What is Critical Chain Project Management (CCPM)

Critical Chain Project Management: Running a project requires preparation and accurate calculations to maximize the implementation process and meet targets.

Usually, a project involves many parties, huge companies that carry out a project for the long term.

So that the project work process goes according to plan, the application of critical chain project management is something that must be noticed.

Although only a few are familiar with critical chain project management, the method developed by Eliyahu M. Goldratt in 1997 is one part of the theory that Goldratt created, namely TOC (Theory of Constraints), in solving problems when working on a project.

Critical Chain Project Management: Definition

In short, Critical Chain Project Management (CCPM) is a method for maximizing project management and planning and emphasizing resources that are considered necessary so that the project goes according to plan.

In applying the CCPM method, the main things to pay attention to are increasing costs, estimating time, making comparisons with techniques that have been used before, and providing a “critical path” when the project plan is almost deviated from the agreed plan, thus providing one time with a schedule. Very dense and tight so that the project objectives can be carried out correctly.

Critical Chain History

In 1997, Dr. Eliyahu M. Goldratt introduced the idea of Critical Chain Project Management (CCPM).

This concept is closely related to his theory of constraints, which focuses on identifying the key obstacles that impede the completion of a project.

The theory suggests that every project has a central constraint that has the potential to disrupt the entire project by breaking the weakest link.

Stages of Critical Chain Project Management

According to Techopedia, there are three stages in the Critical Chain Project Management method. The explanation is as below!

1. Planning

Estimating time and cost, thinking about the risks in the project work process, and planning critical tasks if needed later.

2. Execution

Focusing on the resources used in project implementation and prioritizing optimally to meet all the needs needed for the project.

3. Reviews

Conduct a review of each task of each division involved in project work, whether each has carried out its duties correctly and on target to what indicators affect each of these tasks.

The components of a critical chain

There are three main parts of a critical chain: the critical path, the feeding chain, and resource buffers.

1. Critical Path

The critical path is a sequence of interdependent tasks that must be completed in a specific order to finish a project. These tasks are deemed essential for the project’s success.

The critical chain method emphasizes the distinction between different types of dependencies. The critical path includes the most crucial dependencies, or tasks that are vital for the project’s success.

Tasks that do not impact the critical path are assigned to another path, known as the feeding chain.

2. The Feeding Chain

The feeding chain is a sequence of interdependent tasks that must be completed concurrently with the critical path. These tasks eventually merge with the critical path, as they only affect one of the tasks on the critical path.

The feeding chain needs to run simultaneously with the critical path to avoid any delays.

For example, in a simple scenario of planning a work party, the critical path would include the following tasks:

  • Decide on a theme
  • Send out party invites
  • Find a venue
  • Host event

However, there are other tasks that must be done in parallel with the critical path, such as:

  • Decide who to invite, before sending out party invitations
  • Purchase decorations according to the theme, before hosting the event
  • Set up the event, before hosting the event.

These are all examples of tasks that are in the feeding chain and need to happen in parallel with the critical path to make sure that there’s no delays in the critical path.

3. The Resource Buffer

Buffers are built-in safety measures within the resources of the critical chain to ensure a smooth project execution. Like bumpers in bowling lanes, these buffers are meant to provide extra room for error in case something goes wrong.

The critical chain project management methodology commonly uses three types of buffers:

1. Project buffers: Additional time added between the final task and the end of the project. This extra time gives team members an opportunity to catch up on any unfinished tasks.

2. Feeding buffers: Additional time added between the feeding chain and the critical chain. This buffer prevents any delays from the feeding chain from impacting the critical chain.

3. Resource buffers: Additional resources set aside in case the critical chain requires extra supplies such as additional team members, equipment, or third-party assistance.

Critical Chain and Critical Path Differences

The critical path is a sequence of interdependent tasks that must be completed in a specific order to finish a project. These tasks are deemed essential for the project’s success.

The critical chain method emphasizes the distinction between different types of dependencies. The critical path includes the most crucial dependencies, or tasks that are vital for the project’s success.

On the other hand, Buffers are built-in safety measures within the resources of the critical chain to ensure a smooth project execution. They are meant to provide extra room for error in case something goes wrong.

There are three types of buffers commonly used in the critical chain project management methodology: Project buffers, Feeding buffers, and Resource buffers.

In summary, the critical path is the sequence of tasks that are essential for the project’s success, while the buffers are the safety measures within the resources of the critical chain to ensure a smooth project execution.

Key Differences In Summary

While they sound similar in theory, the critical chain and critical path methods are quite different.

The critical path method:

  • Focuses on a single sequence of the essential project tasks
  • Allows project teams to identify the ideal workflow to ensure the successful completion of a project within its estimated timelines
  • Removes any task that is not included on the critical path from the priority list

In the critical chain methodology:

  • The greatest importance is placed on the resources required to complete a project
  • Excess resources are included in the project, acting as resource buffers
  • If the team hasn’t utilized any additional resources or resource buffers, it is considered to be moving ahead successfully

While the critical path focuses on project scheduling, the critical chain is more concerned with the resources needed to complete the project.

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