written 6.7 years ago by |
Earned Value Analysis
To measure the progress of an activity, deliverable and/or project by comparing the actual value to planned value, thereby indicating the probability of meeting the scope, time & cost budget of the activity, deliverable and/or project, and need for any corrective actions.
To analyze the project performance, calculate the variance for schedule and cost and indicates where the project stands in comparison to the estimates calculated earlier for this point in time.Many a times one could easily be on time, however may overspend, or may be on time & within budget however scope may be incomplete.
In simple terms, EV analysis is better than comparing actual to planned results or by simply guessing the project status.Actual Cost (AC) or Actual Cost of Work Performed (ACWP) Actual cost expenses on this project upto this time
Earned Value (EV) or Budgeted cost of Work Performed (BCWP)
Estimated cost of budgeted work completed
Budget at Completion (BAC) Total budget for the project
Estimate At Completion (EAC) Estimated final cost of the project
Estimate To Completion (ETC) Estimated cost of the remaining work of the proje