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National Aeronautics and Space Administration
NASA Earned Value Management (EVM) Capability Project




             NASA Earned Value Management (EVM)
             Update
                PM Challenge


                Jerald Kerby
                Feb., 2012




                          evm.nasa.gov
NASA Earned Value Management (EVM) Capability Project                      Outline

                                                        • EVM Requirements
                                                        • NASA EVM Capability
                                                        • Available EVM Resources




                                                                                     2
Overarching EVM Requirements
                                                        •   OMB Circular A-11 requires for total project EVM (in-house and
NASA Earned Value Management (EVM) Capability Project




                                                            contracted effort) to comply with the ANSI/EIA-748 guidelines
                                                             – Details are in the Capital Planning Guide Supplement

                                                        •   The OMB Circular A-11 requirement has been flowed down to the current
                                                            version of NPR 7120.5




                                                                                                                                    3
NPR 7120.5 NID- EVM Requirements

                                                        • EVM is applied in phases C and D to projects with an estimated life
NASA Earned Value Management (EVM) Capability Project




                                                          cycle cost >$20 million and to Phase E modifications, enhancements,
                                                          or upgrades with an estimated cost > $20 million.
                                                        • EVM system complies with the guidelines in ANSI/EIA-748 and is
                                                          described in the Project Plan.
                                                        • EVM system requirements are flowed down to applicable suppliers.
                                                          (NFS 1834 is applied to contractors.)
                                                        • The project’s Performance Measurement Baseline (PMB) is
                                                          established in Phase B in preparation for KDP C approval and is
                                                          assessed during a review of the integrated baseline for the project.
                                                           • Project EVM reporting begins no later than 60 days after the start
                                                              of Phase C. Contract EVM reporting begins no later than 90 days
                                                              after contract award.

                                                        • NPR 7120.5e expected to be finalized by summer of 2012
                                                           • EVM requirements will not change from NID

                                                                                                                            Page 4
EVM Requirements - Excerpts of Interest
                                                        •   7120.5D:
NASA Earned Value Management (EVM) Capability Project



                                                             –   (2) The Project's EVM approach is in-place by KDP C and implemented in Phase C through KDP E.
                                                             –   (4) As a minimum, EVM principles, as defined by ANSI/EIA-748, Earned Value Management Systems, apply from
                                                                 KDP C through KDP E, if the project's life-cycle cost is at or greater than $20M.

                                                        •   7120.5E (draft):
                                                             –   2.2.7 Programs, at the discretion of the MDAA, projects in phases C and D with a life cycle cost estimated to be
                                                                 greater than $20 million and Phase E project modifications, enhancements, or upgrades with an estimated
                                                                 development cost greater than $20 million shall perform earned value management (EVM) with an EVM system that
                                                                 complies with the guidelines in ANSI/EIA-748, Standard for Earned Value Management Systems. Use of the NASA’s
                                                                 EVM capability and processes, will ensure compliance with the ANSI standard. This capability allows tailoring to
                                                                 match the individual needs of the program or project, while still meeting the ANSI-748 guidelines.
                                                             –   2.2.8 EVM system requirements shall be applied to applicable suppliers in accordance with the NASA Federal
                                                                 Acquisition Regulation (FAR) Supplement 1834.201 and to in-house elements.
                                                             –   2.2.9 In accordance with the NASA Federal Acquisition Regulation (FAR) Supplement 1834.201, EVM system
                                                                 requirements shall be applied to applicable suppliers and to in-house work elements. For contracts that require EVM,
                                                                 a Contract Performance Report (CPR), Integrated Master Schedule (IMS), and Work Breakdown Structure (WBS) are
                                                                 required deliverables and the appropriate data requirements descriptions (DRDs) included in the contract and/or
                                                                 agreement.
                                                             –   2.2.10 For projects requiring EVM, Mission Directorates shall conduct an pre-approval integrated baseline review as
                                                                 part of their preparations for KDP C to ensure that the project’s work is properly linked with its cost, schedule, and
                                                                 risk and that the systems are in place to conduct EVM.
NASA Earned Value Management (EVM) Capability Project
                                                            EVM Requirements


                                                                           NASA Projects
                                                        > $50M              $20M to $50M               $0 to $20M
                                                        32 Guidelines          32 Guidelines         Non-EVM
                                                        NASA System            NASA System           Performance Mgmt

                                                                  Flow-Down to Contractors

                                                         > $50M                $20M or More           Less than $20M


                                                        32 Guidelines        32 Guidelines           Non-EVM
                                                        Validated            Compliance              Performance Mgmt
                                                        Full EVM             Full EVM                Performance Mgmt
                                                        Terms and            Terms and               Terms and
                                                        Conditions of        Conditions of DRDs      Conditions of DRD
                                                        DRDs

                                                                        All Supporting Contractors




                                                                                                                         Page 6
NASA Earned Value Management (EVM) Capability Project                         EVM Assessment/Maturity Model




                                                        NPR 7120.5e




                                                        NPR 7120.5d




                                                                      The Earned Value Management Maturity Model ® and the abbreviation EVM 3® are trademarks of MMI


                                                                                                                                                                       7
What is the NASA EVM Capability?
                                                        Overall Objective was to develop an Agency EVM capability that complies with the guidelines in
NASA Earned Value Management (EVM) Capability Project



                                                        ANSI/EIA-748 and test through two pilots, refine and finalize EVM process and documentation
                                                        based on test results.

                                                        • A common agency EVM capability/process that complies with the
                                                          guidelines in ANSI/EIA-748 for in-house projects
                                                        • Documented with supporting handbooks, instructions, workarounds,
                                                          etc.
                                                        • Tested through two pilot projects, Extra-vehicular Activities (EVA)
                                                          and Ice, Clouds and Land Elevation Satellite (ICESat) II
                                                        • Approved by independent Peer Review Team with representation
                                                          from each Mission Directorate and Center
                                                        • Reported to a senior level Agency Steering Committee represented
                                                          by each Mission Directorate and Center
                                                        • Approved initial (phased) rollout by the Agency Project Management
                                                          Council (APMC) in Dec. 2011
                                                            – Space Launch System (SLS) - (MSFC)
                                                            – ICESat II (GSFC)
                                                            – Focus on EVM flow-down to contracts across the Agency           8
NASA Earned Value Management (EVM) Capability Project            Why develop a common process?

                                                        NASA utilizes EVM data on contracts but lacks the
                                                          capability to: (1) readily apply EVM on in-house
                                                          development effort; and (2) integrate in-house and
                                                          contracted EVM data for total project performance
                                                          assessment.
                                                           – CxP was in the process of building EVM capability but consistent center
                                                             processes do not exist
                                                           – Centers are also in process of building capability but none are ANSI
                                                             compliant except JPL
                                                           – Consistent roles and responsibilities between programs, projects and
                                                             centers do not exist to streamline EVM
                                                           – NASA lacks an approach to coordinate necessary business system,
                                                             policy, and process changes




                                                                                                                                   9
Agency EVM Capability Implementation Schedule –
                                                                             Phased Rollout
NASA Earned Value Management (EVM) Capability Project



                                                            FY10           FY11        FY12            FY13           FY14              FY15           FY16       FY17


                                                            Architecture Development
                                                           Processes
                                                           Documentation/Products
                                                           Pilot Testing
                                                           Tools                                               EVM Capability Implementation
                                                                                          Contracts

                                                                                       SLS Survey, 10/20
                                                                                                   SLS Implementation Plan
                                                                                                SLS Tool Set-up & Configuration
                                                                                                 SLS EVM Processes & Tool Training
                                                                                                                       SLS EVM Implementation
                                                                                                                                                                         Surveillance

