MS Project Management|Business Finance – Management
Project Description
The new computer-controlled conveyor belt is an exciting project that moves and positions items on the conveyor belt within 1 millimeter. The project will produce a new system for future installations, and for replacement of those in the field, at a low cost. The computer-controlled conveyor belt has the potential to be a critical unit in 30 percent of the systems installed in factories. The new system is also easier to update with future technologies. Table 1 has been developed for you to use in completing the project exercises.
Table 1 Conveyor Belt Project; WBS
Hardware
Hardware specifications
Hardware design
Hardware documentation
Prototypes
Order circuit boards
Assemble preproduction models
Operating system
Kernel specifications
Drivers
Disk drivers
Serial I/O drivers
Memory management
Operating system documentation
Network interface
Utilities
Utilities specifications
Routine utilities
Complex utilities
Utilities documentation
Shell
System integration
Architectural decisions
Integration first phase
System hard/software test
Project documentation
Integration acceptance testing
· The project begins January 4, 2010.
· The following holidays are observed: January 1, Memorial Day (last Monday in May), July 4th, Labor Day (first Monday in September), Thanksgiving Day (4th Thursday in November), December 25 and 26.
· If a holiday falls on a Saturday then Friday will be given as an extra day off, and if it falls on a Sunday, then Monday will be given as a day off.
· The project teams work eight-hour days, Monday through Friday.
Part 1
1. Develop the WBS outline using the software available to you.
2. When is the project estimated to be completed?
3. How long will the project take?
4. What is the critical path(s) for the project?
5. Which activity has the greatest amount of slack?
Include the following printouts:
· A Gantt chart.
· A network diagram highlighting the critical path.
· A schedule table reporting. ES, LS, EF, LF, and slack for each activity.
Table 2 Conveyor Belt Project; Schedule
Activity
Description
Resource (one team each)
Duration (days)
Preceding Activity
1
Architectural decisions
Design
25
—
2
Hardware specifications
Development, design
50
1
3
Kernel specifications
Design
20
1
4
Utilities specifications
Development, design
15
1
5
Hardware design
Design, development
70
2
6
Disk drivers
Assembly, development
100
3
7
Memory management
Development
90
3
8
Operating system documentation
Design, documentation
25
3
9
Routine utilities
Development
60
4
10
Complex utilities
Development
80
4
11
Utilities documentation
Documentation, design
20
4
12
Hardware documentation
Documentation, design
30
5
13
Integration first phase
Assembly, development
50
6,7,8,9,10,11,12
14
Prototypes
Assembly, development
80
13
15
Serial I/O drivers
Development
130
13
16
System hard/software test
Assembly
25
14,15
17
Order circuit boards
Purchasing
5
16
18
Network interface
Development
90
16
19
Shell
Development
60
16
20
Project documentation
Documentation, development
50
16
21
Assemble preproduction models
Assembly, development
30
17F-S, lag 50 days
22
Integrated acceptance testing
Assembly, development
60
18,19,20,21
Part 2
Remember the old saying, “A project plan is not a schedule until resources are committed.” All information is found in Tables 2 and 3.
Table 3 Organization Resources
Name
Group
Cost ($/hr)
Design
R&D (2 teams)
$100
Development
R&D (2 teams)
70
Documentation
R&D (1 team)
60
Assembly/test
R&D (1 team)
70
Purchasing
Procurement (1 team)
40
Part 2-A
Prepare a memo that addresses the following questions:
1. Which if any of the resources are overallocated?
2. Assume that the project is time constrained and try to resolve any overallocation problems by leveling within slack. What happens?
3. Assume the project is resource constrained and resolve any overallocation problems by leveling outside of slack. What happens? What are the managerial implications?
Include a Gantt chart with the schedule table after leveling outside of slack.
Note: No splitting of activities is allowed.
Part 2-B
When you show the resource-constrained network to top management, they are visibly shaken. After some explanation and negotiation, they make the following compromise with you:
· The project must be completed no later than February 2, 2012
· You may assigned two additional teams of your chose.
· If this does not suffice, you may hire other teams from the outside. The outside team would cost $50 more per hour than your inside teams.
· You have to stay within the 530 days. If you need more than two internal teams units, then hire as few external teams as necessary. Select the cheapest possibility! Change as few activities as possible. It is recommended you keep work packages, which require cooperation of several organizational units inside your company. You decide how best to do this.
Hint: Undo leveling prior to adding new resources.
Once you have obtained a schedule that meets the time constraints, prepare a memo that addresses the following questions:
1. What changes did you make and why?
2. How long will the project take?
3. How much will the project cost?
Include a Gantt chart with a schedule table presenting the new schedule.
Include a monthly cash flow and a cost table for the project.
Part 3 (Bonus)
Prepare status reports for four quarter of the project (Fourth Quarter, January 1, 2011) given the information provided in Table 4. This requires saving your resource schedule as a base- line and inserting the appropriate status report date in the program. Assume that no work has been completed on the day of the status report.
Your status report should include a table containing the PV, EV, AC, BAC, EAC, SV, CV, and CPI for each activity and the whole project. The report should also address the following questions:
1. How is the project progressing in terms of cost and schedule?
2. What activities have gone well? What activities have not gone well?
3. What do the PCIB and PCIC indicate in terms of how much of the project has been accomplished to date?
4. What is the forecasted cost at completion (EACf)? What is the predicted VACf ?
5. Report and interpret the TCPI for the project at this point in time.
6. What is the estimated date of completion?
Table 4 January 1, 2011
Activity
Start Date
Finish Date
Actual Duration
Remaining Duration
Hardware specifications
2/9/10
4/12/10
45
0
Hardware design
4/13/10
7/16/10
67
0
Hardware documentation
7/19/10
8/24/10
27
0
Prototypes
11/11/10
–
34
44
Kernel specifications
2/8/10
3/12/10
25
0
Disk drivers
3/15/10
8/17/10
110
0
Serial I/O drivers
11/11/10
–
34
119
Memory management
3/15/10
7/30/10
98
0
Op. systems documentation
3/15/10
4/16/10
25
0
Utilities specifications
3/8/10
3/29/10
16
0
Routine utilities
4/26/10
7/27/10
65
0
Complex utilities
3/30/10
8/11/10
95
0
Utilities documentation
5/3/10
6/2/10
22
0
Architectural decisions
1/4/10
2/5/10
25
0
Integration 1st phase
8/25/10
11/10/10
55
0
Part 4
You have received revised estimates for the remaining activities at the end of the fourth quarter:
· Prototypes will be completed on 3/8/11.
· Serial I/O drivers will be completed on 6/30/11.
· System hardware/software test will start on 7/1/11 and take 25 days.
· Order circuit boards will start on 8/8/11 and take 5 days.
· Assemble preproduction model will begin on 10/14/11 and take 18 days.
· Project documentation is expected to start on 8/8/11 and will take 55 days.
· Network interface is expected to start on 8/8/11 and will take 99 days.
· Shell is expected to start on 8/8/11 and will take 55 days.
· Integrated acceptance testing is expected to start on 12/29/11 and will take 54 days.
Prepare a memo that addresses the following questions:
1. What is the new EAC for the project? How long should the project take given these revised estimates?
2. What recommendations would you make?
Include a revised schedule, a Tracking Gantt chart, and cost table with your memo.
