Running head: CRITICAL CHAIN VS. CRITICAL PATH 1
Critical Chain vs. Critical Path
Cheryl Koznetski
Liberty University
MGMT 645-B01
CRITICAL CHAIN VS. CRITICAL PATH 2
Abstract
The paper provides a review of the Critical Chain and Critical Path methods of Project
Management. Each method presents both pros and cons of utilization present in academia.
Project managers have to consider project team dynamics, leadership styles, objectives, and the
goal of the project when determining which method will be the most successful in completing
tasks on time and budget, or ahead of schedule. The decision of which method resides with the
project manager, relying on planning and scheduling knowledge and experience. Proverbs 16:9
(English Standard Version Bible) teaches “In their hearts humans plan their course, but the Lord
establishes their steps”, follow the way of the Lord throughout your days and success will come
forth to meet our goals.
Keywords: Critical Chain, Critical Path
CRITICAL CHAIN VS. CRITICAL PATH 3
Critical Chain vs. Critical Path
Planning and scheduling projects can take multiple approaches as the field of Project
Management offers several methods both manual and technological. Software programs exist
which provide output to assist with identifying time, resource-leveling, critical path, and buffer
management when scheduling a project. Project Quality Management (McGraw-Hill, 2020)
hypothesizes the practice and theory of project management are wrought with problems leading
to a majority of project failures. The objective is to fully understand the core problems and
underlying causes by taking a systems approach, otherwise, any solution proposal may cause
more issues than solutions (McGraw-Hill Create, 2020). Academic research in both single and
multiple project planning and control reveals the weaknesses of the Critical Path Method (CPM)
finding practitioners overlook their behaviors as contributing factors to project problems. The
concept of Critical Chain calls for resource managers to divert focus from duration to early
completion of multiple activities and recognize the result achievements.
Planning, scheduling, and executing projects do not follow the same approach for every
project. Once organizations determine which projects to undertake, the process of planning
begins. Strategic objectives, budget, goals, scope, and deliverables establish the premise of the
project. A project manager receives the time estimates from the team and develops the timeline,
schedule, and critical path to share with the stakeholders to achieve the desired result. “Without
counsel plans fail, but with many advisers they succeed” (Proverbs 15:22, English Standard
Version Bible). As the project activities commence, the team focuses on the schedule and
through ongoing communication works to complete the components of the project on time or
ahead of schedule.
CRITICAL CHAIN VS. CRITICAL PATH 4
Practitioners with knowledge and experience can use the methods of Critical Path and
Critical Chain to build the chain while also using intuition when scheduling a project to
completion.
Critical Path
The Critical Path Method (CPM) is a technique by which project scheduling can take
place. CPM is one of the most popular diagramming methods in project management to identify
critical activities and to calculate the minimum time to project completion (Soe et al., 2018).
Doskocil (2016) finds CPM is the most used method of time analysis. CPM’s first use was by
the Dupont Company in 1957 to assist with manufacturing plant rebuilds (McGraw-Hill Create,
2020). The Dupont Company was willing to take a risk and try something new as found in
Hebrews 11:1 (ENGLISH STANDARD VERSION BIBLE) “Now faith is the assurance of
things hoped for, the conviction of things not seen”, for it was through faith the new CPM
methodology was a success. CPM also provides the ability to apply sequencing to activities.
Project managers can link tasks throughout the plan providing visibility to the logical
relationships and order in which tasks are to be complete.
During the CPM design, Soe et al., (2018) theorize the technique focuses on forward pass
and backward pass calculations to find the parameters of activities of earliest time, latest time,
and flexibility of the path. One of the drawbacks of CPM is the need to create network diagrams
to determine the minimum project duration, however, software programs are available to
calculate and create diagrams on the basis of data input (Soe et al., 2016). “The most important
benefit of the CPM deterministic assumption may be facilitating the use of optimization models
for trading off time and cost and for sequencing” (Soe, et al., 2016). Once the team completes
the development of the timeline, alignment with stakeholders occurs to establish the project
CRITICAL CHAIN VS. CRITICAL PATH 5
completion estimate. The Critical Chain Project Management (CCPM) method follows the same
basic process, the timeline development takes a different approach considering resource-leveling
ideology.
