Revision as of 15:02, 19 February 2019

Created by Jesper Antonius Wolters

Abstract

Common to all projects is the need to allocate available resources in the best possible manner. Resources are not infinite and in order to obtain the most optimal result, they have to be allocated thoughtfully. If done correctly by the project manager, she can optimize the way the project uses it resources and minimize the negative effect of unforeseen events. However, if done casually, this might result in delays, penalty fees, using unnecessarily many resources on wrong events and not on critical events. From this article, the PM will learn techniques to help allocate resources efficiently in order to avoid the situations described above. In addition, by analyzing the possibility of crashing the project, the project manager might be able to find a more optimal solution than would be possible by the simple PERT/CPM analysis, this analysis thus builds upon a PERT/CPM analysis. This article aims at giving the reader a greater understanding of how to allocate resources to a project as well as presenting an example of how a project could be crashed. Three different techniques to resource allocation will be presented and explained in depth. Furthermore, in order to give the reader a greater understanding of how resource allocation can effect a project, positively as well as negatively, two examples using CPM crash heuristics will be presented.

Resource allocation

In project management, the term resource allocation covers the action of allocating resources to specific activities or people, in order to reach a goal set by the project manager. The project might have a limited amount of resources at any given point in time which challenges the project manager to make sure that resource capacity is neither wasted nor that extra resources need to be bought externally. By smoothing out the resource requirement over the life cycle of the project, it makes it easier to add a buffer, which in turn can help the project manager to avoid delays, expensive penalties for not meeting deadlines, the need for hiring extra personal and avoiding bad work ethic as a result of overtime.

Resource loading

Resource leveling using ALAP heuristics

Resource scheduling

Crashing a project

Cost-time trade off

Advantages and disadvantages

Conclusion

Annotated bibliography

Fast tracked project Calculate

References

^{[1] [2] [3] [4] [5] [6]}

1. ↑ Meredith, Jack and Mantel, Samuel (2009) "Project management a managerial approach 7th Edition
2. ↑ https://link-springer-com.proxy.findit.dtu.dk/content/pdf/10.1007%2F3-540-27852-4.pdf
3. ↑ dr. ir. Broekmeulen. Rob "Slides from course 1CM900 Project Management at Eindhoven University of Technology"
4. ↑ Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th Edition) Chapter 6
5. ↑ https://www.sciencedirect.com/science/article/pii/S0377221799004907
6. ↑ http://www.ijept.org/index.php/ijept/article/viewFile/Resource_Allocation_in_Project_Management/pdf