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University of South Australia

School of Advanced Manufacturing and Mechanical Engineering

Project Planning and Control G


Tutorial 2: Module 5 Module 7 Set
Akot B Akot
5/17/2013

Declaimer
I declare the following to be our own work, unless otherwise referenced, as defined by the
Universitys policy on plagiarism.

Contents
Declaimer ................................................................................................................................................. i
List of Figures ......................................................................................................................................... iii
List of Tables .......................................................................................................................................... iv
1.

Introduction .................................................................................................................................... 1

2.

Solution and Explanation ................................................................................................................ 1

3.

2.1.

Module 5 ............................................................................................................................. 1

2.2.

Module 6 ............................................................................................................................. 5

2.3.

Module 7 ............................................................................................................................. 8

Conclusion ..................................................................................................................................... 15

Reference .............................................................................................................................................. 16

ii

List of Figures
Figure 1: WBS of Automated system for welding bicycle frames ........................................................................... 2
Figure 2: Organisational Breakdown Structure ...................................................................................................... 3
Figure 3: Early and late starts project Gantt charts for Q7-1 ................................................................................. 8
Figure 4: Project Network model for Q7-1 .............................................................................................................. 9
Figure 5: Early Start Gantt chart for Q7-2............................................................................................................. 10
Figure 6: Late Start Gantt chart for Q7-2 .............................................................................................................. 11
Figure 7: Project Network model for Q7-2 ............................................................................................................ 11
Figure 8: Early Start for Q7-3 ................................................................................................................................ 13
Figure 9: Late Start Gantt chart for Q7-3 .............................................................................................................. 14
Figure 10: Project Network for Q7-3. .................................................................................................................... 14

iii

List of Tables
Table 1: Learning curve time computation ............................................................................................................. 6
Table 2: Tabulation of Historical data for parametric estimation .......................................................................... 7
Table 3: Data estimation table ............................................................................................................................... 7
Table 4: Project Activities for Q7-1 ......................................................................................................................... 8
Table 5: Legend of 3x3 matrix computation ........................................................................................................... 9
Table 6: Computed 3x3 for Q7-1 ............................................................................................................................. 9
Table 7: Project Activities for Q7-2 ......................................................................................................................... 9
Table 8: Computed 3x3 Matrix for Q7-2 ............................................................................................................... 11
Table 9: Project Activities for Q7-3 ....................................................................................................................... 12
Table 10: 3x 3 Matrixes for Q7-3 .......................................................................................................................... 14

iv

1. Introduction
The tutorials are an integral part of Project Planning and Control (PPC) overall assessment.
These are broken down into three parts. Tutorial 1 covers module 1 through module 4,
tutorial 2 covers module 5 through module 7, and tutorial 3 covers module 8 through 11. In
this tutorial set 2 some project techniques covered in module 5 module 7 are covered for
course assessment in the form of tutorials. Consequently, these tutorial questions are
answered under their respective modules.
Module 5 deals with

2. Solution and Explanation


2.1.

Module 5

5-1.

A manufacturer of mountain bike will design and implement an automated system

for welding bicycle frames. All works related to this project will be conducted within the
company without any contracts to any outside organization. The system will be expected to
handle about 100 frames per shift. Production is scheduled for two shifts per day. The system
will be designed to weld the frame and then to check the quality of each weld using automatic
machine vision systems. The welded frames will then be transported to the next cell for
assembly using a conveyor system. The project should consider the training of the current
workers as a part of the project. Most of components can be custombuilt in the company.
However, some electrical and control parts should be purchased. Hence all Mechanical,
Electrical, Electronic, Procurement, Purchasing, Human Resource, Manufacturing, Quality
Control, Design, and other necessary departments should be involved in this project. Assume
that you have unlimited number of staffs in all different departments/tasks for the project.

(a) Develop an appropriate fourlevel WBS


The automated system is required to operate for than 16 hours a day assuming 8 hour/day
work week and the operation is to produce 200 frames a day. The system therefore, is
designed to carry out 2 operation processes assemble the frames and inspect for quality. This
requires 3 subsystems including (1) welding module, (2) components and frames handling
1

and transfer module, and (3) quality control module. The components are to be transported to
weld area and picked, positioned, placed and welded by welding mechanisms. After, another
conveyor system transfers the assembled frame to QC area for quality of welds to be checked
by machine vision system for quality control. Figure 1 shows the work breakdown structure
(WBS) for this project.

