critical path analysis
DESCRIPTION
Critical Path Analysis. Critical Path Analysis. Planning and Monitoring Tool. Critical Path Analysis. May be used as part of the decision making process Enables a firm to plan and monitor operations Time related – identifies the maximum time for an operation to be completed - PowerPoint PPT PresentationTRANSCRIPT
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Critical Path Analysis
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Critical Path Analysis
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Planning and Monitoring Tool
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Critical Path Analysis
• May be used as part of the decision making process
• Enables a firm to plan and monitor operations
• Time related – identifies the maximum time for an operation to be completed
• Identify potential problems in implementing operation
• Identifies where and when resources (including human ones) are needed
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Critical Path Analysis
• Advantages– Maximise efficiency in
the use of time– Improve efficiency
and generate cost saving in the use of resources
– Beneficial to monitoring cash flow
• Disadvantages– Usefulness may be
limited in complex and large scale operations
– Necessity of having clear and reliable information
– Skilled management and team philosophy is essential
http://www.bized.co.uk
Copyright 2006 – Biz/ed
The Process
http://www.bized.co.uk
Copyright 2006 – Biz/ed
CPA – the Process• Identify and prioritise the activities• Identify which activities MUST be done
before others• EST – identify earliest start time• LFT – identify latest finish time• Identify the FLOAT – tasks which can be
completed outside the critical path• Identify the critical path – points
connecting ESTs and LFTs (where these are the same)
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Critical Path Analysis
Nodes: Show the start and finish of a task
1 2
Node numbers showing order of activities in the left hand semi-circle
of each node.
3
Earliest Start Time (EST)
5
Latest Finish Time (LFT)
A
3
B
5
Arrows indicate the order of the tasks, the
letter above shows the order, the
time period below the
arrow
The Critical Path
http://www.bized.co.uk
Copyright 2006 – Biz/ed
Examples
• Video – Around the world in 80 Days• Over to you – Activity
Bizhelp
• Morning routine…• CPA Computer Project• Specialist software
http://www.bized.co.uk
Copyright 2006 – Biz/ed
In Conclusion
• What is CPA• Advantages & Disadvantages• The Process• Diagram Syntax• Examples• Questions?