Project Crashing

Crashing In Project Management

What is Project Crashing?

Crashing in project management is a unique technique used by Project Managers to reduce the duration of the schedule by adding additional resources. They use this technique in the project to complete the project within less time, keeping the scope of work constant.

Consider a construction project which has slipped the scheduled target of the foundation pour due to excessive rains. The project manager will have to use the project crashing technique to bring the project back on schedule. The various options available are to increase shuttering manpower to expedite shuttering works or increase the number of concrete pumps to enhance the speed of concrete pouring. The decision is taken by considering the option which serves to achieve the target with the minimum incremental cost.

The schedule crashing is not achieved very easily; a project manager has to look into many things to assure whether it is best to use this technique or not as it also includes many risks related to it. Crashing will work for the activities which are on the critical path, and adding additional resources on the non-critical path is of no use. So, the evaluation before crashing a project is critical.

Cost-Time relationship:

When we are crashing a project, there is a trade-off between cost and time. If the cost is

increased,

the time is decreased. However, there is also a limit below which the project timeline can’t be reduced, no matter how many resources are added. This point is called the maximum trade-off point. The below graph represents the relationship between project cost and time:

Here, Point A marks the starting point of the project. Eight months are required to complete the project with a budget of 100,000$. With the increased resources, the budget is increased to 150,000$ and the time of completion is reduced to 5 months (Point B). Point C is the maximum trade-off point, and the schedule can’t be compressed below 4 months.

Reasons to use Crashing in Project Management:

The possible reasons for the crash of the project are:

1. To calculate the earliest final date of the project with the lowest possible associated costs.
2. It is also done when the due date is final in a project, and according to the contract, no changes could be made to the final date of handing over the project.
3. Crashing is also used when there are extra resources available to use in the project.
4. Delay in the start of activities is also one of the reasons for the project crashing.
5. Crashing is done if some projects are coming shortly, and the resources are required to be used there.

Risks in Project Crashing:

Managers must be very cautious when using this technique, as it also involves many risks to it. Such as increased cost, if the crash is not effective in the end, the company would bear the loss. The team could also fail in handling new or inexperienced resources provided. The probability of rework will increase when new resources are added. Lastly, as new team members step in, poor coordination is also another risk.

Conclusion:

When crashing is done to compress the schedule, the focus should be on optimizing the use of resources with the least additional cost. Always remain careful about the risk associated with additional resources. The project manager has to decide using his experience that which activities can be crashed, which have fewer associated risks and more chances of success. Most importantly, only the activities on the critical path should be crashed.