GMS 450 Chapter Notes - Chapter 6: Critical Path Method, Project Manager, Microsoft Project
18 Mar 2017
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Previously, we evaluated project durations solely in terms of time; a project was either on time or not. Time constraint can lead to increased cost, reduced scope, reduced performance, and increase in resources. The pm"s performance is judged by the skill with which the tradeoffs of time, resources, and scope are managed. Therefore, the pm must make constant use of cost/bene t analysis. Each activity of wbs should have an owner who is responsible for doing the work. Each in level 1 can be broken down into smaller units of work in level 2. Project crashing: shortening (or expediting) some activities within a project to reduce overall project completion time. Direct costs: labour, materials, and any other costs directly related to activities. Indirect costs: administration, depreciation, nancial, and other overhead costs that can be avoided by reducing total project time. Penalty costs: if project extends beyond some speci c date.
