Getting an early indicator of deviations from the project plan can be a game changer for project managers. This is precisely the main benefit of the earned value method, and its diligent application can do wonders for a project manager's career. Planned Value, usually abbreviated as PV, is one of the fundamental inputs of the Earned Value Management System. It is … [Read more...]
In the operating room, Doctors monitor the vital signs of their patients using a device called an electrocardiogram. This device is familiar to most people - It's the monitor that displays the electrical pulses of the heart. In project management, project health is measured by the Cost Performance Index, usually abbreviated as CPI. The Cost Performance Index is one of … [Read more...]
In project management, getting an early indication of problems is the silver bullet that allows the project manager to correct the problems before they start. Cost Variance, usually abbreviated as CV, is one of the fundamental outputs of Earned Value Management. It tells the project manager how far ahead or behind the project is at the point of analysis, usually right … [Read more...]
In project management, getting an early indication of problems is the silver bullet that allows the project manager to correct the problems before they start. The Schedule Performance Index, usually abbreviated as SPI, is one of the fundamental outputs of Earned Value Management. It tells the project manager how far ahead or behind the project is at the point of … [Read more...]
Earned Value is a method of calculating project status. It does this from two perspectives: Time (schedule) and Cost. After applying the earned value method the project manager will know whether the project is: behind or ahead of schedule. over or under budget. In this post we will outline each formula in the earned value management system. The first three … [Read more...]
Everybody has heard of a project whose cost spiralled out of control. Even big megaprojects where the difference measures in the billions are not immune to cost pressures. In fact, they are even more likely to go over budget. What is the official project management methodology for controlling project costs? To answer this question, we consult the … [Read more...]
The earned value method is the project management standard for cost control during a project. Whether you are a practicing project manager or studying for the PMP exam, you need to know how to calculate earned value. Fortunately, it involves nothing more than basic high school math. The more difficult part is knowing what each of the variables means and how … [Read more...]
In project management, getting an early indication of problems is the silver bullet that allows the project manager to correct the problems before they start. The Cost Performance Index, usually abbreviated as CPI, is one of the fundamental outputs of the Earned Value Management System. It tells the project manager how far ahead or behind the project is at … [Read more...]
In project management, getting an early indication of problems is the silver bullet that allows the project manager to correct the problems before they start. Cost Variance, usually abbreviated as CV, is one of the fundamental outputs of the Earned Value Management System. It tells the project manager how far ahead or behind the projects is at the point of … [Read more...]
