Managing Operations Across the Supply

¶ … Managing Operations Across the Supply Chain The first section of the paper represents the solving of Problem # 4. It includes the diagram of the project network and answers to each question. The paper continues with the section regarding Problem # 2 with answers and explanations on each question of the case study. a) the project has the following network diagram: The critical path of the project is: prepare site, install rough plumbing, pour concrete foundation, concrete curing time, erect wall frames, install roof, install exterior siding, install insulation, hang drywall, windows, paint interior.

b) the project manager made certain assumptions when developing the time estimates. By analyzing the duration determined for each activity, it can be observed that the manager preferred to focus on presenting the optimistic variant of the duration of the project. The project manager probably assumed that the materials required for the construction were properly determined. However, there are frequent situations where the materials necessary is underestimated. During the development of the project, the manager and the project team find out that they actually need more materials.

This requires additional financial resources. In certain cases, it could take longer periods of time to come up with these resources. Such situations lead to modifications of the project's budget and timing. In addition to this, it seems that the project manager made the assumption that the materials required for the project would be received on time. However, this is not always the case and the deliveries can be affected by delays which also affect the schedule of the project.

c) if the materials needed for the frames preassembly are not available until the second day of the project it is expected that this is not likely to affect the duration and the schedule of the project. This is because the activities that must be performed before the preassembly of the frames require 10 days, while the duration of the preassembly of the frames activity and the delays caused by the materials delivery is 8 days.

But if the materials are delayed until the tenth day, this could determine further delays in the project scheduling. However, these delays can be reduced by developing efficient time management strategies. d) There can be potential resource conflicts in this construction project. Such situations take place regarding activities that require similar resources. These activities are represented by the preassembly and erect of wall frames, painting the interior and the exterior, and level and landscape yard. The conflicts in these cases are determined by the available resources.

If the necessary materials have not been properly determined for these activities, it is likely that they will not be sufficient for developing these activities simultaneously. Problem # 2 a) the cost per hour if crashing the creating the guest list activity is $27.5.

The calculation formula is: CC -- NC/NT -- CT Where NT -- normal time to complete the activity NC -- normal cost to complete the activity CT -- crash time to complete the activity CC -- crash cost to complete the activity Therefore, 310 -- 200/8 -- 4= 27.5 b) it is recommended that Annie first crashes the creation of the guest list. This is because this activity influences the other activities.

The number of the guests on the list determines the number of invitations that must be sent, but also the food that must be prepared. Therefore, until the creation of the guest list is performed, Annie cannot perform the sending of invitations, purchasing and preparing of the food. However, crashing of the creation of the guest list does not influence activities like buying decorations and purchasing the menu. c) There are also other activities that can be crashed in order to reduce the cost and scheduling of the project.

It is recommended to crash the purchasing of food. This would help Annie reduce the costs of the project by $75. This means that Annie must purchase the food in 2 hours. The success of this activity depends on the efficiency of developing the other actions that have an impact on food purchasing. For example, the number of guests must be properly established in order to determine the food necessary.

In addition to this, planning the menu is important in order to determine the types of foods that are necessary in this case. d) the efficiency of the project can be increased by crashing other activities in addition to creating the guest list and purchasing the food. Annie can crash activities like buying decorations and planning the menu. By crashing the buying of decoration Annie reduces the costs of the project by $70 and its duration by 2 hours.

It is also recommended to crash this activity because it does not depend on the number of guests and it does not influence other activities. By crashing of the planning of the menu activity, Annie reduces the cost of the project by $60 and its duration by one hour. This activity influences activities like purchasing of food, and preparing it. Therefore, the reduction of planning the menu can help increase the efficiency of purchasing and preparing the food. In addition to this, Annie can also crash the sending of invitations activity.

This can reduce the costs of the project by $25 and its duration by one hour. The activity regarding sending the invitations does not influence the following activities of the project. Therefore, it is recommended to crash this activity in order to reduce the financial resources that this project requires. The money saved using this strategy can be spent on improving other issues. This strategy can be applied to most projects, regardless of their objectives or size.

It is important that project managers try to reduce the costs associated to projects' activities, but also their duration. By crashing certain activities, project managers can save important resources (Meyer, 2002). However, it is recommended to thoroughly analyze the effects of this strategy. This is because some of projects' activities cannot be crashed because they have significant effects on the quality of the project. Therefore, it is important that managers have the ability of determining which activities can be crashed. e) by crashing the activities of the project Annie can save $480.

Annie saves 12 hours by crashing the project. If she saves $40 for every hour reduced from the project, than this leads to $480. Annie wants to use this money she saved by crashing the activities of the project for buying a better present for her sister Gwendolyn. This is a good example of the importance of proper crashing of projects' activities. The example reveals how important amounts of money.