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Unit 10: Risk Management




          10.10 PERT Technique                                                                  Notes

          A PERT chart is a project management tool used to schedule, organize, and coordinate tasks
          within a project. PERT stands for Program Evaluation Review Technique, a methodology developed
          by the U.S. Navy in the 1950s to manage the Polaris submarine missile  program. A similar
          methodology, the Critical Path Method (CPM) was developed for  project  management in  the
          private sector at about the same time.

                                           Figure  10.9


































          A PERT chart presents a graphic illustration of a project as a network diagram consisting of
          numbered nodes (either circles or rectangles) representing events, or milestones in the project
          linked by labelled vectors (directional lines) representing tasks in the project. The direction of
          the arrows on the lines indicates the sequence of tasks. In the diagram, for example, the tasks
          between  nodes  1,  2,  4,  8,  and  10  must  be  completed  in  sequence.  These  are
          called dependent or serial tasks. The tasks between  nodes 1 and 2,  and nodes 1 and  3 are not
          dependent on the completion of one to start the other and can be undertaken simultaneously.

          These tasks are called  parallel or concurrent tasks. Tasks that must be completed in sequence but
          that don’t require resources or completion time are considered to have event dependency. These
          are represented by dotted lines with arrows and are called dummy activities. For example, the
          dashed arrow linking nodes 6 and 9 indicates that the system files must be converted before the
          user test can take place, but that the resources and time required to prepare for the user test
          (writing the user manual and user training) are on another path. Numbers on the opposite sides
          of the vectors indicate the time allotted for the task.

          The PERT chart is sometimes preferred over the Gantt chart, another popular project management
          charting method, because it clearly illustrates task dependencies. On the other hand, the PERT
          chart can be much more difficult to interpret, especially on complex projects. Frequently, project
          managers use both techniques.





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