MOORE HOUSING CONTRACTORS Moore Housing Contractors is negotiating a deal with Countryside Realtors to build six houses in a new develop- ment. Countryside wants Moore Contractors to start in late winter or early spring, when the weather begins to moder- ate, and build on through the summer and into the fall. The summer months are an especially busy time for the realty company, and it believes it can sell the houses almost as soon as they are ready, and maybe even before. The houses all have similar floor plans and are of approximately equal size; only the exteriors are noticeably different. The comple- tion time is so critical for Countryside Realtors that it is insisting that a project management network accompany the contractor's bid for the job, with an estimate of the comple- tion time for a house. The realtor also needs to be able to plan its offerings and marketing for the summer. It wants each house to be completed within 45 days after it is started. Activity b С d e f 8 h i j k 1 m n 0 P 9 r S t U V W X Activity Description Excavation, pour footers Lay foundation Frame and roof Lay drain tiles Sewer (floor) drains Install insulation Pour basement floor Rough plumbing, pipes Install windows Rough electrical wiring Install furnace, air conditioner Exterior brickwork Install plasterboard, mud, plaster Roof shingles, flashing Attach gutter, downspouts Grading Lay subflooring Lay driveway, walks, landscape Finish carpentry Kitchen cabinetry, sink, and appliances Bathroom cabinetry, fixtures Painting (interior and exterior) Finish wood floors, lay carpet Final electrical, light fixtures a. Develop a CPM/PERT network for Moore Housing Contractors and determine the probability that the company can complete a house within 45 days. Does it appear that the Moores might need to increase their bid to compensate for potential penalties? If a house is not completed within this time frame, it wants to be able to charge the contractor a penalty. Mary and Sandy Moore, the president and vice president, respectively, of Moore Contractors, are concerned about the prospect of a penalty charge. They want to be very confident that they can meet the deadline for a house before they enter into any kind of agreement with a penalty involved. (If there is a reasonable likelihood that they cannot finish a house within 45 days, they want to increase their bid to cover potential penalty charges.) The Moores are experienced home builders, so it was not difficult for them to list the activities involved in build- ing a house or to estimate activity times. However, they made their estimates conservatively and tended to increase their pessimistic estimates to compensate for the possibility of bad weather and variations in their workforce. A list of the activities involved in building a house and the activity time estimates follow Activity Predecessor a b b b C e e f f C.8 i j.h.k 1 n d, o m P 9 q q LU V, S V a 3 2 2 1 1 2 2 2 1 1 3 5 6 2 I 2 3 4 3 2 2 4 2 I Time (days) 4 3 4 2 2 4 3 4 3 2 5 6 8 3 2 3 4 6 5 4 3 6 5 3 b 6 5 5 4 3 5 5 7 4 4 8 10 12 6 5 7 6 10 12 8 6 10 8 4 b. Indicate which project activities Moore Housing Contractors should be particularly diligent to keep on schedule by making sure workers and materials are always available. Also indicate which activities the company might shift workers from as the need arises.

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MOORE HOUSING CONTRACTORS
Moore Housing Contractors is negotiating a deal with
Countryside Realtors to build six houses in a new develop-
ment. Countryside wants Moore Contractors to start in late
winter or early spring, when the weather begins to moder-
ate, and build on through the summer and into the fall. The
summer months are an especially busy time for the realty
company, and it believes it can sell the houses almost as
soon as they are ready, and maybe even before. The houses
all have similar floor plans and are of approximately equal
size; only the exteriors are noticeably different. The comple-
tion time is so critical for Countryside Realtors that it is
insisting that a project management network accompany the
contractor's bid for the job, with an estimate of the comple-
tion time for a house. The realtor also needs to be able to
plan its offerings and marketing for the summer. It wants
each house to be completed within 45 days after it is started.
Activity
b
C
d
f
8
h
i
j
k
1
m
n
0
Р
9
r
t
u
V
W
X
Activity Description
Excavation, pour footers
Lay foundation
Frame and roof
Lay drain tiles
Sewer (floor) drains
Install insulation
Pour basement floor
Rough plumbing, pipes
Install windows
Rough electrical wiring
Install furnace, air conditioner
Exterior brickwork
Install plasterboard, mud, plaster
Roof shingles, flashing
Attach gutter, downspouts
Grading
Lay subflooring
Lay driveway, walks, landscape
Finish carpentry
Kitchen cabinetry, sink, and appliances
Bathroom cabinetry, fixtures
Painting (interior and exterior)
Finish wood floors, lay carpet
Final electrical, light fixtures
a. Develop a CPM/PERT network for Moore Housing
Contractors and determine the probability that the
company can complete a house within 45 days. Does
it appear that the Moores might need to increase their
bid to compensate for potential penalties?
