Office Automation, Inc., developed a proposal for introducing a new computerized office system that will standardize the electronic archiving of invoices for a particular company. Contained in the proposal is a list of activities that must be accomplished to complete the new office system project. Use the following relevant information about the activities: Immediate Time (weeks) Cost ($1000s)
Activity Description Predecessor(s) Normal Crash Normal Crash
A Plan needs — 12 8 30 110
B Order equipment A 8 6 120 150
C Install equipment B 10 7 100 160
D Set up training lab A 7 6 40 50
E Conduct training course D 10 8 50 75
F Test system C, E 3 3 60

a. Develop a project network.
b. Develop an activity schedule.
c. What are the critical activities, and what is the expected project completion time?
d. Assume that the company wants to complete the project in six months or 26 weeks. What crashing decisions do you recommend to meet the desired completion time at the least possible cost? Work through the network and attempt to make the crashing decisions by inspection.
e. Develop an activity schedule for the crashed project.
f. What added project cost is required to meet the six-month completion time?