1. Have a think…!
What process do you need to go through to make bread or redecorate your bedroom? Are there any activities that could be done at the same time as something else?

2. Learning Objectives TOPIC: Topic 5: Operations Management
LESSON TITLE: Critical Path Analysis (HL)
COMPETENCY FOCUS:
Technological Impact (C4): students will develop their understanding of how technology has made an impact in the production process of products for a business.
[IB Learner Profile Development: reflective]
Learning Objectives
By the end of the lesson, you should be able to…
LO1) To describe the concept ‘Critical Path Analysis’ (CPA)
LO2) To construct and interpret a network diagram, identifying EST and LFT
LO3) To evaluate the value of a network in the management of projects.
SMSC: You will assess the organisational culture of businesses in terms of fundamental structure, purpose and strategy development.
CRITICAL THINKING KEY:
Knowledge Application Analysis Evaluation

3. Critical Path Analysis
A critical path diagram shows:
the order in which each activity must be undertaken
the duration of each activity
the earliest date at which later activities can commence
Each diagram is composed of 'Activities' and 'Nodes':
An activity is that part of the project which requires time and resources - it is represented by an arrow, running from left to right.
A node is the start or finish of an activity, and it is represented by a circle. Each diagram must start and end on a single node and no activity lines must cross each-other.

4. EST
Earliest Start Time

5. LFT
Latest Finish Time

6. Critical Path Analysis

7. EST and LFT EST = Earliest Start Time LFT = Latest Finishing Time
Earliest Start time = Duration of the task B + EST of Task A
LFT = Latest Finishing Time
This is achieved by working backwards
Last Start Time = LFT of Task C – duration of Task B

8. Critical Path Critical Path =
The shortest time it takes to complete a task is called
Critical Path and have a red line
Activities on the Critical path are called Critical Path Activities

9. Total Float
Total float time is the amount of spare time between the time an activity takes and the time it must be completed by.
N.B. Activities on the critical path do not have Free Float time

10. Free Float Time
Free Float time is the difference between the time a task takes and the time where the next task has to start.
EST (of next activity) – Duration of task – EST (of this activity ) = Free Float

11. Advantages of CPA CPA is a useful visual aid
CPA identifies tasks which need to be closely supervised -
Staff can be transferred from activities with Float Time to Critical Activities -
CPA allows Just in Time Production (JIT)
CPA makes Managers think about the. steps in an activity so nothing gets forgotten
CPA helps companies forecast their Cash Flow

12. Disadvantages of CPA CPA relies on estimates
CPA puts pressure on manager to manage effectively and meet deadlines
Once delays are known the CPA must changed - otherwise ineffective.
CPA sets tight deadlines. It could result in corner cutting – QUALITY could suffer
CPA can’tt tell you about COSTS
CPA can’t tell you how GOOD the project is

13. Critical Path Analysis
Complete workbook [20mins]