Deck 7: Project Management

Question 1

A pure project organizational structure houses the project in a specific functional area.

Answer 1

False

Question 2

A relationship that determines the sequence for undertaking activities is a precedence relationship.

Answer 2

True

Question 3

Following the project defining and organizing phase, project planning involves five steps. List and briefly describe these five planning steps as applied to writing a term paper for an Operations Management class.

Answer 3

The following points should be included in the best answers: 1. Define the work breakdown structure: develop a list of all work to be completed on the project; 2. Diagram the network: develop a PERT/CPM diagram showing all activities and precedence requirements for the project; 3. Develop the schedule: define the project's critical path, duration, and earliest and latest start and finish times for each activity; 4. Analyze cost-time trade-offs: determine normal time and costs for the project, as well as crash time and costs; using project crashing techniques, find a minimum cost schedule for completing the project; 5. Assess project risks: develop a risk management plan, including such areas as strategic fit, service/product attributes, team capabilities and operations risks.

Question 4

In a network diagram, an activity:

A) is the largest unit of work effort consuming both time and resources that a project manager can schedule and control.
B) is the smallest unit of work effort consuming both time and resources that a project manager can schedule and control.
C) should always be something the company has had experience with.
D) must always have a single, precise estimate for the time duration.

Question 5

The work breakdown structure is a statement of all work that has to be completed.

Question 6

Project managers should be able to organize a set of disparate activities.

Question 7

Projects, and the application of project management, facilitate the implementation of operations strategy.

Question 8

A project organization structure where team members are assigned to the project and work exclusively for the project manager is called:

A) a matrix structure.
B) a fixed structure.
C) a pure project structure.
D) a functional structure.

Question 9

Scope creep is one of the primary causes of project failure.

Question 10

A project is an interrelated set of activities that has a definite starting and ending point.

Question 11

________ determines the sequence for undertaking activities.

Question 12

The network diagram is a planning method that is designed to depict the relationships between activities.

Question 13

What are the primary responsibilities of a Project Manager? Briefly describe these responsibilities for a project manager whose team is purchasing a new machine and installing it in a manufacturing process.

Question 14

Projects often cut across organizational lines.

Question 15

Heidi was part of a project team that retained their roles within the organization and was on loan to the project due to her technical expertise. In effect, she reported to two bosses, one in her functional area and also to the project manager. Heidi is operating within a(n) ________ organizational structure.

Question 16

What characteristics should be considered when selecting project team members? Briefly describe these characteristics for members of a project team assigned to improve a teller's job in a bank.

Question 17

A(n) ________ is an interrelated set of activities that has a definite starting and ending point and that results in a unique outcome for a specific allocation of resources.

Question 18

Activity times for a project are estimated by all except which of the following methods?

A) the use of dowsing rods
B) managerial opinions based on similar prior experiences
C) statistical methods based on actual past experience
D) estimates using learning curve models to improve replications and estimate accuracy

Question 19

The project's objective statement should contain:

A) slack time and activities.
B) scope, time frame, and allocated resources.
C) strengths and weaknesses of subcontractors.
D) activities, completion times, and incentives.

Question 20

The ________ is a statement of all work that has to be completed.

Question 21

Which one of the following best describes the critical path of a PERT/CPM network?

A) the sequence of activities between a project's start and finish that takes the longest time to complete
B) the sequence of activities between a project's start and finish that has the maximum amount of activity slack
C) the set of activities that has no precedence relationships
D) the sequence of activities that has the lowest normal activity cost

Question 22

Figure to accompany Table 7.1

Table 7.1

Using the information shown in Table 7.1, what is the latest start time for activity E?

A) 2
B) 3
C) 5
D) 8

Question 23

To obtain the latest start and latest finish time in a network diagram, we must work forward through the network.

Question 24

Figure to accompany Table 7.1

Table 7.1

Using the information shown in Table 7.1, what is the project duration?

A) 15
B) 14
C) 12
D) 10

Question 25

Figure 7.2

Which one of the following conditions violates the assumptions of PERT/CPM networks?

A) Some activities can have zero variance.
B) Costs increase linearly as activity time is reduced below its normal time.
C) Two activities tied together by an arc are overlapping and can be worked on simultaneously.
D) There can be more than one critical path in a network.

Question 26

Figure 7.1

For the network shown in Fig. 7.1, which of the following is the critical path?

A) ABCDEF
B) ABEF
C) ACDF
D) ACEF

Question 27

Figure to accompany Table 7.1

Table 7.1

Refer to the Figure to accompany Table 7.1. Which one of the following is the critical path?

A) ABDG
B) ABEG
C) ACEG
D) ACFG

Question 28

A critical path is any sequence of activities between a project's start and finish.

