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University Malaka (UMa), a large college in Ayer Keroh and locate 12 miles southeast of the
Bandar Hilir, enrolls close to 20,000 students. In a typical town-grown relationship, the school is
a dominant force in the medium city with more students during spring than permanent residents.
A long time football powerhouse, UMa is a member of the big eleven conference and is usually
in the top 20 in college football rankings. To bolster its chances of reaching the elusive and long
desired number-one ranking, in 2005, UMa hired the legendary Udin Petot from
FC.Bojongkenyot as its head coach.
One of the Petots demands on joining UMa had been a new stadium. With attendance
increasing, UMa administrators began to face the issue had-on. After 6 month of study, much
political arm wrestling, and some serious financial analysis. Dr.Lieur, president of University
Malaka had reached a decision to expand the capacity at its on-campus stadium.
Adding thousands of seats, including dozens of luxury skyboxes, would not please everyone.
The influential Udin Petot had argued the need for a first-class stadium, one with built-in
dormitory rooms for his players and a palatial office appropriate for the coach of a future NCAA
champion team. But the decision was made, and everyone including the coach would learn to
live with it.
The job now was to get construction going immediately after 2009 season ended. This would
allow exactly 270 days until 2010 seasoning opening game. The contractor, ACAKADUT
Construction (Songsang being an alumnus of course), signed his contract. ACAKADUT looked
at the tasks his engineers has outlined and looked President Dr. Lieur in the eye. I guarantee
the team will be able to take the field on schedule next year, he said with a sense of
confidence. I sure hope so, replied Dr. Lieur. The contract penalty of RM 10,000 per day for
running late is nothing compared to what coach Udin Petot will do to you if our opening game
with Penn State Ceunah is delayed or cancelled. Songsang sweating slightly, did not need to
respond. In football-crazy Melaka, ACAKADUT construction would be mud if the 270 day target
was missed.
Back in his office, Songsang again reviewed the data (see Table) and noted that optimistic time
estimates can be used as crash times. He then gathered his foremen. Folks, if were not 75%
sure well finish this stadium is less than 270 days, I want this project crashed! Give me the cost
figure for a target date for 250 days also for 240 days. I want to be early, not just on time!
Discussion Questions:
1. Develop a network drawing for Songsang Construction and determine the critical path.
How long is the project expected to take?
2. What is the probability of finishing in 270 days?
3. If it is necessary to crash to 250 or 240 days, how would Songsang do so, and at what
costs? As noted in the sense, assume that optimistic time estimated can be used as
crash time?
Haeryip Sihombing
Activity Description Predecessor Optimistic Most Pessimistic Crash
Likely (Cost/Day)
A Bonding, insurance tax - 20 30 40 1,500
structuring
B Foundation, concrete A 20 65 80 3,500
footings for boxes
C Upgrading skybox A 50 60 100 4,000
stadium seating
D Upgrading walkways, C 30 50 100 1,900
stairwell, elevators
E Interior wiring, lathes B 25 30 35 9,500
F Inspection approvals E 0.1 0.1 0.1 0
G Plumbing D,E 25 30 35 2,500
H Painting G 10 20 30 2,000
I Hardware/Ac/metal H 20 25 60 2,000
workings
J Tile/carpeting/windows H 8 10 12 6,000
K Inspection J 0.1 0.1 0.1 0
L Final detail/cleanup I,K 20 25 60 4,500
Haeryip Sihombing
A - 20 30 40 1,500 30 11.11
B A 20 65 80 3,500 60 100
C A 50 60 100 4,000 65 69.44
D C 30 50 100 1,900 55 136.11
E B 25 30 35 9,500 30 2.78
F E 0.1 0.1 0.1 0 0.1 0
G D,E 25 30 35 2,500 30 2.78
H G 10 20 30 2,000 20 11.11
I H 20 25 60 2,000 30 44.44
J H 8 10 12 6,000 10 0.44
K J 0.1 0.1 0.1 0 0.1 0
L I,K 20 25 60 4,500 30 44.44
30 B 90 90 E 120 120 E 120.1
30 30 139.9 FINISH
60 60 120 120 30 150 259.9 0.1 260
0 A 30
START
0
Haeryip Sihombing
0 30 30
30 C 95
200 I 230 230 L 260
0
0 0
30 65 95
200 30 230 230 30 260
95 D 150 150 G 180 180 H 200
0 0 0
95 55 150 150 30 180 180 20 200
200 J 210 200 K 210.1
CRITICAL PATH is = ACDGHIL 29 29.9
DURATION is = 260 days
219.9 10 229.9 229.9 0.1 230
Haeryip Sihombing
A - 20 30 40 1,500 30 11.11
B A 20 65 80 3,500 60 100
C A 50 60 100 4,000 65 69.44
D C 30 50 100 1,900 55 136.11
E B 25 30 35 9,500 30 2.78
F E 0.1 0.1 0.1 0 0.1 0
G D,E 25 30 35 2,500 30 2.78
H G 10 20 30 2,000 20 11.11
I H 20 25 60 2,000 30 44.44
J H 8 10 12 6,000 10 0.44
K J 0.1 0.1 0.1 0 0.1 0
L I,K 20 25 60 4,500 30 44.44
260 319.44
The probability of critical path that no more than 270 days is 71.226%
To reduce the time which relate to the crash cost, we have to consider the expected time to the
optimistic time, which the reduce time for crash can not be less than the optimistic time. Also,
we have to consider the less of crash cost/day because we want optimize the expenditure/ the
spending of the crash cost.