                                                                                       MSFC Survey, 10/27
                                                                                        GSFC Survey, 11/2
                                                                                        ICESat-2 Survey, 11/2
                                                                                                ICESat-2 Implementation Plan
                                                                                                 ICESAT-2 Tool Set-up & Configuration
                                                                                               ICESAT-2 EVM Processes & Tool Training
                                                                                                              ICESat-2 EVM Implementation



                                                                                                       Other Center’s/Project’s Surveys & Visits


                                                                                                                   *Other Project Implementation Plan, etc. TBD

                                                                                                                                                                                 10
Phased Rollout - Contracts
                                                        •   Contracts (1-2 yrs.) – Agency-wide
NASA Earned Value Management (EVM) Capability Project



                                                             1. Clarify NPR 7120 contract EVM requirements per NASA FAR Supplement (NFS) from
                                                                 contract award
                                                             2. Work with OP to refine/reinforce Agency process for flowing down EVM requirements to
                                                                 development contracts that exceed $20M threshold
                                                                  1. Strengthen Procurement Strategy Meetings (PSM)
                                                                  2. Implement a contracts checklist to include EVM requirements
                                                                  3. Utilize standard EVM DRDs
                                                                  4. Check for other control points to ensure consistent EVM flow-down of contractual
                                                                      requirements and reporting cross Agency/Center/Projects
                                                             3. House EVM data in centralized database for roll-up reporting capability, cost estimating,
                                                                 software tools, etc.
                                                             4. Improve the data analysis used to make management decisions
                                                             5. Implement EVM analysis training within APPEL for Agency implementation


                                                        •   Improving and consistently flowing down the contractual EVM requirements
                                                            corrects a number of the agency’s EVM issues




                                                                                                                                                            11
Phased Roll-out Approach – Project/Centers
                                                        •   In-house Projects (1-5 yrs.) – Phased by selected projects
NASA Earned Value Management (EVM) Capability Project



                                                              1. NPR 7120 requirement to comply with ANSI/EIA-748 guidelines
                                                                  1. Point to EVM Capability process in NPR as agency standard
                                                                   2. HEO and SMD Senior managers agreed to initial Rollout to SLS (MSFC) and ICESat
                                                                         II (GSFC)
                                                                           – By following the process other Centers could get involved with flow-down
                                                                               requirements from SLS or ICESat II
                                                                   3. Slowly rollout to others as new projects are identified by MDs
                                                                   4. Goal is to eventually rollout to a project at each Center
                                                              2. Conduct surveys at projects and Centers to scope the support/tools needed for agency
                                                                 implementation
                                                              3. Tool support/setup
                                                              4. Implementation/Training/Surveillance Support
                                                              5. Mitigate remaining Risks during project implementations
                                                              6. Continuous improvement - modify process/documentation as needed
                                                              7. Center should develop the capability/tools/infrastructure to support its project’s EVM
                                                                 implementation
                                                              8. During implementation, it’s the projects and Centers ultimate responsibility for success
                                                              9. It is the Center’s responsibility to develop or acquire the skills to repeat the process and
                                                                 maintain compliance with the overarching requirements within the agency process




                                                                                                                                                                12
Products Developed by EVM Capability
                                                           EVM process flow diagrams (Storyboard)
NASA Earned Value Management (EVM) Capability Project



                                                           System Description (Detailed Process)
                                                           Narratives (Summary Process)
                                                           Project-Control Account Manager’s (P-CAM) Reference Guide
                                                             – Provides a quick reference for Technical Managers
                                                           EVM Handbook
                                                             – Overall Agency and general EVM guidance
                                                           Pilots results
                                                             – Lessons Learned/Issues/Workarounds/Recommendations
                                                           EVM Acceptance/Surveillance Strategy
                                                             – Acceptance Strategy
                                                             – Surveillance Overview
                                                           Software Acquisition Strategy
                                                             –   Hardware/Software access/acquisition
                                                         Training Modules by Process Area
                                                             –   Modularized training for each process area




                                                             Latest documents are on the www.nen.nasa.gov website under the EVM sub community folder
                                                                                                                                                       13
Summarized Remaining Risks During Rollout
                                                        • Support organizations add-on overheads not linked to performance
NASA Earned Value Management (EVM) Capability Project




                                                        • Support contractors cost reporting at appropriate level to support
                                                          EVM
                                                           – Cost over obligations
                                                           – Contracts not owned by projects
                                                        • SAP restricted to seven WBS levels for EVM reporting
                                                        • Lack of skilled PP&C competencies to support EVM
                                                        • Technical WBS driven by financial WBS
                                                        • Increased scope without associated budget/schedule
                                                           – Lack of disciplined agency work authorization process
                                                        • Management Reserve and UFE confusion
                                                        • Change Management/Culture/Training
                                                        • Lack of EVM considerations from day 1 of project

                                                        • There are workarounds for all risks and all can be mitigated over
                                                          time
                                                                                                                               14
Maintaining Integrity in the EVM Process

                                                        • Surveillance is a key function to ensure usefulness as a
NASA Earned Value Management (EVM) Capability Project




                                                          management tool and compliance with external mandates.
                                                        • Surveillance Frequency (programmatic/institutional)
                                                           – Recurring assessment as part of the lifecycle reviews and
                                                           – NPR 7120.5 Surveys
                                                        • Mature EVM Capability for improved support of multi-center
                                                          programs and projects




                                                                                                                         15
NASA’s EVM Capability Process
                                                        EVM Capability
NASA Earned Value Management (EVM) Capability Project




                                                              EVM in-house capability has been demonstrated by one or more pilots.

                                                              Results of the pilots are documented.

                                                              Integrated set of processes, tools, guidance and training products are finalized, incorporating
                                                               the lessons learned gained from the pilots.

                                                              The system description, training and other EVM capability products are transitioned to the
                                                               OCE and other responsible functional organizations for implementation.

                                                              Final Peer Review results in no show stoppers

                                                        Next Steps

                                                              Rollout on 1st two projects – SLS (MSFC) and ICESat II (GSFC)
                                                              Remaining Items that still need to be addressed through Implementation
                                                                      Cost Issues/Business Rules – OCFO working long-term solutions (Interim Workarounds developed)
                                                                      Mitigate Remaining Risks during rollout
                                                                      Continuous Improvement of the Process through Implementation Lessons Learned


                                                                                                                                                                       16
NASA Earned Value Management (EVM) Capability Project                             EVM Capability Toolbox


                                                                                                             EVM
                                                                                                           Capability
                                                                                                          Components




                                                        Process Flow   Documented             Training           Pilots     Center EVM       Surveillance    Tools
                                                        (Storyboard)   Procedures            Materials         Lessons     Focal Points
                                                                       Instructions         (Classroom)         Learned


                                                         Storyboard    System Description   APPEL (JIT)         EVA         Implementation   Institutional   wInsight
                                                         Narratives    Handbooks                                ICESat II    Support          Projects        Cobra
                                                                       Guides
NASA EVM Resources
                                                                                POLICY , HANDBOOKS, GUIDANCE
                                                                            •   NPR 7120.5
NASA Earned Value Management (EVM) Capability Project



                                                                            •   EVM Handbook
                                                                            •   Scheduling Handbook
                                                                            •   IBR Toolkit
                                                                            •   WBS Handbook
                                                                            •   Project Control Account Manager (CAM) Guide (draft)
                                                                            •   Standardized WBS (7120.5)
                                                                            •   EVM Capability Products                                 PRODUCTS & SERVICES
                                                                                     • Process/Storyboard
                                                                                     • System Description
                                                                                                                                      • Center EVM Implementation Plans
                                                                                     • DRDs                                           and Support

