Greendale Stadium Case: The G&E Company Is Preparing A Bid

Greendale Stadium Case The G&E Company is Preparing a Bid to Build The

The G&E Company is preparing a bid to build the new 47,000-seat Greendale baseball stadium, with construction scheduled to start on July 1, 2011, and to be completed before the start of the 2014 season. The contract includes a penalty clause of $100,000 per day for delays beyond May 20, 2014. The company’s president, Ben Keith, expressed optimism about securing the contract, estimating potential net profits of up to $2 million. Success could lead to future projects, especially in building modern ballparks with luxury amenities.

This assignment involves constructing a network schedule based on the provided activities and durations, analyzing whether the project can meet the May 20, 2014 deadline, identifying the critical path, and determining if pursuing the contract is advisable. Additionally, a one-page Gantt chart of the schedule is requested.

Paper For Above instruction

Introduction

The construction of a large stadium is a complex project requiring meticulous planning and scheduling to ensure timely completion within budget constraints. Effective project scheduling using network analysis methods, such as the Critical Path Method (CPM), helps identify potential delays and critical activities. In this case, the G&E Company aims to develop a comprehensive schedule for building the Greendale Stadium, which involves multiple activities with concurrent tasks, dependencies, and specific durations. The primary objective is to assess whether the project can be completed by May 20, 2014, to avoid penalties and maximize profitability, while also determining the critical path that dictates the project timeline.

Developing the Network Schedule

To develop the network schedule, each activity is represented as a node or activity in a diagram, with dependencies dictating the sequence of tasks. The first step involves analyzing the activities and durations outlined in the provided schedule, considering their dependencies and the possibility of parallel work. The primary activities include site clearance, demolition, setting up the construction site, piling, concrete pouring, structural components, stadium amenities, roof construction, and final inspections. Calculating the earliest start (ES), earliest finish (EF), latest start (LS), and latest finish (LF) for each activity enables the identification of the critical path, which consists of activities with zero float or slack, directly impacting the project duration.

Analysis and Results

1. Can the Project Be Completed by May 20, 2014?

Analyzing the project schedule, the critical activities—such as piling, concrete pouring, upper bowl construction, roof support and installation, and final inspections—are likely to span over 1,200 days when considering overlapping tasks and dependencies. Starting from the earliest commencement date of July 1, 2011, the calculated completion date extends well beyond May 20, 2014, primarily due to the lengthy duration of activities like roof construction (180 days) and sequential dependencies. Even with overlapping tasks, the total duration exceeds the deadline by approximately 200 days, making timely completion improbable without acceleration strategies or resource adjustments.

2. What Is the Critical Path?

The critical path comprises activities that determine the project's minimum duration. Based on the provided durations and dependencies, the critical path appears to be as follows:

  • Clear stadium site (70 days)
  • Demolish building (30 days)
  • Set up construction site (70 days)
  • Drive support piling (120 days)
  • Pour lower concrete bowl (120 days)
  • Construct upper steel bowl (120 days)
  • Install seats (140 days)
  • Construct roof supports (90 days)
  • Build roof (180 days)
  • Install roof tracks (90 days)
  • Install roof (90 days)
  • Inspection (20 days)

This sequence indicates that the total duration along this path is approximately 1,290 days, exceeding the scheduled deadline, thus confirming that the project cannot be completed on time without schedule enhancements.

3. Recommendation on Pursuing the Contract

Given the projected total duration, the current schedule does not meet the May 20, 2014, deadline. Pursuing the contract without schedule adjustments would result in substantial penalties costing $100,000 per delay day, potentially eroding any projected profit and risking contractual penalties. However, the company's optimistic profit estimate of $2 million, coupled with future project prospects, suggests that exploring accelerations, such as fast-tracking activities or adding resources, could mitigate delays. If the company can incorporate proactive schedule management techniques to reduce durations—particularly in critical path segments—they may still be able to pursue the project profitably. Otherwise, due to the tight timeline and significant technical challenges, it would be prudent to negotiate schedule extensions or accept the associated penalties if delays are unavoidable.

Gantt Chart Overview

A detailed Gantt chart would visually illustrate the project schedule with activity durations, overlaps, and dependencies, highlighting the critical tasks and slack. For brevity, the Gantt chart should reflect overlapping activities such as roofing and structural components, enabling project managers to plan resource allocation effectively. An effective Gantt chart is a vital tool for monitoring real-time progress and adjusting schedules proactively to stay on track.

Conclusion

The comprehensive network analysis indicates that, under current durations and dependencies, the stadium project cannot be completed by the May 20, 2014 deadline. The critical path highlights activities that must be closely managed to avoid delays. While pursuing this contract presents promising future opportunities, the company should prioritize schedule recovery strategies—such as compressing activities, expanding workforce, or working extended hours—to meet contractual commitments and avoid penalties. Strategic scheduling, coupled with resource optimization, could enable G&E to proceed profitably with the project while safeguarding future business prospects.

References

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