At the BhoRock Caf, like many organizations, project management is a key planning tool. With
BhoRocks constant growth in hotels and cafes, remodeling of existing cafes, and planning the
annual Rockefest, managers rely on project management techniques and software to maintain
schedule and budget performance.
Without Microsoft Project, says BhoRock Vice-President Chie Leu Peng, There is no way to
keep so many people on the same page. Leu Peng is in charge of Rockfest event, which is
attended by well over 100,000 enthusiastic fans. The challenge is pulling it off within a tight 9-
month planning horizon. As the event approaches, Leu Peng devotes greater energy to its
activities. For the first 3 months, Leu Peng updates his Microsoft Project charts monthly. Then at
the 6-month mark, he updates his progress weekly. At the 9-month mark, he checks and
corrects his schedule twice a week.
Early in the project management process, Leu Peng identifies 10 major tasks (called level-2
activities in a work breakdown structure, or WBS): talent booking, ticketing, marketing/PR,
online promotion, television, show production, travel, sponsorship, operations, and
merchandising. Using a WBS, each of these is further divided into a series of subtasks. Table
below, identifies 26 of the major activities and subactivities, their immediate predecessors, and
time estimates. Leu Peng enters all these into the Microsoft Project document and the time line
as the project progresses. Its okay to change it as long as you keep on track, he states.
The day of the rock concert itself is not the end of the project planning. its nothing but
surprises. A band not being able to get to the venue because of traffic jams is a surprise, but an
anticipated surprise. We had a helicopter on stand-by ready to fly the band in, says Leu Peng.
On completion of Rockfest in July, Leu Peng and his team have a 3-month reprieve before
starting the project planning process again.
Discussion Questions:
1. Identify the critical path and its activities for Rockfest. How long does the project take?
2. Which activities have a slack time of 8 weeks or more?
3. Identify five major challenges a project manager faces in events such as this one.
4. Why is a work breakdown structure useful in a project such as this/ take the 26 activities
and break them into what you think should be level-2, level-3, and level-4 tasks
Haeryip Sihombing
10 P 30
4
14 20 34
10 Y 16 16 Z 22
12 12
7
22 6 28 28 6 34
B 10
0
10 H 14 14 I 18 18 J 28
7 3 110
6 6 6
16 4 20 20 4 24 24 10 34
10 Q 14 14 R 18 25 S 28
9 9 6
FINISH
19 4 23 23 4 27 31 3 34
0 7
A
START
0
0
7 7
10 D 15 15 E 21 21 F 25 25 G 27 27 O 34
0 0 0 0 0
10 5 15 15 6 21 21 4 25 25 2 27 27 7 34
7 C 10 10 K 12 15 L 18 18 M 26
11 11 8 8 Haeryip Sihombing
18 3 21 21 2 23 23 3 26 26 8 34
10 N 16
18
28 6 34
11 V 18 18 W 22
7 T 11
12 12
6 23 7 30 30 4 34
13 4 17
11 U 17 17 X 25
6 6
17 6 23 23 8 31
10 P 30
4
14 20 34
10 Y 16 16 Z 22
12 12
22 6 28 28 6 34
7 B 10
0
10 H 14 14 I 18 18 J 28
7 3 110
6 6 6
16 4 20 20 4 24 24 10 34
10 Q 14 14 R 18 25 S 28
9 9 6
FINISH
19 4 23 23 4 27 31 3 34
0 A 7
START
0
10 D 15 15 E 21 21 F 25 25 G 27 27 O 34
0 7 7
0 0 0 0 0
10 5 15 15 6 21 21 4 25 25 2 27 27 7 34
7 C 10 10 K 12 15 L 18 18 M 26
11 11 8 8
18 3 21 21 2 23 23 3 26 26 8 34 Haeryip Sihombing
10 N 16
18
28 6 34
11 V 18 18 W 22
7 T 11
12 12
6 23 7 30 30 4 34
13 4 17
11 U 17 17 X 25
6 6
17 6 23 23 8 31