Lecture Operations management: Creating value along the supply chain (Canadian edition) - Chapter 9

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Chapter 9 project management. This chapter includes contents: Project planning, project scheduling, project control, CPM/PERT, probabilistic activity times, microsoft project, project crashing and time-cost trade-off. OPERATIONS MANAGEMENT: Creating Value Along the Supply Chain, Canadian Edition Robert S Russell, Bernard W Taylor III, Ignacio Castillo, Navneet Vidyarthi § CHAPTER Project Management § Learning Objectives — Project Planning — Project Scheduling — Project Control — CPM/PERT — Probabilistic Activity Times — Microsoft Project — Project Crashing and Time-Cost Trade-off 9-2 § Project Management Process —Project • unique, one-time operational activity or effort 9-3 § Project Management Process 9-4 § Project Management Process 9-5 § Project Elements —Objective —Scope —Contract requirements —Schedules —Resources —Personnel —Control —Risk and problem analysis 9-6 § Project Team and Project Manager —Project team —made up of individuals from various areas and departments within a company —Matrix organization —a team structure with members from functional areas, depending on skills required —Project manager —most important member of project team 9-7 § Scope Statement —Scope statement —a document that provides an understanding, justification, and expected result of a project —Statement of work —written description of objectives of a project 9-8 § Work Breakdown Structure —Work breakdown structure (WBS) —Breaks a project into components, subcomponents, activities, and tasks 9-9 § Work Breakdown Structure for Computer Order Processing System Project 9-10 § 9-47 § Time-Cost Relationship —Crashing costs increase as project duration decreases —Indirect costs increase as project duration increases —Reduce project length as long as crashing costs are less than indirect costs 9-48 § Time-Cost Tradeoff 9-49 § Microsoft Project —Popular software package for project management and CPM/PERT analysis —Relatively easy to use 9-50 § Microsoft Project 9-51 § Microsoft Project 9-52 § Microsoft Project 9-53 § Microsoft Project – Zoom View 9-54 § Microsoft Project – Task Information 9-55 § Microsoft Project – Degree of Completion 9-56 § PERT Analysis with Microsoft Project 9-57 § PERT Analysis with Microsoft Project 9-58 § PERT Analysis with Microsoft Project 9-59 § Global and Diversity Issues in Project Management —Global project teams are formed from different genders, cultures, ethnicities, etc —Diversity among team members can add an extra dimension to project planning —Cultural research and communication are important elements in the planning process 9-60 § COPYRIGHT COPYRIGHT Copyright © 2014 John Wiley & Sons Canada, Ltd All rights reserved Reproduction or translation of this work beyond that permitted by Access Copyright (The Canadian Copyright Licensing Agency) is unlawful Requests for further information should be addressed to the Permissions Department, John Wiley & Sons Canada, Ltd The purchaser may make back-up copies for his or her own use only and not for distribution or resale The author and the publisher assume no responsibility for errors, omissions, or damages caused by the use of these programs or from the use of the information contained herein ... C: D: 1-2 - 4-7 + + + = months 1-2 - 5-6 -7 + + + + = months 1-3 - 4-7 + + + = months 1-3 - 5-6 -7 + + + + = months —Critical path —Longest path through a network —Minimum project completion time 9- 2 3 §... and Time-Cost Trade-off 9- 2 § Project Management Process —Project • unique, one-time operational activity or effort 9- 3 § Project Management Process 9- 4 § Project Management Process 9- 5 § Project... project 9- 1 9 § AOA Project Network for a House 9- 2 0 § Concurrent Activities —Dummy —two or more activities cannot share same start and end nodes 9- 2 1 § AON Network for House Building Project 9- 2 2
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