                                                        MISSION                                                                       • Support for Agency and Centers EVM
                                                                                                                                      Policy & Procedures
                                                        PROGRAM / PROJECT
                                                                                    Mission Directorate                               • Training
                                                                                         & Center                                     • RFP Development
                                                        REQUEST                      EVM Focal Point                                  • SEB EVM Evaluation
                                                                                                                                      • IBR Support
                                                                                                                                      • Data Analysis/Tools
                                                                                                                                      • Surveillance
                                                                                     RESOURCES, SYSTEMS, TOOLS                        • In-house EVM Support
                                                                                •   Automated Tools
                                                                                        • wInsight/Cobra
                                                                                •   Access to Training Materials and
                                                                                        • online EVM/Scheduling/CAM/IBR training
                                                                                        available through SATERN
                                                                                •   Websites
                                                                                        • evm.nasa.gov
                                                                                        • Internal material/Knowledge Now
                                                                                        • nen.nasa.gov
                                                                                •   EVM Working Group Meetings and Peer
                                                                                    Support
NASA Earned Value Management (EVM) Capability Project                       Organizational EVM Focal Points



                                                          ORGANIZATION                  NAME                 EMAIL ADDRESS                   TEL
                                                        Headquarters - Focal Points
                                                        IPCE                     Charles Hunt               charles.d.hunt@nasa.gov       202.358.0803
                                                        Procurement              Carl Weber                  carl.c.weber@nasa.gov        202.358.1784
                                                        OCIO                     John Bosco                  john.f.bosco@nasa.gov        202.358.1352
                                                        OCFO                     Richard Savitsky         richard.savitsky-1@nasa.gov     202.358.2329
                                                        Mission Directorates - Focal Points
                                                        SMD                      Claude Freaner            claude.freaner@nasa.gov        202.358.2522
                                                        HEOMD                    Cris Guidi                cristina.guidi-1@nasa.gov      202.358.1777
                                                        Centers - Focal Points
                                                        Ames                     Alan Wong                     alan.n.wong@nasa.gov       650.604.4952
                                                        Dryden                   Patty Daws                 patricia.r.daws@nasa.gov      661.276.2964
                                                        Glenn                    Bob Sefcik                  robertj.sefcik@nasa.gov      216.433.8445
                                                                                 Stephen Shinn              stephen.a.shinn@nasa.gov      301.286.5894
                                                        Goddard
                                                                                 Julie Baker                  julie.m.baker@nasa.gov      301.286.8096
                                                        Jet Propulsion Lab       Cal Chambers            calvin.r.chambers@jpl.nasa.gov   818.354.0092
                                                        Johnson                  Charlie Stegemoeller   charles.m.stegemoeller@nasa.gov   281.483.0576
                                                        Kennedy - Deputy Chair   Kristen Kehrer             kristen.c.kehrer@nasa.gov     321.867.3691
                                                        Langley                  Dr. Barry Lazos              barry.s.lazos@nasa.gov      757.864.5731
                                                        Marshall - Chair         Jerald Kerby                jerald.g.kerby@nasa.gov      256.544.3243
                                                                                 Deborah Norton            deborah.s.norton@nasa.gov      228.688.1168
                                                        Stennis
                                                                                 Robert Ross                  robert.b.ross@nasa.gov      228.688.2320
NASA Earned Value Management (EVM) Capability Project   NASA EVM Website (Homepage)
NASA Earned Value Management (EVM) Capability Project
                                                          https://nen.nasa.gov
                                                        NASA Engineering Network
NASA Earned Value Management (EVM) Capability Project   NEN - NASA Community of Practice
NASA Earned Value Management (EVM) Capability Project   NEN - NASA EVM Community of Practice
NASA Earned Value Management (EVM) Capability Project          EVM Support During the Project Life Cycle



                                                                                                               Approval
                                                            Project Pre-Formulation     Project Formulation                         Project Implementation
                                                                  Pre-Phase A           Phase A      Phase B            Phase C       Phase D    Phase E      Phase F

                                                                                                                          Project Evaluation




                                                                                                    EVM Focal Points


                                                        •   Up-front Project Planning                               •      wInsight© Support (EVM Data Analysis Tool)
                                                        •   WBS Development                                         •      Monthly Analysis
                                                        •   Schedule Development & Evaluation
                                                        •   Schedule Risk Assessment (SRA)
                                                        •   Program Planning & Control (PP&C) Training Initiative
                                                        •   Integrated Baseline Review (IBR) Preparation &
                                                            Support
                                                        •   Earned Value Management (EVM) Data Analysis
                                                            Processes/Practices
                                                                                                                                                                        24
NASA Earned Value Management (EVM) Capability Project           Key Components of EVM Process



                                                          Processes
                                                        Documentation   Requirement (7120)      Curriculum
                                                           Tools         Roll Out Support     Training Materials
                                                          Customer        Surveillance             Target
                                                           Support             Program               Audiences




                                                                                                                25
                                                        Everything is in place to begin implementation
NASA Earned Value Management (EVM) Capability Project




                             Backups




26
7120 EVM Language - Comparison
                                                                                       7120.5d                                                                       7120.5 NID                                                               Proposed 7120.5E
                                                        Describe the program's EVMS if EVM requirements are levied at the          2.2.7 Programs, at the discretion of the MDAA, and projects in phases C      2.2.7 Programs, at the discretion of the MDAA, projects in phases C and D
NASA Earned Value Management (EVM) Capability Project


                                                        program level                                                              and D (and project modifications, enhancements, or upgrades during Phase     with a life cycle cost estimated to be greater than $20 million and Phase E
                                                                                                                                   E) with a life cycle cost estimated to be greater than $20 million shall     project modifications, enhancements, or upgrades with an estimated
                                                                                                                                   perform earned value management (EVM) with an EVM system that                development cost greater than $20 million shall perform earned value
                                                                                                                                   complies with the guidelines in ANSI/EIA-748, Standard for Earned Value      management (EVM) with an EVM system that complies with the
                                                                                                                                   Management Systems. This includes flowing down EVM system                    guidelines in ANSI/EIA-748, Standard for Earned Value Management
                                                                                                                                   requirements to applicable suppliers.                                        Systems. Use of the NASA’s EVM capability and processes, will ensure
                                                                                                                                                                                                                compliance with the ANSI standard. This capability allows tailoring to
                                                                                                                                                                                                                match the individual needs of the program or project, while still meeting
                                                                                                                                                                                                                the ANSI-748 guidelines.

                                                        Describe the project's implementation of Earned Value Management           2.2.8 Projects will conduct an integrated review of project baselines as part 2.2.8 EVM system requirements shall be applied to applicable suppliers in
                                                        (EVM). The following requirements apply:                                   of their preparations for KDP C to ensure that the project‘s work is          accordance with the NASA Federal Acquisition Regulation (FAR)
                                                        (1) The project's EVM approach is consistent with the participating        properly linked with its cost, schedule, and risk and that the systems are in Supplement 1834.201 and to in-house work elements.
                                                        Center's best practices.                                                   place to conduct EVM.
                                                        (2) The Project's EVM approach is in-place by KDP C and implemented in                                                                                   2.2.9 For projects requiring EVM, Mission Directorates shall conduct an
                                                        Phase C through KDP E.                                                                                                                                   pre-approval integrated baseline review as part of their preparations for
                                                                                                                                                                                                                 KDP C to ensure that the project’s work is properly linked with its cost,
                                                                                                                                                                                                                 schedule, and risk and that the systems are in place to conduct EVM.

