Project Evaluation Review Technique (PERT) and Critical Path Method (CPM)...

Project Evaluation Review Technique (PERT) and Critical Path Method (CPM) Pert evaluation review technique (PERT) and critical path method (CPM) are two management techniques which are used to plan, schedule, budget and control different activities normally associated with a project. These techniques were developed in 1950s. PERT was developed by US Navy for the planning and control of Polaris missile programme while CPM was developed by DuPont and the emphasis was on the trade-off between the cost of the project and its overall completion time. PERT was originally designed to examine projects from the stand points of uncertainty while the CPM was designed to examine projects from the standpoint of costs. These techniques have been combined over time. Both the techniques rely heavily on the use of networks to help plan and display the coordination of all the activities of a project. In PERT activities are shown as a network of precedence relationships using activity on arrow network construction and using probabilistic activity time estimates. In CPM, activities are shown as network of precedence relationships using activity on node network construction and using time estimates which can be predicted with considerable certainty due to the existence of past experience. Comparison of PERT and CPM is given in Table 1. Tab 1 Comparison of PERT and CPM PERT CPM 1. PERT uses event oriented network 1. CPM uses activity oriented network 2. Estimates of time for activities areĀ  not so accurate and definite 2.Duration of activity can be estimated with a fair degree of accuracy 3. It is used mostly in projects of non repititive nature 3.It is used extensively in construction projects 4. Probabilistic model concept is used 4. Deterministic concept is used. 5. PERT is basically a tool for planning 5. CPM can...