CMPM
Difference Between PERT and CPM
Project management can be understood as a systematic way of planning, scheduling,
executing, monitoring, controlling the different aspects of the project, so as to attain the
goal made at the time of project formulation. PERT and CPM are the two network-based
project management techniques, which exhibit the flow and sequence of the activities
and events.
Program (Project) Management and Review Technique (PERT) is appropriate
for the projects where the time needed to complete different activities are not
known.
Critical Path Method (CPM) is apt for the projects which are recurring in nature.
The two scheduling methods use a common approach for designing the network and for
ascertaining its critical path. They are used in the successful completion of a project and
hence used in conjunction with each other. Nevertheless, the truth is that CPM is
different from PERT in a way that the latter concentrates on time while the former
stresses on the time-cost trade-off. In the same manner, there are many differences
between PERT and CPM, which we are going to discuss in this article.
Content: PERT Vs CPM
1. Comparison Chart
BASIS FOR PERT CPM
COMPARISON
Meaning PERT is a project management CPM is a statistical technique of
technique, used to manage project management that manages
uncertain activities of a project. well defined activities of a project.
What is it? A technique of planning and A method to control cost and time.
control of time.
Orientation Event-oriented Activity-oriented
Evolution Evolved as Research & Evolved as Construction project
Development project
Model Probabilistic Model Deterministic Model
Focuses on Time Time-cost trade-off
Estimates Three time estimates One time estimate
Appropriate for High precision time estimate Reasonable time estimate
Management of Unpredictable Activities Predictable activities
Nature of jobs Non-repetitive nature Repetitive nature
Critical and Non- No differentiation Differentiated
critical activities
Suitable for Research and Development Non-research projects like civil
Project construction, ship building etc.
Crashing concept Not Applicable Applicable
2. Definition
Definition of PERT
PERT is an acronym for Program (Project) Evaluation and Review Technique, in which
planning, scheduling, organizing, coordinating and controlling uncertain activities take
place. The technique studies and represents the tasks undertaken to complete a
project, to identify the least time for completing a task and the minimum time required to
complete the whole project. It was developed in the late 1950s. It is aimed to reduce
the time and cost of the project.
PERT uses time as a variable which represents the planned resource application along
with performance specification. In this technique, first of all, the project is divided into
activities and events. After that proper sequence is ascertained, and a network is
constructed. After that time needed in each activity is calculated and the critical path
(longest path connecting all the events) is determined.
Definition of CPM
Developed in the late 1950s, Critical Path Method or CPM is an algorithm used for
planning, scheduling, coordination and control of activities in a project. Here, it is
assumed that the activity duration is fixed and certain. CPM is used to compute the
earliest and latest possible start time for each activity.
The process differentiates the critical and non-critical activities to reduce the time and
avoid the queue generation in the process. The reason for the identification of critical
activities is that, if any activity is delayed, it will cause the whole process to suffer. That
is why it is named as Critical Path Method.
In this method, first of all, a list is prepared consisting of all the activities needed to
complete a project, followed by the computation of time required to complete each
activity. After that, the dependency between the activities is determined. Here, ‘path’ is
defined as a sequence of activities in a network. The critical path is the path with the
highest length.
3. Key Differences
The most important differences between PERT and CPM are provided below:
1. PERT is a project management technique, whereby planning, scheduling,
organising, coordinating and controlling uncertain activities are done. CPM is a
statistical technique of project management in which planning, scheduling,
organising, coordination and control of well-defined activities take place.
2. PERT is a technique of planning and control of time. Unlike CPM, which is a
method to control costs and time.
3. While PERT is evolved as a research and development project, CPM evolved as
a construction project.
4. PERT is set according to events while CPM is aligned towards activities.
5. A deterministic model is used in CPM. Conversely, PERT uses a probabilistic
model.
6. There are three times estimates in PERT, i.e. optimistic time (to), most likely time
™, pessimistic time (tp). On the other hand, there is only one estimate in CPM.
7. PERT technique is best suited for a high precision time estimate, whereas CPM
is appropriate for a reasonable time estimate.
8. PERT deals with unpredictable activities, but CPM deals with predictable
activities.
9. PERT is used where the nature of the job is non-repetitive. In contrast to, CPM
involves the job of repetitive nature.
10. There is a demarcation between critical and non-critical activities in CPM, which
is not in the case of PERT.
11. PERT is best for research and development projects, but CPM is for non-
research projects like construction projects.
12. Crashing is a compression technique applied to CPM, to shorten the project
duration, along with the least additional cost. The crashing concept is not
applicable to PERT.
4. Video
5. Conclusion
The difference between these two project management tools is getting blurred as the
techniques are merged with the passage of time. That is why, in most projects, they are
being used as a single project. The primary point that distinguishes PERT from CPM is
that the former gives the extreme importance of time, i.e. if the time is minimized,
consequently the cost will also be reduced. However, cost optimization is the basic
element, in the latter.
What is a Gantt Chart?
A Gantt chart, (commonly used in project management) is one of the most popular and
useful ways of showing activities (tasks or events) displayed against time. On the left of
the chart is a list of the activities and along the top is a suitable time scale. Each activity
is represented by a bar; the position and length of the bar reflects the start date,
duration, and end date of the activity. This allows you to see at a glance:
What the various activities are
When each activity begins and ends
How long each activity is scheduled to last
Where activities overlap with other activities, and by how much
The start and end date of the whole project
To summarize, a Gantt chart shows you what has to be done (the activities) and when
(the schedule).
Gantt Chart History
The first Gantt chart was devised in the mid 1890s by Karol Adamiecki, a Polish
engineer who ran a steelworks in southern Poland and had become interested in
management ideas and techniques.
Some 15 years after Adamiecki, Henry Gantt, an American engineer and project
management consultant, devised his own version of the chart and it was this that
became widely known and popular in western countries. Consequently, it was Henry
Gantt whose name was to become associated with charts of this type.
Originally Gantt charts were prepared laboriously by hand; each time a project changed
it was necessary to amend or redraw the chart and this limited their usefulness,
continual change being a feature of most projects. Nowadays, however, with the advent
of computers and project management software, Gantt charts can be created, updated
and printed easily.
Today, Gantt charts are most commonly used for tracking project schedules. For this it
is useful to be able to show additional information about the various tasks or phases of
the project, for example how the tasks relate to each other, how far each task has
progressed, what resources are being used for each task and so on.