Haeryip Sihombing BANK SOAL – BMFP 4542 (TEST -1) 1. Identify and briefly describe the five commonly traded organizational currencies. • Task-related; the ability to contribute to others accomplishing their work, • Position-related; the ability to enhance others' positions within their organization, • Inspiration-related; the ability to enhance people's desire to make a difference and add meaning to their lives, • Relationship-related; the ability to form relationships that transcend normal professional boundaries and extend into friendship, • Personal-related; the extent to which one can help others feel a sense of importance and personal worth. 2. Identify and compare the old-fashioned view of managing projects and the new perspective of managing projects. The old-fashioned view of managing projects emphasized directing and controlling subordinates; the new perspective emphasizes managing project stakeholders and anticipating change as the most important jobs. 3. Under what conditions would the top-down approach to estimating project times and costs be the best choice? In the early stages of a project to help develop the initial plan, in making strategic decisions, in projects of high uncertainty, in small internal projects, or in projects with an unstable scope. 4. Under what conditions would the bottom-up approach to estimating project times and costs be the best choice? When low cost, efficient estimates are needed, when time and cost are important, when working on a fixed price contract, or when the customer wants details. 5. In the network computation process what is a forward pass and what three things does it determine? Starting with the first activity, each path is traced forward through the network, adding times until the end of the project. This determines 1. how soon each activity can start, 2. how soon each activity can finish, and 3. how soon the entire project can be completed. 6. What is a risk profile and what benefits does it provide to risk management? A risk profile is a list of questions that address traditional areas of uncertainty on a project. The questions have been developed and refined from previous, similar projects. These profiles are generated and maintained by the project office and are updated and refined during the life of the project. This historical file assists in identifying risks for future projects. 1 Haeryip Sihombing 7. What is Change Control Management and what function does it perform? Change Control Management is the formal process for making and tracking changes once a project has started. Any changes must be detailed and accepted by the project team. Risks associated with making changes are thus assessed and documented. 8. Why would a project manager use heuristics rather than a mathematical solution to level resources? Mathematical models work on small networks and a small number of resources. Larger projects have massive data requirements. Heuristics tend to yield a good solution without the heavy burden imposed by math models. 9. Identify and briefly describe five reasons for attempting to reduce the duration of a project. 1. imposed durations made by top management, 2. market demands created by competition and rapid technology advances, 3. incentive contracts that pay for early project completion, 4. recovery of unforeseen project delays, 5. to reduce project costs by reducing charges created by high overhead costs, 6. to reassign key resources to other projects. 10. Why is the project duration with the lowest direct costs seldom the optimum duration for a project? Indirect costs, those accumulating each day, will at some point outweigh the reduction in direct costs leading to an increase in total costs. The Project Cost-Duration graph is a model that demonstrates this. 2 Haeryip Sihombing Problem Statement 1 Prem Binny Appliances wants to establish an assembly line to manufacture its new product, the Mini-Me Microwave Oven. The goal is to produce five Mini-Me Microwave Ovens per hour. The tasks, task-times, and immediate predecessors for producing one Mini-Me Microwave Oven are as follows: Task A B C D E F Time (min) 10 12 8 6 6 6 Immediate Predecessors A A, B B, C C D, E a. What is the theoretical minimum for the smallest number of workstations that Binny can achieve in this assembly line? Output rate: Prem Binny Appliances need to produce 5 Mini-Me Microwave Ovens per hour The amount of time each workstation is allowed to complete its tasks: Limited by the bottleneck task (the longest task in a process): Theoretical Minimum (TM) = number of station needed to achieve 100% efficiency Therefore, the theoretical minimum for the smallest number of workstations that Binny can achieve in this assembly line is 4 stations. 3 Haeryip Sihombing b. Graph the assembly line and assign workers to workstations. Can you assign them with theoretical minimum? Workstation 1 2 3 4 5 Eligible Task A,B A C D E F Task Selected B A C D E F Task Time 12 10 8 6 6 6 Idle Time 0 2 4 6 0 6 As conclusion, the workers are failed to assign with theoretical minimum. c. What is the efficiency of your assignment? Hence, there is left a balance delay of: 100% - 80% = 20% Problem Statement 2 Paul Silver, owner of Sculptures International, just initiated a new art project. The following data are available for the project. Activity Activity Time (days) Immediate Predecessor(s) A B 4 1 4 Haeryip Sihombing C D E 3 2 3 A B C, D a. Draw the network diagram for the project. b. Determine the project’s critical path and duration. The critical path is the longest path through the project, defining the minimum completion time for the overall project. The critical path in this project is A-C-E, determining that the project can be completed in 10 days. Critical path duration, A-C-E = 4 days + 3 days + 3 days = 10 days c. What is the total slack for each activity? Calculation for slack time of each activity Activity Early Start Early Finish Late Start Late Finish Slack A B C D E Day 0 Day 0 Day 4 Day 1 Day 7 Day 4 Day 1 Day 7 Day 3 Day 10 Day 0 Day 4 Day 4 Day 5 Day 7 Day 4 Day 5 Day 7 Day 7 Day 10 0 4 0 4 0 Slack for the individual activities is calculated by taking the difference between the late-start and early-start times (or, alternatively, between the late-finish and earlyfinish times) for each activity. If the difference is zero, then there is no slack; the activity is totally defined as to its time-position in the project and must therefore be 5 Haeryip Sihombing a critical path activity. For other activities, the slack defines the flexibility in start times, but only assuming that no other activity on the path is delayed. Problem Statement 3 Given the activities whose sequence is described by the following table, draw the appropriate activity-on-arrow (AOA) network diagram. Activity A B C D E F G H I Immediate Predecessor(s) A A B B C E, F D G, H Time (days) 5 2 4 5 5 5 2 3 5 a. Which activities are on the critical path? The critical path is A-C-F-G-I Activity Duration ES EF LS LF Slack Critical Path A 5 0 5 0 5 0 * B 2 5 7 6 8 1 C 4 5 9 5 9 0 D 5 7 12 8 13 1 E 5 7 12 9 14 2 F 5 9 14 9 14 0 * G 2 14 16 14 16 0 * H 3 12 15 13 16 1 I 5 16 21 16 21 0 6 * * Haeryip Sihombing b. What is the length of the critical path? Length of critical path, A-C-F-G-I = [5 + 4 + 5 + 2 + 5] days = 21 days Problem Statement 4 Dr. Lori Baker, operations manager at Nesa Electronics, prides herself on excellent assembly-line balancing. She has been told that the firm needs to complete 96 instruments per 24-hour day. The assembly-line activities are: Task Time (min) Predecessors A 3 - B 6 - C 7 A D 5 A, B E 2 B F 4 C G 5 F H 7 D, E I 1 H J 6 E K 4 G, I, J Total 50 a. Draw the precedence diagram. A 7 4 5 C F G 5 B D 7 1 2 H I E 6 J 7 K Haeryip Sihombing b. If the daily (24-hour) production rate is 96 units, what is the highest allowable cycle time? The highest allowable cycle time is Therefore, the highest allowable cycle time is 15 min/unit. c. If the cycle time after allowances is given as 10 minutes, what is the daily (24-hour) production rate? Therefore, the daily production rate is 57 units