Program Evaluation and Review Technique

Definition

Program Evaluation and Review Technique (PERT) is a project management tool used to analyze the tasks involved in completing a project, especially when the time required to complete each task is uncertain. PERT focuses on the relationships between tasks and allows for the identification of the minimum time needed to complete the overall project. By visualizing project timelines and interdependencies, it helps in effective planning and scheduling.

5 Must Know Facts For Your Next Test

1. PERT was developed by the U.S. Navy in the 1950s for managing the Polaris submarine project, emphasizing its importance in complex projects with uncertain timelines.
2. In PERT analysis, each task's completion time is estimated using three estimates: optimistic, pessimistic, and most likely, which are used to calculate an expected time.
3. The PERT chart visually represents tasks as nodes connected by arrows that indicate dependencies, helping teams see which tasks can be done simultaneously.
4. One key output of a PERT analysis is the identification of the critical path, which indicates the sequence of dependent tasks that directly impacts the project's duration.
5. PERT is particularly useful for research and development projects where uncertainties are high and task completion times cannot be accurately predicted.

Review Questions

• How does PERT help in identifying potential risks in project management?
  • PERT aids in identifying potential risks by allowing project managers to visualize task dependencies and uncertainties in timelines. By analyzing optimistic, pessimistic, and most likely estimates for task durations, managers can pinpoint where delays might occur. This proactive approach enables teams to develop strategies to mitigate risks before they impact overall project success.
• Compare and contrast PERT with Gantt Charts in terms of their utility for project planning.
  • While both PERT and Gantt Charts are tools for project planning, they serve different purposes. PERT emphasizes task relationships and uncertainties by focusing on how tasks interconnect and estimating time frames for completion. In contrast, Gantt Charts provide a clear visual timeline of tasks' start and end dates without detailing dependencies. This makes PERT better for complex projects with many interdependencies, while Gantt Charts offer straightforward scheduling over time.
• Evaluate the impact of using PERT on resource allocation decisions in large projects.
  • Using PERT can significantly enhance resource allocation decisions in large projects by highlighting critical tasks that require immediate attention and resources. By visualizing task interdependencies and potential bottlenecks, managers can allocate resources more efficiently where they are needed most. This strategic allocation helps avoid resource wastage and ensures that critical deadlines are met, ultimately improving project outcomes.

Related terms

Critical Path Method:

A project management technique that identifies the longest stretch of dependent activities and measures the time required to complete them, helping to determine the shortest time to complete a project.

Gantt Chart:

A visual project management tool that represents the schedule of a project, showing the start and finish dates of various elements in a timeline format.

Task Dependency: A relationship between tasks where one task must be completed before another can start, often influencing scheduling and resource allocation.