The whole point of Earned Value Management is to use past project performance measurements to depict the current standings and predict future efforts and resources required to complete the project goals. If you think in pictures, this illustrated formula will aid in your pursuit of certification or provide a refreshing perspective for veteran practitioners.
The webinar is the second of two lessons and describes how to setup the WBS, schedule, budget, cost breakdown structure and organization breakdown structure to support the EVMS.
The Dynamic Progress Method: A New Alternative to the Critical Path Method
This presentation will place EVM within the context of a maturing enterprise looking to understand what EVM is and is not, what it can do, and how to discuss a ‘tailored’ implementation. Attendees will learn how Earned Value is incorporated within the PMBOK®, within the project management methodology and how to ‘speak’ about the values delivered by EVM in terms of objective Technical Performance Measures (TPMs).
All future events come with some degree of uncertainty. When the uncertainty affects the outcome of the event in a negative manner, it is considered a risk. The ability to quantify the likelihood of the risk’s occurrence with the monetary value of its impact is a major goal of Risk Management (RM).
The concept of schedule monitoring and control as one of the most important functions of project management has not been fully exploited. That could stem from the dominance of Earned Value Management Systems which use cost indicators to measure schedule preformance. This can be misleading. In contrast to Earned Value and Earned Schedule, the authors have developed the Earned Duration Management (EDM) which uses certain indices to measure progress and performance of schedule and cost.
Save Time With Tools + Templates
The basic premise of EVM is that we can assign a value to each task. We can then determine the progress that we have made on our project relative to schedule by comparing the amount of work completed with the amount of work planned to have been completed at the reporting date, and the progress relative to budget by comparing the amount of money that we have actually spent with the amount of money that we planned to spend.
The ezEVA template is a historical earned value tracking tool used to measure current progress and forecast future project performance. Use this in tandem with our EVA series of articles.
Earned value is a project technique you can use to monitor, track and report on the performance of any project. This document is a cheat-sheet of formulas you can use to confidently calculate earned value.
Earned value analysis is an excellent technique to assess project health and apply metrics to manage your project. Use this presentation to conduct an earned value orientation for your team members.
Learn From Others
The purpose of this article is to guide project managers in implementing an earned value management system by following ANSI/EIA-748 guidelines in a manner consistent with agile software development methodology.
Earned value management is a technique that integrates scope, cost and time to highlight how the project has done in the past and predict how it is expected to do in the future. This article discusses a few basic concepts of EVM and is useful for anyone looking to get started on this topic, as well as for candidates preparing for certification.
The project workflow framework enables even the inexperienced project manager to use detailed step-by-step guidance, examples, tools and practical advice, freeing experienced project managers to manage programs and portfolios and promoting better use of project resources to reduce the cost of projects across all industries.
A Theoretical Approach to Traditional Project Metrics-Bridging the Gap Between Earned Value and Critical Path Project Managementby
Since work completed from tasks not on the critical path does not affect the completion date of a project, it is important to differentiate tasks that are “critical” from those that are not in order to better monitor and control them. The project performance metric, critical path task index (CPTI), offers a more holistic view in terms of schedule performance for tasks directly related to schedule completion.
Earned value management is widely valued as a key project management technique. Despite this, it’s not a universally accepted tool for use by project managers. This article questions whether or not EVM is correctly defined as a PM technique. Is there an alternative way of looking at EVM and EVMS, one that may bring better understanding of how they interact--and under what circumstances they can be used in to support project managers?
|A.||Depending on their personality type, some managers are sticklers for details. The more metrics, the better. EVM translates project data into numbers to forward to management, but has less value for the project manager who is running the project day to day.|
|B.||While PMP prep does a great job of explaining the math of Earned Value Management (EVM), keeping the focus on information needed to pass the test means there is seldom time to go into the subject of how useful EVM can be in the workplace. It is a key tool for running successful projects.|
|C.||Since the U.S. Department of Defense requires EVM for all of its departments and departmental contractors, there are favorable tax advantages for corporations who can state their profit figures in EVM terms.|
|D.||EVM provides a common language that the project manager, team and management can use to communicate about how much time and how many resources should be allocated at the first of a project in order to ensure that it will be guaranteed to meet the estimated project metrics of time, cost and quality.|
The latest in the ongoing series of articles helping you get “PMP fit” explores the often avoided Project Cost Management knowledge area. To paraphrase a well-known company, just get at it. When you have read this article and completed your studying, you may well be asking yourself why you were so concerned about it…
The author presents an approach for using a rate to monitor projects, based on the re-evaluation of two key concepts, work total, and the rate per unit of work. By periodically recalculating and updating rate values, considering the comparison of the actual work vs. the planned work, the project manager may develop reliable databases for use in future evaluations and follow-up projects.
Why is LOE as important for a project as other aspects like stakeholder satisfaction, cost overshoot and schedule variance? And are you approaching it the right way?
The best part about Project Cost Management is that there are only three processes. And while the first two processes are light dumbbell lifting, the third throws some heavy barbell exercises your way. Are you prepared?
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