per day. d. With a 10-minute cycle time, what is the theoretical minimum number of stations with which the line can be balanced? Cycle time = 10 minutes Theoretical Minimum (TM) = number of station needed to achieve 100% efficiency Therefore, the theoretical minimum number of workstations which the line can be balanced is 5 stations. e. With a 10-minute cycle time and six workstations, what is the efficiency? Number of workstation = 6 workstations f. What is the total idle time per cycle with a 10-minute cycle time and six workstation? Cycle time = 10 minutes Number of workstation = 6 workstations 8 Haeryip Sihombing Therefore, total idle time per cycle with a cycle time of 10 minutes and 6 workstations is 16.67%. g. What is the best work station assignment you can make without exceeding a 10-minute cycle time and what is the efficiency? Workstation Eligible Task Task Selected Task Time Idle Time 1 A, B, C, D, E 2 B, D, E, F 3 D, E, G 4 E, H, I, J 5 J, K A C B F D G E H I J K 3 7 6 4 5 5 2 7 1 6 4 7 0 4 0 5 0 8 1 0 4 0 Therefore, the best workstations assignment is with the theoretical minimum number of workstation which is 5 stations without exceeding the 10 minutes cycle time and reached an efficiency of 100%. The assignment is shown in table above. Problem Statement 5 Registration at Delhi University has always been a time of emotion, commotion, and lines. Students must move among four stations to complete the trying semiannual process. Last semester’s registration, held in the north campus, is described in Figure below. You can see, for example, that 450 students moved from the paperwork station (A) to advising (B), and 550 went directly from A to picking up their class cards (C). Graduate students, who for the most part had preregistered, proceeded directly from A to the station where registration is verified and payment collected (D). The layout used last semester is also shown in Figure below. The registrar is preparing to set up this semester’s stations and is anticipating similar numbers. 9 Haeryip Sihombing Advising station (B) Pick up paperwork and forms (A) --350 0 0 Paperwork/forms (A) Advising (B) Class cards (C) Verification/payment (D) Pick up class cards (C) 550 200 --0 450 --0 0 Verification of status and payment (D) 50 0 750 --- Existing Layout A B C 30’ 30’ D 30’ Figure. Registration flow of students a) What is the “load x distance,” or “movement cost,” of the layout shown? From (A) to (B) = 450 x 30’ = 13 500 From (A) to (C) = 550 x 60’ = 33 000 From (A) to (D) = 50 x 90’ = 4 500 From (B) to (A) = 350 x 30’ = 10 500 From (B) to (C) = 200 x 30’ = 6 000 From (C) to (D) = 750 x 30’ = 22 500 b) Provide an improved layout and compute its movement cost. B A 30’ C 30’ D 30’ From (A) to (B) = 450 x 30’ = 13 500 From (A) to (C) = 550 x 30’ = 16 500 From (A) to (D) = 50 x 60’ = 3 000 From (B) to (A) = 350 x 30’ = 10 500 From (B) to (C) = 200 x 60’ = 12 000 From (C) to (D) = 750 x 30’ = 22 500 10 Haeryip Sihombing Problem Statement 6 Recently, you were assigned to manage a project for your company. You have constructed a network diagram depicting the various activities in the project (Figure 3.15). In addition, you have asked your team to estimate the amount of time that they would expect each of the activities to take. Their responses are shown in the following table. Activity A Time estimates (days) Optimistic Most likely 5 8 Pessimistic 11 B 4 8 11 C 5 6 7 D 2 4 6 E 4 7 10 C A Start D Start E B Figure. Network diagram for your project Answer teA = (a + 4m + b) / 6 = (5 + 4(8) + 11) / 6 = 8 teB = (4 + 4(8) + 11) / 6 = 7.8 teC = (5 + 4(6) + 7) / 6 = 6 teD = (2 + 4(4) + 6) / 6 = 4 teE = (4 + 4(7) + 10) / 6 = 7 σteA2 = [(b – a) / 6]2 = [(11 – 5) / 6]2 = 1 σteB2 = [(11 – 4) / 6]2 = 1.36 σteC2 = [(7 – 5) / 6]2 = 0.11 σteD2 = [(6 – 2) / 6]2 = 0.44 σteE2 = [(10 – 4) / 6]2 = 1 11 Haeryip Sihombing Activity Predecessor Optimistic A B C D E A A B, D 0 5 4 5 2 4 8 0 A 0 8 3.8 Most likely 8 8 6 4 7 8 0 0 Expected time 8 7.8 6 4 7 11 11 7 6 10 Variance 1 1.36 0.11 0.44 1 14 0.8 C 8.8 6 8 0 Pessimistic 14.8 12 0 D 3.8 4 7.8 7.8 B 7.8 7.8 7.8 14.8 0 E 7.8 7 14.8 a) What is the expected completion time of the project? Critical path = A – D – E Duration = 8 + 4 + 7 = 19 days b) What is the probability of completing the project in 21 days? Z= = 1.280 p = 0.89973 The probability is 89.973% c) What is the probability of completing the project in 17 days? Z= = -1.280 p = 0.10027 (by using Calculator fx 570, is: MODE – MODE – 1 – SHIFT -3 -1, -1.280 ENTER) The probability is 10.027% 12 Haeryip Sihombing Problem Statement 7 Consider a project with the following information. Construct the project activity network using AOA methodology and label each node and arrow appropriate. Identify all dummy activities required to complete the network. Activity Duration Predecessors A B C D E F G H 3 5 7 3 5 4 2 5 A A B, C B D C E, F, G Activity Duration ES EF LS LF Slack A B C D E F G H 3 5 7 3 5 4 2 5 0 3 3 10 8 13 10 17 3 8 10 13 13 17 12 22 0 5 3 10 12 13 15 17 3 10 10 13 17 17 17 22 2 4 5 - a. What is the critical path of the project? A–C–D–F–H b. Draw the graphic of the project 13 Haeryip Sihombing Problem Statement 8 Subsidiary Manufacturing produces custom-built pollution control devices for medium-size steel mills. The most recent project undertaken by Subsidiary Manufacturing requires 14 different activities. a. The managers would like to determine the total project completion time (in days) and those activities that lie along the critical path. The appropriate data are shown in the following table. b. What is the probability of being done in 53 days? c. What date results in a 99% probability of completion? Activity Immediate Predecessor(s) Optimistic Time Most Likely Time Pessimistic Time A B C D E F G H I J K L M N A A B, C D D E, F G, H I I J K L, M 4 1 6 5 1 2 1 4 1 2 8 2 1 6 6 2 6 8 9 3 7 4 6 5 9 4 2 8 7 3 6 11 18 6 8 6 8 7 11 6 3 10 14 Haeryip Sihombing Answer: a. The total project completion time (in days) and those activities that lie along the critical path. TE = (O + 4M + P) ÷ 6 Variance = [(P – O)/6]2 Where O - Optimistic time ; M - Most likely time ; P - Pessimistic time ; TE Expected time `Activity Immediate Optimistic Most Likely Predecessor(s) Time Time A A B, C D D E, F G, H I I J K L, M A B C D E F G H I J K L M N 4 1 6 5 1 2 1 4 1 2 8 2 1 6 Pessimistic Expected Variance Time Time 6 2 6 8 9 3 7 4 6 5 9 4 2 8 7 3 6 11 18 6 8 6 8 7 11 6 3 10 Critical path = A – C – E – H – I – K – M – N (55.92 days) b. What is the probability of being done in 53 days? Where = critical path duration = scheduled project duration Z = probability (of meeting scheduled duration) 15 8.75 3 9 8 9.17 3.33 6.17 4.33 5.5 4.83 9.17 4 2 8 0.25 0.11 0 1 8.03 0.44 1.36 0.11 1.36 0.69 0.25 0.44 0.11 0.44 Haeryip Sihombing = 10.55 = 3.248 c. What date results in a 99% probability of completion? When P = 0.9901, Z = 2.33 Problem Statement 9 Tailwind, Inc., produces high quality but expensive training shoes for runners. The Tailwind shoes, which sells for $210, contains both gas and liquid-filled compartments to provide more stability and better protection against knee, foot, and back injuries. Manufacturing the shoes requires 10 separate tasks. There are 400 minutes available for manufacturing the shoes in the plant each day. Daily demand is 60. The information for the task is as follows: Task Performance Time(min) Task Must Follow Task Listed Below A 1 - B 3 A C 2 B D 4 B E 1 C, D F 3 A G 2 F H 5 G I 1 E,H J 3 I 16 Haeryip Sihombing a) Draw a precedence diagram. C 120 A B 60 180 E D 60 240 F J 60 180 H G 180 I 300 120 b) Assign tasks to the minimum feasible number of workstations according to the “ranked positioned weight” decision rule. Cycle time = = 400 sec per unit Task A Position weight 1080 Rank 1 Performance time 60 B 840 2 180 C 420 5 120 D 540 4 240 E 300 6 60 F 840 2 180 G 660 3 120 H 540 4 300 I 240 7 60 J 180 8 180 Total standard time Workstation = 1500 ≈ 4 workstations Cycle time = 400 second per unit Stations 1 2 3 4 Time remaining 400, 340, 160,40 400, 220 160, 0 400, 280, 40 400, 100, 40 17 Tasks