Essay on Two Business A2 Level Critical Path Analysis Questions

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Q1) Discuss the benefits to Balfour Beatty of using critical path analysis in order to plan its construction projects. (15 marks) Critical path analysis identifies the most efficient and cost effective way of completing a complex project. The various activities which together will make up the project are identified, and the order of these activities are identified. Then, the duration of each activity is estimated and these factors are then arranged as a network or graph, showing the whole project from start to finish, and showing which tasks can happen at the same time. The sequence of tasks which have to be done one after another with no gaps in between is called the Critical Path. One benefit of Critical Path analysis to Balfour…show more content…
Q2) Evaluate the main difficulties faced by Balfour Beatty and other construction companies in their use of CPA to plan their projects. (15 marks) Critical path analysis identifies the most efficient and cost effective way of completing a complex project. The various activities which together will make up the project are identified, and the order of these activities are identified. Then, the duration of each activity is estimated and these factors are then arranged as a network or graph, showing the whole project from start to finish, and showing which tasks can happen at the same time. The sequence of tasks which have to be done one after another with no gaps in between is called the Critical Path. One difficulty of using Critical Path Analysis is that unless critical activities are identified and supervised closely, there’ll be delays to the whole project. Critical path analysis puts pressure on mangers to manage effectively and meet deadlines. If, for example, Balfour Beatty was unable to get hold of a particular piece of equipment when needed, the whole project could be delayed by the amount of time that it takes to get the equipment. This means that there will be many employees being paid with no output and the whole project is delayed with doesn’t usually bode well with the customer. A second difficulty of using Critical

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