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WorksheetsEarned Value Management (EVM)
Total questions: 21
Worksheet time: 15mins
Earned Value Management & Analysis
is a project control technique preferred by PMI
is used to detect performance variances
is used to establish a clear relationship between planned and actual accomplishments
is a way to forecast project’s cost and completion date using historical and statistical projections.
is a project analysis tools can answer these questions using time and cost tracking
Being as a project managers there are important elements related to "Earned Value" that you need to know related to the followings:
Is the project on schedule? Time tracking
Is the project on budget? Cost tracking
How much of the budget that should have been spent at this point in time
How much value has the work on the project "earned" so far?
Is the project fulfill the quality? Quality tracking
Select the correct definition and concepts for Earned Value Management
Budgeted Cost of Work Scheduled (BCWS) answers "how much work has been actually completed?"
Budgeted Cost of Work Performed (BCWP) answers "how much work has been actually completed?"
Actual Cost of Work Performed (ACW) how much did we actually spend to deliver the Earned Value? which is the Actual Cost (AC)
•Budgeted Cost of Work Performed (BCWP) is the “Earned Value” (EV)
Budgeted Cost of Work Scheduled (BCWS) is “Planned Value" (PV)
Select the "Earned Value" components below:
Planned Value (PV)
How much work (person-hours) you planned to have accomplished at a given point in time (this is from the WBS in your plan)
Earned Value (EV)
The value (person-hours) in terms of your base budget of what you have at a given point in time (or, % complete X Planned Value)
Actual Cost (AC)
How much work (person-hours) you have actually planned at a given point in time
In short, EVM takes the planned value (PV), or what you planned to do at an estimated cost, and compares it against the estimated cost of the work performed (EV) and against the actual cost of work performed (AC), or what actually got done.
False
True
Select the correct information below: (you may choose more than one answer)
Schedule variance (SV) shows whether the project tasks are taking longer than they should
Cost variance (CV) shows whether they are actually requiring more work effort to complete
Estimate-at-completion metric (EAC) helps to forecast final project performance and determine if any corrective action needs to take place
This figure shown and example of "Earned Value". Select the correct combination of the three important elements (A, B and C) for earned value analysisi
A: .Planned Value: what your plan called for sending on the tasks planned to be completed by this date.
B: Actual Cost: what you have actually spent to this point in time
C: Earned Value: value (cost) of what you have accomplished to date, per the base plan.
A: Actual Cost: what you have actually spent to this point in time.
B: Planned Value: what your plan called for sending on the tasks planned to be completed by this date.
C: Earned Value: value (cost) of what you have accomplished to date, per the base plan.
A: .Earned Value: value (cost) of what you have accomplished to date, per the base plan.
B: Planned Value: what your plan called for sending on the tasks planned to be completed by this date.
C: Actual Cost: what you have actually spent to this point in time
A: Earned Value: value (cost) of what you have accomplished to date, per the base plan.
B: Actual Cost: what you have actually spent to this point in time
C: .Planned Value: what your plan called for sending on the tasks planned to be completed by this date.
What do A and B indicate?
A - Over Budget
B - On Schedule
A - Under Budget
B - Behind Schedule
A - Over Budget
B - Behind Schedule
A - Behind Budget
B - Behind Schedule
What does "variance" means?
Any different schedule or cost deviation from a specific plan
Used within an organization to verify the budget and schedule for a project
Frequently used as a key component of plan reviews
To indicate performance measurement
Choose the following variances to be compared
Schedule variance: deviations from work planned – not a measure of changes in cost.
SV = EV - PV
Product variance: Any different between the budgeted cost of an product and the actual cost of the product.
PV = EV – PC
Cost variance: Any different between the budgeted cost of an activity and the actual cost of the activity.
CV = EV – AC
What are performance indices?
Cost Performance Index
CPI = EV/AC
Schedule Performance Index
SPI = EV/PV
Select the right analysis or interpretation for the cost performance indices (CPI) below:
CPI > 1.0 refer to poor performance (UNDER BUDGET)
CPI < 1.0 refer to exceptional performance (OVER BUDGET)
CPI > 1.0 refer to exceptional performance (UNDER BUDGET)
CPI = 1.0 refer to good performance (ON BUDGET)
Select the right analysis or interpretation for the schedule performance indices (CPI) below:
SPI > 1.0 refer to EXCEPTIONAL performance (AHEAD OF SCHEDULE)
SPI < 1.0 refer to EXCEPTIONAL performance (AHEAD OF SCHEDULE)
SPI > 1.0 refer to POOR performance (BEHIND SCHEDULE)
SPI = 1.0 refer to GOOD performance (ON SCHEDULE)
Forecasting is carried out to estimate project completion. Select the correct term and definitions required to calculate Estimate to Complete (ETC)
BAC=Original project estimate (Budget at completion)
ETC = work that has not been performed and is thus
an estimate cost
ETC=(BAC-EV)/CPI
How much money was originally budgeted?
Budgeted cost of work scheduled (BCWS)
Budgeted cost of work performed (BCWP)
What is the planned cost or value of the work accomplished thus far?
Planned Value (PV)
Earned Value (EV)
How much physical work was actually accomplished thus far?
Planned Value (PV)
Earned Value (EV)
How much money was expended thus far?
Planned Cost (PC)
Actual Cost (AC)
What is the revised estimate for the final cost at the completion of the project?
Estimate at completion (EAC)
Estimate to Complete (ETC)
From where we are today, how much money is needed to complete the work?
EAC
ETC
By how much have we have deviated from the schedule baseline?
Cost Variance (CV)
Schedule Variance (SV)
