The project represented by this network diagram has activity lengths in days and crash costs as shown in the table. You have been given a budget of $2,500 and instructed to complete the project as quickly as you can using that amount
Which activities do you expedite and what is the final cost of crashing and project duration?
Activity Normal Duration Crash Duration Crash Cost/Day
A 10 8 $250
B 16 12 $400
C 12 9 $100
D 17 16 $300
E 14 13 $300
F 6 4 $350
What will be an ideal response?
Answer: The project is initially a 49 day ordeal. Expediting activities from the least expensive to the most expensive proceeds as follows:
1) Reduce activity A by 2 days for $500 and crash cost of $500. Project is 47 days.
2) Reduce activity D by 1 day for $300 and a crash cost of $800. Project is 46 days.
3) Reduce activity F by 2 days for $700 and a crash cost of $1500. Project is 44 days.
4) Reduce activity B by 2 days for $800 and a crash cost of $2300. Project is 42 days.
Any additional crashing would exceed the budget, so we are left with a project of 42 days.
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