Question 29

A Gantt chart is a project schedule that superimposes project activities on a time line.

Question 30

Figure 7.2

Which one of the following statements regarding Figure 7.2 is True?

A) Activity S cannot finish until activity T finishes.
B) Activity T cannot begin until activity U is completed.
C) Activity U cannot begin until activities S and T have been completed.
D) Activity V cannot begin until activity S has been completed.

Question 31

The ________ is the sequence of activities between a project's start and finish that takes the longest time to complete.

Question 32

The earliest start time for an activity is equal to the:

A) smallest earliest finish time of all of its immediate predecessors.
B) largest earliest finish time of all of its immediate predecessors.
C) smallest late start time of any of its immediate predecessors.
D) largest late finish time of all of its immediate predecessors.

Question 33

The earliest start time is never the same as the latest start time.

Question 34

A project has three paths. A-B-C has a length of 25 days. A-D-C has a length of 15 days. Finally, A-E-C has a length of 20 days. Which one of the following statements is True?

A) A-D-C is the critical path.
B) A-B-C has the most slack.
C) The expected duration of this project is 25 days.
D) The expected duration of this project is 25 + 15 + 20 = 60 days.

Question 35

Activity slack is defined as:

A) latest start time minus earliest start time.
B) earliest start time minus latest start time.
C) earliest finish time minus latest finish time.
D) latest finish time minus earliest start time.

Question 36

Assume that activity G has the following times: Early start time = 7 days
Early finish time = 13 days
Late start time = 15 days
Late finish time = 21 days
Which of the following statements is True about activity G?

A) Activity G takes 14 days to complete.
B) Activity G has a slack time of 8 days.
C) Activity G is on the critical path.
D) Activity G takes 2 days to complete.

Question 37

Figure to accompany Table 7.1

Table 7.1

Using the information shown in Table 7.1, what is the activity time for activity F?

A) 5
B) 11
C) 6
D) 1

Question 38

Figure to accompany Table 7.1

Table 7.1

Using the information shown in Table 7.1, what is the earliest finish time for activity A?

A) 0
B) 2
C) 3
D) 4

Question 39

Figure 7.1

For the network shown in Fig. 7.1, what is the project duration?

A) 6
B) 15
C) 13
D) 14

Question 40

Figure to accompany Table 7.1

Table 7.1

Using the information shown in Table 7.1, what is the slack time for activity D?

A) 1
B) 4
C) 6
D) 7

Question 41

Table 7.5

Using Table 7.5, what is the latest start time for activity E?

A) day 8
B) day 10
C) day 12
D) day 14

Question 42

Table 7.5

Using Table 7.5, every day the construction crew is on-site costs $1000. What activities would you consider crashing to reduce the project completion cost?

A) Activity E
B) Activity F
C) Activity G
D) All of these activities would be candidates for crashing.

Question 43

Why do managers want to know the slack of activities?

Question 44

Explain the importance of the critical path in project management.

Question 45

Table 7.4

Using Table 7.4, what is the earliest completion time for this project?

A) 18 weeks
B) 19 weeks
C) 20 weeks
D) 21 weeks

Question 46

Table 7.4

Using Table 7.4, what is the largest amount of slack that any activity in the project has?

A) zero weeks
B) two weeks
C) four weeks
D) six weeks

Question 47

________ is the maximum length of time that an activity can be delayed without delaying the entire project.

Question 48

Phoebe B. Beebee is constructing a canal for the annual canoe races and has identified eleven activities that are required to complete this important project. She calculated early and late start times and early and late finish times but spilled coffee all over her printout. Use the remaining information to reconstruct the table for Phoebe B. Beebee and her new canoe canal.

Question 49

The normal cost is the amount of money it normally takes to complete an activity faster than its normal time.

Question 50

A project manager should stop crashing a project if the time budget has been met or if the crash costs have exceeded the savings in indirect and penalty costs.

Question 51

Table 7.5

Using Table 7.5, what is the earliest completion time of this project?

A) 23 days
B) 25 days
C) 27 days
D) 29 days

Question 52

Table 7.5

Using Table 7.5, how many days can activity C be delayed without changing the whole project's earliest completion time?

A) 0 days
B) 2 days
C) 5 days
D) 7 days

Question 53

Table 7.4

Using Table 7.4, what is the latest finish time for activity C?

A) week 4
B) week 6
C) week 8
D) week 10

Question 54

Draw the network corresponding to the following information. Also, complete the table, identify the critical path, and specify project completion time.

Question 55

Table 7.4

Using Table 7.4, what is the minimum number of activities that would have to be crashed to cause a decrease in the project's earliest completion date?

A) one activity
B) two activities
C) three activities
D) four or more activities

Question 56

Table 7.4

Using Table 7.4, what is the minimum number of activities that would have to be delayed to cause an increase in the project's earliest completion date?

