General Aviation Hangar Restoration Read the following case to answer the following questions. 1. Describe the nature of the project, and its key objectives. 2. Define \"Dummy Activities\" and describe their role in this project. 3. Describe the key problem(s) in this project and the strategies used to address these problems. Introduction This case example, although for a very small project, illustrates some interesting features of planning using critical path analysis. although there are only 17 activities, the precedence logic is a little complex to draw clearly owing to the number of crossed links, and we show how this difficulty is easily overcome by inserting dummy activities at three of the crossover points. Our case example demonstrates the application of pert (program evaluation and review technique), in which the estimated duration for each activity can be subjected to a probabilistic study in an attempt to forecast the most likely completion time for the entire project. Finally, this case will demonstrate how a project manager need not accept the results of time analysis without question, but can plan to apply extra effort to expedite critical activities (usually for additional cost) to bring the planned project completion date forward. Project Background CEN-CONSTRUCT is a medium-sized business located in Sydney, Australia that is owned and operated by a family. It is principally a consulting company that specializes in aviation civil engineering, having worked on runway construction and paving projects as well as several other airport airside projects, most of which have been for smaller general airports. Having decided to extend its range of operations, the company recognized a local need for a contractor that could carry out aircraft hangar renovation. In consequence, the company has now achieved a good level of expertise in the interior design and renovation of hangars. The subject of this case example was the renovation of a hangar for a small client at a general aviation airport. The client uses the hangar to house his Cessna 310 twin-engine plane. The hangar was originally built in 1950, since when no further construction or renovation work has been carried out. CEN-CONSTRUCT had no previous integrated project management system or strategy for this type of project, so the project management planning steps described here were implemented for them. The planning exhibits are slightly simplified for clarity of reproduction. Project Definition and Activity List Because the total number of identified activities was small, a simple activity list (task list) sufficed for the WBS. This list, given in Figure 7.11, defines the project scope. It also defines the logical work sequence by stating the immediate predecessor(s) that must be completed before each new activity can begin. The cost estimates show that the total original estimated cost for this project was $46,900. Readers will note that the table in Figure 7.11 contains four different duration estimates for each activity. This is because the project planner decided to use a probability assessment method known as pert to this project. This is explained in the following section. Application Of PERT To The Hangar Renovation Project Almost all duration estimates are a matter for subjective judgment and the actual outcome for each activity can be quite different from the planner's intention. One branch of critical path analysis recognizes this uncertainty. The method, one of the earliest critical path analysis methods, is program evaluation and review technique (pert). each person who estimates the duration of an activity is asked to give three possible values which are: Tm = the most likely estimated time To = the most optimistic estimated time Tp = the most pessimistic estimated time The values are inserted in the following formula for each activity to give the most probable or expected time, which is based on the standard deviation from a normal statistical distribution curve: t = (t e o + 4t m + t )/6. This method was used for the hangar renovation project, and the data are given in the four estimated duration columns of figure 7.11. The Network Diagram And Its Initial Time Analysis The network diagram, using expected duration values, is shown in figure 7.12. Time analysis has revealed the critical path (shown in bold lines) and indicates most probable project duration of 67.9 days. Two dummy activities, identified as A and B, have been inserted to clarify the logic drawing. These dummy activities do not affect the network logic (work sequence) and as they both have zero duration they do not affect time analysis. It is quite usual to add a start dummy and a finish dummy to network diagrams that otherwise would have multiple starts and finishes, but their use within a precedence network, as here, is less common. However, a glance at figure 7.13 shows that they can improve the clarity of a network diagram. Measures For Reducing The Predicted Timescale It often happens that the predicted timescale for a project is too long, and that was the case in this example, with the client specifying that he wanted to fly in and house his airplane between days 50 and 55 of this project. Clearly the originally planned completion time of day 68 would have been far too late. There are two possible approaches to shortening the planned timescale of a project. The project manager has a choice between these two methods or, to achieve maximum expedition, can use both methods together. Fast-tracking using concurrency Network logic often shows constraints that are not literally true, and it is known that some activities can be allowed to overlap or even run concurrently. One example is in the purchase of long-lead items, where design engineers are able to release purchasing information to the buyer before the relevant design activity has been completed. The complex constraints given in figure 7.10 showed how the precedence system will allow such overlaps to be depicted in a network. However, that process was not considered applicable on this aircraft hangar case project and will not be described further here. Shortening activity durations by crash action It is often possible to shorten the duration of an activity by deploying more resources, using different processes, or working overtime. These actions usually add additional cost, and it would thus be wasteful to crash activities with large amounts of slack because, to do so, would have no effect