                                                        (3) Project EVM reporting begins within 60 days after the start of Phase C. 3.1 Describe the program‘s Earned Value Management System (EVMS), if
                                                                                                                                    EVM requirements are to be levied at the program level.
                                                        (4) As a minimum, EVM principles, as defined by ANSI/EIA-748, Earned Describe the project‘s implementation of Earned Value Management
                                                        Value Management Systems, apply from KDP C through KDP E, if the            (EVM) including:
                                                        project's life-cycle cost is at or greater than $20M.
                                                        (5) If the project's primary NASA Center has a fully validated Earned       (1) How the PMB will be developed and maintained for the project and
                                                        Value Management System (EVMS), the project uses that system rather         how UFE will be established and controlled.
                                                        than EVM principles.
                                                        (6) For contracts and subcontracts, application of an EVMS is required as (2) The methods the project will use to authorize the work and to
                                                        follows:                                                                    communicate changes for the scope, schedule, and budget of all suppliers.
                                                                                                                                    This plan is updated as make-buy decisions and agreements are made.

                                                        (i) For development or production (including flight and ground support) (3) The process to be used by the project to communicate the time-phased
                                                        contracts and subcontracts valued at $20M or more, the contractor EVMS levels of funding that have been forecast to be made available to each
                                                        must comply with the guidelines in ANSI/EIA-748.                        supplier.

                                                        (ii) For development or production (including flight and ground support) (4) For the class of suppliers not required to use EVM, the schedule and
                                                        contracts and subcontracts valued at $50M or more, the contractor EVMS resource information required of the suppliers to establish and maintain a
                                                        has been formally determined compliant with ANSI/EIA-748 by the          baseline and to quantify schedule and cost variances.
                                                        cognizant Federal contract management agency.

                                                        (iii) EVM is not required for grants, non-developmental level-of-effort    (5) How the cost and schedule data from all partners/suppliers will be
                                                        engineering support services, steady-state operations, basic and applied   integrated to form a total project-level assessment of cost and schedule
                                                        research, and routine services such as janitorial services or grounds      performance.
                                                        maintenance services; however, application is at the discretion of the
                                                        Program/Project Manager.
                                                        (iv) A Contract Performance Report (CPR), Integrated Master Schedule
                                                        (IMS), WBS, and WBS dictionary are required whenever EVM is required
                                                        on contracts and subcontracts.
                                                        (v) In accordance with NFS Part 1834, require IBRs through Phase D for
                                                        contracts requiring EVM. Schedule such reviews not later than 180
                                                        calendar days after contract award or the exercise of significant contract
                                                        options, or not later than 60 calendar days after a significant funding or
                                                        work scope realignment.
Top 5 Lessons Learned (linked to remaining risks)

                                                        1.    Projects have to consider EVM Implementation from Day 1 of
NASA Earned Value Management (EVM) Capability Project




                                                              project
                                                             1. Each time a charge code is created it effectively changes the
                                                                  technical WBS for the life of the project
                                                             2. Where will the work be controlled and performance taken?
                                                                  EVM construct must be considered for control accounts and
                                                                  work packages.
                                                        2.   Support Contractor costs will continue to be a constraint unless
                                                              proper cost reporting requirements are flowed down to contracts
                                                             •    Support Contracts are often owned by other organizations
                                                                  outside of the projects with no EVM requirements.
                                                        3.    Work Authorization agreements that document an agreement of
                                                              scope, schedule and budget by both sponsor and performing
                                                              orgs. are fundamental to the implementation of EVM
                                                        4.    PP&C skills must be strengthened to support EVM and project
                                                              management
                                                        5.    Senior Level Management support is needed across the agency
                                                              with the change management process
                                                                                                                                28
Overview of EVM Documents
                                                        • NASA Earned Value Management (EVM) System Description
NASA Earned Value Management (EVM) Capability Project



                                                               1.Purpose: This document describes the NASA management system that will integrate the scope, schedule, and budget of a
                                                               program or project for optimal planning and control of prime contracts and in-house work that can be used to ensure compliance with
                                                               NASA’s EVM requirements (e.g., complies with the ANSI/EIA-748 guidelines). It is intended to establish a common project
                                                               management process across all centers and Mission Directorates to facilitate adoption of best business practices, the application of
                                                               timely and predictive analysis, and ultimately provide all stakeholders with greater insight into project performance.
                                                        • NASA Earned Value Management (EVM) Implementation Guide
                                                               • Purpose: This handbook provides Earned Value Management (EVM) guidance for the effective application, implementation, and
                                                               utilization of EVM on NASA programs, projects, major contracts and subcontracts in a consolidated reference document. This
                                                               handbook was developed to serve as the central EVM guidance document for NASA personnel.
                                                               • Content: Key components of NASA’s EVM policy addressed in this handbook include: Roles and Responsibilities, EVM
                                                               Implementation on NASA Contracts (pre-award contract requirements (e.g., Data Requirement Descriptions, Statement of Work
                                                               (SOW), contract type/incentives, etc.); EVM Implementation on NASA in-house Programs/Projects and EVM System (EVMS)
                                                               Acceptance and Surveillance Processes. NASA EVM best practices and lessons learned are also included.
                                                        • NASA Project Control Account Manager (P-CAM) Handbook
                                                               1.Purpose: This handbook is intended to be a quick reference for a P-CAM or technical manager empowered with a project’s cost,
                                                               schedule, and technical responsibilities where EVM is required. The overall objective is to support the P-CAMs in performing their
                                                               responsibilities as they relate to EVM.
                                                        • NASA Integrated Baseline Review (IBR) Handbook (NASA/SP-2010-3406)
                                                               1.Purpose: This handbook is intended to be a how-to guide to prepare for, conduct, and close-out an IBR.
                                                               2.Content: The guide describes the steps that should be considered for the IBR, offers tips for tailoring the IBR based on risk, cost,
                                                               and need for management insight. Appendices to the guide contain samples of documentation typically used in connection with the
                                                               IBR.
                                                        • NASA Schedule Management Handbook (NASA/SP-2010-3403)
                                                               1.Purpose: The purpose of this handbook is to provide the framework for time-phasing, resource planning, coordination, and
                                                               communicating the necessary tasks within a work effort. The intent is to improve schedule management by providing recommended
                                                               concepts, processes, and techniques used within the Agency and industry.
                                                               2.Content: Describe the schedule management approach and best practices for developing and maintaining an integrated master
                                                               schedule. Includes schedule tool considerations, pre-schedule development activities, development of the IMS, status updates and
                                                               maintenance, schedule assessment and analysis, schedule control and lessons learned.
                                                        • NASA Work Breakdown Structure (WBS) Handbook (NASA/SP-2010-3404)
                                                               1.Purpose: Provide WBS development guidance for the Agency to include government partners, international partners and
                                                               contractors to extent required by their contracts.
LEGEND

                                                                                                                                                                                                            Document(s)                                   Off-Page

                                                                                   Agency EVM Capability Storyboard                                                                    Decision
                                                                                                                                                                                                            (If blue, linked
                                                                                                                                                                                                         documents attached)
                                                                                                                                                                                                                                    Process
                                                                                                                                                                                                                               (If blue, illustration
                                                                                                                                                                                                                                     attached)
                                                                                                                                                                                                                                                         Connector(s)
                                                                                                                                                                                                                                                          (May not be in
                                                                                                                                                                                                                                                        proper swim lane)
NASA Earned Value Management (EVM) Capability Project




                                             1.0 Organization
                                                          MDAA / HQ




                                                                            1.01
                                                                           KDP B              No
                                          Program Mgr /
                                                          Program Mgt
                                                             Office




                                                                                                                                                                                                                                         3.03
                                                          Project Office




                                                                                                                                                                                                                                   Prepare & Issue
                                                           Manager /




