Which project management method uses statistical approaches to estimate activity durations?

The Project Evaluation and Review Technique (PERT) is a project management method that utilizes statistical approaches to estimate activity durations. PERT differs from traditional methods by incorporating uncertainty and variability in the estimation process. It does this by analyzing three time estimates for each activity: the optimistic time, the pessimistic time, and the most likely time. By applying these estimates, PERT calculates an expected time for each activity using a weighted average, which allows project managers to better account for uncertainties and risks inherent in project schedules.

This statistical methodology is particularly useful for projects where the duration of individual activities cannot be predicted with certainty, making it easier to identify the overall project timeline and potential bottlenecks. In contrast, the other methods listed do not primarily focus on statistical techniques for duration estimation. The Critical Path Method emphasizes identifying the longest path of tasks and their dependencies without inherently incorporating statistical variability. The Waterfall Model is a linear and sequential approach to project management that does not involve statistical techniques for duration estimation. Extreme Programming is a software development methodology that focuses on improving software quality and responsiveness to changing customer requirements rather than on statistical methods for planning and estimation.