PERT vs CPM: What’s the Difference and When to Use Each?

Are you confused between PERT and CPM programs and their implementation? Let’s discuss the two programs, Program Evaluation and Review Technique (PERT) and Critical Path Method (CPM). If you want to learn about their meaning, the key differences, and the purpose in the long term. In this article, you can explore their integration into businesses.

Meaning of PERT

The U.S. Navy, in collaboration with Lockheed Corporation and Booz Allen Hamilton, developed the Program Evaluation and Review Technique (PERT) in 1958. The Polaris missile program is a significant and complex defense project; hence, the PERT program was created to effectively manage the program. There were several interrelated activities and tasks; the programs effectively helped managers to deal with them.

PERT is an activity that is used to understand the planning, arrangement, scheduling, coordination, and governance of a project in large-scale industries. The meaning of this program reflects its technique for completing projects, evaluating the time period required to complete them.

Meaning of CPM

Another technique significant to a business, the Critical Path Method (CPM), is important in project management. CPM is a model that uses an algorithm which has been developed by Morgan Walker and James Kelly in the 1950s.

The technique is significant in determining the critical and non-critical tasks. This determination helps in reducing bottlenecks and preventing conflicts. It also contributes to the Sustainable Development Goals (SDGs) of a business. It helps choose a path in the project, thus establishing tasks in such a way that no time is wasted.

Differences Between PERT and CPM

There are various situations, like milestones, tasks, and others, which are categorized between PERT and CPM. In the evaluation of the main differences between the two programs, professionals contribute to the Corporate Social Responsibility (CSR). Below is the tabular form of the main differences between PERT and CPM, reflecting their significance in project management. 

Features	PERT	CPM
Focus	Events	Activities and tasks
Time estimation	Probabilistic/ uncertain	Deterministic/ certain
Application	Scheduling and controlling of non-repetitive projects that are uncertain	Managing time tradeoffs and cost in predictable projects
Project Type	Ideal for new projects with an uncertain timeline	Ideal for new research projects with a predictable timeline
Uncertainty Handling	Explicit accounts during activities that are uncertain	There is no uncertainty during activities

 

How to Make a PERT Chart?

Do you want to learn about how to make a PERT chart? Here a detailed steps that you can follow to effectively prepare a PERT chart. These steps will help in the effective evaluation of project management.

• You have to recognize specific milestones and projects
• Decide the specific sequence of the project
• You then have to create a network diagram
• Then, determine the specific time needed for each project activity
• Managing the critical path is the next step
• Finally, you need to update the PERT chart as the project progresses

Significance of PERT and CPM in Project Management

Both the programs, PERT and CPM, are significant in effective planning and scheduling. They help managers in planning, organizing, and scheduling various project activities systematically. It ensures that all tasks and economic and non-economic activities are completed right on time and in chronological order.

Furthermore, they help in the identification of the critical path and, accordingly, highlight an estimated time for every activity. These techniques effectively help managers in allocating manpower, finance, resources, and materials for every project.

Wrapping Up!

In conclusion, both the programs, PERT and CPM, are significant in project management. They help businesses and teams to identify individual paths, inserting the duration for each node. Overall, the critical path to complete the project is decided with the integration of these programs. 

Read More 

• Guide to the Differences Between Public and Private Sectors!
• Top Features of Indifference Curve Explained & Significance
• Sales and Marketing Differences: Full Comparison Guide
• Capital Reserve vs Revenue Reserve - What’s the Difference?
• Differences between Bookkeeping and Accounting Simplified!
• What is Monetary Policy? Types, Tools & Economic Impact

Frequently Asked Questions on PERT vs CPM

Which technique is better for construction or routine projects?

CPM is a better technique for repetitive or construction projects because it focuses on cost optimization, well-established time management of activities.

What type of time estimates does PERT use?

Mostly, PERT uses three time estimates, namely pessimistic, optimistic, and most likely; thus, calculating the expected duration for each task.

Does CPM consider uncertainty in project duration?

No, CPM does not consider any uncertainty in project duration. Instead, they are focused on a specific time duration for each activity.

What is the main objective of using CPM?

The main objective of using a CPM is to reduce the project cost and duration by highlighting the significant activities. Once highlighted, an estimated time is calculated for each activity so that the project completion time can be estimated and finalized.

Can PERT and CPM be used together?

There are several projects where managers use both CPM and PERT together to control, manage, monitor, and plan project timelines effectively. It helps in the timely delivery of work and optimal resource utilization.