                                                                                             1.02                                                                                                                                    Preliminary
                                  Project




                                                                                     Finalize Project Plan                                                                                                                            Planning
                                                                                      for Phase C (EVM                                                                                                                            Guidance / WAD /
                                                                                          Approach)                                                                                                                                Dollarized RAM


                                                                                                                 1.03
                                                                                                               Approve
                                                                                                             Project Plan
                                                          Element Mgr /
                     Subproject /




                                                                                                                                       1.04
                                                                                                                                                        1.05
                                                                                                                                    Extend &
                                                             Team




                                                                                                                            Yes                    Prepare WBS
                                                                                                                                  Refine Project
                                                                                                                                                     Dictionary
                                                                                                                                      WBS                                                           1.07
                                                                                                                                                                        1.06                     Extend &
                                                                                                                                                                      Extend &                    Refine
                                                                                                                                                                                                                                       2.01
                                                                                                                                                                       Refine                  Responsibility
                                                                                                                                                                                                                                 Extend and Refine
                                                                                                                                                                  Organizational                Assignment
                                                                                                                                                                                                                                  Master Schedule
                                                                                                                                                                    Breakdown                 Matrix (RAM) &
                                                                                                                                                                                                                                      (Draft)
                                                                                                                                                                  Structure (OBS)             Identify Control
                                                                                                                                                                                                 Accounts
                                                          P-CAM
                                                Institutional/
                                                 Functional




                                                                                                                                                                                                                                        8.01
                                                                                                                                                                                                                                  Estimate Material
                                                                                                                                                                                                                                  Needs and Cost
LEGEND

                                                                                                                                                                                                                                                                                                             Document(s)                                         Off-Page


                                                                                              Agency EVM Capability Storyboard                                                                                                                                                                                (If blue, linked            Process               Connector(s)
                                     Project (EVM) Capability Project




                                                                                                                                                                                                                                                                                         Decision          documents attached)     (If blue, illustration
                                                                                                                                                                                                                                                                                                                                                                 (May not be in
                                                                                                                                                                                                                                                                                                                                         attached)
                                                                                                                                                                                                                                                                                                                                                               proper swim lane)




 2.0 Scheduling

                                                                        Developing IMS                                                                                                                                                                   IMS Status & Update                                     7-1.11
                                                                                                                                                                                                                                                                                                              Input CAPs/
                                                                                                                                                                                                                                                                               10.08                          update IMS,
                                                                                                                                                                                                                                                                             Integrate                        WBS, RAM,
                                                                                                                                                                                                                                                                              Supplier                          WAD, etc.
                          Management Manager / Project Office




                                                                                                                                                                                                                                                                               Cost/                         Update budget
                                                                                                                                                                                                                                                                             Schedule                          logs (PBB,
                                                                                                                                                                                                                                                                             Data into                            AUW,
                                                                                                                                                                              10.08
                                                                                                                                                                                                                                                                               Cost &                         Contingency/
                                                                                                                                                                            Integrate
                                                                                                                                                                                                                                                                             Schedule                           MR, UB)
                                                                                                                                                                          Supplier Cost/
                                                                                                                                                                            Schedule                                                                                         Tools and
                                                                                                                                                                          Data into Cost                                                                                      Reports
                                                                                                                                                                           & Schedule                                                                                                                            7-2.08
                                                                             1.07                                                                                           Tools and                                                                                                                         Input CAPs/
                                                                          Extend &                                                                                           Reports                                                                                                                          update IMS,
                                                                           Refine                                                                                                                                                                                                                             WBS, RAM,
                                                                                                                                                                                                                                                                               8.19
                                                                        Responsibility                                                                                                                                                                                                                          WAD, etc.
                                                                                                                                                                                                                                                                               Claim
                                                                         Assignment                                                                                                                                                                                                                          Update budget
                                                                                                                                                                                                           No                                                               BCWP/Status
                                                                        Matrix (RAM)                                                                                                                                                                                                                           logs (PBB,
                                                                                                                                                                                                                                                                             Schedule
                                                                          & Identify                                                                                                                                                                                                                              AUW,
                                                                           Control                                                                                                                                                                                                                            Contingency/
                                                                                                                                                                                                                                             3.12
                                                                          Accounts                                                                                                                           2.08                                                                                               MR, UB)
                                                                                                                                                                                                                                           Establish
                                                                                                                                                                                                           Conduct                         the PMB
                                                                                                                                                                                                           Schedule
                                                                                                                                                                                                            Health
                                                                                                                                                                                                            Check
                                                                             2.01                                                                                                                                                                                2.11                                                           2.16
                                                                         Extend and                                                                                                                                                                           Generate                                                          Input
                                                                                                                                2.04                                                                         Verify
                                                                            Refine                   Yes                                                                                                   Vertical &
                                                                                                                                                                                                                                                               status                                                        workaround
                                                                                            2.02                2.03         Extend &                                          2.07                                                                           gathering                                                        plans.
                                                                            Master                                                                                                                        Horizontal                                                                                                                                2.17
                                                                                         Schedule            Extend &          Refine           2.05                        Integrate                                       2.09                           mechanism to                                                                                                 2.18
                                                                          Schedule                                                                                                                        Traceability                                                                          2.13           2.14                             Publish and
                                                                                          logic at         Refine Logic-   Detailed CAP      Extend &                         Detail                                      Approve                            collect IMS                                                       Health                               Export data
                                                                            (Draft)                                                                                                                                                                                                       Input P-CAM       Calculate a                          Distribute
                                                                                           Inter-             Linked         Schedules     Refine Logic-                   Schedules                                       IMS?             2.10             updates &                                                       Check and                              to cost tool
                                                                          (Includes                                                                                                                          Verify                                                                        updates into     new critical                            final
                                                                                         mediate                               (Drafts),      Linked                       from CAPs          3.07
NASAInstitutional/ P-CAM Element Mgr




                                                                          on-going                         Intermediate                                                                                                                   Baseline &        EVM status                     the detailed    path and new       Analysis           schedules
      Earned Value Subproject/




                                                                                          Level?                           Define WPs,                                      forming a                      Significant
                                                                          Status &                             Level                       Detailed CAP                                    Reconcile                                Yes    Publish         from P-CAMs                    schedule and       forecast
                                                                                                                            & assign EV                                    single IMS                       Project
                                                                           Updates                           Schedule                        Schedules                                      Schedule                                         IMS                                            or cost tool       dates           Iterate
                                                                                                                             Measure-                          2.06         (Includes                      Milestones
                                                                                                               (Draft)                         (Drafts),                                       with                                                                                                                          as needed.
                                                                                                           (Includes on-        ment       Define WPs,     Create Roll-      on-going        Budget                                         (Includes
                                                                                                                            Techniques                          up           status &                      Validate
                                                                                                           going Status                     & assign EV                                       data                                           Master,
                                                                                                                           (Includes on-                   Intermediate      updates)                     Critical Path
                                                                                                             & Updates                       Measure-                                       until fully                                   Intermediate
                                                                                                                           going Status         ment           Level                       integrated                                        & Detail
                                                                                                                             & Updates                       Schedule                                      Conduct
                                                                                                                                            Techniques                                                                                       Levels)
                                                                                                                                                            using Task                                     Schedule
                                                                                                                                           (Includes on-                                                                                                                                                                                          6-1.01
                                                                                                                                                              Coding                                         Risk                                                                                                                                                     6-1.02
                                                                                                                                           going Status                                                                                                                                                                                         Distributing
                                                                                                                                                                                                          Assessment                                                                                                                                                 Monthly
                                                                                                                                             & Updates                                                                                                                                                                                            Monthly
                                                                                                                                                                                                                                                                2.12                                                                                               Performance
                                                                                                                                                                                                                                                                                                                                                 Schedule
                                                                                                                                                                                                              Verify                                       Provide status                                      2.15                                                  Analysis
                                                                                                           No                                                                                             Intermediate-                                    including AS/                                      Review
                                                                                                                                                                                                                                                                                                                                                 Analysis
                                                                                                                                                                                                           Level Rollup                                    AF, forecasted                                    results of
                                                                                                                                                                                                                                                               dates,                                         status.
                                                                                                                                                                                                                                                           Milestones, &
                                                                                                                                                                                                                                                                 EV                                          Develop
                                                                                                                                               3.05                                                                                                                                                         workaround
                                                                                                                                             P-CAMs                                                                                                                                   9.14                     plans
                                                                                                                                             Develop                                                                                                                               Integrate               as needed to
                                                                                                                                              CAPs                                                                                                                                Contractor                  correct
     Functional