A) one activity
B) two activities
C) three activities
D) four or more activities

Question 57

Table 7.4

Using Table 7.4, what is the early start time for activity D?

A) week 9
B) week 4
C) week 7
D) week 0

Question 58

Table 7.5

Disaster strikes and activity F takes 20 days instead of the anticipated 5 days. Using Table 7.5, how much longer will the project last than initially estimated?

A) 15 days
B) 0 days
C) 7 days
D) 3 days

Question 59

Table 7.5

Using Table 7.5, what is the earliest that activity D can be finished?

A) 18 days
B) 8 days
C) 13 days
D) 25 days

Question 60

Table 7.4

Using Table 7.4, what is the slack associated with activity B?

A) 1 week
B) 2 weeks
C) 3 weeks
D) None of these is the correct activity slack for B.

Question 61

Figure to accompany Table 7.7

Table 7.7

How many week(s) of crashing are available for activity B in Table 7.7?

A) 0
B) 1
C) 2
D) 3

Question 62

Table 7.6

Using Table 7.6, suppose activity D can be shortened from four days to one day. Assume all other activity times remain the same. How much shorter will the total project earliest completion time become?

A) zero days
B) one day
C) two days
D) three days

Question 63

Figure to accompany Table 7.7

Table 7.7

Which activity should be crashed first for the project shown in Table 7.7?

A) A
B) B
C) C
D) D

Question 64

Figure to accompany Table 7.7

Table 7.7

What is the crashing cost per week for activity E in Table 7.7?

A) $1,000
B) $2,000
C) $3,000
D) This activity cannot be crashed.

Question 65

Table 7.8

Using Table 7.8, what is the earliest possible completion time for activity E after crashing?

A) day 11
B) day 13
C) day 15
D) day 17

Question 66

Table 7.8

Using Table 7.8, what is the activity with the greatest amount of slack?

A) A
B) B
C) C
D) D

Question 67

Figure to accompany Table 7.7

Table 7.7

If a decision is made to crash activity D in Table 7.7 by one week, what is the cost for this one week of crashing?

A) $3,000
B) $2,000
C) $2,500
D) This activity cannot be crashed.

Question 68

Table 7.8

Using Table 7.8, what is the minimum completion time for this project after crashing?

A) 23 days
B) 21 days
C) 19 days
D) 17 days

Question 69

Figure to accompany Table 7.7

Table 7.7

Determine the information missing from Table 7.7; then answer the following questions. How many week(s) of crashing are available for activity D in Table 2.9?

A) 0
B) 1
C) 2
D) 6

Question 70

Figure to accompany Table 7.7

Table 7.7

How many weeks of crashing are available for activity C in Table 7.7?

A) 0
B) 1
C) 2
D) 6

Question 71

Table 7.8

Using Table 7.8, what is the latest start time for activity E?

A) day 7
B) day 8
C) day 9
D) day 10

Question 72

Figure to accompany Table 7.7

Table 7.7

What is the crashing cost per week for activity F in Table 7.7?

A) $2,000
B) $3,000
C) $4,000
D) This activity cannot be crashed.

Question 73

Table 7.6

Using Table 7.6, what is the critical path for this project?

A) B-E-H-K
B) B-E-H-J
C) A-E-G-J
D) C-F-I-L

Question 74

Figure to accompany Table 7.7

Table 7.7

What is the crashing cost per week for activity A in Table 7.7?

A) $2,000
B) $3,000
C) $4,000
D) This activity cannot be crashed.

Question 75

Figure to accompany Table 7.7

Table 7.7

What is the critical path for the project shown in the above network and Table 7.7, using the normal times?

A) A-B-D-F
B) A-C-D-F
C) A-C-E-F
D) A-B-C-D-E-F

Question 76

Table 7.8

Using Table 7.8, what is the minimum crashing cost to finish this project in 18 days?

A) $3,450
B) $850
C) $1,150
D) $1,500

Question 77

Table 7.6

Using Table 7.6, suppose activity I is delayed, taking eight days to complete instead of two days. Assume all other activity times remain the same. How much longer will the total project earliest completion time become?

A) zero days
B) one or two days
C) three or four days
D) five or six days

Question 78

Table 7.9

Using Table 7.9, what is the earliest completion time of this project if normal times are used for all activities?

A) fewer than 13 weeks
B) 13 weeks
C) 14 weeks
D) more than 14 weeks

Question 79

Table 7.6

Using Table 7.6, what is the latest start time for activity A?

A) day 0
B) day 1
C) day 2
D) day 3 or later

Question 80

Table 7.8

Using Table 7.8, what is the critical path for this project using the normal times?

A) A-D-H
B) C-F
C) B-E-H
D) B-G-H