A, B, C F, I, J G, D H, E Haeryip Sihombing c) What is the efficiency of the process? Efficiency of the process = Ratio of productive time to total time = [1500/4(400)] x 100% = 93.7% d) What is the idle time per cycle? Stations 1 Time remaining 400, 340, 160,40 Tasks A, B, C Idle time per cycle 40 seconds 2 400, 220 160, 0 F, I, J 0 second 3 400, 280, 40 G, D 40 seconds 4 400, 100, 40 H, E 40 seconds Problem Statement 10 The project manager of Good Public Relations gathered the data shown in table shown for a new advertising campaign. Time Estimates (days) Optimistic Most likely Pessimistic Activity A 8 10 12 Immediate Predecessor(s) - B 5 8 17 - C 7 8 9 - D 1 2 3 B E 8 10 12 A, C F 5 6 7 D, E G 1 3 5 D, E H 2 5 8 F,G I 2 4 6 G J 4 5 8 H K 2 2 2 H a. How long is the project likely to take? Expected time, Activity = 2 , Variance, Optimistic A Immediate predecessor(s) - B - 2 = Pessimistic 8 Most Likely 10 5 8 18 Variance 12 Expected time(Days) 10 17 10 4 0.44 Haeryip Sihombing C - 7 8 9 8 0.11 D B 1 2 3 2 0.11 E A, C 8 10 12 10 0.44 F D, E 5 6 7 6 0.11 G D, E 1 3 5 3 0.44 H F, G 2 5 8 5 1 I G 2 4 6 4 0.44 J H 4 5 8 5 0.44 K H 2 2 2 2 0 36 2.43 Total Critical path is A-E-F-H-J The project is has to take 36 days to be done. b. What is the probability that project will take more than 38 days? Z= - P( X > 38 ) / = 1 - P( X < 38 ) = 1= 1- 0.8997 = 0.1003 The probability of the project will more than 38 days is 10.03% c. Consider the path A-E-G-H-J what is the probability that this path will exceed the expected project duration? 19 Haeryip Sihombing Expected time for A-E-G-H-J = 33days Variance for A-E-G-H-J = 2.76 P( X > 33 ) = 1 - P( X < 33 ) = 1= 1- 0.0351 = 0.9649 The probability A-E-G-H-J path will exceed the expected project duration is 96.5% Problem Statement 11 The optical disk project team has started gathering the information necessary to develop the project network-predecessor activities and activity times in weeks. The results of their meeting are found in the following table: Activity Description Duration Predecessor 1 Define scope 6 None 2 Define customer problems 3 1 3 Define data records and relationship 5 1 4 Mass storage requirements 5 2,3 5 Consultant needs analysis 10 2,3 6 Prepare installation network 3 4,5 7 Estimate costs and budget 2 4,5 8 Design section “point” system 1 4,5 9 Write request proposal 5 4,5 10 Compile vendor list 3 4,5 11 Prepare management control system 5 6,7 12 Prepare comparison report 5 9,10 13 Compare system “philosophies” 3 8,12 14 Compare total installation 2 8,12 15 Compare cost of support 3 8,12 16 Compare customer satisfaction level 10 8,12 17 Assign philosophies points 1 13 18 Assign installation cost 1 14 19 Assign support cost 1 15 20 Assign customer satisfaction points 1 16 21 Select best system 1 11,17,18,19,20 22 Order system 1 21 20 Haeryip Sihombing The project team has requested that you create a network for the project, and determine if the project can be completed in 45 weeks. The project can complete within 45 weeks. This is because the project can complete in 44 weeks according to the network below Problem Statement 12 Boiling Electronics manufactures DVD players for commercial use. W. Blaker Boiling, president of Boiling Electronics, is contemplating producing DVD players for home use. The activity necessary to built an experimental model and related data given in the following table: Activity Normal Time (weeks) A 3 Crash Time (weeks) 2 Normal Cost ($) 1,000 Crash Cost ($) 1,600 Immediate Predecessor (s) - B 2 1 2,000 2,700 - C 1 1 300 300 - D 7 3 1,300 1,600 A E 6 3 850 1,000 B F 2 1 4,000 5,000 C G 4 2 1,500 2,000 D,E 21 Haeryip Sihombing a) What is the project completion date? The project completion date is in 14 weeks. b) Crash this project to 10 weeks at the least cost. Crash Time (weeks) 2 Crash – Normal (weeks) 1 Normal Cost ($) Crash Cost ($) Crash – Normal($) Time (weeks) A Normal Time (weeks) 3 1,000 1,600 600 B 2 1 1 2,000 2,700 700 C 1 1 0 300 300 0 D 7 3 4 1,300 1,600 75 E 6 3 3 850 1,000 50 F 2 1 1 4,000 5,000 1000 G 4 2 2 1,500 2,000 250 Activity 10,950 So, the project completion date is 10 weeks. The cost as below: 4 X D = 4 X 75 = $300 2 X E = 2 X 50 = $100 TOTAL = $300 + $100 + $10950 = $11350 22 Haeryip Sihombing c) Crash this project to 7 weeks (which is the maximum it can be crash) at the least cost. So, the project completion date is 7 weeks. The cost as below: 7 X D = 7 X 75 = $525 5 X E = 5 X 50 = $250 TOTAL = $525 + $250 + $10950 = $11725 Problem Statement 13 A firm with four departments has the following closeness matrix and the current block plan shown in Figure below 1 2 3 A B 4 5 6 C D Conway Consulting’s Block Plan Department A B C D Current Block Plan Closeness Matrix Trips Between Departments A B C 12 10 20 - D 8 6 0 - a) What is the weighted-distance score for the current layout (assuming rectilinear distance)? The weighted-distance score for the current layout is 84. Department Pair Number of trips Distance A, B A, C A, D 12 10 8 1 1 2 23 Current weighteddistance score 12 10 16 Haeryip Sihombing B, C B, D C, D 20 6 0 2 1 1 Total: 40 6 0 84 b) Develop a better layout. What is its weighted-distance score? After proposed a better layout, the total weighted-distance score is 72. Department Pair A, B A, C A, D B, C B, D C, D B C A D Number of trips 12 10 8 20 6 0 Distance 1 2 1 1 2 1 Total: proposed weighted-distance score 12 20 8 20 12 0 72 Problem Statement 14 A small renovation of a Hard Rock Café gift shop has six activities (in hours). For the following estimates of a, m, and b, calculates the expected time and the standard deviation for each activity: Activity A B C D E F a 11 27 18 8 17 16 m 15 31 18 13 18 19 b 19 41 18 19 20 22 Weighted average activity time, te = Where a = optimistic activity time (1 chance in 100 of completing the activity earlier under normal conditions) b = pessimistic activity time (1 chance in 100 of completing the activity later under normal conditions) m = most likely activity time 24 Haeryip Sihombing Standard deviation for the activity, Activity A B C D E F a 11 27 18 8 17 16 m 15 31 18 13 18 19 b 19 41 18 19 20 22 te 15 32 18 13.17 18.17 19 1.33 2.33 0 1.83 0.50 1.00 Problem Statement 15 Rezin Enterprises, a machine shop, is planning to move to a new, larger location. The new building will be 60 feet long by 40 feet wide. Rezin envisions the building as having six distinct production areas, roughly equal in size. He feels strongly about safety and intends to have marked pathways throughout the building to facilitate the movement of people and materials. See the following building schematic. 1 2 3 4 5 6 His foreman has completed a month-long study of the number of loads of material that have moved from one process to another in the current building. This information is contained in the following matrix. To Materials (M) Welding (W) Drills (D) Lathes (L) Materials (M) 0 100 50 0 0 50 Welding (W) 25 0 0 50 0 0 Drills (D) 25 0 0 0 50 0 Lathes (L) 0 25 0 0 20 0 Grinders (G) 50 0 100 0 0 0 Benders (B) 10 0 20 0 0 0 From Grinders Benders (G) (B) Finally, Rezin has developed the following matrix to indicate distances between the work areas shown in the building schematic. 