Figure 1: WBS of Automated system for welding bicycle frames

(b) Develop an OBS


Due to the availability of resources especially human capital, the company does not need to
restructure its organisation and therefore project is to done

Figure 2: Organisational Breakdown Structure

(c) Develop an LRC


WBS

Projec

Mechani

Design

Electri

Electron

Softwa

Purchas

Receivi

Human

Fabricat

Quali

Administra

COD

cal

er

cal

ics

re

ing

ng

resour

ors &

ty

tion

manag

engineer

engine

enginee

engine

ces

technici

contr

er

er

ans

ol

er
1.0

1.1

1.2

1.2.1

1.2.1

.1
1.2.1
.2
1.2.1

.3
1.2.1

.4
1.2.1

1.2.2

1.2.2

.5

.1

1.2.3

1.2.3

.1
1.2.3

.2
1.3

1.4

1.4.1

1.4.2

1.4.2

1.4.2

.1
1.4.3

1.5

1.6

5-2.

Describe major guidelines for choosing an organizational structure for a project. For

each guideline, give a good example.


The factors for selecting an organisational structure can be outlined and explained as follow
(Shtub et al, 2005 pp. 290 -291):
i)

Number of projects and their relative importance. The number of projects and relative
importance of each project will determine which organisational structure to choose
i.e. project organisational structure is suited for companies dealing with regular
projects. Infrequent projects may be performed in traditional functional organisational
structure.

ii)

Level of uncertainty in projects. When company is involved in a project with high


level uncertainty a project organisational structure is advised where a project manager
is able to control all of the resources

iii)

Type of technology used. When different technologies are used for a project without
justification for continuous effort throughout the project life-cycle then a matrix
structure is preferred.

iv)

Project complexity. Projects with high complexities are carried out in good
coordinated team environment and therefore project organisational structure is suited
for this.

v)

Duration of projects. Short projects are handled within matrix organisation, while
long projects can only be justified by using project organisational structure.

vi)

Resources used by projects. Matrix organisation is well suited for projects where
resources are shared by many projects.

vii)

Overhead cost. Overheads cost can be spread over many projects that use the same
facilities and therefore a matrix organisational structure to reduce the overhead costs

viii)

Data requirements. Databases may be shared by many projects and the fact that the
information generated is passed on the parts of organisation not involved in the
projects, then matrix (weak) organisation structure is used.

2.2.

Module 6

6-1.

So called the process industries petrochemicals, breweries and pharmaceuticals use

the following formula to estimate the cost of the proposed projects.


(

)
(

Suppose a proposed plant is to have 1.2 million cubic meter capacity. Using the past project
of a plant with 3.5 million cubic meter capacity and a cost of $540,000, find the cost for the
proposed plant.
Capacity (proposed) =1.2 million cubic meter
Capacity (past) =3.5 million meter
Cost (past) =$540,000

6-2.

)
(

Experience indicated that the firm to build 20 devices would use 200 hours to build

the first device. According to the past experience, the time will be shortened with the increase
of number of machines to be built. In the bid, the company is assumed the learning rate to be

90% and the skilled labour cost to be $50 per hour. The company wants to have benefits
equalling 50% of the labour cost. Find the followings.

a) The total labour hours for the whole project of 20 machines to be completed (2922 hours)

Table 1: Learning curve time computation


T_1 b
n
200 -0.152003093 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20

T_n
200
180
169
162
157
152
149
146
143
141
139
137
135
134
133
131
130
129
128
127
Total 2922

b) If all material and design are already available free of charge within the company, what
price would the company ask for the project? (Ans. $219,118)
The companys bidding price for the project should be the sum of labour cost and profit i.e.
(

6-3.

