Forecasting Assignment 4 Problems

Project Management

Forecasting

Please provide detailed solutions to the following problems/exercises (4 problems/exercises):

1) Draw the network corresponding to the following information. Complete the table, identify the critical path, and specify project completion time.

Activity

Immediate Predecessor(s)

Time

(Weeks)

A

3

B

4

C

A

6

D

B

9

E

B

6

F

C,D

6

G

D,E

8

H

G,F

9

Activity

Earliest

Start

Earliest

Finish

Latest

Start

Latest Finish

Slack

A

B

C

D

E

F

G

H

2) Consider the tasks, durations, and predecessor relationships in the following network. Draw the network and answer the questions that follow.

Activity Description

Immediate

Predecessor(s)

Optimistic

(Weeks)

Most Likely

(Weeks)

Pessimistic

(Weeks)

A

4

7

10

B

A

2

8

20

C

A

8

12

16

D

B

1

2

3

E

D, C

6

8

22

F

C

2

3

4

G

F

2

2

2

H

F

6

8

10

I

E, G, H

4

8

12

J

I

1

2

3

a. What is the expected time for activity B?

b. What is the variance for activity B?

c. Based on the calculation of estimated times, what is the critical path?

d. What is the estimated time of the critical path?

e. What is the activity variance along the critical path?

f. What is the probability of completion of the project before week 42?

3) Develop forecasts for periods 7 through 10 for the demand data in the table using a three period moving average, a weighted moving average using 0.6, 0.3, and 0.1, and exponential smoothing with alpha = 0.7. Use a 6th period forecast of 135 as the starting point for the exponential smoothing technique.

Period

Actual

MA n=3

WMA

Exp. Smoothing

1

64

2

84

3

91

4

97

5

115

6

135

7

137

8

144

9

153

10

171

4) Using the data shown in the table, develop a trend line that can be used to predict the demand for time period number 20. What is the prediction equation and what is your forecast for period 20?

Period

Demand

Demand2

Period*Demand

1

16

2

20

3

24

4

27

5

29

6

30

7

32

8

35

9

36

10

38

Sums

55

287