MGSC 395 Lecture Notes - Lecture 7: Junkers J.I, Wicket-Keeper, Critical Path Method

• School: USC, SC, Carolina, South Carolina
• Department: Management Science
• Course: MGSC 395
• Professor: Gaffney

Document Summary

Projects are interrelated sets of activities with a start and end point, resulting in a unique outcome from an allocation of resources. Main goal is complete project on time, without exceeding the budget, and meet the specifications. Wbs = all the work that has to be completed. Activity = the smallest unity of work that will use time/resources. Need precedence relationships and estimates of activity times. The critical path is the longest path through a project network. Start at end and go backwards to get to the start. Every activity on the critical path has 0 slack. Max time reduction: normal time - crash time. Cost to crash per period: (crash cost - normal cost)/(normal time - crash time) Penalty cost: for every week over 65 weeks given completion time, it will cost. At 69 weeks of a critical path, will incur 4*20,000 = 80,000 penalty. Cost-time tradeoff, minimum cost schedule, and crashing: all synonymous.