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ECCS5209
Project Planning & Control
Faculty of Applied Engineering and Urban Planning
Civil Engineering Department
Example
2nd Semester 2010/2011
Eng: Ismail Zakaria Al Daoor
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3
Example
The durations and direct costs for each activity in the network of a small
construction contract under both normal and crash conditions are given in
the following table. Establish the least cost for expediting the contract.
Determine the optimum duration of the contract assuming the indirect cost
is LE 125/day.
Time-Cost Trade-Off ( Project Crashing )
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0 12
0 12
A(0)
2@100
12 20
14 22
B(8)
2@150
20 25
22 27
E(5)
1@50
27 47
27 47
G(20)
5@60
47 59
47 59
I(12)
2@75
12 27
12 27
C(15)
3@200
27 32
29 34
F(5)
1@300
32 45
34 47
H(13)
2@40
20 12
24 12
D(23)
Act. N.D C.D ∆.D C.C. N.C ∆.C Slop
A 12 10 2 7200 7000 200 100
B 8 6 2 5300 5000 300 150
C 15 12 3 4600 4000 600 200
D 23 23 0 5000 5000 0 0
E 5 4 1 1050 1000 50 50
F 5 4 1 3300 3000 300 300
G 20 15 5 6300 6000 300 60
H 13 11 2 2850 2500 350 175
I 12 10 2 3150 3000 150 75
CPM = A-C-G-I
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1. The activity on the critical path with the lowest cost slope is G, this
activity can be crashed by 5 days, but if it is crashed by more than 2 days
another critical path will be generated. Therefore, activity G will be
crashed by 2 days only. Then adjust timing of the activities.
A new critical path will be formed, A-C-F-H-I.
New contract duration is 57 days.
The cost increase is 2 x 60 = LE 120.
Time-Cost Trade-Off ( Project Crashing )
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2. At this step the activities that can be crashed are listed below:
Either A at cost LE 100/day
Or C at cost LE 200/day
Or I at cost LE 75/day
Or F & G at cost LE 360/day
Or H & G at cost LE 100/ day
Activity I is chosen because it has the least cost slope, and it can be crashed
by 2 days. Because this is last activity in the network, it has no effect on other
activities.
New contract duration is 55 days.
The cost increase is 2 x 75 = LE 150.
Cumulative cost increase = 120 + 150 = LE 270
Time-Cost Trade-Off ( Project Crashing )
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3. Now, we could select A or both H & G, because they have the same cost
slope. Activity A is chosen to be crashed. This will change the timings for
all activities, but no new critical path will be formed.
New contract duration is 53 days.
The cost increase is 2 x 100 = LE 200.
Cumulative cost increase = 270 + 200 = LE 470
Time-Cost Trade-Off ( Project Crashing )
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4. Now, activities H & G can be crashed by 2 days each. A new critical path
A-B-D-I will be formed.
New contract duration is 51 days.
The cost increase is 2 x 100 = LE 200.
Cumulative cost increase = 470 + 200 = LE 670
Time-Cost Trade-Off ( Project Crashing )
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5. At this stage, the network have three critical paths. The activities that
can be crashed are listed below:
Either C & B at cost LE 350/day
Or F, G & B at cost LE 510/day
Activities C & B are chosen because they have the least cost slope.
New contract duration is 49 days.
The cost increase is 2 x 350 = LE 700.
Cumulative cost increase = 670 + 700 = LE 1370
Now, there is no further shortening is possible.
Time-Cost Trade-Off ( Project Crashing )
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The contract duration and the corresponding cost are given in the table below.
Time-Cost Trade-Off ( Project Crashing )