An aggregate model of project-oriented production

We consider the problem of dynamically allocating scarce resources to multiple projects in a project-oriented production system such as a naval shipyard. We formulate axioms governing the relationship between resource allocations and work progress of aggregate project activities, from which a model of project execution is derived. This model is more accurate than models which represent aggregate activities in terms of critical path networks or standard linear programming formulations. The model of project execution is then embedded in a resource allocation model suitable for solution by linear programming calculations.