25 Haeryip Sihombing 1 2 3 4 5 6 1 - Distance between Work Areas 2 3 4 5 20 40 20 40 20 40 20 60 40 20 6 60 40 20 40 20 What is the appropriate layout of the new building? Current building schematic (Current Layout): M W D L G B Proposed Layout wd Score wd Score Distance (2) Distance (3) (1) x (2) (1) x (3) 20 2000 20 2000 40 2000 20 1000 60 3000 40 2000 20 500 20 500 40 2000 40 2000 40 1000 20 500 40 2000 20 1000 40 1000 40 1000 20 400 20 400 40 2000 40 2000 40 4000 20 2000 60 600 40 400 20 400 20 400 wd = 20900 wd Current Layout Department Pair M,W M,D M,B W,M W,L D,M D,G L,W L,G G,M G,D B,M B,D Number of Trips (1) 100 50 50 25 50 25 50 25 20 50 100 10 20 = 15200 New building schematic (Proposed Layout): M D B W G L 26 Haeryip Sihombing Problem Statement 16 Barbara Gordon, the project manager for Web Ventures, Inc., compiled a table showing time estimates for each of the company’s manufacturing activities of a project, including optimistic, most likely, and pessimistic. a. Calculate the expected time, te, for each activity. b. Calculate the variance, σ², for each activity. Activity A B C D E Optimistic (a) 3 12 2 4 1 Most Likely (m) 8 15 6 9 4 Pessimistic (b) 19 18 16 20 7 9 15 7 10 4 7.11 1 5.44 7.11 1 Problem Statement 17 You are the manager of a project to improve a billing process at your firm. Table below contains the data you will need to conduct a cost analysis of the project. Indirect costs are $1,600 per week, and penalty costs are $1,200 per week after week 12, a. What is the minimum-cost schedule for this project? b. What is the difference in total project costs between the earliest completion time of the project using “normal” times and the minimum-cost schedule you derived in part (a)? Immediate Normal Crash Normal Crash Activity predecessor(s) time time cost cost A 4 1 5,000 8,000 B - 5 3 8,000 10,000 C A 1 1 4,000 4,000 D B 6 3 6,000 12,000 E B, C 7 6 4,000 7,000 F D 7 6 4,000 7,000 a. B A D C F E B + D + F = (8,000+10,000) + (6,000+12,000) + (4,000+7,000) = 47,000 A + C + E = (5,000+8,000) + (4,000+4,000) + (4,000+7,000) = 32,000 27 Haeryip Sihombing B + E = (8,000+10,000) + (4,000+7,000) = 29,000 So, from the calculation above, the minimum-cost schedule for this project is for B + E that is only 29,000. b. The total project costs between the earliest completion time of the project using “normal” times is the total cost of Normal cost only without adding the Crash cost. So, the total cost of Normal Cost for this project is 31,000. While for the minimumcost schedule for this project is the Normal Cost adding with the Crash Cost. But after we have calculated all, we have to only take the minimum value only. The total minimum-cost schedule for this project is 29,000. Problem Statement 18 After an extensive product analysis using group technology, Bob Buerlein has identified a product he believes should be pulled out of his process facility and handled in a work cell. Bob has identified the following operations as necessary for the work cell. The customer expects delivery of 250 units per day, and the work day is 420 minutes. a. What is the Takt Time? b. How many employees should be cross-trained for the cell? c. Which operations may warrant special consideration? Operation Shear Bend Weld Clean Paint Standard Time (min) 1.1 1.1 1.7 3.1 1.0 a. 250 units per day 420 minutes = 0.5952 unit per minute The takt time is 0.5952 unit per minute b. 2 employees should be cross-trained for the cell that is for Shear and Bend operation. This is because the operations are quite same and the standard time also same for both of the operations that is 1.1 min. c. The operation that may warrant special consideration is Clean operation. This due to the standard time that is larger than the others operation. The standard time is 3.1 min while others are only 1.0, 1.1, and 1.7. So, it means that this operation are harder than the others operation. 28 Haeryip Sihombing Problem Statement 19 Development of a new deluxe version of a particular software product is being considered by Ravi Bedara’s software house. The activities necessary for the completion of this project are listed in the following table: Maximum Crash Direct cost Normal Time (weeks) Cost 4 $2,000 Crash Time (weeks) 3 Cost $2,600 2200 1 2800 3 500 3 500 4 8 2300 4 2600 100 3 6 900 3 1200 F 1200 1 3 3000 2 4200 G 300 2 4 1400 2 2000 Activity A Slope 600 Time 1 B 600 1 2 C 0 0 D 75 E a) What is the project completion date? = Duration of A+D+G =4+8+ 4 weeks = 16 weeks In normal cost b) What is the total cost required for completing this project on normal time? = Cost A + B + C + D + E + F + G = $ 2,000 + 2,200 + 500 + 2,300 + 900 + 3,000 + 1,400 = $ 12,300 c) If you wish to reduce the time required completing this project by 1 week, which activity should be crashed, and how much will this increase the total cost? 29 Haeryip Sihombing Activity C is the lowest cost, activity c is being chosen. Increase the total cost: $12,300 - $75 = $12,225 Activity C should be crashed and $12,225 will increase the total cost. d) What is the maximum time that can be crashed? How much would costs increase? In crash cost Maximum time can be crashed: = project completion date – ( Crash time of A + D + G ) = 16 weeks – ( 3 + 4 + 2 weeks) = 7 weeks Costs increase: = (slope * maximum crash time) of D + A + G = (4*75) + ( 1*600) + (2*300) = $1500 The maximum time can be crashed in 7 weeks by increase $1,500. Problem Statement 20 The associate administrator at Getwell Hospital wants to evaluate the layout of the outpatient clinic. Table below shows the interdepartmental flows (patients/day) between departments; Figure below shows the current layout. Table: Closeness Matrix Trips between Departments Department 1. Reception 2. Business Office 3. Examining room 1 2 3 4 5 6 - 25 35 5 10 15 - 5 10 15 - 20 30 30 7 8 20 15 20 10 Haeryip Sihombing 4. X-ray - 5. Laboratory 25 15 25 - 20 25 6. Surgery - 40 7. Postsurgery 15 8. Doctor’s office - 4 6 5 7 2 8 3 1 Figure Current Layout a) Determine the effectiveness of the current layout, as measured by the total wd score, using rectilinear distances. = 790 Department pair 1,2 1,3 1,4 1,5 1,6 1,8 2,3 2,4 2,5 2,8 3,4 3,5 3,6 3,8 4,5 4,6 4,7 5,6 5,8 6,7 7,8 Number of tips (1) 25 35 5 10 15 20 5 10 15 15 20 30 20 10 25 15 25 20 25 40 15 Current layout Proposed layout Distance Wd score (2) (1) * (2) 3 75 1 35 4 20 2 20 3 45 2 40 2 10 1 10 3 45 1 15 3 60 1 30 2 40 1 10 2 50 1 15 3 45 1 20 2 50 2 80 3 45 Current layout, wd = 790 Distance Wd score (3) (1) * (3) 3 75 1 35 4 20 3 30 2 30 2 40 2 10 1 10 2 30 1 15 3 60 2 60 1 20 1 10 1 25 2 30 3 75 1 20 1 25 1 40 3 45 Proposed layout, wd = 705 4 5 6 7 2 8 3 1 Proposed Layout Current layout, total wd score is 790. 31 Haeryip Sihombing b) Try to find the best possible layout based on the same effectiveness measure. 4 5 6 7 2 8 3 1 Proposed Layout Proposed layout, total wd score is 705. c) What is the impact on your new solution if it must be revised to keep department 1 at its present location? There is no impact on the new solution for the proposed layout, the total wd still remain same which is 705. d) How should the layout developed in part (c) be revised if the interdepartmental flow between the examining room and the X-ray department is increased by 50 percent? Decreased by 50 percent? The proposed layout did not change the location of examining room and Xray department, so will not affect the new proposed layout. For the increased by 50% of the interdepartmental flow between the examining room and the X-ray department, the total wd is 735 which is increase 30 from the previous proposed layout. For the decrease 50%, the total wd is 675 which is decrease 30 from the previous proposed layout. Problem Statement 21 From the following information, draw the project network. Compute the early, late, and slack times for each activity. Identify the critical path. (Hint: Draw the finish-tostart relationship first.) 