3.6.2 EVM Data Analysis

Question 1

What 3 variables form the basis of almost all EVM calculations?

Answer 1

1. Budgeted Cost of Work Scheduled (BCWS)
2. Budgeted Cost of Work Performed (BCWP)
3. Actual Cost of Work Performed (ACWP)

Question 2

What is the equation for Schedule Variance (SV)?

Answer 2

SV = BCWP – BCWS = EV – PV

Question 3

What is the equation for Cost Variance (CV)?

Answer 3

CV = BCWP – ACWP = EV – AC

Question 4

For SV and CV, what sign (positive or negative) is favorable?

Answer 4

SV and CV: + is favorable, - is unfavorable

Question 5

Schedule Variance (SV) by itself, reveals _______.

Answer 5

reveals no critical path information

Question 6

What is required to determine causes of cost variance and overall effect on contract cost?

Answer 6

With regard to Cost Variance:
– Further analysis is required to determine causes of cost variance and overall
effect on contract cost

Question 7

What are 6 common indicators of problem areas or risks in Earned Value Management (EVM) Data Analysis?

Answer 7

1. Application of management reserves
2. Significant revisions of PMB
3. Zero variance
4. Sudden change in monthly performance trends
5. Linear downward cost variance
6. Unreasonable TCPI