12/10/2020 4 Steps for Applying Critical Chain Method

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4 Steps for Applying Critical Chain Method

2 min. read
During the Develop Schedule (https://blog.masterofproject.com/develop-schedule-
process/) process, which is the 6th process of Time Management Knowledge Area,
the outputs of the Time Management processes occurred before are organized and
the nal schedule of the project is produced
(https://blog.masterofproject.com/project-management-process-groups/). This is
the key output of the Develop Schedule process. After the schedule is created, it’s
time to analyze it!  So that’s why the schedule network analysis will begin afterward.
And as listed in it the PMP training course (http://masterofproject.com/p/pmp-
bundle), it may take multiple forms or it may be applied with different analysis
methods. One of these methods is called Critical Chain.

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12/10/2020 4 Steps for Applying Critical Chain Method

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Critical Chain Method vs Critical Path Method

Now, as you may have guessed from its name, Critical Chain Method is related to
Critical Path Method. Before describing what Critical Chain Method is, let’s brie y
remember what Critical Path (https://blog.masterofproject.com/critical-path-
method/) method was. After we have de ned the relationship of project activities,
we were then connecting these activities to create the network schedule of the
project. Then the last step was to determine the longest path to nd critical path.

Critical Chain Method was developed by Eliyahu M. Goldratt. The approach of CCM
is different than Critical Path. Let’s see how these two methods differ.

In the Critical Chain Method, a network diagram

(https://blog.masterofproject.com/network-diagrams/) is created rst. Then the
second step is to develop the schedule by assigning each activity to occur as late as
possible to still meet the end date. The third step is adding the resource
dependencies. Finally, the critical chain is calculated.

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The Advantages
But why using Critical Chain Method? What are the bene ts? As we know, you will
not have unlimited project resources in a project. These resources might be people,
equipment, or physical space, etc. Even if there is not a mandatory dependency
between the activities, sometimes the same resource may perform the activities.
So this creates a dependency between the resources. This is why all of these
dependencies must be considered in critical chain method as well.

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12/10/2020 4 Steps for Applying Critical Chain Method

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Note that, in this method, the buffers should be added to critical tasks. What’s the
objective of doing that? Because if there are risks that may cause project activities to
take longer, these must be re ected in planning to create a realistic and attainable
schedule.

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12/10/2020 4 Steps for Applying Critical Chain Method

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Critical Chain Method

Review by: Catherine Stewart

5 / 5 stars

Related Posts

(https://blog.masterofpro (https://blog.masterofpro (https://blog.masterofpro

ject.com/pmp-time- ject.com/develop- ject.com/pmp-critical-
management/) schedule-process/) path-method/)
7 Processes of PMP Time Develop Schedule Process: Learn PMP Critical Path Method - How
Management Knowledge Area the Objectives, Inputs and to Calculate Critical Path?
(https://blog.masterofproject.co Outputs (https://blog.masterofproject.co
m/pmp-time-management/) (https://blog.masterofproject.co m/pmp-critical-path-method/)
December 6, 2020 m/develop-schedule-process/) December 6, 2020
In "PMP" December 6, 2020 In "PMP"
In "PMP"

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5 Critical Steps of Project Management Process |

Project Management Process Groups
6 min. read
There are many processes going on in project management. Various project
management process helps to manage a project in a structured and healthy way. In
order to nish the project with desired outcomes, a framework should be set and
during the project life cycle (https://blog.masterofproject.com/project-life-cycle/),
these project management processes should be implemented accordingly. For
instance, what needs to be in hand to determine a budget, what is required to
complete the schedule, how the quality requirements will be determined?

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These are all accomplished with the help of the project management process.

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What is the project management process? Which process groups are included the
project management process? What is the relationship between these project
management process groups?

Let’s begin with a brief overview of the project management

(https://masterofproject.com/blog/91304/why-project-management?
affcode=39817_nelcro7d) process groups.

What Are the Project Management Process

Groups?
In the project management process, there are process groups named “project
management process groups”. We can state ve project management process
groups. These project management process groups and their activities are:

Initiating Process Group Activities: These activities mainly help to initiate a

project.
Planning Process Group Activities: These activities ensure proper planning of
the project.
Executing Process Group Activities: These activities help in managing the
project work and help in producing the work or deliverables of the project.
Monitoring & Controlling Process Group Activities: These activities help the
successful progression of projects. Monitoring and controlling activities check
whether the project goes as planned, whether there are deviations from the
expected results. If there are deviations, project management aims to correct
the variances to meet the project objectives.
Closing Process Group Activities: These activities help to nalize project
activities, document closing paperwork and complete the project successfully.