The following table shows the historic data between the number of parts and the total

amount of time taken to produce the parts. Using this date, estimate how long it will take if
the number of parts is 200. Use the least square method. Find the correlation coefficient first
to see whether the linear relationship exists between two: time and the number of parts. (Ans.
311.2 hours)
Table 2: Tabulation of Historical data for parametric estimation
Number of parts

50

80

130

180

210

250

310

350

Time

130

210

195

270

280

380

450

525

Table 3: Data estimation table

)(

) (

)2 (

)2

50

130

-145

-175

25375

21025

30625

80

210

-115

-95

10925

13225

9025

130

195

-65

-110

7150

4225

12100

180

270

-15

-35

525

225

1225

210

280

15

-25

-375

225

625

250

380

55

75

4125

3025

5625

310

450

115

145

16675

13225

21025

350

525

155

220

34100

24025

48400

98500

79200

128650

Total 1560 2440

Check for correlation coefficient R

(
(

)(
)

)
(

R is close to 1 and therefore is a linear relationship between x and y, hence parametric


method can be used.
Finding

)(
(

)
)

If number of parts = 200 units then, time is given by function;

2.3.

Module 7

In this module assessment questions covering the


7-1.

A project is defined by the list of activities in the table (Ans. Duration 19 days).
Table 4: Project Activities for Q7-1
Activity

Immediate predecessors

Durations (days)

---

---

A,C

F,H

a) Draw early and late start Gantt chart

A
B
C
D
E
F
G
H
I

EARLY START
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
AAAAAAA
BBB
C
DD
E E
F F F F F F F
G G
H
I

A
B
C
D
E
F
G
H
I

LATE START
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
A A A A A A A
B B B
C
D D
E E
F F F F F F F
G G
H
I

Figure 3: Early and late starts project Gantt charts for Q7-1

b) Draw the AON network

Figure 4: Project Network model for Q7-1

c) Fill-out the 3x3 table in the node of AON for each activity
Table 5: Legend of 3x3 matrix computation
Early Start (ES)

Node (ID)

Early Finish (EF)

Total Slack (TS)

Free Slack (FS)

Late Start (LS)

Duration (L) Late Finish (LF)

Table 6: Computed 3x3 for Q7-1


0 START
0
0
0

0
0
0

0
0
0

7
0
7

9
0
9

9
0
9

D
2

13 H 14
4
0
17 1 18

7
0
7

0
3
3

11
0
11

11 F 18
0
0
11 7 18

18 I 19
0
0
18 1 19

B
3

3
0
6

3
3
6

C
1

4
3
7

11 G 13
4
0
15 2 17

19 END 19
0
0
19
0
19

d) Critical Path from the 3x3 matrix and the Gantt charts above the critical is determined
to A-D-E-F-I

7-2.

A project is defined by the list of activities in the table (Ans. Duration is 41 days).
Table 7: Project Activities for Q7-2

Activity

Immediate
predecessors

Duration (days)

--

D,E

G,H

14

J,M

a) Draw early and late start Gantt chart


1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
A AAA
B
BBBBBB
C
C C C C C C C C C
D
D D D D D D D
E
E E E
F
F F F F
G
G G G G G
H
H H H
I
I I I I I
J
J J J J J J J J J J J J J J
K
K K
L
L L
M
M M M
N
N
O
O O O

Figure 5: Early Start Gantt chart for Q7-2

10

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
A AAA
B
B B B B B B
C
C C C C C C C C C
D
D D D D D D D
E
E E E
F
F F F F
G
G G G G G
H
H H H
I
I I I I I
J
J J J J J J J J J J J J J J
K
K K
L
L L
M
M M M
N
N
O
O O O

Figure 6: Late Start Gantt chart for Q7-2

Slacks
A(0), B(7), C(0), D(0), E(7), F(7), G(0), H(7), I(2), J(0), K(2), L(2), M(2), N(9), O(0)
b) Draw the AON network

Figure 7: Project Network model for Q7-2

c) Fill-out the 3 x 3 table in the node of AON for each activity


Table 8: Computed 3x3 Matrix for Q7-2

11

0 Start 0
0
0
0 0 0

0 A 3
0
0
0 3 3

3 B 9
7
0
10 6 16

3 C 12
0
0
3 9 12

12
0
12

D 19
0
7 19

9 E 12
7
7
16 3 19

12
7
19

16
0
23

19 G 24
0
0
19 5 24

16 H 19
7
5
23 3 26

24 I 29
2
0
26 5 31

24 J 38
0
0
24 14 38

29 K 31
2
0
31 2 33

31
2
33

33
0
35

33 M 36
2
2
35 3 38

31 N 32
9
9
40 1 41

38 O 41
0
0
38 3 41

41 END 41
0
0
41 0 41

d) Find the critical path

Critical Path
To find the critical path we find the longest path by adding the duration of
each activity on that path

