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Resource limit

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Gowhar Mir
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Hi!

I want to know if there is a process to put a cap on the resources/month. For instance, I want to use only 1 million/month and stretch my activities accordingly. Is there any way, primavera can do this or indicate where I need to make changes?

 

Thanks

Replies

Zoltan Palffy
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you can apply a resource curve to the respurce of how you want that resource distributed over the length of the activity. This wil not solve your problem because the resouce still needs to be spent within the start and finisg date of the activity. Why dont you make either some WBS summary activities and or LOE activities and cost load them. It will be easier to manage a summary level activity instead of each individual cost for each activity. 

Gowhar Mir
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Thanks a lot guys. I am couple of months old P6 user. Go easy. I think I couldn't put my question clearly. So, here is an elucidated version. I am preparing a schedule that has two constraints: time and money spent/month. The schedule needs to be spread over 36 months which is very time consuming for a project like that. Normally, it is half of that time but because the client can't spend more than 1 million/month, we need to stetch the schedule. What I wanted to know is that, is there a way by which I can limit the cost/month and the activities will be spread accordingly or I can have an indication about the activites that need to be spread as such.

 

Thanks 

Rafael Davila
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A Project Schedule should consider all existing constraints including resource, supply, space, and financing constraints and should maximize resource utilization resulting in minimal project duration.

Setting resources availability on time basis is the most basic setting of all but dynamic resource production per activities is how it is done at the jobsite, so a good model shall adjust availability in a dynamic way. 

In most of our jobs we increase or decrease resource availability depending on how activities move instead of based on fixed time. Say for example contrete placing activities are delayed then the hiring/availability of concrete placing resources is delayed.

This applies to traditional renewable resources, to consumable resources, financial resources and spatial resources as well. 

David,

why two schedules?

In investment project model we include revenue phase and calculate NPV, IRR, payback period and everything that is required for proper investment analysis in one schedule.

David Kelly
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All,

Financial modelling with any project controls software is very tempting. Unlike a stupid spreadsheet, you cannot have a cost without a schedule.  So far so good. Almost inevitably if you complete the model, you need to consider revenue as well. Now you need two schedules for the same budget. Tricky.......

 

Rafael Davila
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To level Financial Constraints just set your Cost Centers (groups of cost components) to level and click.

Financial_leveling_01

Financial_leveling_02

Easy.

 

In his initial post Gowhar asked if it is possible to set resource availability by months. It is much more simple task than cost leveling. I was surprised when he wrote that real constraint is payment schedule.

I don't think that P6 can do financial leveling but expect that there is a way to set limits on resource availability by months.

Rafael Davila
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Financial resources leveling r01 from Rafael Davila
  • Your model shall allow for splitting all/some/none activities when resource leveling financial constraints as needed.  To apply the same split or no split rule to all activities does not makes sense in most jobs/portfolios.
  • The same goes with your Risk Model where every iteration must be resource leveled, including financial constraints. 
Tom Boyle
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If I remember correctly from a LinkedIn discussion that Vladimir and I participated in, this (resource/cost leveling on a monthly aggregate basis) seemed not readily achievable in P6.  That's because over-allocation is only ever determined on the basis of instantaneous resources per time.  (Even MSP allows period-averaging for leveling.)  If you could give it a think, David, I'd love to be proven wrong. t  

Gowhar Mir
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Thanks guys for the reply. Yes, I meant to resource level the project given I have a payment constraint. 

David,

thank you for the invitation.

I think that Gowhar will agree not stretch but delay some activities using resource leveling and asked how to set resource limits by months (availability in project). But maybe I did not understand his question correctly.

David Kelly
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Gowhar,

 

"Stretching" is the correct Primavera terminology for changing an activity's duration based on resource availability. This feature was discontinued in Primavera software 20 years ago. Vladimir will be along in a minute to explain how easy this is in Spider, and express his surprise that anyone would use software that cannot perform this simple function......

David

You need to break down your costs into activities so small you can resource level a solution.........