                                                                                                                                             (Budget                                                                                                                                 Cost/                  forecasted
                                                                                                                                               only)                                                                                                                              Schedule                   schedule
                                                                                                                                                                                                                                                                                  Data into                    slips
                                                                                                                                                                                                                                                                                    Cost &
                                                                                                                                                                                                                                                                                  Schedule
                                                                                                                                                                                                                                                                                  Tools and
                                                                                                                                                                                                                                                                                    Reports
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
Jerald kerby
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Jerald kerby

  • 1. National Aeronautics and Space Administration NASA Earned Value Management (EVM) Capability Project NASA Earned Value Management (EVM) Update PM Challenge Jerald Kerby Feb., 2012 evm.nasa.gov
  • 2. NASA Earned Value Management (EVM) Capability Project Outline • EVM Requirements • NASA EVM Capability • Available EVM Resources 2
  • 3. Overarching EVM Requirements • OMB Circular A-11 requires for total project EVM (in-house and NASA Earned Value Management (EVM) Capability Project contracted effort) to comply with the ANSI/EIA-748 guidelines – Details are in the Capital Planning Guide Supplement • The OMB Circular A-11 requirement has been flowed down to the current version of NPR 7120.5 3
  • 4. NPR 7120.5 NID- EVM Requirements • EVM is applied in phases C and D to projects with an estimated life NASA Earned Value Management (EVM) Capability Project cycle cost >$20 million and to Phase E modifications, enhancements, or upgrades with an estimated cost > $20 million. • EVM system complies with the guidelines in ANSI/EIA-748 and is described in the Project Plan. • EVM system requirements are flowed down to applicable suppliers. (NFS 1834 is applied to contractors.) • The project’s Performance Measurement Baseline (PMB) is established in Phase B in preparation for KDP C approval and is assessed during a review of the integrated baseline for the project. • Project EVM reporting begins no later than 60 days after the start of Phase C. Contract EVM reporting begins no later than 90 days after contract award. • NPR 7120.5e expected to be finalized by summer of 2012 • EVM requirements will not change from NID Page 4
  • 5. EVM Requirements - Excerpts of Interest • 7120.5D: NASA Earned Value Management (EVM) Capability Project – (2) The Project's EVM approach is in-place by KDP C and implemented in Phase C through KDP E. – (4) As a minimum, EVM principles, as defined by ANSI/EIA-748, Earned Value Management Systems, apply from KDP C through KDP E, if the project's life-cycle cost is at or greater than $20M. • 7120.5E (draft): – 2.2.7 Programs, at the discretion of the MDAA, projects in phases C and D with a life cycle cost estimated to be greater than $20 million and Phase E project modifications, enhancements, or upgrades with an estimated development cost greater than $20 million shall perform earned value management (EVM) with an EVM system that complies with the guidelines in ANSI/EIA-748, Standard for Earned Value Management Systems. Use of the NASA’s EVM capability and processes, will ensure compliance with the ANSI standard. This capability allows tailoring to match the individual needs of the program or project, while still meeting the ANSI-748 guidelines. – 2.2.8 EVM system requirements shall be applied to applicable suppliers in accordance with the NASA Federal Acquisition Regulation (FAR) Supplement 1834.201 and to in-house elements. – 2.2.9 In accordance with the NASA Federal Acquisition Regulation (FAR) Supplement 1834.201, EVM system requirements shall be applied to applicable suppliers and to in-house work elements. For contracts that require EVM, a Contract Performance Report (CPR), Integrated Master Schedule (IMS), and Work Breakdown Structure (WBS) are required deliverables and the appropriate data requirements descriptions (DRDs) included in the contract and/or agreement. – 2.2.10 For projects requiring EVM, Mission Directorates shall conduct an pre-approval integrated baseline review as part of their preparations for KDP C to ensure that the project’s work is properly linked with its cost, schedule, and risk and that the systems are in place to conduct EVM.
  • 6. NASA Earned Value Management (EVM) Capability Project EVM Requirements NASA Projects > $50M $20M to $50M $0 to $20M 32 Guidelines 32 Guidelines Non-EVM NASA System NASA System Performance Mgmt Flow-Down to Contractors > $50M $20M or More Less than $20M 32 Guidelines 32 Guidelines Non-EVM Validated Compliance Performance Mgmt Full EVM Full EVM Performance Mgmt Terms and Terms and Terms and Conditions of Conditions of DRDs Conditions of DRD DRDs All Supporting Contractors Page 6
  • 7. NASA Earned Value Management (EVM) Capability Project EVM Assessment/Maturity Model NPR 7120.5e NPR 7120.5d The Earned Value Management Maturity Model ® and the abbreviation EVM 3® are trademarks of MMI 7
  • 8. What is the NASA EVM Capability? Overall Objective was to develop an Agency EVM capability that complies with the guidelines in NASA Earned Value Management (EVM) Capability Project ANSI/EIA-748 and test through two pilots, refine and finalize EVM process and documentation based on test results. • A common agency EVM capability/process that complies with the guidelines in ANSI/EIA-748 for in-house projects • Documented with supporting handbooks, instructions, workarounds, etc. • Tested through two pilot projects, Extra-vehicular Activities (EVA) and Ice, Clouds and Land Elevation Satellite (ICESat) II • Approved by independent Peer Review Team with representation from each Mission Directorate and Center • Reported to a senior level Agency Steering Committee represented by each Mission Directorate and Center • Approved initial (phased) rollout by the Agency Project Management Council (APMC) in Dec. 2011 – Space Launch System (SLS) - (MSFC) – ICESat II (GSFC) – Focus on EVM flow-down to contracts across the Agency 8
  • 9. NASA Earned Value Management (EVM) Capability Project Why develop a common process? NASA utilizes EVM data on contracts but lacks the capability to: (1) readily apply EVM on in-house development effort; and (2) integrate in-house and contracted EVM data for total project performance assessment. – CxP was in the process of building EVM capability but consistent center processes do not exist – Centers are also in process of building capability but none are ANSI compliant except JPL – Consistent roles and responsibilities between programs, projects and centers do not exist to streamline EVM – NASA lacks an approach to coordinate necessary business system, policy, and process changes 9
