Networking Techniques : PERT vs. CPM

Today many resources are available in industries like manpower, timely input of raw material etc. that creates a complexity of problems of management in the industries so the management group of the industry always looks for some techniques and methods that may help in planning and scheduling in controlling the project. The main aim of planning is to develop sequence of activities for the project so that the project completion time and cost are properly balanced and wastages can be minimized. For the successful execution of systematic planning, a number of techniques have been developed to apply on network strategy.

Why Networking Techniques Are Used In Industries?

The techniques that got recognition in year 1955-56 when dramatic reduction in time (about 70%) were experienced with overhaul of generating plant by Central Electricity Generating Board in Great Britain. These two techniques are PERT (Program Evaluation & Review Technique) and CPM (Critical Path Method). The techniques of PERT and CPM are essentially network scheduling techniques for planning and controlling projects in the field of construction, maintenance, fabrication purchasing and quality control etc. The techniques are employed to minimize troubles, delays and interruptions by determining the critical factors and coordinating various parts of the overall jobs.

Strategy to minimize delays

How Effective Is To Use Networking Techniques?

In an industry many events and activities are carried out and these activities belongs to various division of the company like HR division, maintenance division, production, management, transportation, supply chain etc. and handling such a big network it is possible that errors may occur even after following a strict rule, these errors can result in delay in productions and services that ultimately leads to customer dissatisfaction. To eliminate and minimize these undesired delays and improve the efficiency of the system networking techniques are used.

There are certain errors that may occur in network and these are loop formation, dangling and redundancy. Loop formation error occurs when there is a certain activity that goes back in time. This is also called cycling. The next error is dangling. This error occurs when a particular activity does not join the last activity i.e. a particular activity is not connected with end results. This is necessary to eliminate this error in order to maintain continuity in the system. Last error is redundancy. This error occurs when there are certain unnecessary activities in network. These activities can be eliminated without affecting the other activities. There are some rules are made to reduce these errors, actually these are network diagram. The famous rules are Fulkerson’s rule numbering events and AON (Activity on Node) diagram also called a precedence diagram.

Let see what are PERT and CPM.

PERT (Program Evaluation and Review Technique)

PERT was developed in late 1950’s to plan and schedule the US Navy’s Palaris Missile Program. It was observed that this technique is useful to manage all projects which can be split activities and having uncertainty with estimation of time of their completion.

People, Business, Meeting, Business Meeting, Coworkers

Illustration : Management Team

Since such projects were never undertaken in the past so the cost for time could not be accurately estimated, therefore the completion time of the project had be base upon probability. Contractors were required to provide their operation time requirements on three times i.e. optimistic time pessimistic time and the most likely times. These estimates were then mathematically analyzed to determine the probable time for completion and the procedure was termed as PERT which mean Program Evaluation and Review Technique. Therefore it must be noted that PERT system involves probabilistic approach and is best suited for research and development. Thus PERT system is preferred for those operations which are of non-repetitive nature or in which precise time determination for various activities cannot be done. These are referred to as once through projects.

CPM (Critical Path Method)

It was developed by EI Dupont Company and Remington Rand University Division to assist in building and maintenance of chemical plant. CPM is used for cost and resources allocations to project having certainties for completion of time.

In CPM networks the whole project consists of a number of clearly recognizable operations called activities. Activities are usually operations which require time as well as resources. Junctions’ betweens activities are called events. The CPM networks are normally termed as activity oriented diagrams in which activities are represented by arrows and the sequence in which the activities occur performed are indicated by the sequence of the arrows.

CPM refers to a quantitative technique which when applied to network planning is helpful in determining the minimum time and the sequence of tasks needed to complete a project. In this technique the precedence the relationship between activities and their mutual dependence are indicated leading to the final objective of reducing the project cost and completion time needed for the projects.

Planning

See it was overview of networking techniques. The concept of networking techniques is very and cannot be covered in few words. It includes various diagrams, values, event etc.

Read Also: