CASE 9 System Design: Project Management t System Design (SD) is a small corporation that con- How much money do you make on the project? tracts to manage systems and industrial engineering What will you give the decision maker to help with projects. In this case it must manage the design and decision? construction of a power plant's data-processing and = If we can move minimum duration days to lower data-collection system. SD's role in the project is to values, then which values would you like to reduce? hire subcontractors, ensure each task is completed _ If you could control additional tasks by paying within specification, determine how much labor to aswithin specification, determine how much labor to as- sign to each task, and generally ensure the project's more money, which ones would you like to take, success. and how much would you be willing to pay for SD is really a subcontractor within the larger proj- control? ect of building the power plant. Table 24 details SD's TABLE 24 plant-construction and data-system-design tasks. SD Jsk Intrrnation is directly in charge of tasks 2,6,7,10,14,15, and 19. The remaining tasks in Table 24 interact with those in SD's charge. Assume that the remaining tasks (1) will start whenever their predecessor tasks are complete and (2) will finish exactly after their duration. To shorten the seven SD tasks, you must pay additional labor and overhead costs. Table 25 lists the functions you can use to compute the cost of changing each task duration to a new value. (Note: tj is the original duration of task f;dj is the minimum duration duration value. You may not increase the duration of any task. The revenue that SD obtains from the project depends not only on its tasks but also on when the total project is completed. The project is due at day 900 , and SD receives the contract price of $600,000 if the project is done then. If the project is finished x days early, then SD receives a total of $600,000+ $15,000x0.7 in revenue. If SD finishes x days late, then it receives $600,000$20,000x1.4 in revenue. Expediting tasks can be profitable and necessary to meet deadlines, although employees do not really like it. Task completion quality is a function of the task completion time, and we would like to have a high quality. This may conflict with our objective of maximizing profit. Because quality affects future revenues, it is difficult to estimate the dollar impact of poor quality. If tj is the original duration of task J and xj is the expedited duration time for task f, then quality, measured on a scale of 0100 (with 100 being the best), can be represented by the function 100min[100,(tjxj)2.2] This is only the quality for a task. It is unclear how one might quantify the quality of the project. Your job is to determine how we should proceed with our tasks. Your analysis should answer some of the following questions: - What tasks are critical to project completion? What tasks will you expedite? - How are you measuring system quality, and how does your recommendation measure up relative to that objective