Task

Description

Immediate Predecessor

Optimistic Time

Most Likely Time

Pessimistic Time

Expected Time

Variance

A

Identify equipment requirements

none

4

6

8

8+4(6)+4/6=6

[8-4/6]=

.444

B

Solicit bids from vendors

none

6

8

16

16+4(8)+6/6=9

[16-6/6]=

2.777

C

Select a system/vendor

A,B

2

4

6

6+4(4)+2/6=4

[6-2/6]=

.444

D

Place order for system

C

8

10

24

24+4(10)+8/6=12

[24-8/6]=

7.111

E

Redesign warehouse layout

C

7

10

13

13+4(10)+7/6=10

[13-7/6]=

1

F

Implement new warehouse design

E

4

6

8

8+4(6)+4/6=6

[8-4/6]=

.444

G

Design system interface

C

4

6

20

20+4(6)+4/6=8

[20-4/6]=

7.111

H

Integrate the interface into the system

D,F,G

4

6

8

8+4(6)+4/6=6

[8-4/6]=

.444

I

Install the system

D,H

4

6

14

14+4(6)+4/6=7

[14-4/6]=

2.777

J

Train system operators

H

3

4

5

5+4(4)+3/6=4

[5-3/6]=

.111

K

Test system

I,J

2

4

6

6+4(4)+2/6=4

[6-2/6]=

.444

Total variance= 23.111

Task

Normal Cost

Crashed Time

Additional Cost to Crash 1 week ($)

A

1,000

4

450

B

1,000

7

400

C

1,500

2

600

D

2,000

8

300

E

5,000

7

1,000

F

3,000

4

550

G

8,000

5

750

H

5,000

4

700

I

10,000

4

800

J

4,000

3

400

K

5,000

3

500

Based on the information provided, answer the following questions.

B)How many weeks will be required to complete the project based on the normal time?

A-C-D-I-K = 6+4+12+7+4 = 33 weeks

A-C-D-H-J-K = 6+4+12+6+4+4 = 36 weeks

A-C-E-F-I-K = 6+4+10+6+7+4 = 37 weeks

A-C-E-F-H-J-K = 6+4+10+6+6+4+4 = 40 weeks

A-C-G-H-J-K = 6+4+8+6+4+4 = 32 weeks

B-C-D-I-K = 9+4+12+7+4 = 36 weeks

B-C-D-H-J-K = 9+4+12+6+4+4 = 39 weeks

B-C-E-F-I-K = 9+4+10+6+7+4 = 40 weeks

B-C-E-F-H-J-K = 9+4+10+6+6+4+4 = 43 weeks

B-C-G-H-J-K = 9+4+8+6+4+4 = 35 weeks

The project completion time is the maximum duration of paths. Hence, the project completion time is 43 weeks

C)Based on your answer to part a, which activities are on the critical path?

B-C-E-F-H-J-K

D)What is the total cost required for completing this project on normal time?

Total cost = 1000+1000+1500+2000+5000+3000+8000+5000+10000+4000+5000 = $ 45,500

E)What is the probability of completing the project in 40 weeks? Round calculations to at least 4 decimal places.

{ pessimistic time-optimistic time/6}

Standard Deviation = Square root of the total variance = [23.111]= 4.807 weeks

z40-43/4.807=z-.624 is .2633

Therefore, the probability of completing the project in 40 weeks is 0.2633

F) If Kerry Goins wishes to finish the project 2 weeks sooner, which activity(ies) should be crashed and by how much? Those critical path activities must be crashed which have lesser crash cost. Activity B or J can be crashed since both have less crash cost of $ 400 per week.

G) How much will finishing the project 2 weeks sooner increase the total project cost?

$45,000+(6450*2)=$57,900

answer the following 2 questions

H) What is the maximum number of weeks that this project can be crashed?

I) How much would the total cost increase if the project was fully crashed?