Transcript Business IX

Chapter 12
1. Recognize the variety of constraints that can affect
a project, making scheduling and planning difficult.
2. Understand how to apply resource-loading
techniques to project schedules to identify potential
resource over-allocation situations.
3. Apply resource-leveling procedures to project
activities over the baseline schedule using
appropriate prioritization heuristics.
4. Follow the correct steps necessary to effectively
smooth resource requirements across the project
life cycle.
5. Apply resource management within a multi-project
environment.
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Resource management is an iterative process
scheduling activity of balancing the activity
network and overall schedule against the
available resources.

Project scheduling is a two step process
1. Construct the network
2. Check the network against resource availability
Resource availability always has a direct bearing
on the duration of project activities.
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A restriction or limitation, either internal or
external to the project, that will affect the
performance of the project or process.




Technical
Physical
Time
Mixed
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Resource
◦
◦
◦
◦
People
Materials
Money
Equipment
4
How do we handle this constraint?
5
Jeff is over allocated
(unless we can work him 16 hours a day)

Need to use a resource loading chart
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
The amount of individual resources that a
schedule requires during specific time periods
Resource loading attempts to assign the
appropriate resource for the appropriate amount
to each project activity
Resource Loading Chart
Added “Bob” as a resource
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Bob is added
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The process that addresses the complex
challenges of project constraints
Objectives
1. To determine the resource requirements so
they will be available at the right time
2. To allow each activity to be scheduled with
the smoothest possible transition across
resource usage levels
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Simple leveling heuristics (rules of thumb) for
prioritizing resource allocation include
applying resources to:
 Task with the smallest amount of slack
 Task with the smallest duration
 Task that start earliest in the WBS
 Task with the most successor tasks
 Task requiring the most resources
The implication of how resources are
prioritized is significant, as it has a “ripple”
effect throughout the remainder of the
activity network
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1. First create a project activity network diagram
(slide 13/14)
2. Create a table showing the resources required
Resource Loading Table (slide 15/16/17)
3. Determine resources needed, the activity early starts
and late finish dates (slide 18)
4. Identify resource conflicts and “smooth” over
allocation with Leveling Heuristics (slide 10/19)
5. Repeat step 4 until resources are level
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


Develop the
project
Determine
the WBS
Determine
timing
Activity
Duration
Pred
ES
EF
LS
LF
Slack
A
5
-
0
5
0
5
--
B
4
A
5
9
6
10
1
C
5
A
5
10
5
10
--
D
6
A
5
11
8
14
3
E
6
B
9
15
10
16
1
F
6
C
10
16
10
16
--
G
4
D
11
15
14
18
3
H
7
E,F
16
23
16
23
--
I
5
G
15
20
18
23
3
J
3
G
15
18
20
23
5
K
5
H,I,J
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23
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-12

Create a network diagram
1
0
0
1
0
0
0
CP = A-C-F-H-K
3
3
3
5
Slack
13
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Create a Gantt Chart as a visual
representation of the WBS
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Activity Duration
label
A
B
C
D
E
F
G
H
I
J
K
5
4
5
6
6
6
4
7
5
3
5
Slack
time
0
1
0
3
1
0
3
0
3
5
0
Resource
Total
Hours Resources
Needed Required
Per
Week
6
30
2
8
4
20
3
18
3
18
2
12
4
16
3
21
4
20
2
6
5
25
Total
194

Determine the
resources
needed to
complete the
WBS task
Step 1
Develop
Table

Use to develop
the resource
loading table
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
Graphically display the resource needs
or…..
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17
3 days slack
0 days slack - on CP
Step 2
Find LF
Dates
Step 3
Find Over
Allocation
Let’s say we only have 9 resources available per day.
What about?
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Use Leveling Heuristics (slide 10)
X
7
Step 4
Level the
resources
3
X
2
11
9
9
19
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Displays the amount of resources required as a
function of time
Another way to create a graphic of the resource
management process
4 B 5
Res = 2
0 A 4
Res = 6
5 D 9
Res = 7
9 E 11
Res = 3
1. Start with a
network diagram
4 C 7
Res = 2
11 F 12
Res = 6
Sample Network
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Activity Resource Duration
A
B
C
D
E
F
6
2
2
7
3
6
4
1
3
4
2
1
2. Produce a table that shows the
duration, early start, late finish,
slack, and resource(s) required
for each activity.
ES
0
4
4
5
Slack LF Order
0
0
4
0
4
5
11
9
Project ends Day 12
9
11
0
0
11
12
6
5
1
4
3
2
3. List in order of increasing
slack, then latest finish
time for activities with the
same slack
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4. Draw an initial loading chart with each
activity duration scheduled at its ES.
Resources
8
6
4
A
D
B
2
C
2
4
6
8
10
Project Days
F
E
12
Resource
imbalance
8 Hours
Available
Notice: Day 14
Not 12
14
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Resources
8
5. Rearrange activities within their slack to
create a more level profile.
Splitting C creates a more level project.
C has 4 days of slack available.
6
4
A
B
2
C
2
4
D
C
F
E
6
8
10
Project Days
Notice: Day 12
12
14
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
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Eventually you will be confronted with dealing
with resource allocation across multiple
projects
Allocations made in one project are likely to
effect other projects
This leads to
◦
◦
◦
◦
Inefficient use of resources
Bottlenecks
Ripple effects
Heightened pressure on personnel to multitask
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
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◦ Schedule slippage
◦ Resource utilization
◦ In-process inventory
Resources
6
4
C
D
A
F
B
2
Need to minimize
the negative effects
E
C
2
4
6
8
10
12
14
Project Days
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Each have their advantages and disadvantages
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First come first served (Lean Push)
Greatest resource demand (TOC)
Greatest resource utilization (Time
Management)
Minimum late finish time (CPM)
Mathematical programming (Optimization)
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1. Consider a project to build a bridge over a river gorge.
What are some of the resource constraints that would
make this project challenging?
2. For many projects, the key resources to be managed are
the project team personnel. Explain in what sense and
how project team personnel are often the project critical
resource.
3. What is the philosophy underlying resource loading?
What does it do for our project? Why is it a critical
element in effectively managing the project plan?
4. It has been argued that a project schedule which has not
been resource leveled is useless. Do you agree or
disagree with this statement? Why or why not?
5. Discuss the nature of “time/cost tradeoffs” on projects.
What does this concept imply for our project
management practices?
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6.
7.
8.
When resource leveling a project, there are a number of heuristics that
can help us prioritize those activities that receive resources first.
Explain how each of the following heuristics works and give an
example:
a. Activities with the smallest slack:
b. Activities with the smallest duration:
c. Activities with the lowest identification number:
d. Activities with the most successor tasks:
e. Activities with requiring the most resources:
Multi-tasking can have an important negative impact on your ability to
resource level a project. When your team members are involved in
multiple additional commitments, we must be careful not to assign
their time too optimistically. In fact, it has been said: “Remember, 40
hours is not the same as one week’s work.” Comment on this idea.
How does multi-tasking make it difficult to accurately resource level a
project?
Why is resource management significantly more difficult in a multiproject environment? What are some rules of thumb to help project
managers better control resources across several simultaneous
projects?
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