Operations Management

Solve Part 24 e & 24 f.

24. Office Automation, Inc., developed a proposal for introducing a new computerized office system that will improve word processing and interoffice communications for a particular company. Contained in the proposal is a list of activities that must be accomplished to 448 Chapter 9 Project Scheduling: PERT/CPM complete the new office system project. Use the following relevant information about the activities: Activity Immediate Predecessor A B Description Plan needs Order equipment Install equipment Set up training lab Conduct training course Test system Time (weeks) Normal Crash 10 8 8 6 10 7 7 6 10 8 3 3 Cost (51000) Normal Crash 30 70 120 150 100 160 40 50 50 75 60 B A D CE a. Develop a project network. b. Develop an activity schedule. c. What are the critical activities, and what is the expected project completion time? d. Assume that the company wants to complete the project in six months or 26 weeks. What crashing decisions do you recommend to meet the desired completion time at the least possible cost? Work through the network and attempt to make the crashing decisions by inspection. e. Develop an activity schedule for the crashed project. f. What added project cost is required to meet the six-month completion time