If a house is not completed within this time frame, it wants
to be able to charge the contractor a penalty. Mary and
Sandy Moore, the president and vice president, respectively,
of Moore Contractors, are concerned about the prospect of
a penalty charge. They want to be very confident that they
can meet the deadline for a house before they enter into any
kind of agreement with a penalty involved. (If there is a
reasonable likelihood that they cannot finish a house within
45 days, they want to increase their bid to cover potential
penalty charges.)
The Moores are experienced home builders, so it was
not difficult for them to list the activities involved in build-
ing a house or to estimate activity times. However, they
made their estimates conservatively and tended to increase
their pessimistic estimates to compensate for the possibility
of bad weather and variations in their workforce. A list of
the activities involved in building a house and the activity
time estimates follow
Activity Predecessor
a
b
b
b
C
e
e
f
f
C. g
i
j.h.k
1
n
d.o
m
P
q
q
q
I, U
V, S
V
a
3
2
2
1
1
2
2
2
1
1
3
5
6
2
I
2
3
4
3
2
2
4
2
I
Time (days)
m
4
3
4
2
2
4
3
4
3
2
5
6
8
3
2
3
4
6
5
4
6
5
b
6
5
5
4
3
5
5
7
4
4
8
10
12
6
5
7
6
10
12
6
10
8
b. Indicate which project activities Moore Housing
Contractors should be particularly diligent to keep on
schedule by making sure workers and materials are
always available. Also indicate which activities the
company might shift workers from as the need arises.
Transcribed Image Text:MOORE HOUSING CONTRACTORS Moore Housing Contractors is negotiating a deal with Countryside Realtors to build six houses in a new develop- ment. Countryside wants Moore Contractors to start in late winter or early spring, when the weather begins to moder- ate, and build on through the summer and into the fall. The summer months are an especially busy time for the realty company, and it believes it can sell the houses almost as soon as they are ready, and maybe even before. The houses all have similar floor plans and are of approximately equal size; only the exteriors are noticeably different. The comple- tion time is so critical for Countryside Realtors that it is insisting that a project management network accompany the contractor's bid for the job, with an estimate of the comple- tion time for a house. The realtor also needs to be able to plan its offerings and marketing for the summer. It wants each house to be completed within 45 days after it is started. Activity b C d f 8 h i j k 1 m n 0 Р 9 r t u V W X Activity Description Excavation, pour footers Lay foundation Frame and roof Lay drain tiles Sewer (floor) drains Install insulation Pour basement floor Rough plumbing, pipes Install windows Rough electrical wiring Install furnace, air conditioner Exterior brickwork Install plasterboard, mud, plaster Roof shingles, flashing Attach gutter, downspouts Grading Lay subflooring Lay driveway, walks, landscape Finish carpentry Kitchen cabinetry, sink, and appliances Bathroom cabinetry, fixtures Painting (interior and exterior) Finish wood floors, lay carpet Final electrical, light fixtures a. Develop a CPM/PERT network for Moore Housing Contractors and determine the probability that the company can complete a house within 45 days. Does it appear that the Moores might need to increase their bid to compensate for potential penalties? If a house is not completed within this time frame, it wants to be able to charge the contractor a penalty. Mary and Sandy Moore, the president and vice president, respectively, of Moore Contractors, are concerned about the prospect of a penalty charge. They want to be very confident that they can meet the deadline for a house before they enter into any kind of agreement with a penalty involved. (If there is a reasonable likelihood that they cannot finish a house within 45 days, they want to increase their bid to cover potential penalty charges.) The Moores are experienced home builders, so it was not difficult for them to list the activities involved in build- ing a house or to estimate activity times. However, they made their estimates conservatively and tended to increase their pessimistic estimates to compensate for the possibility of bad weather and variations in their workforce. A list of the activities involved in building a house and the activity time estimates follow Activity Predecessor a b b b C e e f f C. g i j.h.k 1 n d.o m P q q q I, U V, S V a 3 2 2 1 1 2 2 2 1 1 3 5 6 2 I 2 3 4 3 2 2 4 2 I Time (days) m 4 3 4 2 2 4 3 4 3 2 5 6 8 3 2 3 4 6 5 4 6 5 b 6 5 5 4 3 5 5 7 4 4 8 10 12 6 5 7 6 10 12 6 10 8 b. Indicate which project activities Moore Housing Contractors should be particularly diligent to keep on schedule by making sure workers and materials are always available. Also indicate which activities the company might shift workers from as the need arises.
Expert Solution
Step 1
1.     During forward pass in case of more than two preceding activities the early start will be equal to the maximum early finish (early ending) of the preceding activities.
2.     During backward pass in case of more than two preceding activities the late finish will be equal to the minimum late start (late ending) of the preceding activities.
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