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What is Critical Path Method

  • Writer: appliedpm
    appliedpm
  • Oct 31
  • 3 min read

The Critical Path Method (CPM) is a project management technique that identifies the longest sequence of dependent tasks required to complete a project. This sequence determines the minimum time needed for project completion—delay any task on the critical path, and you delay the entire project.


Developed in the late 1950s to address increased costs from inefficient scheduling, CPM has become essential for planning complex projects, prioritizing tasks, and managing realistic timelines.


Why CPM Matters

Prevents Schedule Surprises: By identifying which tasks directly impact project completion, you know exactly where delays will hurt most and where you have flexibility.


Enables Smart Resource Allocation: Understanding which tasks are critical helps you prioritise resources where they matter most, avoiding constraints that could delay the entire project.


Facilitates Realistic Planning: CPM forces you to map dependencies and duration estimates, revealing whether your deadlines are achievable or wishful thinking.


Improves Communication: When stakeholders ask for faster delivery, CPM provides data-driven answers about what's possible, what it would cost, and what risks exist.


Application of CPM

Let's see CPM in action with a marketing team producing an interactive blog post:

Project Tasks:

  • Task A: Research and outline (3 days)

  • Task B: Write draft content (5 days) - depends on A

  • Task C: Design interactive elements (7 days) - depends on B

  • Task D: Create graphics (4 days) - depends on B

  • Task E: Developer builds interactive features (3 days) - depends on D

  • Task F: Final review and publish (2 days) - depends on C, D, and E

Analyzing the Paths:

Path 1: A → B → C → F = 3 + 5 + 7 + 2 = 17 daysPath 2: A → B → D → E → F = 3 + 5 + 4 + 3 + 2 = 17 days


Both paths take 17 days, making them both critical paths. Any delay in tasks A, B, C, D, E, or F will delay project completion beyond 17 days.


Notice that while D and E are on the critical path, their combined time (7 days) equals C's duration. This means graphics and development must proceed efficiently since there's no flexibility—they're just as critical as the longer design task.


How to Calculate the Critical Path

Step 1: List All Activities Create a work breakdown structure identifying every task required to complete the project.


Step 2: Identify Dependencies Determine which tasks depend on others. Which must be completed before others can start? Which can run in parallel?


Step 3: Estimate Durations Assign realistic time estimates to each activity based on experience, historical data, or industry standards.


Step 4: Create a Network Diagram Map tasks in a flowchart showing their sequence and dependencies. This visualizes how work flows through the project.


Step 5: Calculate Path Durations Add up the durations for each possible path from start to finish. The longest path is your critical path.


Step 6: Identify Float Calculate how much delay non-critical tasks can tolerate before they impact the project end date. This "float" or "slack" shows where you have scheduling flexibility.


Practical Applications of CPM

Schedule Compression When deadlines accelerate, CPM helps you identify two strategies:

  • Fast Tracking: Run activities in parallel that were planned sequentially (increases risk but saves time)

  • Crashing: Add more resources to critical path activities to speed them up (increases cost but maintains quality)

Resource Leveling When team members are overbooked, CPM shows which tasks have float and can be rescheduled to balance workloads without delaying the project.

Progress Monitoring Compare your original critical path to actual progress. Deviations signal problems early, allowing corrective action before delays cascade.


CPM Limitations to Understand

Assumes Fixed Resources: CPM doesn't account for resource availability. You might have the perfect schedule, but if your key developer is on vacation, reality differs from your plan.

Based on Estimates: Your critical path is only as accurate as your duration estimates. As projects progress, update your CPM with actual data for more realistic planning.

Doesn't Capture All Complexity: Real projects involve uncertainties CPM doesn't model—changing requirements, stakeholder delays, technical unknowns. Use CPM as a guide, not gospel.


Understanding CPM conceptually is straightforward—applying it effectively to real projects requires practice and judgment. Knowing when to use CPM, how to handle multiple critical paths, and how to communicate findings to stakeholders distinguishes competent project managers from those who simply know the technique.


The Center of Applied Project Management develops this practical competence through real-world application rather than theoretical exercises. Learning to calculate critical paths is one thing; learning to use CPM insights for strategic decision-making, stakeholder negotiations, and risk management is what transforms project managers.

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