5 10 15 5 Finish-to-start Predecessor NONE A A B Finish-to-Start Lag 0 0 0 5 20 15 10 20 B D C F 0 0 10 0 ID Duration A B C D E F G H 32 Additional lag Lag Relationship None 0 None 0 Start-finish C to D 20 Start-start D to E 5 Finish-finish D to E Finish-finish E to F 25 None 0 Finish-finish G to F 0 None 10 Haeryip Sihombing Problem Statement 22 The Maser is a new custom-designed sports car. An analysis of the task of building the Maser reveals the following list of relevant activities, their immediate predecessors, and their duration: Job Description Letter A B C D E F G H I J K L M N O P Q R S T U Immediate predecessor(s) Start design order special accessories Build frame Build doors Attach axles, wheels gas tank Build body shell Build transmission and drive train Fit door to body shell Build engine Bench-test engine Assemble chassis Road-test Chassis Paint body Install wiring Install interior Accept delivery of special accessories Mount body and accessories on chassis Road test car Attach exterior trim Finish Normal time (days) A B B B D B B G,E B J F,H,K L I N N C M,O,P,Q R S T a) Draw a network diagram for the project. b) Mark the critical path and state its length. c) If the Maser had to be completed 2 days earlier, would it help to: i) Buy preassembled transmissions and drive train? ii)Install robots to halve engine-building time? iii)Speed delivery of special accessories by 3 days d) How might resources be borrowed from activities on the non-critical path to speed activities on the critical pa 33 0 8 0.1 1 1 1 2 3 1 4 2 1 0.5 2 1 1.5 5 1 0.5 1 0 Lag exercise 18 (QUESTION 39): Lag 5 Lag 20 Lag 5 Lag 25 Lag 10 Lag 10 The critical paths of the network are shown by dashed-lines in the diagram, or as below: i. ii. iii. A, C, G, F, and H. A, C, D, E, F, and H A, B, D, E, F, and H b) Critical path is marked as black arrow along the flow of the process, as shown at the network diagram above. Total length of critical path (A, B, J, K, L, M, R, S, T, and U) is 18 weeks without slack time. c) I) No. Since the process H (build transmission and drive train) is not a process within the critical path, hence it wouldn’t help to complete the project 2 days earlier with preassembled transmission and drive train. II) No. It is not helpful to install robots to halved engine-building time. This is because of other process path would prevent the project to be finished 2 weeks earlier. The installation of robot would only make the complete time of project earlier by 1 week. III) No. Process Q is not within the critical path. Even the special accessories are accepted 3 days earlier, the project complete time is still restricted by the process time of critical path as stated above. d) In order to speed up the activities on the critical path, some recourses from the non-critical path, especially those activities with many slack time, can be borrowed to facilitate the activities on the critical path. The activities with many slack time here might be process d, f, and h, can be holden for awhile and the resources used such as the assembly material, tools and manpower can be borrowed to perform the activities on the critical path. As long as the time of the resources stated are not borrowed to critical path more than the slack time as indicated in the box of network diagram above, the activities on the critical path, and hence the whole system, will be speeded up. Haeryip Sihombing Problem Statement 23 Summit Arora is developing a program in leadership training for middle-level managers. Sumit has listed a number of activities that must be completed before a training program of this nature could be conducted. The activities, immediate predecessors and times appear in the accompanying table: Activity A B C D E F G Immediate Predecessor(s) B A,D C E,F Time (days) 2 5 1 10 3 6 8 a) AON network: E A (3) (2) START 0 B D G (5) (10) (8) C F (1) (6) 2 13 A 13 2 0 0 B 0 5 0 11 C 11 1 15 18 0 E 15 15 3 5 5 15 0 D 5 5 6 1 1 12 18 15 7 11 F 12 6 18 b) Critical Path: B,D,E,G 37 18 26 0 G 18 8 26 END Haeryip Sihombing c) Total project completion time= 5+10+3+8 = 26 days d) Slack time for activity A = 15-2 = 13 days B,D,E,G = No Slack Time = 0 C&F = 18-7 = 11 days Problem Statement 24 Suppose production requirements in solved Problem 9.2 increase and require a reduction in cycle time from 8 minutes to 7 minutes. Balance the line once again, using the new cycle time. Note that it is not possible to combine task times so as to group task into the minimum number of workstation. This condition occurs in the actual balancing problems fairly often. Task A B C D E F G H Performance Time (mins) 5 3 4 3 6 1 4 2 28 Task Must Follow This Task A B B C C D,E,F G New line balancing 4 6 C E 4 2 G H 5 3 1 A B F WS5 3 WS1 WS2 D WS4 WS3 The theoretical minimum number of workstation (WS) is: = = 4 workstation. By theory minimum number of 4 workstations can be group together but after trial and error for the new line balancing to group into necessary workstation for 7 minutes cycle time, it is proven that 4 workstation can’t be achieve as theory indicated but instead it only can be group into 5 workstations. 38 Haeryip Sihombing Problem Statement 25 Chunmum Furniture Inc., produces all types of office furniture. The “Executive Secretary” is a chair that has been designed using ergonomics to provide comfort during long work hours. The chair sells for $130. There are 480 minutes available during the day and the average daily demand has been 50 chairs. There are 8 tasks:Task Performance Time (minutes) Task Must Follow Task Listed Below A B C D E F G H 4 7 6 5 6 7 8 6 A, B C D E E F, G a. Draw a precedence diagram of this operation A C D E F H B G b. What is the cycle time for this operation? Cycle time, The desired output rate is 50 Chairs 480 minutes per day. C = 1/r C= 480/50 = 9.6 minutes/units c. What is the theoretical minimum number of work station? Theoretical minimum ( TM ) TM = ∑ t / C TM = 49 / 9.6 = 5.1 @ 5 stations. d. Assign tasks to work stations 39 Haeryip Sihombing How much total idle time is present each day? Idle time = nc - ∑t = 8(9.6) – 49 = 27.8 seconds Percentage of idle time = idle time per cycle X 100 Nactual X Cycle Time = 27.8 X 100 8X9.6 = 36.2 % f. What is the overall efficiency of the assembly line? Efficiency = 100 % - 36.2 % = 63.8 % Problem Statement 26 The diagram in Figure below was developed for a project that you are managing. Suppose that you are interested in finding ways to speed up the project at minimal additional cost. Determine the schedule for the completing the project in 25 days at minimum cost. Penalty and project overhead costs are negligible. Time and cost data for each activity are shown in Table below. Activity A B C D E F G H I Normal Time (days) 12 13 18 9 12 8 8 2 4 Crash Cost ($) 1, 300 1, 050 3, 000 2, 000 650 700 1, 550 600 2, 200 Time (days) 11 9 16 5 10 7 6 1 2 40 Cost ($) 1, 900 1, 500 4, 500 3, 000 1, 100 1, 050 1, 950 800 4, 000 Haeryip Sihombing D Start A E B F G C Activity A B C D E F G H I Slope 600 112.5 750 250 225 350 200 200 450 I Maximum Crash Time 1 4 2 4 2 1 2 1 2 Day 25 Initial total direct cost $13050 A 12 Start Finish H Direct Cost Normal Time Cost 12 1,300 13 1,050 18 3,000 9 2,000 12 650 8 700 8 1,550 2 600 4 2,200 Crash Time 11 9 16 5 10 7 6 1 2 Cost 1,900 1,500 4,500 3,000 1,100 1,050 1,950 800 4,000 D AC 9 DU E G 12 8 B F H 13 8 2 C I 18 4 41 Finish Haeryip Sihombing Day 24 Initial total direct cost $13800 Activity Change C D 750 9 A 12 Start E G 12 8 B F H 13 8 2 C I 17 4 Finish Day 23 Initial total direct cost $12450 Activity Change D I 9 450 A 12 Start Project duration 25 24 23 E G 12 8 B F H 13 8 2 C I 17 4 Direct Cost + 13050 13800 14250 42 Indirect Cost 10050 7050 4050 = Total Cost 23,100 20,850 18,300 Finis Haeryip Sihombing The project will actually materialize as planned any movement away from this tie option duration will increase projects cost. The optimum cost-time duration is 24 time units and $20,850. The movement from 25 time units occurs, in this range the absolute slopes of the indirect costs are greater than the direct cost slopes. Problem Statement 27 The following is a table of activities associated with a project at Bill Figg Enterprise, their durations and what activities each must precede: Activity A (start) B C E F (end) Duration (weeks) 1 1 4 2 2 Precedes B, C E F F - a) Draw an AON diagram of the project, including activity durations 1 0 0 A 0 1 2 2 1 B 1 2 1 1 1 0 C 1 4 4 1 E 3 3 2 5 5 5 5 7 0 F 5 2 7 b) Define the critical path, listing all critical activities in chronological order Critical path are A, C, F c) What is the project duration (in weeks)? Project duration (in week) is 7 weeks d) What is the slack (in weeks) associated with any and all noncritical paths through the project? Activity Early start A B C E F 0 1 1 2 5 Early finish 1 2 5 4 7 Late start Late finish Slack 0 2 1 3 5 1 3 5 5 7 0 1 0 1 0 The slack (in weeks) happen for activity B and E. 43 Haeryip Sihombing Problem Statement 28 Use trial and error to balance the assembly line described in the following table and Figure 8.19 so that it will produce 40 units per hour. a. b. c. d. What is the cycle time? What is the theoretical