FIN5003: Project Management Report on Batmobile Production Project

This report delves into the project management aspects of producing a modified Batmobile, stemming from the success of a recent Batman movie. It includes an AON (Activity On Node) diagram illustrating early and late start/finish times, activity durations, and predecessors. The report identifies the critical path (A>D>E>G) and explores crashing strategies to reduce the project completion time. By calculating crash costs and times for each activity, the analysis determines that the project can be completed in 16 weeks (7 weeks earlier than scheduled) with an additional cost of $1,163,000. The report concludes that while the project duration can be significantly reduced, the critical path remains unchanged. It uses project management principles discussed in cited academic papers to provide a framework for the recommendations.

Project management

Introduction
 The project mainly focuses on the Batman movie
 It is found that the customers of a automobile plant has got the rights to produce
modified Batmobile version
 The Batmobile will be sold to the niche buyers.

Estimation for the project
Activity Description Estimated
completion time
(weeks)
Immediate
Predecessors
A
B
C
D
E
F
G
H
Design/Test product
Hire workers
Train workers
Order/receive materials
Reconfigure machinery/setup
Advertise product
Production
Pay purchase orders
6
3
3
2
7
8
8
3
-
A
B
A
D
B,D
C,E
D

AON diagram
The AON diagram that will be created must include
information about the following:
• Early start,
• Late start,
• Early finish,
• Late finish,
• Duration and
• Name of the activity.

AON diagram for the project

AON Diagram showing the Early start and Early
finish
Activity Duration Predecessor Early start Early
finish
A 6 -- 0 6
B 3 A 6 9
C 3 B 9 12
D 2 A 6 8
E 7 D 8 15
F 8 B, D 9 17
G 8 C, E 15 23
H 3 D 8 11

AON Diagram showing the Late start and Late
finish
Activity Duration Predecessor Late
start
Late
finish
A 6 -- 0 6
B 3 A 9 12
C 3 B 12 15
D 2 A 6 8
E 7 D 8 15
F 8 B, D 4 12
G 8 C, E 15 23
H 3 D 5 8

Critical path

Crashing
Activity Normal Time
(weeks)
Normal Cost Crash time
(weeks)
Crash Cost Dt Dc Dc/Dt
A 6 $1,200,000 4 $2,200,000 2 $1,000,000 500,000
B 3 $400,000 2 $500,000 1 $100,000 100,000
C 3 $500,000 3 $500,000 0 $0 0
D 2 $1,000,000 1 $1,200,000 1 $200,000 200,000
E 7 $1,000,000 5 $1,900,000 2 $900,000 450,000
F 8 $2,000,000 5 $3,200,000 3 $1,200,000 40,000
G 8 $1,200,000 4 $2,600,000 4 $1,400,000 35,000
H 3 $100,000 2 $200,000 1 $100,000 100,000

Crashing Contd.
After calculating Dc, Dt and Dc/Dt, critical path
of project is mainly identified
• A>D>E>G =6+2+7+8=23
• A>B>C>G=6+3+3+8=20
As, A>D>E>G is the critical path

Activities that will be crashed
As, A>D>E>G is the critical path, the activities that will be crashed are generally
highlighted in red in the table that is generally provided below:
Activity Normal Time
(weeks)
Normal Cost Crash time
(weeks)
Crash Cost Dt Dc Dc/Dt
A 6 $1,200,000 4 $2,200,000 2 $1,000,000 500,000
B 3 $400,000 2 $500,000 1 $100,000 100,000
C 3 $500,000 3 $500,000 0 $0 0
D 2 $1,000,000 1 $1,200,000 1 $200,000 200,000
E 7 $1,000,000 5 $1,900,000 2 $900,000 450,000
F 8 $2,000,000 5 $3,200,000 3 $1,200,000 40,000
G 8 $1,200,000 6 $2,600,000 2 $1,400,000 130,000
H 3 $100,000 2 $200,000 1 $100,000 100,000

Required Time for project
As per the critical path, the required time= 6+2+7+8= 23wks
• Management wants to bring the product 7 wks. earlier than scheduled
Therefore, the required time
= (23-7) wks.
= 16 wks.
It is identified that the entire project will be completed within 16weeks that is 7 weeks earlier as
per the schedule.