- Determine activities, time, estimates and precedence relationships
- Draw the network diagram – activities are nodes, precedences are arrows
- Perform a Forward Path Analysis (ES=0 for activities with no predecessor)
- Perform a Backward Path Analysis (LF=EF for activities with no successor)
- Establish slacks and the critical path

Construct using a chart like that used for line balancing:

**Critical path** – the path of activities such that a delay in any of the associated activities necessarily implies a delay in the entire project

**Crashing** the project – adding resources to the critical path

**PERT** – modifies critical path method to deal with uncertainty

Uses 3 time estimates:

a – optimistic times (1% chance of being earlier)

m – most likely time (best guess)

b – pessimistic time (1% chance of being later)

- Determine activities, time estimates, and precedence relationships
- Calculate expected time and variance for each activity using a, m, b
- Draw the network diagram
- Do Forward and Backward Path Analysis
- Establish slacks and the critical path
- Calculate: expected duration = Σ expected activity times on critical path

Calculate: variance of duration = Σ variances on critical path