Overview
Resource leveling is a project management technique that resolves resource overallocation or scheduling conflicts by adjusting task start and finish dates. According to the PMBOK Guide, it ensures projects can be completed with available resources by balancing resource demand against supply.
The Time-Resource Trade-off
Resource leveling always involves a trade-off between two project constraints:
Option 1: Keep Current Deadline
- Requires adding more resources
- May increase project costs
- Could compromise quality if resources are stretched
Option 2: Work with Current Resources
- Extends project timeline
- Maintains resource quality
- May delay deliverables
Key Techniques
1. Task Rescheduling
Adjust start/end dates for non-critical tasks:
- Move tasks to periods with available capacity
- Utilize float/slack time
- Delay low-priority work
- Smooth resource demand over time
2. Resource Reallocation
Shift resources between tasks:
- Move people from over-resourced to under-resourced tasks
- Cross-train for flexibility
- Share resources across projects
- Balance workload across team
3. Task Splitting
Break tasks into smaller pieces:
- Allow partial completion
- Insert breaks when resources unavailable
- Resume when resources free up
- May reduce efficiency due to setup/teardown
4. Working Extended Hours
Increase availability temporarily:
- Overtime for short periods
- Weekend work
- Holiday work
- Temporary increased capacity
Note: Use sparingly to avoid burnout
Integration with Time Tracking
Capacity Planning
Time tracking data reveals:
- Actual capacity per person/team
- Utilization rates
- Historical productivity
- Realistic availability (after meetings, admin, etc.)
Identifying Overallocation
Track when resources are:
- Assigned more hours than available
- Working excessive overtime
- Context-switching excessively
- Missing deadlines due to overload
Optimizing Allocation
Use historical data to:
- Predict task durations accurately
- Assign work based on actual productivity
- Account for skill levels
- Balance workload fairly
Benefits
Minimizes Delays
- Resolves conflicts before they cause problems
- Accounts for resource availability proactively
- Keeps project on track
- Reduces likelihood of missed deadlines
Prevents Burnout
- Distributes work evenly
- Avoids overloading individuals
- Allows for sustainable pace
- Improves team morale
Improves Resource Utilization
- Eliminates idle time
- Maximizes use of available capacity
- Reduces waste
- Increases ROI on resources
Enhances Visibility
- Clear view of resource allocation
- Identifies bottlenecks
- Shows capacity constraints
- Supports better planning
Resource Leveling Process
Step 1: Identify Overallocations
- Review resource assignments
- Compare to available capacity
- Flag conflicts and overlaps
- Prioritize critical path tasks
Step 2: Analyze Float/Slack
- Identify tasks with scheduling flexibility
- Focus on non-critical path items
- Calculate total float for each task
- Preserve critical path if possible
Step 3: Adjust Schedule
- Delay tasks with float
- Extend task durations if needed
- Split tasks where appropriate
- Update dependencies
Step 4: Validate Solution
- Ensure all resources within capacity
- Check impact on project timeline
- Verify critical path
- Get stakeholder approval
Step 5: Monitor and Adjust
- Track actual vs. planned allocation
- Adjust as priorities change
- Re-level when new information emerges
- Continuous improvement
Most project management tools support resource leveling:
- Microsoft Project: Automated leveling algorithms
- Primavera P6: Advanced resource optimization
- Smartsheet: Resource management views
- Asana: Workload management
- Monday.com: Capacity planning
- LiquidPlanner: Predictive scheduling with resource leveling
- Resource Guru: Dedicated resource scheduling
Best Practices
1. Level Early and Often
- Don't wait for problems to emerge
- Level during initial planning
- Re-level when scope changes
- Regular reviews (weekly/bi-weekly)
2. Prioritize Critical Path
- Protect critical path tasks
- Level non-critical first
- Only extend critical path if absolutely necessary
- Communicate impact to stakeholders
3. Consider Skills and Availability
- Not all resources are interchangeable
- Account for expertise levels
- Factor in planned time off
- Consider training needs
4. Communicate Changes
- Inform affected team members
- Explain rationale for adjustments
- Get buy-in on new schedule
- Document decisions
5. Balance Short and Long Term
- Don't over-optimize for today
- Consider future project needs
- Maintain strategic capacity
- Develop talent for future work
Common Challenges
Challenge: Limited Float
Issue: Many tasks on or near critical path
Solutions:
- Add resources if budget allows
- Negotiate timeline extension
- Reduce scope
- Fast-track or crash schedule strategically
Challenge: Highly Specialized Resources
Issue: Only one person can do certain tasks
Solutions:
- Cross-train team members
- Hire contractors for peak periods
- Outsource when appropriate
- Plan further in advance
Challenge: Resistance to Changes
Issue: Team members prefer original schedule
Solutions:
- Explain benefits clearly
- Show data supporting changes
- Involve team in solution
- Maintain fairness in allocation
Metrics to Track
Resource Utilization
Formula: (Actual Hours Worked / Available Hours) × 100
Target: 70-85% (allows for flexibility)
Overallocation Frequency
Number of instances where resources assigned beyond capacity
Goal: Zero or near-zero after leveling
Schedule Impact
Days added to project timeline due to leveling
Monitor trend: Should decrease as planning improves
Leveling Effectiveness
Comparison of planned vs. actual resource usage
Improvement indicates better leveling
Resource Smoothing
- Maintains original completion date
- Only adjusts tasks with free float
- Less disruptive than leveling
- May not fully resolve overallocation
Critical Chain Method
- Focuses on resource dependencies
- Uses buffers for protection
- Different approach to same problem
Fast Tracking
- Overlaps sequential tasks
- Opposite of leveling (increases resource demand)
- Used when time is more critical than resources
Project Crashing
- Adds resources to shorten duration
- Can create overallocation that needs leveling
- Useful when deadline is fixed
