In: Operations Management
What is the minimum cost of crashing the following project that Roger Solano manages at Slippery Rock University by 4 days? $______________
| Activity | Normal Time (days) | Crash Time (days) | Normal Cost | Total Cost with Crashing | Immediate Predecessor(s) | 
| A | 6 | 5 | $800 | $1,100 | - | 
| B | 8 | 6 | $300 | $400 | - | 
| C | 6 | 5 | $600 | $650 | - | 
| D | 6 | 3 | $750 | $1,500 | A | 
| E | 5 | 3 | $1,200 | $1,650 | C | 
| a. | 
 $ 3550  | 
|
| b. | 
 $ 1550  | 
|
| c. | 
 $ 3800  | 
|
| d. | 
 $ 2500  | 
Paths from start to end of project network is as follows:
| 
 Path  | 
 Duration  | 
| 
 A-D  | 
 6 + 6 = 12 days  | 
| 
 B  | 
 8 days  | 
| 
 C-E  | 
 6 + 5 =11 days  | 
Critical Path: A-D and project duration is 12 days.
Crashing principle: Crash only critical activities and prefer to crash the activity with lowest crashing cost per day.
The crashing cost per day is calculated is as follows:
| 
 Activity  | 
 Normal Time (days)  | 
 Crash Time (days)  | 
 Normal Cost  | 
 Total Cost with Crashing  | 
 Immediate Predecessor(s)  | 
 Allowable Crashing  | 
 Crashing Cost  | 
 Crashing cost per day  | 
| 
 A  | 
 6  | 
 5  | 
 $800  | 
 $1,100  | 
 -  | 
 1  | 
 $300  | 
 300  | 
| 
 B  | 
 8  | 
 6  | 
 $300  | 
 $400  | 
 -  | 
 2  | 
 $100  | 
 50  | 
| 
 C  | 
 6  | 
 5  | 
 $600  | 
 $650  | 
 -  | 
 1  | 
 $50  | 
 50  | 
| 
 D  | 
 6  | 
 3  | 
 $750  | 
 $1,500  | 
 A  | 
 3  | 
 $750  | 
 250  | 
| 
 E  | 
 5  | 
 3  | 
 $1,200  | 
 $1,650  | 
 C  | 
 2  | 
 $450  | 
 225  | 
A-D is critical path, and lowest cras
The crashing schedule is as shown below:
| 
 Crashing Sequence  | 
 0  | 
 1  | 
 2  | 
 3  | 
 4  | 
| 
 Critical Paths  | 
 A-D  | 
 A-D  | 
 A-D C-E  | 
 A-D C-E  | 
 A-D C-E  | 
| 
 Lowest crashing cost per week activity (crashing cost)  | 
 D ($250/ DAY)  | 
 D ($250/ DAY) C ($50/ DAY)  | 
 D ($250/ DAY) E ($225/ DAY)  | 
 A ($300/ DAY) E ($225/ DAY)  | 
|
| 
 Activity Crashed  | 
 None  | 
 D  | 
 D, C  | 
 D, E  | 
 A, E  | 
| 
 Crashing Duration  | 
 0  | 
 1  | 
 1  | 
 1  | 
 1  | 
| 
 Project duration  | 
 12  | 
 11  | 
 10  | 
 9  | 
 8  | 
| 
 A-D  | 
 12  | 
 11  | 
 10  | 
 9  | 
 8  | 
| 
 B  | 
 8  | 
 8  | 
 8  | 
 8  | 
 8  | 
| 
 C- E  | 
 11  | 
 11  | 
 10  | 
 9  | 
 8  | 
| 
 Crash cost  | 
 $0  | 
 $250  | 
 $300  | 
 $475  | 
 $525  | 
| 
 Cum. Crash cost  | 
 $0  | 
 $250  | 
 $550  | 
 $1025  | 
 $1550  | 
Thus, to crash the project duration by 4 DAYS, the minimum additional cost required = $1550