MGMT6058 Lecture Notes - Lecture 11: Project Management Body Of Knowledge, Project Management Institute, Earned Value Management

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31 May 2022
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See text in slide note for more details. Section 1 introduction to evm, what is ev (earned. Detailed calculations on a simple example using pv, ac, %complete and ev. Section 3 - evm metrics and formulas, forecasting with evm. Use earned value management performance measurements and forecast formulas. Navy personnel were unable to distinguish between planned person-hours, actual person-hours and earned person-earned hours. Just because we have used up 99% of the planned person hours does not mean we are 99% complete on the project. We previously compared baseline budgets to actual costs. The baseline is also called pv for planned value or sometimes budgeted cost. Typically a bad variance is negative, but we really can"t tell if this is a bad variance without earned value The actual costs can also be called ac. And we"ve replaced the variance between pv and ac with 2 new variances, cost variance cv and schedule variance sv.

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