Chapter 13 Flashcards
Creating a Project Monitoring System Involves determining
What data to collect
How, when, and who will collect the data
How to analyze the data
How to report current progress to those that need the information
Project Monitoring Information System
What data are collected?
Current status of project (schedule and cost)
Remaining cost to complete project
Date that project will be complete
Potential problems to be addressed now
Out-of-control activities requiring intervention
Cost and/or schedule overruns and the reasons for them
Forecast of overruns at time of project completion
Project Monitoring Information System
Collecting data and analysis
Who will collect project data?
How will data be collected?
When will the data be collected?
Who will compile and analyze the data?
Project Monitoring Information System
Reports and reporting
Who will receive the reports?
How will the reports be transmitted?
When will the reports be distributed?
Project Control
The process of comparing actual performance against plan to identify deviations, evaluate courses of action, and take appropriate corrective action.
The Project Control Process
Project Control Steps
Setting a baseline plan.
Measuring progress and performance.
Comparing plan against actual.
Taking action.
The Project Control Process
Tools
Tracking and baseline Gantt charts
Control charts
Budget updates
Developing an Integrated Cost/Schedule System
Define the work using a WBS.
Scope Work packages Deliverables Organization units Resources Budgets
Developing an Integrated Cost/Schedule System
- Develop work and resource schedules.
- Schedule resources to activities
- Time-phase work packages into a network - Develop a time-phased budget using work packages included in an activity. Accumulate budgets.
- At the work package level, collect the actual costs for the work performed Multiply percent complete times original budget.
- Compute the schedule variance and the cost variance
Purposes of a Baseline
An anchor point for measuring performance
- A planned cost and expected schedule against which actual cost and schedule are measured.
- A basis for cash flows and awarding progress payments.
- A summation of time-phased budgets (cost accounts as summed work packages) along a project timeline.
What Costs Are Included in Baselines?
Labor, equipment, materials, project direct overhead costs (DOC)
Rules for Placing Costs in Baselines
Costs are placed exactly as they are expected to be “earned” in order to track them to their point of origin.
Percent Complete Rule
- Costs are periodically assigned to a baseline as units of work are completed over the duration of a work package.
Additional Earned Value Rules
Rules applied to short-duration activities and/or small-cost activities
0/100 percent rule
- Assumes 100 % of budget credit is earned at once and only when the work is completed.
50/50 rule
- Allows for 50% of the value of the work package budget to be earned when it is started and 50% to be earned when the package is completed.
Percent complete with weighted monitoring gates
- Uses subjective estimated percent complete in combination with hard, tangible monitoring points.
Performance Indexes
Cost Performance Index (CPI)
- Measures the cost efficiency of work accomplished to date.
Scheduling Performance Index (SPI)
- Measures scheduling efficiency
Percent Complete Indexes
- Indicates how much of the work accomplished represents of the total budgeted and actual dollars to date.
Time-Phase Baseline Plan
Corrects the failure of most monitoring systems to connect a project’s actual performance to its schedule and forecast budget.
- Systems that measure only cost variances do not identify resource and project cost problems associated with falling behind or progressing ahead of schedule.
