Earned Value Management“Defined as integrated sets of standards, policies, procedures, and practices to support program and project management as a decision enhancing tool and a critical component of risk management.”
Earned Value Management is the best practice and standard adopted by the Federal Government and the project management industry. At PTCGL, we exemplify compliance with this standard in every project we undertake, no matter how big or small. By using this system with cost and schedule control, we have had great success in project forecasting and putting it all together. PTCGL delivers feedback which is critical to the success of any project. We target real-time feedback which can enable project managers to identify problems early and make adjustments that can keep a project on time and budget. Using EVM, an organization can establish acceptable levels of performance for all projects and its work tasks. EVM occurs first at the task level, where the scope, schedule, and cost of work are planned and controlled; “management-by-exception” also starts at this level. EVM performance measures to determine whether action thresholds have been reached for their task and control accounts. Linkage between the work breakdown structure (WBS), which ties to the activity and control accounts, can also be used at any level of the project to assist with identifying downward trends of efficiency commencement during several measurement periods. Furthermore, if the trend is seen at the project level or WBS, the client is able to “drill down” to a lower level and establish the root cause analysis. A particular advantage the PTCGL teams bring is a “dashboard” display of integrated conditions – Current & Trended Future. We monitor:
The engineered construction industry, especially within complex nuclear work, has meticulously documented that decisions made early in the project life cycle have the greatest impact on cost, schedule, and overall project success. For this reason, it is critical that appropriate stakeholders participate in ratifying early project objectives, expectations, and requirements. It is equally critical that they appropriately participate in pre-established, periodic reviews to ensure the project still falls within minimum cost effective expectations and is on track to provide the intended functionality. Thorough review at defined project milestones will prevent costly rework and over runs. |
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