Project resource schedule and optimal inventory policy

Abstract

Project Management (PERT/CPM) is concerned with the implementation of activities of a project based on constraints imposed by time and resources. Present computer packages for Project Management (PM) are quite good in generating such activity schedule for the project manager to implement the project. Generally resource analysis is quite complex. Even though elegant Linear Programming (LP) modelling is possible for the resource analysis, the size of the LP even for a moderate size network will be so large that the present-day fastest computer may not be able to solve it in reasonable time. Hence, heuristic approach is the accepted method of solving such problems. Resources may be manpower type (Rate type) or consumable type (Total type). Manpower has to be utilized during the period of availability otherwise it is waste. On the other hand, consumable type of resources like cement, steel, etc. , can be carried forward to the next period, if it is not used in the present period. PM packages are good in deciding the optimal schedule and corresponding resource profile i.e. requirement of a specific resource for each period.