- "If the project is to be managed consciously, these occurrences should be then investigated into by means of more accurate methods."
Too much emphasis on KPIs can be misleading, they are what they are, overly simplified measures that do not tell the whole story. As said in the referenced article Best Practice is to use EV KPIs as a reference among many and investigate occurrences by means of more accurate methods.
The use of EVM from CPM Schedule as a payment tool on fixed price contracts can be a drag.
2.2.3.7 Exclusions for Firm Fixed Price (FFP) Contract Type .......................................... 15
- “The application of EVM on FFP contracts and agreements is discouraged, regardless of dollar value.“
EVA does not distinguish between the works done on critical activities and activities with sufficient floats. A project could be late but EVA will not notice this problem if Earned Value exceeds Planned Value. Keep in mind some EV metrics are flawed such as SPI but EV still might have some value, in such case use EV KPIs but do not overlook other KPIs.
We keep a table in Excel a list of the KPIs values as periodically reported. We keep comments on the cells whose values are of concern as the mere values do not tell the whole story, here some analysis is in order. If your software does not provide for trend analysis here is a good place to look and record trends of concern.
Among other KPIs to Consider:
Management decisions shall be based on trend analysis. Follow KPIs for Probability trends.
Should I be adding the new hours into the project? Using P6 this doesn't really work as I cannot get a reading on the Earned Value Labour Units because these hours have not been added to the baseline.
yes you should add new hours for NEW work including new actvities based on changes. This is the whole point you want to see the added manhours and durations this is where you will get a time extension basesd on a TIA.
If I am to rebaseline, this will make my project look as if it all on track whereas in reality it is not. When you get a time extension this will be the basis for your REVISED baseline.
Member for
21 years 8 monthsEarned value method as a tool
Earned value method as a tool for project control
- "If the project is to be managed consciously, these occurrences should be then investigated into by means of more accurate methods."
Too much emphasis on KPIs can be misleading, they are what they are, overly simplified measures that do not tell the whole story. As said in the referenced article Best Practice is to use EV KPIs as a reference among many and investigate occurrences by means of more accurate methods.
The use of EVM from CPM Schedule as a payment tool on fixed price contracts can be a drag.
EVA does not distinguish between the works done on critical activities and activities with sufficient floats. A project could be late but EVA will not notice this problem if Earned Value exceeds Planned Value. Keep in mind some EV metrics are flawed such as SPI but EV still might have some value, in such case use EV KPIs but do not overlook other KPIs.
We keep a table in Excel a list of the KPIs values as periodically reported. We keep comments on the cells whose values are of concern as the mere values do not tell the whole story, here some analysis is in order. If your software does not provide for trend analysis here is a good place to look and record trends of concern.
Among other KPIs to Consider:
Schedule Margin
For rebaseline the following link might give you some clues.
Over Target Baseline - Formal reprogramming refers to replanning of the performance measurement baseline (PMB)
Member for
16 years 3 monthsShould I be adding the new
yes you should add new hours for NEW work including new actvities based on changes. This is the whole point you want to see the added manhours and durations this is where you will get a time extension basesd on a TIA.