minimum number of workstations? Which work elements are assigned to each workstation? What are the resulting efficiency and balance delay percentages? Work element A B C D E F G H I J K Time (sec) 40 80 30 25 20 15 60 45 10 75 15 Total Immediate Predecessor (s) None A A B C B B D E,G F H, I, J 415 D 25 B F 80 15 H 45 A G 40 J 60 75 E I 20 10 C 30 a. Cycle time = available output rate = 60 x 60 = 90 40 b. Theoretical minimum number of workstations = 415 = 4.611 @ 5 = 5 stations 90 44 K 15 Haeryip Sihombing D 25 B F 45 H 15 80 A G 40 J 60 K 75 15 C 30 E I 20 10 c. Workstation 1: A, C, E Workstation 2: B Workstation 3: F, J Workstation 4: D, H Workstation 5: G, I, K d. Efficiency = ratio of productive time to total time = 415 / 5 (90) x 100 = 92.2 % Balance Delay = amount by which efficiency falls short of 100% = 100% – 92.2 % = 7.8 % Problem Statement 29 McGee Carpet and Trim installs carpet in commercial offices. Andrea McGee has been very concerned with the amount of time it took to complete several recent jobs. Some of her workers are very unreliable. A list of activities and their optimistic completion time, the most likely completion time, and their pessimistic completion time (all in days) for a new contract are given in the following table: Activity A B C D Time (days) a 3 2 1 6 m 6 4 2 7 45 b 8 4 3 8 Immediate predecessor (s) C Haeryip Sihombing E F G H I J K a) b) c) d) 2 6 1 3 10 14 2 4 10 2 6 11 16 8 6 14 4 9 12 20 10 B,D A,E A,E F G C H,I Determine the expected completion time and variance for each activity Determine the total project completion time and the critical path for the project Determine ES, EF, LS, LF and slack for each activity What is the probability that McGee carpet and Trim will finish the project in 40 days or less? a) Activity A B C D E F G H I J K Time (days) a m b Immediate predecessor (s) 3 2 1 6 2 6 1 3 10 14 2 6 4 2 7 4 10 2 6 11 16 8 8 4 3 8 6 14 4 9 12 20 10 C B,D A,E A,E F G C H,I te = a + 4m + b 6 5.833 3.667 2.000 7.000 4.000 10.000 2.167 6.000 11.000 16.333 7.333 variance {(b − a ) / 6}2 b) Total completion time = 5.883 + 3.667 + 2 + 7 + 4 + 10 + 2.167 + 6 + 11 + 16.333 + 7.333 = 75.333 = 75 day c) Critical path of the project = C, D, E, F, H, K = 2 + 7 + 4 + 10+6+7.33 = 36.33 ≈ 37 day ∑σ Te = √ (0.111 + 0.111 + 0.444 + 1.778 + 1.000 + 1.778) = √ 5.222 = 2.28517 Activity A B C D E F G H I ES 0 0 0 2 9 13 13 23 15 EF 6 4 2 9 13 23 15 29 36 LS -9 -5 -10 -8 -1 3 6 13 8 46 LF 3 4 -8 -1 3 13 2 19 19 Slack 9 5 10 10 10 10 7 10 7 0.694 0.111 0.111 0.111 0.444 1.778 0.250 1.000 0.111 1.000 1.778 Haeryip Sihombing J K 0 6 9 A -9 6 0 5 B -5 4 9 18 10 2 29 13 G 3 6 2 4 13 10 F 3 10 -1 2 19 15 7 13 18 37 2 15 I 8 8 11 23 23 13 10 D d) -1 Probability 4 3 -8 7 -1 0 10 26 7 9 E 18 37 19 29 10 H 13 6 0 10 C -10 2 29 37 10 K 19 19 8 2 2 -8 37 18 0 J 2 16 18 Ts = 40 day Te = 37 day Z = (40 – 37)/ 2.28517 = 1.312813 0.90538 [by using CASIO fx 570 : mode-mode-1-shift-3-1-1.312813] Problem Statement 30 The department of engineering at a university in New Jersey must assign six faculty members to their new offices. The closeness matrix shown indicates the expected number of contact per day between professors. The available office spaces (1-6) for the six faculty members are show in figure 8.18. Assume equal-sized offices. The distance between office 1 and 2 (and between offices 1 and 3) is 1 unit. Professor A B C D E F Closeness matrix Contact between professor A B C D 4 12 2 - E F 10 7 4 - a) Because of their academic positions, professor A must be assigned to office 1, professor C must be assigned to office 2 and professor D must be assigned to office 6. Which faculty 47 Haeryip Sihombing members should be assigned to office 3, 4 and 5 respectively to minimize the total weighted distance score (assuming rectilinear distance)? 1 2 3 4 5 6 b) What is the weighted distance score of your solution? Professor pair AC BD BF CD CE DF Current plan Number Distance of trip (1) (2) 4 1 12 1 10 2 2 1 7 1 4 1 A B C D E F wd score (1) X (2) 4 12 20 2 7 4 Total wd = 49 Current layout a) To minimize the total weighted distance score, I was choosing to arrange the position of the professor. That is professor F must be assigned to office 3, professor E must be assigned to office 4 and professor B must be assigned to office 5. A C F E B D New layout Professor pair AC BD BF CD Solution plan Number of Distance trip (1) (2) 4 1 12 1 10 1 2 2 48 wd score (1) X (2) 4 12 10 4 Haeryip Sihombing CE DF 7 4 1 2 7 8 Total wd = 45 b) The solution of the layout shows that the weighted distance score are 45. The old layouts of the weighted distance score are 49. The differences of the weighted distance score are 4. That is show that the new layouts are more effective and less weighted distance score. Problem Statement 31 A. Mach 10 is a none-person sailboat designed to be used in the ocean. Manufactured by Creative Leisure, Mach 10 can handle 40-mph winds and seas over 10 feet. The final assembly plant is in Cupertino, California. At this time, 200 minutes are available each day to manufacture Mach 10. The daily demand is 60 boats. Given the following information:i) Draw precedence diagram and assign task to the fewest workstations possible ii) What is the efficiency of the assembly line? iii) What is the theoretical minimum number of workstation? iv) What is the idle time? Task A B C D E F G H I Performance time (min) 1 1 2 1 3 1 1 2 1 Task must follow task listed below A A C C C D, E, F B G, H i) A B H C D E F iii) Desired output rate, r = 60 units /day 49 I G Haeryip Sihombing Time available = 200 minutes/day r = 60 units/200 minutes = 0.3 units/minute Cycle time, C = 1/r = 1/0.3 = 3.33 minutes/unit TM iv) ii) = ∑t / C = 13 / 3.33 = 3.9 ≈ 4 stations Idle time = nc - ∑t = 4 (3.33) – 13 = 0.32 minutes Percentage idle time = ((idle time / (TM x C)) x100 = ((0.32 / (4x3.33)) x100 = 2.40 % Efficiency = 100% - percentage idle time = 100% - 2.40 % = 97.6% Problem Statement 32 A. Because of the expected high demand for Mach 10, Creative Leisure has decided to increase manufacturing time available to produce the Mach 10:i) If demand remained the same and 300 minutes were available each day, how many work stations would be needed? ii) What would be the efficiency of the new system? iii) What would be the impact or the system if 400 minutes were available? i) Desired output rate, r = 60 units /day Time available = 300 minutes/day r = 60 units/300 minutes = 0.2 units/minute Cycle time, C = 1/r = 1/0.2 = 5 minutes/unit TM = ∑t / C = 13 / 5 = 2.6 ≈ 3 stations ii) Idle time = nc - ∑t = 3 (5) – 13 = 2 minutes Percentage idle time = ((idle time / (TM x C)) x100 = ((2 / (3x5)) x100 = 13.33 % Efficiency = 100% - percentage idle time = 100% - 13.33 % = 86.67% iii) Desired output rate, r = 60 units /day Time available = 400 minutes/day r = 60 units/400 minutes = 0.15 units/minute 50 Haeryip Sihombing Cycle time, C = 1/r = 1/0.15 = 6.67 minutes/unit TM Idle time = ∑t / C = 13 / 6.67 = 1.95 ≈ 2 stations = nc - ∑t = 2 (6.67) – 13 = 0.34 minutes Percentage idle time = ((idle time / (TM x C)) x100 = ((0.34 / (2x6.67)) x100 = 2.55 % Efficiency = 100% - percentage idle time = 100% - 2.55 % = 97.45% B. Draw the activity on node (AON) project network associated with the following activities for Dave Carhart’s Consulting Company project. How long should it take Dave and his team to complete this project? What are the critical path activities? Activity A B C D E F G H 0 3 0 A 0 3 3 3 Immediate Predecessor A A B B C D E, F 7 0 B 3 4 3 0 C 3 6 Time (days) 3 4 6 6 4 4 6 8 7 13 0 D 7 7 6 9 7 9 11 2 E 9 4 9 Critical Path = A-B-E-H 21 Days. 51 13 13 13 0 F 9 4 13 13 19 0 G 13 6 13 19 21 0 H 13 8 21 Haeryip Sihombing Problem Statement 33 Xinshang Electronics wants to establish an assembly line for producing a new product, the Personal Little Assistant (PLA). The tasks, task times, and immediate predecessors for the tasks are as follows: Task Time (sec) 12 15 8 5 20 A B C D E Immediate Predecessors A A B, C D Xinshang’s goal is to produce 180 PLAs per hour. a) What is the cycle time Given r = desired output rate = 180 / hour 1 hour = 180 unit c = 1 / r = (1 / 180)*3600sec =20 sec/unit b) What is the theoretical minimum for the number of workstations that Xinshang can achieve in this assembly line? TM = ∑ of all work element Cycle time = 12+15+8+5+20 60 sec = 20 sec/unit = = 3 workstation 20 sec/unit 15 B 12 5 20 A D E C 8 c) Can the theoretical minimum actually be reached when workstations are assigned? Yes, the theoretical minimum actually can be reached when workstations are assigned. Problem Statement 34 Jason Ritz, district manager for Gumfull Food Inc., is in charge of opening a new fast-food outlet in the college town of Clarity. His major concern is the hiring of a manager and a cadre 52 Haeryip Sihombing of hamburger cooks, assemblers, and dispensers. He also has to coordinate the renovation of a building that was previously owned by a pet supplies retailer. He has gathered the data shown in Table 3.8. Activity Description A B C Interview at college for new manager Renovate building Place ad for employees and interview applicants Have new manager prospects visit Purchase equipment for new outlet and install Check employee applicant references and make final selection Check reference for new manager and make final selection Hold orientation meetings and do payroll paperwork D E F G H Immediate Predecessor(s) - Time (wk) a m b 2 5 7 4 8 9 6 11 17 A B 1 2 2 4 3 12 C 4 4 4 D 1 1 1 E,F,G 2 2 2 Top management told Ritz that the new outlet is to be opened as soon as possible. Every week that the project can be shortened will save the firm $1,200 in lease costs. Ritz thought about how to save during the project and came up with two possibilities. One was to employ Artic, Inc., a local employment agency to locate some good prospects for the manager’s job. This approach would save three weeks in activity A and cost Gumfull foods $2,500. The other was to add a few workers to shorten the time for activity B by two weeks at an additional cost of $2,700. Help Jason Ritz by answering the following questions. a) How long is the project expected to take? Activity times and variances table Activity A B C D E F G H a 2 5 7 1 2 4 1 2 m 4 8 9 2 4 4 1 2 b 6 11 17 3 12 4 1 2 53 te 4 8 10 2 5 4 1 2 [{b-a}/6]2 0.44 1 2.78 0.11 2.78 0 0 0 Haeryip Sihombing 0 4 4 7 A 7 4 0 1 B 1 8 0 0 C 0 10 6 7 D 11 11 2 8 8 13 1 E 9 9 4 10 10 10 13 14 6 7 0 G 13 1 14 14 16 0 H 14 2 16 14 0 F 10 4 14 Critical path is= C + F + H = 10 + 4 + 2 = 16week b) Suppose that Ritz has a personal goal of completing the project in 14 weeks. What is the probability will happen this quickly? a) Probability of completing the Project TS = 14 Standard deviation for the project, √ ∑ σte2 = √ 2.78+0+0= √ 2.78 Z = (TS – TE)/ √ ∑ σte2 = -1.20 = ( 14 – 16) / √ 2.78 0.13 c) What additional expenditures should be made to reduce the projects duration? Use the expected time for each activity as though it were certain. i. Additional cost Activity Description A Interview at college for new manager B Renovate building Total Cost $2500 $2700 $5200 The new project duration of activity A is 1 week and activity B is 6 week after reduction of project duration. This reduction duration involving additional cost that show in table above. ii. Lease cost saved Lease Cost saved = 3 (1200) + 2 (1200) = $6000 iii. Cost saving = $6000 - $5200 = $800 54 Haeryip Sihombing From the calculation, there is no need additional expenditures should be made to reduce the project duration. The cost rearrangement proved the reduction of project duration can save company expenditures worth $800. Problem Statement 35 Given the following information, draw the project network. Compute the early, late and slack times for the project network. Which activities on the critical path have only the start or finish of the activity on the critical path? ID Duration Finish-to-start Predecessor Finish to Start lag A B C D E 2 4 6 8 18 F G H I J 2 5 5 14 15 None A A A B C D F None E G, H 0 0 0 0 0 10 0 0 0 0 0 Additional lag relationships Lag None None Finish-finish C to F None Finish-finish E to G 0 0 7 0 9 None Start-start G to H None Finish-finish I to J None 10 0 5 0 a.) Which activities on the critical path have only the start or finish of the activity on the critical path? Based on graph of project network, critical part is from A, D, F, G,J. 2 6 2 B 4 4 18 36 10 E 8 18 8 26 Lag 10 0 2 0 A 2 2 4 2 C 13 6 2 19 10 22 D 24 8 32 50 0 I 36 14 50 Lag 5 Lag 10 8 11 36 35 Lag 9 Lag 7 10 12 0 F 32 2 35 55 40 0 H 35 5 12 40 17 0 G 35 5 40 40 55 0 J 40 15 55 Haeryip Sihombing Problem Statement 36 J.Wold, project manager of Print Software, Inc, wants you to prepare a project network, compute the early, late, and slack activity times; determine the planned project duration; and identify the critical path. His assistant has collected the following information for the Color Printer Drivers Software Project: ID A B C D E F G H I J K L Description External specifications Review design features Document new features Write software Program and test Edit and publish notes Review manual Alpha site Print manual Beta site Manufacture Release and ship 8 10 0 B 8 2 10 Predecessor None A A A B C D E,F G H,I J K 10 Time 8 2 3 60 60 2 2 20 10 10 12 3 70 0 E 10 60 70 70 0 90 H 70 20 0 8 0 A 0 8 8 8 11 57 C 65 3 8 10 68 68 D 18 60 78 11 90 90 13 57 F 68 2 0 70 10 G 78 2 70 10 80 J 90 70 68 100 80 100 0 I 80 10 10 100 90 112 K 100 12 112 112 115 0 L 112 3 i) Project duration = 8 + 2 + 60 + 20 + 10 + 12 + 3 = 115 ii) Critical Path = A, B, E, H, J, K, L 56 115 Haeryip Sihombing Problem Statement 37 You are considering the decision of whether or not to crash your project. After asking your operations manager to conduct an analysis, you have determined the precrash and “post crash” activity duration and costs, hown in table below. (Assume all activities are on the critical path) Activity A B C D E F G Normal Durations Cost 6 days $ 1000 5 days $ 2500 3 days $ 800 7 days $ 3500 2 days $ 500 5 days $ 2000 10 days $ 5000 Crashed Duration Cost 4 days $ 2000 5 days $ 2500 2 days $ 1200 3 days $ 7000 1 days $ 5000 4 days $ 3000 6 days $ 6300 a.) Calculate the per day cost for crashing each activity. Formula: Crash Cost per Day: Normal Duration – Crash Duration Crash Cost – Normal Cost Activity Activity A Activity B Activity C Day 2 days 0 days 1 days Cost $ 1000 $ 0 $ 400 Computation cost for crashing per day $ 1000/2 days = $ 500 per day $ 0/0 days = $ 0 per day $ 400/1 days = $ 400 per day Activity D 4 days $ 3500 $ 3500/4 days = $ 875 per day Activity E Activity F 1 days 1 days $ 4500 $ 1000 $ 4500/1 days = $ 4500 per day $ 1000/1 days = $ 1000 per day Activity G 2 days $ 1300 $ 1300/2 days = $ 650 per day (b) Which are the most attractive candidates for crashing? Why Acitivity C the most attractive candidates for crashing because the project can be crashed by one day, and the project cost will be increasing by RM400. Problem Statement 38 Dream Team Productions a firm hired to coordinate the release of the movie Paycheck (starring Uma Thurman and Ben Affleck) identified 16 activities to be completed before the release of the film. Activity A B Immediate Predecessors - Optimistic Most Likely Time Time 1 2 3 3.5 57 Pessimistic Expected Time Time (O + 4M+P) /6 4 2 4 4 Haeryip Sihombing C D E F G H I J K L M N O P A B C C C D E F,G,H J,K,L I,M N 10 4 2 6 2 5 9.9 2 2 2 5 1 5 5 13 7 5 8 5.5 9 12 5 6 6 6.5 2 8 9 12 5 4 7 4 7.7 10 4 4 4 6 1.1 7 7 12 5 4 7 4 8 10 4 4 4 6 1 7 7 a.) How many weeks in advance of the film release should Dream Team have started its marketing campaign? What is the critical path? The tasks (in time units of weeks) are as above. The Marketing campaign should be started as early as 24 weeks before the ‘Paycheck’ film been release by Dream Team. The Critical Path for this project is C-J-N-P; with project completion time is 24 weeks Network Diagram A F B G M H C O I J D K E L N P (b) If activities I and J were not necessary, what impact would this have on the critical path and the number of weeks needed to complete the marketing campaign. Critical path of the project is defined as the sequence of tasks from beginning to end that takes the longest time. If the activities I and J were removed from the project, it would have a greater impact on the critical path. The new critical path after the changes is D-K- N-P and the time taken for the project completion is 17 weeks compared to previous project completion 24 weeks. 