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# MIET2138 Engineering Management

MIET2138 Engineering Management

1. THE PROJECT SCENARIO: Suppose you have been assigned as the project manager for a project which your company has recently own through a competitive bidding. The winning bid amount was AUD 5.4 million. The client wants to build a manufacturing plant.

The contract includes the following provisions: MIET2138 Engineering Management

• The construction of the manufacturing plant needs to be completed within 47 + X*Y weeks, where  X = 0.5*(first digit of your group number + second digit of your group number + 4), rounded down to the nearest integer  Y = 0.5 *(first digit of your group number + second digit of your group number + 2) rounded up to the nearest integer.
• A penalty of AUD 300,000 is applicable if your company fails to meet the deadline.
• To provide additional incentive for speedy construction, a bonus of \$150,000 will be paid to your company if the project is completed within 40 +X*Y weeks.

TASK 2 – ANALYSIS OF NETWORK BY CRITICAL PATH METHOD (CPM) AT NORMAL DURATION OF THE ACTIVITES (8 MARKS)

• Identify the various paths through the project network and determine the duration of each of the paths through the network
• Determine the Earliest Start (ES) and Earliest Finish (EF) for each of the activities
• Determine the Latest Start (LS) and Latest Finish (LF) for each of the activities
• Determine the slack for each of the activities
• Identify the critical path

TASK 3 – ANALYSIS OF NETWORK BY CRITICAL PATH METHOD (CPM) AT FULLY CRASHED DURATION OF THE ACTIVITES (8 MARKS) MIET2138 Engineering Management

• Identify the various paths through the project network and determine the duration of each of the paths through the network
• Determine the Earliest Start (ES) and Earliest Finish (EF) for each of the activities
• Determine the Latest Start (LS) and Latest Finish (LF) for each of the activities
• Determine the slack for each of the activities
• Identify the critical path

TASK 4 - CRASHING OF THE PROJECT (10 MARKS)

• Determine the cost associated with various durations of the project.

You need to calculate the project cost associated with every week of reduction from normal condition up to the fully crashed condition.

• Summarize the information in tabular format.
• Present the analysis output in a cost vs. duration graph.

TASK 4 -DECISION ON PROJECT DURATION (3 MARKS)

• Analyze and explain whether it would be a sound business decision to try to avail the bonus by completing the project within 40 + X*Y weeks.

TASK 6 - RESOURCE ANALYSIS (16 MARKS)

• Prepare resource histogram for the earliest start of all the activities under normal condition
• Prepare resource histogram for the latest start of all the activities under normal condition
• Level the resources to improve resource utilization and demonstrate the improvement by comparing Resource Utilization Factor (RUF) values
MIET2138 Engineering Management

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