The Pert Mustang

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Page 9 | 37 CASE: THE PERT MUSTANG * A. Synopsis The owner of the Roberts’ Auto Sales and Service Company is interested in restoring a 1965 Shelby Mustang GT 350 for advertising a new restoration business she wants to start. The restoration project involves 22 activities and needs to be completed in 45 days so that the car can be displayed in an auto show. The owner wants an assessment of how the restoration business fits with the other businesses the company engages in, a report on the activities that need to be completed and their interrelationships, an assessment of whether the project can be completed on time, and a budget. B. Purpose This case provides enough data for the student to develop a PERT/CPM network for a project involving 22 activities. With this case, the class can: ❑ Discuss how well a new market segment can be satisfied with an existing operation. ❑ Gain experience in identifying the relationships between activities in a large project. ❑ Relate cost to the development of a project. C. Analysis 1. The restoration business, although entailing much of the skills and resources needed for the other market segments the company serves, needs to be evaluated carefully before making a commitment. Currently, the company has three car dealerships, two auto parts stores, one body/paint shop, and one auto storage yard. These operations would be useful for the restoration business. However, the nature of the markets served by these operations is not made explicit in the case. Some questions come to mind: a. Are the auto parts stores equipped to provide customers with “one-of-a- kind” parts? Restoration parts are hard to find and require access and familiarity with different information systems. b. Does the body/paint shop have the ability to do custom, high-quality work, with restoration of rusty parts, or is it a high-volume

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