Guide with PERT, CPM & Critical Path Analysis|Questions with A+
Graded Rationales Latest Updated 2026
What resources do projects consume?
Projects consume human, capital, materials, and equipment capacity.
Give an example of a project.
Constructing a new facility.
Give another example of a project.
Developing a new product.
Give a third example of a project.
Running a political campaign.
What does PERT stand for?
Program Evaluation and Review Technique
What type of time estimates does PERT use?
Probabilistic time estimates (optimistic, most likely, and pessimistic)
What does PERT calculate?
Expected activity durations and project completion probabilities
How does PERT portray a project?
As a network diagram with nodes and arrows representing activities and precedence
relationships
What is the Critical Path Method (CPM)?
A network planning technique that identifies the longest connected path through a project
network diagram.
What does the Critical Path Method (CPM) determine?
The shortest project duration.
What does the Critical Path Method (CPM) help identify?
Critical activities that must be completed on time to avoid delaying the project.
,Project Activities
Actions that consume resources and/or time.
Precedence Relationships
The sequencing of activities, where one activity must be completed before the next can begin.
Activity-on-Node
A network diagramming technique where nodes (circles) represent project activities, and arrows
show precedence relationships between activities.
What is the critical path in project management?
The longest connected path through the project network.
What does the critical path determine?
The shortest possible project duration.
What happens if there is a delay in activities on the critical path?
It will delay the entire project.
Probabilistic Time Estimate
A method of estimating activity durations using three time estimates: optimistic, most likely,
and pessimistic. It allows for calculating expected times and variances to predict the probability
of project completion dates.
Deterministic Time Estimate
A method of estimating activity durations using a single time estimate for each activity,
assuming certainty in the time required.
Slack
The amount of time an activity can be delayed without affecting the project's completion date.
Optimistic Time Estimate
The shortest time period in which an activity can be completed under ideal conditions.
Most Likely Time Estimate
The normal or most reasonable time that an activity is expected to take under typical
conditions.
Pessimistic Time Estimate
,The longest time period in which an activity will be completed, assuming the most unfavorable
conditions.
Beta Probability Distribution
A statistical distribution used in PERT to model the variability in activity durations.
Crashing
A technique used to reduce the duration of activities on the critical path in the most economical
way.
Critical Chain Approach
A project management method that removes safety time from individual activities and places it
at the end of the critical path as a project buffer.
Project Buffer
A block of safety time placed at the end of the critical path to protect the project completion
date from delays in critical path activities.
What does ERP stand for?
Enterprise Resource Planning
What is the primary function of ERP?
ERP integrates all departments and functions into a single computer system.
What type of database does ERP use?
A common database
What are some benefits of using ERP?
Improves information flow, managerial control, decision-making, and cost reductions.
Name three modules included in ERP.
Finance, sales, production, and human resources.
SCM Software
Designed to improve decision making in the supply chain.
Supply Chain Intelligence (SCI)
The capability of collecting business intelligence along the supply chain.
, Application Service Provider (ASP)
Sets up the system and runs it for the company.
Closed-Loop MRP
An MRP system that includes production planning, master production scheduling, and capacity
requirements planning.
Manufacturing Resource Planning (MRP II)
A method for the effective planning and integration of all internal resources.
What does Material Requirements Planning (MRP) determine?
The quantity and timing of material requirements.
What inputs does MRP use?
Bill of Materials (BOM), inventory records, and Master Production Schedule (MPS).
What are the outputs generated by MRP?
Planned orders, rescheduling notices, and inventory updates.
In what type of environment does MRP keep priorities updated?
A dynamic environment.
What is backward scheduling?
a method used in MRP systems to determine when to place orders and schedule deliveries.
How does backward scheduling work?
Backward scheduling starts with the due date of the product and works backward to calculate
when materials need to be ordered and available.
What does Capacity Requirements Planning (CRP) calculate?
CRP calculates workloads for critical work centers based on open shop orders and planned shop
orders.
How does CRP ensure production schedules are feasible?
CRP translates orders into hours of work by work center and time period.
How does CRP compare to Rough-Cut Capacity Planning (RCCP)?
CRP operates at a detailed level compared to RCCP.