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Pert Vs. Monte Carlo


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Question 3 – PERT Discussion

D) The Program Evaluation and Review Technique (PERT) was developed by Booz-Allen Hamilton, Lockheed Martin and the US Navy for the Navy’s Polaris project in 1958. Although the Polaris project was completed before its estimated completion date and under budget, we are not certain that this can be attributed solely to PERT, but PERT was used more widely on future projects after the success of the Polaris project. PERT became popular around the same time computers were progressing from the mainframe to mini-computers. During the evolution of computer technology, advanced programs were developed to provide further probabilistic estimates via simulations (Monte Carlo Analysis).

B) PERT assumes the Beta probability distribution to calculate the expected time of an activity within a network. PERT requires that for each activity, three duration estimates are needed (optimistic, most likely, pessimistic). This distribution is used for PERT since......

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Approximate Word Count: 2294
Approximate Pages: 9 (260 words per double-spaced page)

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