on the total project duration. Crash action must be considered first, therefore, only on activities which lie on the critical path. Constructing a table that compares time saved on an activity with the relevant additional cost can theoretically produce a factor for each activity that will reveal the cost per day saved for that activity. Thus crash action can be even more selective than choosing only critical activities, because it can be concentrated on those critical activities which have the lowest cost per day saved. However, the exercise becomes complicated in practice because as one or two critical activities are crashed and the critical path is shortened, other paths through the network become critical. Crash attention must then shift to the newly created critical activities. Theoretically this process can be reiterated until all activities and all possible paths through the network become critical. It could then be claimed that the network has been optimized, but that claim needs to be taken with considerable circumspection because it is based on a false premise. Remember that every duration estimate is only an estimate, so the perceived mathematical precision of total network crash optimization is a myth. There is no slack in a totally crashed network, so that all or most activities are critical and that increases the risk of failing to meet the delivery date. Further, the probability results from the original pert time analysis no longer apply, because each crashed estimate has been made on a deterministic, not probabilistic basis. In the aircraft hangar renovation project a realistic approach to crash action produced the table shown in Figure 7.14 on the left. When the crashed times were substituted for the pert normal duration estimates in the network diagram they produced a total estimated project time of 43 days, well within the client's requirements. The notes in figure 7.14 show that some activities were less costly to crash than others in terms of the dollars budgeted for each day's time saved. Note that although activity 10 could have been shortened from 5.2 to 3 days, the additional expenditure of crashing that task was not justified because Activity 11, running concurrently, could not be crashed below 6 days. In other words, activity 10 still had slack remaining after Activity 11 had been crashed, and there is no point in wasting money on crashing non-critical activities, because that process cannot reduce the project duration. Summarizing, therefore, the hangar restoration project duration was originally planned as 67.9 days at a budget cost of $46 900. Crash actions brought the planned duration down to 43 days but added $15 000 to the total project budget. Flouris, Triant; Lock, Dennis. Aviation Project Management. Abingdon, Oxon, GBR: Ashgate Publishing Ltd, 2008. ebrary collections. 22 Jun. 2014 Copyright 2008. Ashgate Publishing Ltd. All rights reserved. Running head: TENNESSEE GROUP - HANGAR RESTORATION PROJECT Tennessee Group - Hangar Restoration Project Project Management in Aviation Operations Andrew Fortier Amanda Bell Denaz Williams Robert Thruston Ronald Bonilla Embry-Riddle Aeronautical University 1 TENNESSEE GROUP - HANGAR RESTORATION PROJECT 2 Tennessee Group - Hangar Restoration Project Project Management in Aviation Operations Describe the nature of the project and its key objectives. The nature of this project is to restore a 1950's era aircraft hangar that has not been updated since it was original built. The original project estimation projected a cost of $46,900 and a duration of 68 days to accomplish all work. After performing a crash action on the project as a means of decreasing the duration at an add cost of $15,000, the project is now planned to be completed in as little as 43 days. The overall objective of this project is to complete the renovation of the general aviation hangar on time and with budget. Define \"Dummy Activities\" and describe their role in this project. Flouris & Lock (2008) describe dummy as activities that are inserted into a network diagram to help clarify the path and logic of the other activities. These activities hold no value other than helping to define the path without altering any of the existing relationships within the diagram. As seen within Figure 7.13, the role of both A & B dummy activities is seen as a way of cleaning up the diagram and making it easier to follow. With many of the tasks being interlinked between Activities 7, 8, and 9, the addition and Activity A between Activities 4 and 6 cuts down on the number of links flowing. The same can be seen as the activities leave 7, 8, and 9 and flowing to Activities 10 and 11 (Flouris & Lock, 2008). Describe the key problem(s) in this project and the strategies used to address these problems. TENNESSEE GROUP - HANGAR RESTORATION PROJECT 3 The key problem with this project centers around time and money. The original plan for the project called for a budget of $49,600 and 68 days in duration too complete. The owner of the hangar has relayed that he would like to fly in and house his airplane somewhere in the neighborhood of 50 to 55 days. This leads to the issue of having to readjust the current schedule to meet the needs of the change. The project team feels that they have two option to handle this change. The first option is to was to consider fast-tracking by running activities concurrently wherever possible. This would allow for tasks to start earlier than expected, but would need engineering to release important material information to vendors as soon as possible. Due to the complexity of this project it was determined that this was not a logical step and the project decided to pass. The second option, and ultimately the chosen option, was to conduct a crash action on the activities that lie on the critical path. By doing this action the idea is to analyze actions that produce the biggest return on investment at the lowest cost. The return on investment in this case is time saved at the lowest cost per hour. Unfortunately, this does produce an added cost and the it was determined that the project would need $15,000 more to be able to cut the time down to meet the owners request. In the end, the project team was able to get the duration down to 43 days at an added cost of $15,000. TENNESSEE GROUP - HANGAR RESTORATION PROJECT References Flouris, Triant; Lock, Dennis. Aviation Project Management. Abingdon, Oxon, GBR: Ashgate Publishing Ltd, 2008.ebrary collections. 