Question
What project duration (in weeks) should Smitty include in the proposal? decided that in order to compete, the selling price for The Big Chill will have to be lowered to within $10 of the competitor’s price. At this price level, it will still be profitable, although not nearly as profitable as originally anticipated.
Smitty” Smith is a project manager for a large consumer electronics corporation. Although she has been with the company only four years, she has demonstrated an uncanny ability to bring projects in on time, meet technical specifications, and be close to budget.
Her latest assignment is a project that will involve merging two existing technologies. She and her team have almost finished developing the proposal that will be presented to a management committee for approval. All that remains to be done is to determine a duration estimate for the project. Smitty wants an estimated duration that will have a 95 percent probability of being met. The team has constructed a precedence network for tire project. It has three paths. The expected durations and standard deviations for the paths are listed below.