Critical Chain
In the initial phases of planning, project managers have the task of developing a plan that
will deliver a successful outcome. Projects, regardless of size or complexity, have unreliable
task durations and encounter additional costs. Planning and control require a robust plan to
ensure a project delivers by the due date agreement and within budget. Critical Chain Project
Management method, like CPM, is highly recognized in the practice of project management
regarding scheduling. Goldratt brought about CCPM as an application of the Theory of
Constraints in the project management discipline (Ghoddousi et al., 2017). According to Ma et
al., (2019), CCPM has two main components in implementation, buffer management, and critical
chain scheduling. The original timeline end date remains intact, however, the concept of CCPM
introduces the reduction of activity time by fifty percent to create a buffer protecting the original
plan from unforeseen disruptions. The consumption of the buffer applies to the execution phase
to cover issues such as resource constraints, or dependency delays. Managing the buffer usage is
a key PM task ensuring critical tasks and non-critical tasks intersecting with the critical path
receive prioritization. PMs need to consider the work habits of the team, resourcing allocations,
manage time closely, and communicate upcoming task start dates and end dates to ensure the
tasks are on track. Both the CPM and CCPM methods are useful in project management and
knowing each can help determine which method aligns with the project dynamics.
Critical Path or Critical Chain
CRITICAL CHAIN VS. CRITICAL PATH 6
Depending on the circumstances and the scope of the project, the PM will decide which
method to use for a given project, CPM, or CCPM. CPM approaches a project timeline as a
series of tasks to perform in sequential order within a specific timeline and budget. The CP does
not allow for delays or shortening of the path without delaying the entire project (Strange, J.,
2021). All activities within the tasks are critical, therefore, delays in activities will delay the
tasks in the critical path for the same length of time, leading to a project timeline overrun
(Strange, J., 2021).
In comparison, the CCPM method analyzes the schedule network and adds time between
predecessor and successor activities creating one longer activity known as a milestone (Strange,
J., 2021). The activities contain slack which enables the completion date.
The authors’ experience consists mostly of CCPM projects. Timelines and schedules
include a buffer to ensure milestones are attainable. When tasks are complete ahead of schedule,
successor tasks begin if ready, retaining the buffer for future use. Otherwise, non-critical
activities start to fill the time until the next critical task can begin. “For nothing will be
impossible with God” (Luke 1:37, English Standard Version Bible) Experience with CPM
timelines are usually for known, predictable timeline projects. Projects that are recurring follow
a sequence of events and with higher certainty will complete on time. An example of such a
project would be adding a new factory location to a third-party hosted requisitioning software
application. This process is a small project with a set finish date and cost following a sequential
series of tasks to add the location, train the Users, and productionize the factory in the existing
tool. This project requires collaboration between the hosting vendor and the organization
adhering to an existing service agreement contract. All stakeholders and project team members
are knowledgeable and have experience with the process to enable success.
CRITICAL CHAIN VS. CRITICAL PATH 7
Conclusion
Critical Path and Critical Chain methods share the same goal to finish a project on time
and within budget. However, each method executes in differing ways. Critical Path focuses on a
sequential order of activities all critical and any slippage will affect the entire project timeline
resulting in delays. Critical Chain reduces the time allotment for each activity to create a buffer
throughout the execution phase to address unforeseen occurrences that require additional time.
The activities join together to create a milestone with specific due dates to keep the project on
schedule. Both methods are in practice in the project management discipline and PM’s having
the knowledge and experience in both will enable the decision to use where the project dynamics
support the delivery approach. For in Proverbs 19:2 (ENGLISH STANDARD VERSION
BIBLE), Scripture says “Desire without knowledge is not good, and whoever makes haste with
his feet misses his way”. It is important to analyze and take the time to make the right decision
before beginning to plan a project.
CRITICAL CHAIN VS. CRITICAL PATH 8
References
Doskocil, R. (2016). The Level of Use of Project Management Methods, Techniques and Tools
and Their Impact on Project Success - Selected Region of Czech Republic. Periodica
Polytechnica.Social and Management Sciences, 24(1), 14-24.
http://dx.doi.org.ezproxy.liberty.edu/10.3311/PPso.8236
English Standard Version Bible. (2021). www.ESV.org
Ghoddousi, P., Ansari, R., & Makui, A. (2017). A risk-oriented buffer allocation model based on
critical chain project management. KSCE Journal of Civil Engineering, 21(5), 1536-
1548. http://dx.doi.org.ezproxy.liberty.edu/10.1007/s12205-016-0039-y
Ma, G., Hao, K., Xiao, Y., & Zhu, T. (2019). Critical chain design structure matrix method for
construction project scheduling under rework scenarios. Mathematical Problems in
Engineering, 2019, 1-14. https://doi.org/10.1155/2019/1595628
McGraw-Hill Create (2020). Project Quality Management. Upper Saddle River, NJ: McGraw-
Hill Education
Strange, J., 2021. Critical Path vs Critical Chain: Concept, Differences, Examples |
ProjectPractical.com. [online] ProjectPractical.com. Available at:
<https://www.projectpractical.com/critical-path-vs-critical-chain-concept-differences-
examples/
Powered by TCPDF (www.tcpdf.org)