9. Office Automation, Inc. has developed a proposal for introducing a new computerized office system that will improve word processing and interoffice communications for a particular company. Contained in the proposal is a list of activities that must be ac- accomplished to complete the new office-system project. Information about the activities is shown below where times are in weeks and costs are in thousands of dollars. NOTE: The crashing cost given in the last (seventh) column of the table below is the total cost to finish an activity by its minimum time given in the fifth column. Activity ABCDE F Description Plan needs Order equipment Install equipment Set up training lab Training course Test system Immediate predecessors(s) A B A D C, E Normal | Crash | Normal | Crash Time Time Cost 10 8 10 7 10 3 8 6 7 6 8 3 Cost $30 120 100 40 50 60 $70 150 160 50 75 60 (a) What are the normal time to complete the project, activity slack times, the criti- cal path(s), and total project costs (i.e., baseline your project) using Critical Path Method? Please show the project network diagram for this project as well. (b) Assume the company wants to complete the project in 26 weeks. What crashing decisions would you recommend for meeting the completion date at the least possible cost? What is the added project cost to meet the 26-week completion time? Provide reasoning as to how all crashing decisions were made. What are your final recommendations?

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Office Automation, has developed a proposal for introducing a new computerized office system that will improve word processing and interoffice communications for a particular company. Contained in the proposal is a list of activities that must be ac- accomplished to complete the new office-system project. Information about the activities is shown below where times are in weeks and costs are in thousands of dollars.

NOTE: The crashing cost given in the last (seventh) column of the table below is the total cost to finish an activity by its minimum time given in the fifth column.