Softside Systems has a $100,000 fixed price contract for installation of a new application system. The project
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Softside Systems has a $100,000 fixed price contract for installation of a new application system. The project is expected to take 5 weeks and cost
$50,000. Experience with similar projects suggests a 0.30 likelihood that the project will encounter problems that could delay it as much as 3 weeks and increase the cost by $30,000. By increasing the project staff 20 percent for an additional cost of $10,000, the likelihood of problems would be reduced to 0.10, and the delay and cost would be 1 week and $8,000, respectively. Set up a decision tree to determine whether Softside should increase the size of the project staff.
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Related Book For
Project Management For Business Engineering Principles And Practice
ISBN: 286248
2nd Edition
Authors: John M. Nicholas
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