CTAN for Risk Assessments Using Multilevel Stochastic Networks

Abstract

Measuring projects’ cost and schedule risks in an integrated framework using simulation has several modeling challenges that have yet to be addressed by researchers. This paper presents a multilevel network modeling approach that aims to integrate a combination of different networks in one framework, and presents a computer simulation implementation to the cost and time risk assessment network (CTAN). The CTAN is an integrated network that includes uncertainties in the realization of the schedule logic, in activities durations, in project scope, and in cost. The simulation model is a decision support simulation system (DSSS) that currently consists of three modules: the CTAN, the stochastic decision trees, and the stochastic shortest/longest rout network. The CTAN-DSSS may be used in cost and schedule risk assessment. It completely integrates with other DSSS networks and deals with risks associated with cost, time, and scope at equal importance. The DSSS was verified by conducting several tests and validated by its extensive use for both undergraduate and graduate courses in Civil Engineering at the University of Calgary over the last three years.