Earned Value Management Vocab Flashcards
Planned Value - define
budgeted value of work planned to be done at a given time
Earned Value - define
budgeted value of work completed at a given time
Actual Cost - define
actual cost of work completed
Budget at completion - define
the original cost baseline plus or minus all approved cost changes
Estimate at completion - define
expected total project cost (forecasted based on performance to date)
estimate to completion - define
expected remaining cost (now until project completion)
Variance at completion - define
expected variance over/under budget
Cost variance - formula
EV - AC
Negative is bad, Positive is good. Zero is on budget.
Schedule Variance - formula
EV - PV
Negative is bad, Positive is good, Zero is on schedule
Cost Performance Index - formula
EV/AC
Under 1 is bad, Over 1 is good, Exactly 1 is on budget
Schedule Performance Index - formula
EV/PV
Under 1 is bad, Over 1 is good, Exactly 1 is on schedule
Estimate at Completion - formula
AC + (BAC-EV)
AC plus work remaining, use budget rate (variances atypical)
(BAC/CPI)
Assumes same rate of spending will continue (variances typical)
AC + [(BAC-EV)/(CPI*SPI)]
Assumes current cost and schedule performance will continue
Estimate to Completion - formula
EAC - AC
Expected cost of work remaining
Variance at Completion - formula
BAC - EAC
Negative is bad, Positive is good, Zero is on budget
To Complete Performance Index - formula
(BAC - EV) / (BAC - AC)
CPI needed to complete project within budget
(BAC - EV) / (EAC - AC)
CPI needed to hit EAC - Assumes original budget unachievable
Forward Pass
EF is determined by adding the duration to the ES and subtracting 1
ES of Successor tasks is equal to the latest EF of the Predecessor tasks plus 1
Backward Pass
LS is determined by subtracting the duration from the LF and adding 1
LF of Predecessor tasks is equal to the earliest LS of the Successor tasks minus 1
Float - define & formula
The float (aka slack) is determined by LF - EF
Critical Path
The critical path is the longest duration path through the network diagram. Any delays along the critical path will delay the project.
The tasks that have float can be delayed by the amount of the float and not delay the project.
Time-Phased Budget
Determining the budget over time based on the resources needed to complete the work on schedule
