Professional Documents
Culture Documents
PM PPP
PM PPP
PM PPP
Plan schedule
Finishing Tources
Budget
Earn value status
Earned value reports compare the planned value (PV),
earned value (EV), and actual cost (AC) of the work done to
provide a snapshot of a project's progress in terms of
budget and schedule
To generate the report, you must examine each job in a
project and determine its status.
This allows teams to learn early on whether or not the
project will go over budget or be delayed, rather than
waiting until the end.
As a result, teams will have a better idea of how much
extra money to budget for the project, as well as how much
time to expect delays.
Variance Analysis
Simply put, variance analysis is the study of the difference between expected and realized
outcomes. By adding all of the deviations for that time period, the overall over- or under-
performance within a reporting period can be seen.
Companies assess their competitiveness by comparing actual prices to industry standard costs for
each component
A positive price variance would result for raw materials, for example, if the actual cost was less
than the standard cost, assuming the same amount of resources were used (i.e., cost savings).
If, for example, manufacturing required 15,000 units of a material but only 10,000 were expected
to be consumed, a negative quantity variation would occur.
The term "variance" refers to the difference between two sets of numbers when
comparing performance to benchmarks.
Management receives reports on variances in cost and quantity in inputs such as
materials, labor, and variable overhead.