SCHEDULE ANALYSIS AND FORECASTING

1. Schedule variance
The schedule variance (SV) determines whether this project is ahead or behind schedule. Positive
value is indicating a healthy condition and negative value is indicating unhealthy condition.
SV=EVPV=!"#$= %& ('()E*+T),)
Percentage o- SV can be e.pressed by =SV/PV = %&/#$= !!0
1t means2 the project is !!0 behind the schedule2 in other words !!0o- the wor3 has not been
completed yet.
2. Schedule er!"r#ance Inde$
The schedule per-ormance 1nde. (SP1) indicates how e--iciently the project team is using time.
SP1=EV/PV=!"/#$ = 4.&5 (unhealthy)
This SP1 is indicating that2 i- our wor3ing time is $ h/d but wor3ed on project only 6h "4mins.
(The e--iciency o- the wor3 is &50)
%. Ti#e E&'i#a'e a' C"#(le'i"n
'sing SP1 and average PV per unit o- time 2 the project team can generate a rough estimate o-
when the project will be complete.
1- the project were to continue at this rate2 then all o- the wor3 would ta3e %$ months to
accomplish instead o- the %" months planned.
COST ANALYSIS AND FORECASTING
1. C"&' )ariance
* project7s 8V shows whether a project is under or over budget.
8V=EV*V=!"#4= $ ('()E*+T),)
Percentage o- 8V can be e.pressed as2
8V0=8V/EV=$/!"="60 ('()E+T),)
This means2 to date2 the project is "60 over budget -or the wor3 per-ormed.
2. C"&' er!"r#ance Inde$.
8P1 is the clearest indicators one o- the cumulative cost e--iciency o- a project. This indicates
how e--iciently the team is utili9ing resources.
8P1=EV/*8=!"/#4=4.$4 ('()E*+T),)
%. T" * C"#(le'e er!"r#ance Inde$
T8P1 helps the project team to determine the e--iciency on the remaining wor3 -or a project to
meet a speci-ied endpoint2 such as :*8 and E*8.
T8P1=(:*8EV)/(:*8*8)=%.45
This means that -or project team should improve the 8P1 o- 4.$4 to a T8P1 o- %.45 -or
per-ormance o- remaining wor3.
+. )aria'i"n a' C"#(le'i"n
V*8 shows the team whether the project will -inish under or over budget.
V*8=:*8E*8=%64%$5.64= !5.64
This show2 i- the current trend continues the project will cost an additional !5.64 units worth o-
resources than originally planned.
ERFOR,ANCE REORTING
EV* is a real per-ormance measuring tool to e.press schedule or cost slippage
graphically.
EV* contributes greatly to the managers to -ocus on project e.ecution and invo3e control
actions e--ectively and e--iciently and to ma3e necessary adjustments to the project.
EV* can provide a great deal o- use-ul in-ormation to 3ey sta3eholders about a project.
EV* data can be e.pressed as Scurves2 Table and :ar 8harts.
'sing EV*2 an organi9ation can build up acceptable levels o- per-ormance -or a project2
variance percentage and e--iciency indices are mostly used. 1- an organi9ation considers
8V o- negative2 the management will ta3e action.
;anagement team uses EV* per-ormance measures to determine whether action
thresholds have been reached -or their tas3 and control accounts.
RO-LE, OF USING E)A
1. De'er#ina'i"n "! ercen'a.e C"#(le'e /C0
;easuring the e.act progress o- a tas3 only possible i- it is measurable such as bric3
walls Ect.
:ut i- a tas3 do not have tangible or measurable results such as client approval or <uality
inspection cannot be estimated. The problem is that such as estimates can be biased.
Eg= *ssume that a tas3 is 40 complete until it is done than it becomes %440
complete but it undervalues partiality completed tas3.
These approaches cause no distortion to the overall project o- the progress.