Earned Value Management
An integral part of project management, Earned Value Management helps to promote effective project planning, monitoring, and control. Discover keys to identify potential cost and schedule overruns, and use the data to estimate costs to complete the project. Master the tools and techniques to compare actual work accomplished against established plans, as well as work accomplished against actual expenditures. By identifying early warning indicators, you will gain greater insight into potential risk areas and will be able to prepare more accurate forecasts of completion costs. Recognize what must be done to successfully implement and use earned value in your organization.
Training details
Duration: 2 days
Course level: intermediate training
Price: Call or mail us for a quote
Learn how to
Explain the earned value concept
Prepare a project charter and a work breakdown structure (WBS)
Use Gantt charts, network charts, and three types of network diagrams to schedule projects
Realize the value of program evaluation and review techniques (PERT) estimates
Explain the relationship between the cumulative cost curve and the project budget
Explain the earned value planning process
Develop a control account plan
Establish a performance measurement baseline
Identify the advantages and disadvantages of different earned value measurement methods
Calculate cost and schedule variances and use them to monitor project performance
Forecast final cost and schedule results
Use the cost performance index and the schedule performance index
Employ several methods to calculate the estimate at completion
Identify what must be done to implement earned value effectively
Course content
1. Key Concepts
2. Earned Value Principles
3. Earned Value Planning Process
4. Earned Value Definitions and Formulas
5. Analysis of Earned Value
6. Implementing Earned Value
1. Key Concepts
What is earned value?
Earned value objectives
Earned value and the PMBOK® Guide
AC, PV and EV
2. Earned Value Principles
Purpose of earned value
Earned value management system expectations and criteria
Phases of project management and earned value
Project charter
The work breakdown structure (WBS) and earned value
Control account and work package
WBS dictionary
Gantt charts
Milestones and milestone charts
Program evaluation and review techniques (PERT)
Activity-on-arrow networks
Precedence Diagram Method (PDM)
The importance of a scheduling system in earned value
Allocating budgets
3. Earned Value Planning Process
Earned value definitions
Establishing the project baseline
Integrating the scope of work with costs and schedule
Characteristics of control accounts
Earned value measurement methods
Elements of a control account plan
The performance measurement baseline
4. Earned Value Definitions and Formulas
Planned value
Earned value
Actual cost
Cost
Schedule variance
Budget at completion
Materials and subcontracts
5. Analysis of Earned Value
Evaluating the work
Managing cost risks
Cost performance index (CPI)
Schedule performance index (SPI)
Tracking the cumulative CPI and SPI
Cost/schedule index
Estimate at completion
Variance at completion
Estimate to complete
To complete performance index
Earned value status
Monitoring the planned schedule performance
Interpreting earned value data
6. Implementing Earned Value
Overcoming reporting problems
Overcoming employee/contractor resistance
