Understanding Critical Path Method
CPM is essential for project scheduling, control, and optimization of complex projects.
- Critical Path Analysis Longest sequence determining project duration. Zero total float activities. Delay impacts project completion. Typically comprises 15-25% of total activities.
- Float Time Types Total Float (slack between activities: 0-10% of duration), Free Float (delay without affecting successors), Independent Float (available without impacting others).
- Dependencies & Relationships Finish-to-Start (FS, most common: 75%), Start-to-Start (SS: 10%), Finish-to-Finish (FF: 10%), Start-to-Finish (SF: 5%). Lag time typically 5-15% of predecessor.
- Network Calculations Forward Pass (Early Start/Finish), Backward Pass (Late Start/Finish). Critical path probability: 85-95% confidence level using PERT (Beta distribution).
- Resource Loading Peak resource utilization: 80-90%. Resource leveling may extend duration by 10-30%. Cost-loading accuracy: ±5-10% for established activities.
Project Management Techniques
Schedule Optimization
- Fast tracking: 15-25% saving
- Crashing: cost/time trade-off
- Activity splitting: 5-10% gain
- Buffer sizing: 10-15% of path
- Resource smoothing: ±20%
Resource Management
- Utilization target: 85%
- Skill match: 90-95%
- Cross-training: 15-20%
- Overtime limit: 15%
- Contingency: 10-15%
Progress Monitoring
- Update frequency: weekly
- Variance threshold: ±10%
- Earned value metrics
- Milestone tracking
- S-curve analysis
Risk Management
- Schedule risk: 20-30%
- Cost contingency: 5-15%
- Critical tasks: 2× monitoring
- Risk triggers defined
- Monte Carlo analysis
CPM Best Practices
- Activity Definition Standards Duration range: 1-10% of project length. Naming convention: Verb-Noun format. WBS alignment: 100% coverage. Measurable completion criteria: 3-5 metrics per activity.
- Duration Estimation Methods Analogous (±25% accuracy), Parametric (±10-15%), Three-point PERT (±5-10%), Bottom-up (±5%). Historical data correlation: R² > 0.85.
- Network Logic Rules Maximum parallel paths: 3-4 per phase. Minimum critical path drag: 5%. Redundant logic check: quarterly. Relationship types: maximum 2 per activity.
- Resource Optimization Peak shaving threshold: 15%. Skill substitution matrix. Multi-resource leveling iterations: 3-5. Cost-resource trade-off analysis: NPV basis.
Performance Metrics
- Schedule Performance SPI target: 0.95-1.10. Float consumption rate: <80%. Critical path buffer: 15-20%. Schedule adherence: >85%. Milestone hit rate: >90%.
- Resource Efficiency Utilization rate: 85-90%. Resource clash index: <5%. Skill alignment: >95%. Overtime distribution: <10% of total hours.
- Quality Indicators Rework impact: <5% schedule. Quality control gates: every 20% completion. First-time acceptance: >90%. Documentation accuracy: 100%.