Strength of Earned Value Analysis
Earned Value Analysis is a powerful tool to analyse and evaluate the progress of your projects. With just a few pieces of data, you can get reliable forecasts on,
- whether your project is on schedule,
- whether the budget is being used efficiently,
- whether the project is likely to stay within budget.
Elements of the Earned Value Analysis
Earned Value Analysis consists of three elements:
Planned costs
How much budget is expected to be consumed by the current stage of the project?
Actual costs
What costs have been incurred up to the current stage of the project?
Earned value
What value has been earned up to the current status of the project?
Is the Project on Track?
From the three basic elements, you can see whether your project is on track. To do this, teamspace calculates the plan deviation and cost variance for you.
Plan deviation
Are the planned costs higher than the earned value? Then your project is behind schedule.
Cost variance
Are the actual costs greater than the earned value? Then your project is exceeding the budget.
How efficient is my Project Team?
Thanks to the Earned Value Analysis, teamspace can even make forecasts for the future. In this way, you can estimate whether your project is likely to stay on time and within budget upon completion.
Time performance index
How much longer or shorter than planned is the project expected to take?
Cost performance index
How much more or less than planned is the project expected to cost?
Successfully monitor Projects with the Earned Value Analysis
With the earned value analysis in teamspace, you always know the current status of your projects. And even more: because you also recognize when a project is behind schedule or likely to exceed its budget
