1 / 15

Project Monitoring and Control

Project Monitoring and Control. Introduction. Goal: ensuring that the project is on time and on budget and/or highlight any deviation from the plan Areas Scope Schedule Costs Risks Quality Human Resources. Monitoring. Scope Scope creep… request for changes, rework, … Risks

cameo
Download Presentation

Project Monitoring and Control

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Project Monitoring and Control

  2. Introduction • Goal: ensuring that the project is on time and on budget and/or highlight any deviation from the plan • Areas • Scope • Schedule • Costs • Risks • Quality • Human Resources

  3. Monitoring • Scope • Scope creep… request for changes, rework, … • Risks • Risk monitoring and control • Human Resources • Informal talks, set goals, …

  4. Monitoring (II) • Time and Costs? • Monitoring the schedule • Baselining • “Actual” values • Monitoring costs • Earned Value

  5. Basic Concepts • Baselining • (values at t1, all values at t2, …) • Planned versus real Values • (Planned Start, Planned Effort, Planned End, …) • (Actual Start, Actual Effort, Actual End, …)

  6. BAC PV(t) t Planned Value • The cumulative cost of the approved costs • PV(t) = planned value at time t • BAC = Budget at completion PlannedEnd

  7. Actual Cost • The actual cumulative cost of the work done so far + estimation to end AC(t) t ActualEnd

  8. Earned Value • Measures real achieved results (in terms on earnings) • The sum of the approved cost estimates for activities completed up to a specified date • At the end of the project, EV = PV t

  9. Computing Earned Value • Rule 1. Earned value should be determined by physically examining products • Rule 2. • Finished activities: • Planned Value • Unstarted activities • 0 • For unfinished activities earned value is usually just a guess • 50/50 Rule (50 at start and 100 at end) • 20/80 Rule (20 at start and 100 at end) • 0/100 Rule (0 at start and 100 at end)

  10. Example

  11. Expresses project progress (in terms on monetary values) Used to compute performances Some simple values CV = EV - AC SV = EV - PV a = T - Ta b = T - Tb c Analysis at date, some values BAC C PV c AC a b EV Tb Ta T

  12. Cost Performance Index (CPI) • Compares budgeted cost of work performed to actual cost • Indicated the efficiency of the project • CPI = EV/AC How much we are actually getting for each euro we thought we would spend.

  13. Schedule Performance Index (SPI) • Compares work performed to work planned • SPI = EV/PV • How fast does the project progress w.r.t. how fast we expected it to be?

  14. Interpreting EV-indicators • Typically indicators are stable after 20% of the project • CPI > 1 project is on budget • CPI < 1 project is over budget • SPI > 1 project is ahead of time • SPI < 1 project is behind schedule

  15. To Complete Performance Index • The efficiency that must be achieved to complete the remaining work with the remaining money • TCPI = (BAC - EV) / (BAC - AC)

More Related