Definitions Flashcards
(500 cards)
total float formula
total float = late finish - early finish
normal distribution
bell curve - symmetrical distribution - 50% chance of falling below the mean and 50% chance of falling above the mean (1sigma=68.27%. 2sigma = 95.45%. 3sigma= 99.73%)
triangular distribution
when there are 3 possible values w/ equal probability - distribution is a triangle. A= lowest value, B= highest value, M = most likely value
beta distribution (PERT)
triangular distribution w/ more weight given to the most likely estimate (can be asymmetrical). O = optimistic estimate, ML=most likely estimate, P=pessimistic estimate
mean for a beta distribution
mean = (O + 4ML + P)/6
mean = (O + 4ML + P)/6
standard deviation for beta distribution
standard deviation for beta distribution
standard deviation = (P-O)/6
statistical sums
project mean is the sum of the means of the individual tasks. project standard deviation is the square root of the project variance
earned value management
used to monitor the progress of a project and is an analytical technique. uses 3 independent values - PV, AC, EV
planned value (PV)
the budget or the portion of the approved cost estimate planned to be spent during a given period
actual cost (AC)
the total of direct and indirect costs incurred in accomplishing work during a given period
earned value (EV)
the budget for the work accomplished in a given period
cost variance (CV)
CV = EV - AC
schedule variance (SV)
SV = EV - PV
cost performance index (CPI)
CPI = EV/AC
schedule performance index (SPI)
SPI = EV/PV
positive CV indicates, negative CV indicates
costs are below budget, costs are overrun
positive SV indicates, negative SV indicates
a project is ahead of schedule, a project is behind schedule
CPI greater than 1.0 indicates
costs are below budget
SPI greater than 1.0 indicates
project is ahead of schedule
CPI less than 1.0 indicates
costs are over budget
SPI less than 1.0 indicates
a project is behind schedule
estimate at completion (EAC)
the amount we expect the total project to cost on completion and as of the “data date” (time now)
new estimate technique for finding EAC
EAC = AC/new estimate for remaining work