September 28 & 29, 2020 | Virtual
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Using EVM gives a correct assessment of Project Status.
We are not tracking budget or cots at this stage. I am trying to calculate status based on schedule only.
Earned Value Method is very useful to calculate the project status in term of schedule variance and cost variance . Try it.
We are not keeping track of the budget/costs at this stage. As far as I know EVM is based on cost, correct? How can I calculate project status on schedule only?
EVM doesn't have to be measured in cost. It is comparing what you planned to get done in a period of time, to what you got done in that time. You can apply cost to the effort, but it really is progress to plan, rather than cost vs. time.
Thank you for your reply. Can you please send me a formula and/or some parameters? I'm a bit lost.
Julia, EVM can measure Schedule Variance (SV) and Schedule Performance Index (SPI). It is not only for cost measurement:
SV = EV - PV
SPI = EV / PV
Those variables has nothing to do with cost spent but mainly has to do with your budget.
For example: As per your plan for this cut off date, you are scheduled you finish X amount of scope that is equivalent to $Y in budget. However, you finished Z amount of scope that is equivalent to $W amount in budget so you can calculate the following:
SV = $W - $Z (If negative then you are behind schedule)
SPI = $W/$Z (If less than one then you are behind schedule, 0 you are on schedule, positive then ahead)
You basically did not track costs at all but you just measured the scope completed vs the scope planned in terms of budget.
If you don’t want to use budget and depending on your project then for example: As per schedule, You are supposed to finish painting 100 sq.ft in July 2019, however, you finished only 90 sq.ft so you do calculate either SV or SPI and you will figure out your progress and will be able then to calculate your Estimate to a Complete (ETC).
The only thing that EVM doesn’t measure is if you are delivering value so being ahead of schedule and be;ow budget as per EVM calculations doesn’t mean you are delivering value.
Hope this helps.
There are a lot of calculative formulas for EVM, just like given in below:
CP = EV - AC
CPI = EV/AC
SV = EV - PV
SPI = EV/PV
1) EAC = AC + Bottom-up ETC
2) EAC =BAC/Cumulative CPI
3) EAC = AC + (BAC - EV)
4) EAC = AC + [BAC - EV / (Cumulative CPI x Cumulative SPI)]
TCPI = (BAC – EV) / (BAC – AC).
VAC = BAC - EAC
Straight Average = ( P + M+ O) / 3
Beta Average = ( P + 4M+ O) / 6
Communication Channel = n * (n-1) / 2
Thank you for your reply but I still don't understand how I will calculate SV or SPI without a budget. I am assuming I have enough money to do everything. It's just a scheduling issue.
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