Path

Slack/ Amount of time an activity can be delayed without delaying


Float the project.

4. Determination of CPM

Step-by-step Process:

A. Forward Pass (to find ES and EF)

 Start at the beginning node. Set ES = 0.


 For each activity:

EF = ES + Duration

ES = \text{Maximum EF of all immediate predecessors}


B. Backward Pass (to find LF and LS)

 Start from the last activity.


 For final event:

LF = \text{EF of the last activity}

LS = LF - Duration

LF = \text{Minimum LS of all immediate successors}


C. Slack Calculation

 For each activity:

\text{Slack} = LS - ES = LF - EF

5. PERT Analysis: Expected Time & Variance

For each activity in PERT:


 Expected Time (TE):

T_E = \frac{O + 4M + P}{6}

\sigma^2 = \left( \frac{P - O}{6} \right)^2

For the entire project:

 Total expected time = Sum of TE along the critical path.


 Total variance = Sum of variances along the critical path.

You can use this to compute:

 Probability of completing the project within a given time using the


normal distribution.

📝 Example Network (simplified):


Activi Durati Predecess
ty on or

A 3 -

B 4 A

C 2 A

D 4 B, C

From this, construct the network and apply forward pass to find ES/EF and backward pass to
find LS/LF. Then, identify the critical path (with zero slack).

✅ Summary
Aspect PERT CPM

Time Probabilistic (O,


Deterministic
Estimates M, P)

Focus Time, uncertainty Time-cost trade-offs

Application R&D, new projects Construction, repetitive


Aspect PERT CPM

jobs

Path Analysis Yes (critical path) Yes (critical path)

Slack/Float Yes Yes

Would you like me to create a solved numerical example with a diagram for either

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