Earned value analysis Flashcards
What is earned value analysis?
Subjective assessment of performance vs. schedule
How do you calculate planned value?
Multiply the budget of the task with the percentage of completion PLANNED on the date of the analysis
How do you calculate earned value?
Multiply the budget of the task with the percentage of the completion ACTUALLY ACHIEVED on the date of analysis
How do you calculate scheduled variance?
(EV-PV)/PV
How do you calculate cost variance?
(EV- Actual costs)/EV
What does it mean if EV
The project is behind schedule
Using only the AC and EV values, when is the project under budget?
AC < EV
How do you calculate the CPI (cost performance index)?
EV/AC
- CPI > 1: Under budget
- CPI < 1: Over budget
How do you calculate the SPI (schedule performance index)?
EV/PV
- SPI > 1: Ahead of schedule
- SPI < 1: Behind schedule
What is the BAC?
Budgeted cost At Completion
How do we calculate the Estimated cost To Complete?
(BAC - EV)/CPI
What important assumption do we make when calculating the ETC?
The CPI will remain the same, meaning the project will continue with the current efficiency
How do we calculate the Estimated cost At Completion?
AC + ETC
