Application of Monte Carlo simulation and PERT/CPM techniques in planning of construction projects: A Case study

Construction project scheduling and monitoring is challenging in today's very dynamic business environment. In this study, a project execution tracking system in a medium‒sized construction company was studied. Two different methods were proposed as problem solution for project scheduling and monitoring. Traditional CPM and PERT methods, and Monte Carlo simulation as risk analysis tool were used in this case study. The results show that 186 working days (which is optimistic estimate) is required to finish a luxury villa is determined by CPM method, while Monte Carlo simulation implies that there is 50% of chance that the luxury villa will be done in 205 days, but still there is a risk of 50% that the villa construction may be delayed