Earned Value Project Management to Measure Performance
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Earned Value Project Management
Establishing a control of a project that is ongoing may not be easy for the project leadership and the management. There are techniques in place that ensure that the measurement of performance and the progress of a project are objective to improve the management of a project (Cleland, & Ireland, 2008). The value is established on what was accomplished during a period, and the measurement concept in terms of value can be hours or monetary. The project status can have therefore, a prediction based on the comparison between the reality and expectations. The concept of earned value management can grant the managers predictability of the project cost or schedule problems. The approach has been incorporated in projects across sectors and has been beneficial. The system contains 32 guidelines that a project management must meet to relate the progress and performance of the project, and provide information for action by the Directorate and efficient decision-making. The benefits of the system do not only remain in the management and the project, but goes further to the beneficiaries of the project.
Managers must perform tasks in five core divisions of the 32 guidelines that include planning, scheduling and budgeting, organization, accounting, reports and data maintenance. The work and organization breakdown structure need to be developed to illustrate deliverables and responsibilities, defining a control account and ensure integration of every organizational aspect. Resource-based project roadmap for achieving objectives is critical, and all cost expenditure for the project work effort must be captured in consistency with the action plan and the budget. Analysis of management reports aids in the determination of the source of variance, the possible impacts and the effort required to correct the situation. Finally, maintaining schedule and budget baselines assist in assessing work accomplishment, and revision of data and maintenance would help in earning value in the changing baselines of the project (Cleland, & Ireland, 2008).