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Crashing
When we say that an activity will take a certain number of days or weeks, what we really mean is: normally, this activity takes this many days or weeks. We could make it take less time but it would cost more money. To spend more money so as to get something done more quickly is called crashing the activity.
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By the way
the cost to crash per period assumes that the relationship between adding more money to the activity and reducing the time is linear. Spend half of the money, and get half the time reduction, spend _ of the money and get _ time reduction. This is not always true in practice, but works alright for a rough planning technique.
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compute:
maximum time reduction cost to crash per period
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Example
Act. NT A B C D E 7 3 4 8 9 NC 3000 4000 15000 10000 7000 CT 4 2 2 5 6 CC 6000 5500 20000 19000 9100
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Example
Act. NT A B C D E 7 3 4 8 9 NC 3000 4000 15000 10000 7000 CT 4 2 2 5 6 CC 6000 5500 20000 19000 9100
Max Red
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Example
Act. NT A B C D E 7 3 4 8 9 NC 3000 4000 15000 10000 7000 CT 4 2 2 5 6 CC 6000 5500 20000 19000 9100
Max Red Cost to crash per period
3 1 2 3 3
1000
Example
Act. NT A B C D E 7 3 4 8 9 NC 3000 4000 15000 10000 7000 CT 4 2 2 5 6 CC 6000 5500 20000 19000 9100
Max Red Cost to crash per period
3 1 2 3 3
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Example continued
A 7 B 3 C 4 D 8 E 9
Same problem as earlier. Times shown are normal times. There are three paths in this network:
This project, under normal conditions takes 20 days. Suppose each day the project runs incurs an indirect project cost of $1400 (overhead). What activities should be crashed if any?
ABD 18 ACD 19 ACE 20 * Start by looking at activities on the critical path: A, C, and E. E is least expensive to crash.
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E has maximum time reduction of 3, but if it is crashed by 1, then ACD also becomes a critical path. Also, we save $1400 per day the project is shortened and would spend $700 per day to crash E, so it is profitable to crash E. crash E by 1
Now there are two critical paths. To finish the project earlier, we would need to shorten both paths. Crashing A or C does this, since those two activities are on both paths. Alternately, we could crash both D and E together. crash E by 1
Cost to crash A = 1000 Cost to crash C = 2500 Cost to crash both D and E = 3700 Best is to crash A. How much should it be crashed? crash E crash A by 1 by ?
Maximum reduction for A is 3 When A is crashed, all paths are affected, so no new paths will become critical. Cost savings remain at $1400 vs $1000 cost to crash. crash E crash A by 1 by 3
15 16 * 16 *
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Stopping condition
To continue, we could crash C or both D and E. But in each case, the cost would be greater than the $1400 savings per day. So, we stop at this point. We can compute the cost to perform the project in 16 days.
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Sometimes it is necessary to complete a project in as short a time as possible. To find the shortest time possible, crash all activities completely and then find the times for all paths. The longest path is, of course, critical and tells us how long the project must take.
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Example
A 4 B 2 C 2 D 5 E 6
Same problem as earlier. Times shown are crash times. Same three paths, but now with shorter times.
Look over the solved problems and examples in the text for more practice.
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