1. Using Project Execution Management
  2. Fixed Effort Projects

Fixed Effort Projects

In fixed effort projects, project managers can add tasks and specify the effort. The task effort is fixed and the task duration varies based on the number of resources assigned to the task and their allocation. Typically, you should create fixed effort projects when you have a tight budget for labor resources or when the availability of the required resources is crucial.

Note: You can create a project that has both fixed duration and fixed effort tasks.

Fixed Effort Project Creation

To create a fixed effort project, select Fixed Effort in the Schedule Type list on the Create Project dialog box when creating a project.

To convert a fixed duration project to a fixed effort project, click Manage Project Details in the panel tab and update the schedule type of the project on the Edit Project Details page.

Note: Project application administrators can use the Manage Project Management Implementation Options setup task to assign the default schedule type for all new projects in the organization.

When you use fixed effort schedule type, the effort remains constant when you change start and finish dates, or allocation. Let's update the allocation of Smith to 80 percent. The application automatically updates the duration to 17 days, and the finish date to 20 Dec, 2017.

Fixed Effort Project Management

Project managers can create tasks and specify the effort. When you modify the number of resources and their allocation, the duration is automatically updated. When managing tasks, keep in mind the following:

  • When you assign resources, the default allocation is populated based on the allocation defined on the Manage Project Resources page.

  • Duration is calculated based on the project and resource calendars. So, if it's a nonworking day in the project calendar or the resource calendar, duration is extended.

  • When the Define Common Financial Task Dates Across Work and Financial Planning check box is selected and you modify task dates from any other source other than Manage Project Plan page, then on subsequent rescheduling using the Update action, dates are preserved and resource allocations are recalculated. If the check box isn't selected, then dates are rescheduled but resource allocations remain as is.

Example of Fixed Effort Project Management

Here's a table that shows tasks along with Start, Effort and Labor Resources. It also contains the calculated Finish and Duration when the resource calendar has:

  • 5 working days per week, 8 hours per day

  • December 6, 19 as a nonworking day for Anthony

  • Saturdays and Sundays are nonworking days for all resources

Task

Effort (In Hours)

Labor Resource and Allocation

Start

Finish

Duration (In Days)

Builder 1

8

Smith [50%]

25-Nov-19

26-Nov-19

2

Builder 2

16

Smith [100%], Anthony [100%]

27-Nov-19

27-Nov-19

1

Builder 3

72

Anthony [100%]

2-Dec-19

13-Dec-19

10

Let's take a closer look at the examples. In case of the task Builder 1, there's one resource with 50% allocation and Effort of 8 hours. And, because the working hours are 8 hours per day, here's how the Duration is calculated:

Duration = Effort/Resource Allocation = 8 / (8*0.5) = 2.

In case of the task Builder 2, there are 2 resources assigned with 100% allocation and Effort is 16 hours. And, because the working hours are 8 hours per day, here's how the Duration is calculated:

Duration = Effort/Resource Allocation = 16 / (8+8) = 1.

In case of the task Builder 3, there's one resource with 100% allocation and the Effort is 72 hours. And, because the working hours are 8 hours per day and Anthony isn't working on December 6, 2019, here's how the Duration is calculated:

Duration = (Effort/Resource Allocation) + Nonworking days = (72/8) + 1 = 10.

Also, notice that work hasn't been calculated for December 7, 2019 and December 8, 2019 because they're Saturday and Sunday, which are nonworking days in the resource calendar.