58 Haeryip Sihombing Problem Statement 39 Assume that the activity in problem 3.15 have the following cost A= RM 300/week, B= RM 100/week, C= RM 200/week, E= RM100/week and F= RM400/week. Assume also that you can crash an activity down to 0 week in duration and every week you can shorten the project in worth RM250 to you. The following is a table of activities associated with a project at Bill Figg Enterprise, their durations and what activities each must precede: Activity A (start) B C E F (end) Duration (weeks) 1 1 4 2 2 Precedes B, C E F F - What activity is total crashing cost. The activity would be crash is activity A,C and F because that is critical path Activity Duration A B C E F 1 1 4 2 2 10 Duration reduce to 0 3 1 7 59 Crashing cost 300 100 200 100 400 Total crashing cost 300 200 400 900 Haeryip Sihombing A= 1 week B= 1 week C= 1 week TOTAL Project shorten worth = RM 250 = RM 250 = RM 250 = RM 750 Total Crashing Cost = Project shorten worth – crashing cost = RM 750 – RM 900 = RM – 250 Bill fig enterprise should not crashing the project because it will more costly compare to the current project duration. 1 B 2 2 1 0 A 1 1 1 E 4 2 5 1 2 1 3 3 1 C 5 5 0 0 0 F 7 2 7 0 1 4 5 5 Problem Statement 40 Johnson cogs want to set up a line to serve 60 customer per hour. The worker element and their precedence relationship are show in the following table Work Element Time (sec) Immediate Precedes A B C D E F G H I J 40 30 50 40 6 25 15 20 18 30 A A B B C C D,E F,G H,I Total = 274sec a.) What is the theoretical minimum numbers of station? 60 customer/ hour =1 customer/ minutes = 1 customer/ 60 sec Cycle time = 60 sec/customer N minimum = Total time / cycle time = 274/60 = 4.56 ~ 5 work station 60 Haeryip Sihombing b.) How many station are required using trial and error to find a solution Figure 1 show 6 work station require using trail and error. c.) Suppose that a solution requiring five station is obtain. What is its efficiency Suppose have a 5 from the theoretical minimum numbers of station but in actual condition 5 work station cannot be archive because don’t have a solution to crate 5 work station with archive 60 seconds cycle time. Total idle time for 6 work station is 20+30+10+20+2+4 = 86 Efficiency = Total task time/ no work station x cycle time = 76.1% Problem Statement 41 Mach 10 is a one-person sailboat designed to be used in the ocean. Manufactured by Creative Leisure, March 10 can handle 40 mph winds and seas over 10 feet. The final assembly plant is in Cupertino, California. At tis time, 200 minutes are available each day to manufacture Mach 10. The daily demands is 60 boats. Given the following information, 61 Haeryip Sihombing Task A B C D E F G H I Performance Time 1 1 2 1 3 1 1 2 1 Task Must follow task listed below A A C C C D,E,F B G,H a) Draw the precedence diagram and assign task to the fewest workstation possible. b) What is the efficiency of the assembly line? % of idle time = [idle time per cycle time/ (Workstation X Cycle time)] X 100 = [3/ (4X4)] X 100 = 18.75% Efficiency = 1 - 0.19 = 0.81 c) What is the theoretical minimum number of workstations? Cycle time= operating time/demand = 200/60 = 3.33 @4minute/boat Work station = total of all work element/cycle time = 13/4 = 3.25 @ 4 station d) What is the idle time? Workstation ABC DHG EF I IDLE TIME 0 0 0 3 62 Haeryip Sihombing Problem Statement 42 The information in Table 3.11 is available about a large project. Activity A B C D E F G H I J K L M N O P Activity time (days) 3 4 2 5 3 4 6 2 1 4 3 3 2 4 1 5 Activity (Cost) 100 150 125 175 150 200 75 50 100 75 150 150 100 175 200 150 Immediate Predecessor(s) A B B C,D C C,D,E E D,E F,G G,H,I I,J K,M H,M N,L,O a) Determine the critical path and the expected completion of the project. Critical path = BDFKNP 63 Haeryip Sihombing Expected completion time = 25 days Task Performance Time (sec) Predecessors b) Plot the total project cost, starting from day 1 to the expected completion date of the project, assuming the earlier start time for each activity. Compare that result to similar plot for the latest start times. What implication does the time different have for cash flow and project scheduling. Problem Statement 41 The Toys r There Company has decided to manufacture a new toy tractor, the production of which is broken into six steps. The demand for the tractor is 4,800 units per 40-hour workweek: 64 Haeryip Sihombing A B C D E F 20 30 15 15 10 30 None A A A B,C D,E a) Draw a precedence diagram of this operation. B E 30 A C 20 15 10 D F 15 30 b) Given the demand, what is the cycle time for this operation? r = 4,800 hour/week r = 4,800 = 120 units/hour 40 Cycle time = 1min/60sec = 1min/unit = 60 sec/unit c) What is the theoretical minimum number of workstations? = 2 stations TM = 120 sec 60 sec d) Assign tasks to workstations. Station 1 2 3 Work elements assigned A, B, E C, D F A 20 B C 10 15 D 15 65 E 30 F 30 Haeryip Sihombing e) How much total idle time is present each cycle? Station 1 2 3 Work elements assigned A, B, E C, D F Cumulative Time 60 30 30 Idle time c = 60 sec 0 30 30 Total idle time = 30 + 30 = 60 sec f) What is the overall efficiency of the assembly line with five stations; and with six stations? • 5 stations: Efficiency = [ 120 sec/ 5(60) ] X 100 = 0.4 X 100 = 40% • 6 stations: Efficiency = [ 120 sec/ 6(60) ] X 100 = 0.333 X 100 = 33.33 % Problem Statement 42 Reliable Garage is completing production of J2000 kit car. The following data are available for the project. Activity A B C D E F G H Activity Time (days) 2 6 4 5 7 5 5 3 Immediate Predecessor(s) a) Draw the network diagram for the project. 66 A B C C C F D,E,G Haeryip Sihombing b) Determine the project’s critical path and duration. Critical path = A, B, C, E, H The duration was 22 days c) What is the total slack for each activity? The total slack for each activity = 2 + 2 + 2 + 2 + 0 + 3 + 0 + 3 = 14 days Problem Statement 43 The head of the information systems group at Conway Consulting must assign six new analysts to offices. The following closeness matrix shows the expected frequency of the contact between analysts. The block plan in Figure 1 shown the available office locations (16) for six analysts (A-F). Assume equal-sized offices and rectilinear distance. Owing to their tasks, analyst A must be assigned to location 4 and analysts D to location 3. What are the best locations for the other four analysts? What is the wd score for your layout? Closeness Matrix Contacts Between Analysts Analyst A B C D E Analyst A 6 Analyst B 12 Analyst C 2 7 Analyst D Analyst E Analyst F F 4 - 1(A) 2(B) 3(C) C F D 4(D) 5(E) 6(F) A E B Figure 2: New Conway Consulting’s Block Plan Figure 1: Conway Consulting’s Block Plan Analyst/Activity Number of trips 6 12 2 7 4 Total Wd Score Distance Wd Score A,C B,D C,D C,E D,F 2 2 3 2 2 12 24 6 14 8 64 67 New Distance 1 1 2 2 1 New Wd Score 6 12 4 14 4 40 Haeryip Sihombing The best locations for the other four analysts are analyst B be assigned to location 6, analysts C to location 1, analyst E to location 5 and analysts F to location 2. See the Figure 2. The total wd score for my new layout is 40, reduced total 24 point if compares with the original lay out. Problem Statement 43 The activities described by the following table are given for the Standard Task Corporation: Activity A B C D E F G H I Immediate Predecessor (s) A A B B C E,F D G,H Total Time = Time 9 7 3 6 9 4 6 5 3 52 1. Draw the appropriate AON PERT diagram for Standard Corporation’s management team D H B E A I G C F 2. Find the critical path i) A,B,D,H,and I ii) A,B,E,G,and I iii) A,C,F,G,and I 3. What is the project completion time? i.) A,B,D,H,and I, total completion time are 9+7+6+5+3= 30sec ii.) A,B,E,G,and I, total completion time are 9+7+9+6+3= 34sec iii.) A,C,F,G,and I, total completion time are 9+3+4+6+3= 25sec 68