5-1 ©2011 Pearson Education, Inc. Publishing as Prentice Hall.
Project Evaluation and Control 13-01 Copyright © 2013 Pearson Education, Inc. Publishing as...
-
Upload
esther-porter -
Category
Documents
-
view
214 -
download
0
Transcript of Project Evaluation and Control 13-01 Copyright © 2013 Pearson Education, Inc. Publishing as...
Chapter 13Project Evaluation
and Control
13-01Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 13 Learning ObjectivesAfter completing this chapter, students will be able to:Understand the nature of the control cycle and four key
steps in a general project control model.Recognize the strengths and weaknesses of common
project evaluation and control methods.Understand how Earned Value Management can assist
project tracking and evaluation.Use Earned Value Management for project portfolio
analysis.Understand behavioral concepts and other human issues in
evaluation and control.Understand the advantages of Earned Schedule methods
for determining project schedule variance, schedule performance index, and estimates to completion.
13-02
The Project Control Cycle
FIGURE 13.2
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-03
Project S-Curves
FIGURE 13.3
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-04
Project Sierra’s S-Curve Showing Negative Variance
13-05
FIGURE 13.4
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Milestone AnalysisMilestones are events or stages of the project that represent a significant accomplishment.
Milestones…show completion of important
steps…signal the team and suppliers…can motivate the team…offer reevaluation points…help coordinate schedules…identify key review gates…delineate work packages
13-06
FIGURE 13.5
Gantt Chart with Milestones
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-07
FIGURE 13.6
Assessing Project Blue’s Status Using Tracking Gantt Chart
13-08Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
FIGURE 13.7
Tracking Gantt with Project Activity Deviation
Project status is updated by linking task completion to the schedule baseline
13-9Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Earned Value Management
Schedule
Cost
PerformanceTracking Control Charts
Cost
Performance Schedule
Earned Value
Project S-Curves
Cost
Performance Schedule
13-10
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Earned Value Terms
Planned value (PV)
Earned value (EV)
Actual cost of work performed (AC)
Schedule performance index (SPI)
Cost performance index (CPI)
Budgeted cost at completion (BAC)
13-11
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Steps in Earned Value Management1. Clearly define each activity including
its resource needs and budget
2. Create usage schedules for activities and resources
3. Develop a time-phased budget (PV)
4. Total the actual costs of doing each
task (AC)
5. Calculate both the budget variance (CV) and schedule variance (SV)
13-12
FIGURE 13.11
Project Baseline, Using Earned Value
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-13
FIGURE 13.12
Earned Value Milestones
13-14Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Earned Value ExampleActivity Jan Feb Mar April Plan %C Value
Staffing 8 7 15 100 15
Blueprint 4 6 10 80 8
Prototype 2 8 10 60 6
Design 3 3 33 1
Mon Plan 8 7 6 17 38 ∑ 30
Cmltv 8 15 21 38
Mon Act 8 11 8 13
Cmltv Act 8 19 27 40Planned Value 38=15+10+10+3
Earned Value 30=15+8+6+1
Value 8=80%(10)
Cumulative 40=8+11+8+13
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-15
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Earned Value ExampleSchedule VariancesPlanned Value (PV) = 38 = 15+10+10+3Earned Value (EV) = 30 = 15+8+6+1Schedule Performance Index = .79 = 30/38 = EV/PVEstimated Time to Completion = (1/.79)x4=5
Cost VariancesActual Cost of Work Performed (AC) = 40 =
8+11+8+13Cost Performance Index = .75 = 30/40 = EV/ACEstimated Cost to Completion = 50.7 = (1/.75)x38
13-16
FIGURE 13.16
Earned Value Report for Project Atlas on March 7
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-17
Earned Value Performance Metrics
13-18Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
FIGURE 13.18 Source: Lipke (2003)
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Completion Values in EVMAccurate and up-to-date information is
critical in the use of EVM
0/100 Rule
50/50 Rule
Percentage Complete Rule
13-19
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Human Factors in Project Evaluation & Control
Optimistic progress reports
Level of detail
Process evaluation
Non-technical performance measurement
13-20
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Critical Success Factors in theProject Implementation Profile1. Project mission2. Top management support3. Project plans & schedules4. Client consultation5. Personnel6. Technical tasks7. Client acceptance8. Monitoring & feedback9. Communication channels10. Troubleshooting
13-21
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall
Summary1. Understand the nature of the control cycle and four key
steps in a general project control model.2. Recognize the strengths and weaknesses of common
project evaluation and control methods.3. Understand how Earned Value Management can assist
project tracking and evaluation.4. Use Earned Value Management for project portfolio
analysis.5. Understand behavioral concepts and other human issues
in evaluation and control.6. Understand the advantages of Earned Schedule methods
for determining project schedule variance, schedule performance index, and estimates to completion.
13-22
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 13-23