  • 10. Agency EVM Capability Implementation Schedule – Phased Rollout NASA Earned Value Management (EVM) Capability Project FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 Architecture Development  Processes  Documentation/Products  Pilot Testing  Tools EVM Capability Implementation Contracts SLS Survey, 10/20 SLS Implementation Plan SLS Tool Set-up & Configuration SLS EVM Processes & Tool Training SLS EVM Implementation Surveillance MSFC Survey, 10/27 GSFC Survey, 11/2 ICESat-2 Survey, 11/2 ICESat-2 Implementation Plan ICESAT-2 Tool Set-up & Configuration ICESAT-2 EVM Processes & Tool Training ICESat-2 EVM Implementation Other Center’s/Project’s Surveys & Visits *Other Project Implementation Plan, etc. TBD 10
  • 11. Phased Rollout - Contracts • Contracts (1-2 yrs.) – Agency-wide NASA Earned Value Management (EVM) Capability Project 1. Clarify NPR 7120 contract EVM requirements per NASA FAR Supplement (NFS) from contract award 2. Work with OP to refine/reinforce Agency process for flowing down EVM requirements to development contracts that exceed $20M threshold 1. Strengthen Procurement Strategy Meetings (PSM) 2. Implement a contracts checklist to include EVM requirements 3. Utilize standard EVM DRDs 4. Check for other control points to ensure consistent EVM flow-down of contractual requirements and reporting cross Agency/Center/Projects 3. House EVM data in centralized database for roll-up reporting capability, cost estimating, software tools, etc. 4. Improve the data analysis used to make management decisions 5. Implement EVM analysis training within APPEL for Agency implementation • Improving and consistently flowing down the contractual EVM requirements corrects a number of the agency’s EVM issues 11
  • 12. Phased Roll-out Approach – Project/Centers • In-house Projects (1-5 yrs.) – Phased by selected projects NASA Earned Value Management (EVM) Capability Project 1. NPR 7120 requirement to comply with ANSI/EIA-748 guidelines 1. Point to EVM Capability process in NPR as agency standard 2. HEO and SMD Senior managers agreed to initial Rollout to SLS (MSFC) and ICESat II (GSFC) – By following the process other Centers could get involved with flow-down requirements from SLS or ICESat II 3. Slowly rollout to others as new projects are identified by MDs 4. Goal is to eventually rollout to a project at each Center 2. Conduct surveys at projects and Centers to scope the support/tools needed for agency implementation 3. Tool support/setup 4. Implementation/Training/Surveillance Support 5. Mitigate remaining Risks during project implementations 6. Continuous improvement - modify process/documentation as needed 7. Center should develop the capability/tools/infrastructure to support its project’s EVM implementation 8. During implementation, it’s the projects and Centers ultimate responsibility for success 9. It is the Center’s responsibility to develop or acquire the skills to repeat the process and maintain compliance with the overarching requirements within the agency process 12
  • 13. Products Developed by EVM Capability  EVM process flow diagrams (Storyboard) NASA Earned Value Management (EVM) Capability Project  System Description (Detailed Process)  Narratives (Summary Process)  Project-Control Account Manager’s (P-CAM) Reference Guide – Provides a quick reference for Technical Managers  EVM Handbook – Overall Agency and general EVM guidance  Pilots results – Lessons Learned/Issues/Workarounds/Recommendations  EVM Acceptance/Surveillance Strategy – Acceptance Strategy – Surveillance Overview  Software Acquisition Strategy – Hardware/Software access/acquisition  Training Modules by Process Area – Modularized training for each process area Latest documents are on the www.nen.nasa.gov website under the EVM sub community folder 13
  • 14. Summarized Remaining Risks During Rollout • Support organizations add-on overheads not linked to performance NASA Earned Value Management (EVM) Capability Project • Support contractors cost reporting at appropriate level to support EVM – Cost over obligations – Contracts not owned by projects • SAP restricted to seven WBS levels for EVM reporting • Lack of skilled PP&C competencies to support EVM • Technical WBS driven by financial WBS • Increased scope without associated budget/schedule – Lack of disciplined agency work authorization process • Management Reserve and UFE confusion • Change Management/Culture/Training • Lack of EVM considerations from day 1 of project • There are workarounds for all risks and all can be mitigated over time 14
  • 15. Maintaining Integrity in the EVM Process • Surveillance is a key function to ensure usefulness as a NASA Earned Value Management (EVM) Capability Project management tool and compliance with external mandates. • Surveillance Frequency (programmatic/institutional) – Recurring assessment as part of the lifecycle reviews and – NPR 7120.5 Surveys • Mature EVM Capability for improved support of multi-center programs and projects 15
  • 16. NASA’s EVM Capability Process EVM Capability NASA Earned Value Management (EVM) Capability Project  EVM in-house capability has been demonstrated by one or more pilots.  Results of the pilots are documented.  Integrated set of processes, tools, guidance and training products are finalized, incorporating the lessons learned gained from the pilots.  The system description, training and other EVM capability products are transitioned to the OCE and other responsible functional organizations for implementation.  Final Peer Review results in no show stoppers Next Steps  Rollout on 1st two projects – SLS (MSFC) and ICESat II (GSFC)  Remaining Items that still need to be addressed through Implementation  Cost Issues/Business Rules – OCFO working long-term solutions (Interim Workarounds developed)  Mitigate Remaining Risks during rollout  Continuous Improvement of the Process through Implementation Lessons Learned 16
  • 17. NASA Earned Value Management (EVM) Capability Project EVM Capability Toolbox EVM Capability Components Process Flow Documented Training Pilots Center EVM Surveillance Tools (Storyboard) Procedures Materials Lessons Focal Points Instructions (Classroom) Learned Storyboard System Description APPEL (JIT) EVA Implementation Institutional wInsight Narratives Handbooks ICESat II Support Projects Cobra Guides
  • 18. NASA EVM Resources POLICY , HANDBOOKS, GUIDANCE • NPR 7120.5 NASA Earned Value Management (EVM) Capability Project • EVM Handbook • Scheduling Handbook • IBR Toolkit • WBS Handbook • Project Control Account Manager (CAM) Guide (draft) • Standardized WBS (7120.5) • EVM Capability Products PRODUCTS & SERVICES • Process/Storyboard • System Description • Center EVM Implementation Plans • DRDs and Support MISSION • Support for Agency and Centers EVM Policy & Procedures PROGRAM / PROJECT Mission Directorate • Training & Center • RFP Development REQUEST EVM Focal Point • SEB EVM Evaluation • IBR Support • Data Analysis/Tools • Surveillance RESOURCES, SYSTEMS, TOOLS • In-house EVM Support • Automated Tools • wInsight/Cobra • Access to Training Materials and • online EVM/Scheduling/CAM/IBR training available through SATERN • Websites • evm.nasa.gov • Internal material/Knowledge Now • nen.nasa.gov • EVM Working Group Meetings and Peer Support
  • 19. NASA Earned Value Management (EVM) Capability Project Organizational EVM Focal Points ORGANIZATION NAME EMAIL ADDRESS TEL Headquarters - Focal Points IPCE Charles Hunt charles.d.hunt@nasa.gov 202.358.0803 Procurement Carl Weber carl.c.weber@nasa.gov 202.358.1784 OCIO John Bosco john.f.bosco@nasa.gov 202.358.1352 OCFO Richard Savitsky richard.savitsky-1@nasa.gov 202.358.2329 Mission Directorates - Focal Points SMD Claude Freaner claude.freaner@nasa.gov 202.358.2522 HEOMD Cris Guidi cristina.guidi-1@nasa.gov 202.358.1777 Centers - Focal Points Ames Alan Wong alan.n.wong@nasa.gov 650.604.4952 Dryden Patty Daws patricia.r.daws@nasa.gov 661.276.2964 Glenn Bob Sefcik robertj.sefcik@nasa.gov 216.433.8445 Stephen Shinn stephen.a.shinn@nasa.gov 301.286.5894 Goddard Julie Baker julie.m.baker@nasa.gov 301.286.8096 Jet Propulsion Lab Cal Chambers calvin.r.chambers@jpl.nasa.gov 818.354.0092 Johnson Charlie Stegemoeller charles.m.stegemoeller@nasa.gov 281.483.0576 Kennedy - Deputy Chair Kristen Kehrer kristen.c.kehrer@nasa.gov 321.867.3691 Langley Dr. Barry Lazos barry.s.lazos@nasa.gov 757.864.5731 Marshall - Chair Jerald Kerby jerald.g.kerby@nasa.gov 256.544.3243 Deborah Norton deborah.s.norton@nasa.gov 228.688.1168 Stennis Robert Ross robert.b.ross@nasa.gov 228.688.2320
