NETWORK DIAGRAMS AND SCHEDULE ANALYSIS

Network diagrams are schematic displays of project schedule activities and the
interdependencies between these activities. When developed properly, this graphical view of a
projects activities conveys critical schedule characteristics required to effectively analyze and
adjust schedules thus resulting in accurate and feasible schedules. !his document addresses
what should be considered in the development of a network diagram, how network diagrams are
created, and how they may be analyzed to identify necessary corrective actions and ensure
optimal schedule definition.
NETWORK DIAGRAM CREATION
Network diagrams can be created manually but are also available as project views in project
scheduling tools such as "icrosoft #roject. $%ee "icrosoft #roject, &iew' "ore &iews '
Network (iagram).
*nputs+
#roject %cope %tatement !he schedule definition required in network diagram
development must be based on the approved scope documented in the #roject %cope
%tatement. *f network diagram and schedule definition does not account for all required
deliverables in scope, the resulting network diagram and schedule will not accurately reflect
the time necessary to complete the work.
Work ,reakdown %tructure $W,%) !he #roject !eam must include W,% project
work in the network diagram to ensure comprehensive reflection of project activities.
-istorical #roject *nformation !he accuracy of network diagram.schedule
estimation is strengthened by actual schedule metrics from past projects. #roject teams
should consider past level of effort and duration for comparable project activities.
W,% (ictionary !he W,% (ictionary defines task durations, dependencies,
predecessor and successor relationships, and resources all of which need to be defined prior
to network diagram creation to ensure that the network diagram accurately reflects the
schedule required to successfully complete the project.
/esource 0alendars !he #roject !eam should develop and utilize a resource
calendar that includes holidays and personnel availability. 0reation of this calendar prior to
network diagram creation will ensure that the schedule accounts for actual working time.
#rocedure+
0onsider all inputs and enter all activity definition, sequencing, and duration
information into a software tool such as "icrosoft #roject. *f using this tool, ensure all tasks
are linked.
0onfirm all tasks are linked with accurate dependencies and with resource names
identified for each task.
1utput+
"icrosoft #roject #lan with task dependencies, predecessors and successors defined,
and resources applied to tasks
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,elow is a sample network diagram. !o illustrate the relationship between a 2antt chart and a
Network (iagram, we have provided the 2antt of activities and the Network (iagram view.
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Sample Gantt Chart
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Correlating Netor! Diagram "age #
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Correlating Netor! Diagram "age $
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SCHEDULE NETWORK ANALYSIS
%chedule network analysis, as defined by the Project Management Body of Knowledge
$PMBOK), is a technique used by project managers to analyze schedule information and generate
realistic and optimal project schedules. !his analysis should be performed upon completion of
the draft schedule and network diagram and after each schedule update. %chedule network
analysis involves+
*dentifying the schedule impact of task dependencies
*dentifying critical path tasks and understanding the impact of the critical path on the
schedule. %oftware tools such as "icrosoft #roject automatically display critical path tasks
once project information such as tasks, dependencies, and durations are identified in the
tools.
3nalyzing the effects of schedule constraints and e4ternally imposed dates
5nderstanding which tasks can e4perience delays without delaying the overall
schedule
0onducting 6what if7 analysis of various activity durations $for e4ample, what if the
testing activities take twice as long as is currently planned8)
3ssessing resource allocation and leveling to prevent resource over9allocation
3ssessing fast tracking or crashing options to ensure optimal schedule performance
Anal%ti&al Te&hni'(e)*
PMBOK describes the following techniques to perform schedule network analysis. :or more
detail regarding analytical techniques, which provide valuable information necessary for
effective schedule definition, see PMBOK, fourth edition, %ection ;.<.=. "ost scheduling tools
include features that allow utilization of these techniques with minimal effort.
Criti&al "ath Metho+ !he critical path method calculates the longest path of
planned activities to the end of the project the 6critical path7 and the earliest and latest
date that each activity can start and finish without e4tending the project. 3ny activity delay
on the critical path impacts the planned project completion date. 3 network diagram visually
conveys the critical path. !his visibility into the critical path allows project managers to
prioritize activities and take appropriate corrective actions to meet schedule deadlines.
3n understanding of the critical path also allows project managers visibility as to which
schedule activities are fle4ible that is, those activities that are not on the critical path. ,y
looking at a network diagram, project managers can determine when they have float or slack,
which is the amount of time that any given schedule activity can be delayed without causing
a delay to the start date of subsequent activities $free float) or to the project completion date
$total float). >nowing when a project has float allows a #roject "anager to understand what
tasks may slip and by how much before they have an impact on the project schedule.
Criti&al Chain Metho+ !he basis for the critical chain method is the same as the
basis for the critical path method but with one key difference? the critical chain method
accounts for resource limitations. ,y adding resource limits to the analysis, the result is that
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critical path is generally longer. !he resource9constrained critical path is known as the
critical chain. *f resources are allocated in the scheduling tool, the network diagram will
display the critical chain. 5sing the critical chain method involves adding duration buffers to
project schedules to protect the targeted finish date from slippage. (uration buffers are
added to the schedule as non9work schedule activities one at the end of the critical chain
and others at the end of each sequence of tasks that feeds into the critical chain. 3s a result,
6buffer7 time is integrated throughout the project schedule to account for duration
uncertainty. @ater in the project, project teams monitor project progress by reviewing the
consumption rate of the buffers.
Re)o(r&e Le,eling /esource leveling is the process of changing schedule resource
allocation to resolve over9allocations or conflicts. /esource leveling is applied to a schedule
that has already been analyzed by the critical path method. !his technique is used to adjust a
project schedule if shared resources are only available at certain times, or in limited
quantities, or if a #roject "anager wants to maintain resource usage at a constant level.
/esource leveling is often used to correct resource over9allocations and will often change the
critical path. !he network diagram should be recreated after resource leveling to assess the
updated critical path.
What-I. S&enario Anal%)i) !his analysis e4amines the schedule impact of various
scenarios, such as the delayed delivery of a major deliverable. What9if scenario analysis may
include simulation that calculates multiple project durations with different sets of activity
assumptions. "ultiple network diagrams may be generated to visually convey the impact of
varying scenarios. #roject managers can use the results of this analysis to determine
schedule feasibility under adverse conditions and prepare relevant contingency plans.
S&he+(le Compre))ion Te&hni'(e)*
3s a result of network diagram analysis, project teams may identify a need to compress the
schedule. %chedule compression shortens the project schedule in order to meet schedule
deadlines without reducing the project scope. %chedule compression techniques include crashing
and fast tracking. *f utilized, project teams should recreate and reassess the network diagram to
ensure that no new schedule issues have emerged.
Cra)hing 0rashing involves either adding resources or increasing work hours
$overtime, weekends) to shorten task duration. %horter task durations typically result in
higher task costs, so project teams must determine, prior to crashing, whether the total costs
savings is enough to justify the higher costs. 0rashing almost always requires cost increases
because it usually necessitates new tasks. 0rashing is a controversial technique because
adding project resources can increase project comple4ity or risk and may ultimately have a
negative impact on the schedule. 0rashing does not involve reducing project scope or
eliminating project tasks.
/a)t Tra&!ing :ast tracking is a schedule compression technique in which project
phases or activities usually conducted sequentially are performed in parallel to reduce
duration. 0are must be taken to ensure that parallel work does not create additional work or
increase risk. :ast tracking frequently results in increased comple4ities in task dependencies,
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so additional project controls must be implemented to ensure ongoing and accurate insight
into schedule performance.
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