Risk taking in stochastic PERT networks (Q2367367)

The paper introduces a new concept of defining a critical path in a PERT network with stochastic activity durations. For a given disutility function of a project manager a path is called critical if it has the greatest expected disutility. The author presents efficient methods for the identification of a critical path in the case of linear and exponential disutility functions, and independent activity durations. Moreover, it is shown how to determine the maximum fixed duration of an activity that does not change the critical path. Some results of the paper are similar to those known from the literature on shortest path problems in stochastic acyclic networks.