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A Company Is Faced with a Project of Implementing a New

Question 45

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A company is faced with a project of implementing a new ERP system.The information on activity precedence,time,and cost is given below (time in weeks).
 Activity  Predecessor(s)  Standard  Time  Crash  Time  Standard  Cost  Crash  Cost  Crash  Cost/Wk  A  none 97$700$1100$200 B  A 76$600$750$150 C  A 53$500$1000$250 D  B 42$550$800$125 E  C 65$800$900$50 F  D,E 53$700$1000$150 G  D 86$1000$1200$100\begin{array} { | l | l | r | r | r | r | r | } \hline \text { Activity } & \text { Predecessor(s) } & \begin{array} { l } \text { Standard } \\\text { Time }\end{array} & \begin{array} { l } \text { Crash } \\\text { Time }\end{array} & \begin{array} { l } \text { Standard } \\\text { Cost }\end{array} & \begin{array} { l } \text { Crash } \\\text { Cost }\end{array} & \begin{array} { l } \text { Crash } \\\text { Cost/Wk }\end{array} \\\hline \text { A } & \text { none } & 9 & 7 & \$ 700 & \$ 1100 & \$ 200 \\\hline \text { B } & \text { A } & 7 & 6 & \$ 600 & \$ 750 & \$ 150 \\\hline \text { C } & \text { A } & 5 & 3 & \$ 500 & \$ 1000 & \$ 250 \\\hline \text { D } & \text { B } & 4 & 2 & \$ 550 & \$ 800 & \$ 125 \\\hline \text { E } & \text { C } & 6 & 5 & \$ 800 & \$ 900 & \$ 50 \\\hline \text { F } & \text { D,E } & 5 & 3 & \$ 700 & \$ 1000 & \$ 150 \\\hline \text { G } & \text { D } & 8 & 6 & \$ 1000 & \$ 1200 & \$ 100 \\\hline\end{array}
The company would like to determine which activities to crash and by how much in order to
complete the ERP implementation in 24 weeks.Using linear programming and Excel Solver,find
the best solution

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