Project Accomplishments

 

There are many tools and techniques Project Management presents in the management of a successful project. Earned Value Analysis is one of the most highly-regarded. Unfortunately, earned value management is less than fully embraced. 

Here are some basic information about earned value that will present the reader to embrace the positive values of EVMS (earned value management system) without the 

Earned value analysis 

This is the method that allows the project manager to measure the amount of work actually performed on a project. This is done beyond the basic review of costs and schedule reports.

 

The EVS (earned value analysis) provides the methods that permit the project to be measured by the progress achieved. In turn, this is used to forecast a project’s total cost and date of completion based on trend analysis. This relies on the key measure known as the project’s earned value. 

Earned value 

The term “earned value” is frequently defined as the “budgeted cost of worked performed” or BCWP. This budgeted cost of work performed measure. 

Performance 

In turn, this enables the project manager to compute performance indices or burn rates for cost and schedule performance. The result provides the information on how well the project is doing or performing in relation to its original plans. 

When applied to future work, these indices allow for the project manager to forecast how the project will do in the future. This is assuming that the burn rates will not fluctuate. Oftentimes, this is a large assumption. 

EVA requirements 

A good and solid project plan has to be created in order for the earned value analysis to be accurate. The old saying “Without a plan, any route will do” will not simply do. 

In a sense, that temperament or environment is not conducive to project management and reporting project status to stakeholders. The project plan, especially the scope statement is the foundation to solid earned value practice. 

Project planning is a necessity for project success and the incorporation of earned value analysis on your project. Now that the basis for EVA has been established, the focus is on the primary areas of information needed to compute EVA. 

EVMS (earned value management system) 

Ultimately, EVMS allow the project manager to answer the following three questions, as they relate to the project. 1) Where have we been, 2) Where are we now, and 3) Where are we going. 

In EVMS, unlike in traditional management, there are three data sources: 1) the budget or planned value of work scheduled, 2) the actual value of the work completed and, 3) the earned value of the physical work completed.  

Earned Value takes these three data sources. It is able to compare the budgeted value of work scheduled with the “earned value of physical work completed” and the actual value of work completed. 

In reporting the accomplishments of the project, you need to apply Earned Value (EV) to the figures and calculations in the project. EV is the quantification of the “worth” of the work done to date. 

In a sentence, EV tells you, in physical terms, what the project has accomplished.