Professional Documents
Culture Documents
Missions
Establish a Performance
Measurement Baseline (PMB)
Budget
Schedule
PV
TIME
CONTROL
Actual
Progress
Actual Cost
EV
COST
CONTROL
AC
01
Firs
t
Package
Decompose
to Manageable
Level
Develop
the Baseline
Schedule
Activities
Define
the Major Project Milestones
02
WBS
Developthe
Baseline
Schedule
Estimate
Project
Budget
Quantities Survey
Develop CBS
03
Seco
nd
Thir
d
Labors Cost
Develop
Baseline
Budget Measurement
Develop
the
Performance
Baseline
04
Fou
r
$ Resources
Program
Budget
Front Loaded
Normal
400
End Loaded
300
3. ALLOCATE BUDGETS
200
100
Time
J
01
execution
progress
The Time & Cost Variances
Calculate AC - Actual Cost, and EV earned
Schedule Variance (SV)
value
Cost Variance (CV)
Firs
t
02
Seco
nd
03
04
Thir
d
Fou
r
Forecast at
Completion Project
Status
Labor
Material (Subcontractor/vendor)
Other, Equipment's, computer costs,
etc.
Indirect Costs
10
Are
schedule?
time?
work?
SV
= EV... Ahead
PV SV% = SV / PV
+ Value
Value Behind
SPI = EV / PV
SPI > 1 ... Ahead
SPI < 1 Behind
EACt
SPI)the/ (BAC
/
Using =
the(BAC
SPI /and
average
Planned Value per unit of time, can
MONTHS)
generate a rough estimate of when
the project will be completed, if
current trends continue, compared to
when it was originally supposed to be
completed.
we
ahead
or
behind
11
CV = EV AC CV% = CV / EV
resources?
CPI = EV / AC
SPI > 1 ... Under-Budget [Save]
SPI < 1 Over-Budget [NonRecoverable Loss]
Variance at Completion:
Will
we
finish
budget
VAC = BAC EAC
under
or
over
EAC
Estimate At Complete
EAC = AC + (BAC-EV)
EAC=BAC/Cumulative CPI
EAC=AC+[(BAC-EV)/(CPI*SPI)]
12
13
14
Risk
Time Now
Management Reserve
Resources
ACWP
(Actual
Cost)
Cost
Varianc
e
Schedul
400
BCWP
(Earned
Value)
300
Schedule Slip
BCWS
(Planne
d Value)
e
Varianc
e
200
100
M
A
Approx. Time
Variance
Time
J
[REPORT]
15
Example:
The best way to understand an EVM example is
to solve it.
16
Solution:
PV = 2M
EV = 10M * 0.05 = 0.5M
AV = 1M
CV = EV-AC = 0.5-1 = -0.5M
CV% = 100 * (CV/EV) = 100*(-0.5/0.5) = -100%
overrun
SV = EV-PV = 0.5-2 = -1.5 months
SV% = 100 * (SV/PV) = 100*(-1.5/2) = -75% behind
CPI = EV/AC = 0.5/1 = 0.5
SPI = EV/PV = 0.5/2 = 0.25
EAC = BAC/CPI = 10/0.5 = 20M
ETC = (BAC-EV) / CPI = (10-0.5)/0.5 = 19M
Time to compete = (10-0.5)/0.25 = 38 Months
This project will take TOTAL 20M (19+1) and 40
(38+2) Months to complete.
Questions?
Comments?
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EVM Implementation
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