A-C-F-H-I-K-L-M-O=34 days

A-C-D-G-J-O=41 days

A-C-F-H-I-K-N=27 days
A-C-D-G-I-K-N=32 days

A-B-E-G-I-K-L-M-O=29 days
A-B-E-G-J-O=34 days

A-C-D-G-I-K-L-M-O=39 days

A-B-E-G-I-K-N=25 days

The critical path is 41 days which is consistent with the two Gantt chart
7-3.

A project is defined by the list of activities in the table (Ans. Duration is 57 days)

Table 9: Project Activities for Q7-3


A

---

10

12

F,G,H,I,L

N,O

R,S

T,U

a) Draw early and late Gantt chart


1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57
A AAAA
B
BBBBB
C
CCC
D
DDDDDD D D D D
E
E E E E E E E
F
FFF F F F
G
GGG G G G G
H
HHH
I
I I I I I I I I I
J
J J J
K
K K K K
L
L L L L
M
M M M M M M M M M
N
N N N N
O
O O O O O O O O
P
P P P
Q
Q Q Q Q
R
R R R
S
S S S S S S S
T
T T T
U
U U U U
V
V V
W
WWWW

Figure 8: Early Start for Q7-3

13

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57
A AAAA
B
BBB B B
C
C C C
D
DDDDDD D D D D
E
E E E E E E E
F
F F F F F F
G
G G G G G G G
H
H H H
I
I I I I I I I I I
J
J J J
K
K K K K
L
L L L L
M
M M M M M M M M M
N
N N N N
O
O O O O O O O O
P
P P P
Q
Q Q Q Q
R
R R R
S
S S S S S S S
T
T T T
U
U U U U
V
V V
W
WWWW

Figure 9: Late Start Gantt chart for Q7-3

b) Draw the AON network

Figure 10: Project Network for Q7-3.

c) Fill out the table in the node of AON for each activity.
Table 10: 3x 3 Matrixes for Q7-3

14

0 Start 0
0
0
0 0 0

0 A 4
0
0
0 4 4

4 B 9
3
0
7 5 12

4 C 7
9
0
13 3 16

4 D 14
0
0
4 10 14

9 E 16
3
0
12 7 19

7
10
17

13
10
23

7 G 14
9
9
16 7 23

7 H 10
13
13
20 3 23

14 I 23
0
0
14 9 23

23 J 26
11
0
34 3 37

26 K 30
11
0
37 4 41

16
3
19

20
3
23

23 M 32
0
0
23 9 32

32 N 36
4
4
36 4 40

32 O 40
0
0
32 8 40

40 P 43
0
0
40 3 43

43 Q 47
0
0
43 4 47

46
0
48

30 S 37
11
9
41 7 48

46 T 49
2
2
48 3 51

47 U 51
0
0
47 4 51

51 V 53
0
0
51 2 53

53 W 57
0
0
53 4 57

43
2
45

4
R
3

57 END 57
0
0
57 0 57

d) Find the critical path the critical path is determined from the 3x3 matrix with activities
with zero total slacks (0 TS) and zero free slacks (0 FS) to be A-D-I-M-O-P-Q-U-V-W
as in indicated above.

3. Conclusion
Projects are common in the business world are done within time and budget constraints, as
well as within a level of uncertainties. These problems are minimised using a number of
project management techniques such as those discussed in this report. These techniques
include work breakdown structures & organisational breakdown structures, Gantt chart, cost
and time estimation techniques as discussed in the report.

15

Reference
Dr. Lee, Sang-Heon, UniSA 2013, Project Planning and Control course materials
Shtub, A., Bard, J.B., & Globerson, S., 2005, Project Management Processes, methodologies,
and Economics, Prentice Hall

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