22 Jun. 2014 4 1 TENNESSE PROJECT SCOPE OVERVIEW 1. Project Definition CEN-CONTRUCT is a medium-sized airport construction and renovation that has been approached to render services on a 1950's era general aviation aircraft hangar. The parties included in this project are that of CENCONSTRUCT, the client requesting services, and any subcontractors required to complete the agreed upon renovations. 2. Project Scope The scope of this project is limited to the renovation of a 1950's era, general aviation aircraft hangar. The hangar has not been added too or renovated since the original construction and is in need of internal and external updating to bring the facility back to code. The project will be limited to the renovation of the hangar structure and will not include any surrounding construction unless agreed upon by all parties. 3. Project Budget Starting Budget: $46,900 Additional Costs: $15,000 Project Total: $61,900 4. Project Duration Original Duration: 68 days Requested Duration: 50-55 Days Revised Duration: 42 Days 5. Schedule (WBS) See attached Gantt Chart. 6. Additional Project Management Tools 7. Assigned Resources, Estimate Costs, Duration 2 APPROVAL AND AUTHORITY TO PROCEED We approve the project as described above, and authorize the team to proceed. Name Approved By Title Date Date Approved By Date WBS Fields WBS # 1 Task Description of Task Customer specification Establish customer specification and budget Work Products Owners Est. Level of Effort WBS, 1.1 1.2 2 Create Plan Create Budget Design new features 2.1 Research Design Ideas 2.2 2.3 Presentation Q&A 3 Agree and sign contract Development of WBS, work package identification, schedule formulation, staffing projection, resource estimation. Followed by development of a detail project plan that list all the key resources, task, milestones, dependencies, and duration. WBS Dictionary, Project Manager MS Project Plan Development and documentation of the Budget project budget based on plan and Schedule resources Worksheet All task activities required for completion of new design new features Research ideas with customer specifications in mind Present ideas and concepts to client Session to address any concerns of the client. All task activities required for Project Manager 6 hrs 4 hrs 4 4.1 Purchasing of materials Contact suppliers and manufacturers 4.2 Transportation and Shipping Unpacking and storage Remove redundant fixtures 4.3 5 5.1 6 Disposal or recycling of removed fixtures Clean and strip floor 7 Set pipes and valves 8 New electrical wiring 9 Install ventilation and air conditioning ducts 10 Install toilets and showers 11 install storage cabinet for aircraft spares etc. 12 New floor screed 13 Paint completion of contract Research suppliers Make sure suppliers will be able to accommodate orders and supply needed product Timelines can be met for project schedule deadlines Secure area for all materials onsite All task activities required for completion of removing redundant fixtures Clearing and disposal/Waste Management pick up All task activities required for completion of cleaning and striping floors All task activities required for completion of setting pipes and valves All task activities required for completion of electrical wiring All task activities required for completion of installing ventilation and air conditioning ducts All task activities required for completion of installing toilets and showers All task activities required for completion of installing storage cabinet for aircraft spares etc. All task activities required for completion of new floor screed All task activities required for completion of painting Purchasing Manager Purchasing Manager Supply 14 Install lamps and electrical appliances All task activities required for completion of installing lamps and electrical appliances All task activities required for completion of final finishing and clean up Walk through inspection by project team before client walkthrough 15 Final finishing and clean up 15.1 Team inspection 15.2 Rework Repairs to any discrepancies found during walkthrough 16 Hand over the hanger to the client All task activities required for completion 16.1 Final walkthrough/Exit meeting Walkthrough and final inspection with client at project completion to ensure client's satisfaction before handover WBS Fields WBS # Task Description of Task Customer specification Establish customer specification and budget 1.1 Create Plan Development of WBS, work package identification, schedule formulation, staffing projection, resource estimation. Followed by development of a detail project plan that list all the key resources, task, milestones, dependencies, and duration. 1.2 Create Budget 1 Work Products Owners Est. Level of Effort WBS, 2 Design new features 3 Agree and sign contract 4 Buy materials 5 Remove redundant fixtures 6 Clean and strip floor Development and documentation of the project budget based on plan and resources All task activities required for completion of new design new features All task activities required for completion of contract All task activities required for completion of buying materials All task activities required for completion of removing redundant fixtures All task activities required for WBS Dictionary, Project Manager MS Project Plan Budget Schedule Worksheet Project Manager 6 hrs 4 hrs 7 8 9 10 11 12 13 14 15 16 completion of cleaning and striping floors Set pipes and valves All task activities required for completion of setting pipes and valves New electrical wiring All task activities required for completion of electrical wiring Install ventilation and All task activities required for air conditioning ducts completion of installing ventilation and air conditioning ducts Install toilets and All task activities required for showers completion of installing toilets and showers install storage cabinet All task activities required for for aircraft spares etc. completion of installing storage cabinet for aircraft spares etc. New floor screed All task activities required for completion of new floor screed Paint All task activities required for completion of painting Install lamps and All task activities required for electrical appliances completion of installing lamps and electrical appliances Final finishing and clean All task activities required for up completion of final finishing and clean up Hand over the hanger to All task activities required for the client completion of handing over the hanger to the client