Eraned Value Caluculation- important

Hello David,

Earned Value Calculation is important. This maybe the new trend in project monitoring.

As a start, you can surf the net, fo to google and type earned value. Yo

You will find a lot of article regarding earned value. I like reading the article from Kidasa. They also have free download of their article relating to earned value.

Hope this will help.

Cheers,

charlie

Orbe

Kidas is really good Contract mangement site with respect to new updates in this field

David,

Earned value could be done on work units as well as for the cost of works.

If i have understood your question correctly then in your case

Schedule varinace=16-35= -19
Cost variance= 16-25=-9

Analysis could be as follows:

The project is behind schedule and over budget.

Similarly CPI and SPI could be done which would in turn give you an idea about the ’cost at completion’.

Regards
Rashid

Hi

Let me give you the brief idea of EVM.
As per the data given by you...
Budgeted Cost = 70
BCWS = Budgeted Cost for Work schedule = 35
Earned Value = BCWP = Budgeted Cost for Work Performed = 16
ACWP = Actual Cost of Work Performed = 25

You were supposed to spend 35 as per the baseline schedule.
The amount of work you have completed cost you 16 but actual amount of money u have incurred to perform this work is only 25.

So its clearly shows that you have spent 25-16 = 9 as extra
you were supposed to finish the work equal to cost 35 but you have finished only 16 ...so you are behind the schedule...
I hope it will be clear by now...