Note that, project management processes

(https://blog.masterofproject.com/project-management-processes-pmp-list/) are
documented and controlled by the help of project management templates
(https://masterofproject.com/p/project-management-templates-downloadable).

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12/10/2020 4 Steps for Applying Critical Chain Method

You can see sample free project management templates

(https://masterofproject.com/p/free-project-management-templates) to have an
idea of how they work.

What is Project Management Process?

The project management processes de ne “what to do when” in a project. There are
several activities from the initiation until the closure of a project. Each of these
activities has a sequential order as well. For instance, can you purchase a tool that
will be used in a project before the initiation of the project? Naturally, the answer is
negative. Can you assign the resources of the project before completing the project
plan? The answer is again the same. Therefore, the activities which will be done and
the steps which will be completed are all de ned in an organized and structured
manner. And this is done with the help of the project management processes.

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But project management processes do not only de ne “what to do when” in a

project. They also de ne “what you have to do” in order manage the project. So these
processes also de ne what will be the inputs and outputs to complete an activity.
For instance, the process of determining the budget will help the project manager to
understand what she or he needs to do for completing the budget estimation of the
project.

The Sequential Order

As we have stated above, there should be a particular order of project management
processes to complete the whole project. This order is:
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The rst step: Initiating

At this stage, the necessary business case for starting the project is shaped. Then,
sponsor of the project, who will nancially support it, will initiate the project start.
The project manager will be assigned to manage and coordinate project activities.

The second step: Planning

At this stage, end-to-end project planning is completed. This plan includes cost
management, scheduling, quality management, resource management etc. details of
the project.

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12/10/2020 4 Steps for Applying Critical Chain Method

The third step: Execution

This is the stage where the actual project output is delivered. Project deliverables
are produced and delivered to the customer at this stage.

The fourth step: Monitoring and Controlling

This stage actually interacts with all other stages. Because the main purpose of this
stage is checking whether the project progresses as planned. If there are any
deviations from the planned targets or metrics, corrective and preventive actions
regarding them are needed to be taken respectively.

Fifth and the last step: Closing

At this stage, project activities are nalized, the paperwork for completing the
project is nished. Lessons learned
(https://blog.masterofproject.com/2017/02/24/lessons-learned-project-
management/) documentation is nalized and archived in the organizational process
assets of the company.

Interaction of Project Management Process

Groups

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This gure illustrates the interaction of project management process groups with
each other. As you see, entering phase is the start of the project. Once a project
starts, initiating processes are triggered. These processes will help to initiate the
project successfully.

Then, planning processes will take place and project planning will be done. Once the
planning nishes, project execution starts. During project execution, deliverables of
the project are produced and delivered to the customer. As you see in the gure,
planning processes and executing processes are in a loop. Because based on the
actual outputs and actual results of the project, re-planning or re-adjustments might

https://blog.masterofproject.com/critical-chain-method/ 14/27
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be needed to reach the project objectives. For instance, if the project is exceeding
the budget which was planned in the beginning, corrective actions and re-planning
must be done to correct these deviations.

The last step is the closing process, this will help for completing the project.
Monitoring and Controlling processes cover the processes of other four process
groups. Because monitoring and controlling are done from initiation until end of
the project. In order to complete a project successfully, the progress, the metrics
and the measurements of the project must be taken into account. The reason behind
this is to see whether everything is going as planned at the beginning.

The Level of Process Interaction in a Project

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This gure shows the level of process interaction over the time in a project, or in a
phase of a large project.

Initiating process group is active at the very beginning of the project, also its level
is lower compared to other process groups.

Once the level of the initiating process group starts to decline, the level of planning
process group activities starts to increase. Then the executing process group
follows the planning process group and it reaches the highest level of interaction
among all process groups. The last process group which is towards the end of the
project or phase is the closing process group.

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The monitoring and controlling process group have the longest duration in terms of
process interaction in a project or phase. As we mentioned already, the main reason
of this is monitoring and controlling processes check all other process groups
whether the project is healthy and will meet its objectives. 

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Review by: Aeron Barnes
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