  • 20. NASA Earned Value Management (EVM) Capability Project NASA EVM Website (Homepage)
  • 21. NASA Earned Value Management (EVM) Capability Project https://nen.nasa.gov NASA Engineering Network
  • 22. NASA Earned Value Management (EVM) Capability Project NEN - NASA Community of Practice
  • 23. NASA Earned Value Management (EVM) Capability Project NEN - NASA EVM Community of Practice
  • 24. NASA Earned Value Management (EVM) Capability Project EVM Support During the Project Life Cycle Approval Project Pre-Formulation Project Formulation Project Implementation Pre-Phase A Phase A Phase B Phase C Phase D Phase E Phase F Project Evaluation EVM Focal Points • Up-front Project Planning • wInsight© Support (EVM Data Analysis Tool) • WBS Development • Monthly Analysis • Schedule Development & Evaluation • Schedule Risk Assessment (SRA) • Program Planning & Control (PP&C) Training Initiative • Integrated Baseline Review (IBR) Preparation & Support • Earned Value Management (EVM) Data Analysis Processes/Practices 24
  • 25. NASA Earned Value Management (EVM) Capability Project Key Components of EVM Process Processes Documentation Requirement (7120) Curriculum Tools Roll Out Support  Training Materials Customer Surveillance Target Support Program Audiences 25 Everything is in place to begin implementation
  • 26. NASA Earned Value Management (EVM) Capability Project Backups 26
  • 27. 7120 EVM Language - Comparison 7120.5d 7120.5 NID Proposed 7120.5E Describe the program's EVMS if EVM requirements are levied at the 2.2.7 Programs, at the discretion of the MDAA, and projects in phases C 2.2.7 Programs, at the discretion of the MDAA, projects in phases C and D NASA Earned Value Management (EVM) Capability Project program level and D (and project modifications, enhancements, or upgrades during Phase with a life cycle cost estimated to be greater than $20 million and Phase E E) with a life cycle cost estimated to be greater than $20 million shall project modifications, enhancements, or upgrades with an estimated perform earned value management (EVM) with an EVM system that development cost greater than $20 million shall perform earned value complies with the guidelines in ANSI/EIA-748, Standard for Earned Value management (EVM) with an EVM system that complies with the Management Systems. This includes flowing down EVM system guidelines in ANSI/EIA-748, Standard for Earned Value Management requirements to applicable suppliers. Systems. Use of the NASA’s EVM capability and processes, will ensure compliance with the ANSI standard. This capability allows tailoring to match the individual needs of the program or project, while still meeting the ANSI-748 guidelines. Describe the project's implementation of Earned Value Management 2.2.8 Projects will conduct an integrated review of project baselines as part 2.2.8 EVM system requirements shall be applied to applicable suppliers in (EVM). The following requirements apply: of their preparations for KDP C to ensure that the project‘s work is accordance with the NASA Federal Acquisition Regulation (FAR) (1) The project's EVM approach is consistent with the participating properly linked with its cost, schedule, and risk and that the systems are in Supplement 1834.201 and to in-house work elements. Center's best practices. place to conduct EVM. (2) The Project's EVM approach is in-place by KDP C and implemented in 2.2.9 For projects requiring EVM, Mission Directorates shall conduct an Phase C through KDP E. pre-approval integrated baseline review as part of their preparations for KDP C to ensure that the project’s work is properly linked with its cost, schedule, and risk and that the systems are in place to conduct EVM. (3) Project EVM reporting begins within 60 days after the start of Phase C. 3.1 Describe the program‘s Earned Value Management System (EVMS), if EVM requirements are to be levied at the program level. (4) As a minimum, EVM principles, as defined by ANSI/EIA-748, Earned Describe the project‘s implementation of Earned Value Management Value Management Systems, apply from KDP C through KDP E, if the (EVM) including: project's life-cycle cost is at or greater than $20M. (5) If the project's primary NASA Center has a fully validated Earned (1) How the PMB will be developed and maintained for the project and Value Management System (EVMS), the project uses that system rather how UFE will be established and controlled. than EVM principles. (6) For contracts and subcontracts, application of an EVMS is required as (2) The methods the project will use to authorize the work and to follows: communicate changes for the scope, schedule, and budget of all suppliers. This plan is updated as make-buy decisions and agreements are made. (i) For development or production (including flight and ground support) (3) The process to be used by the project to communicate the time-phased contracts and subcontracts valued at $20M or more, the contractor EVMS levels of funding that have been forecast to be made available to each must comply with the guidelines in ANSI/EIA-748. supplier. (ii) For development or production (including flight and ground support) (4) For the class of suppliers not required to use EVM, the schedule and contracts and subcontracts valued at $50M or more, the contractor EVMS resource information required of the suppliers to establish and maintain a has been formally determined compliant with ANSI/EIA-748 by the baseline and to quantify schedule and cost variances. cognizant Federal contract management agency. (iii) EVM is not required for grants, non-developmental level-of-effort (5) How the cost and schedule data from all partners/suppliers will be engineering support services, steady-state operations, basic and applied integrated to form a total project-level assessment of cost and schedule research, and routine services such as janitorial services or grounds performance. maintenance services; however, application is at the discretion of the Program/Project Manager. (iv) A Contract Performance Report (CPR), Integrated Master Schedule (IMS), WBS, and WBS dictionary are required whenever EVM is required on contracts and subcontracts. (v) In accordance with NFS Part 1834, require IBRs through Phase D for contracts requiring EVM. Schedule such reviews not later than 180 calendar days after contract award or the exercise of significant contract options, or not later than 60 calendar days after a significant funding or work scope realignment.
  • 28. Top 5 Lessons Learned (linked to remaining risks) 1. Projects have to consider EVM Implementation from Day 1 of NASA Earned Value Management (EVM) Capability Project project 1. Each time a charge code is created it effectively changes the technical WBS for the life of the project 2. Where will the work be controlled and performance taken? EVM construct must be considered for control accounts and work packages. 2. Support Contractor costs will continue to be a constraint unless proper cost reporting requirements are flowed down to contracts • Support Contracts are often owned by other organizations outside of the projects with no EVM requirements. 3. Work Authorization agreements that document an agreement of scope, schedule and budget by both sponsor and performing orgs. are fundamental to the implementation of EVM 4. PP&C skills must be strengthened to support EVM and project management 5. Senior Level Management support is needed across the agency with the change management process 28
  • 29. Overview of EVM Documents • NASA Earned Value Management (EVM) System Description NASA Earned Value Management (EVM) Capability Project 1.Purpose: This document describes the NASA management system that will integrate the scope, schedule, and budget of a program or project for optimal planning and control of prime contracts and in-house work that can be used to ensure compliance with NASA’s EVM requirements (e.g., complies with the ANSI/EIA-748 guidelines). It is intended to establish a common project management process across all centers and Mission Directorates to facilitate adoption of best business practices, the application of timely and predictive analysis, and ultimately provide all stakeholders with greater insight into project performance. • NASA Earned Value Management (EVM) Implementation Guide • Purpose: This handbook provides Earned Value Management (EVM) guidance for the effective application, implementation, and utilization of EVM on NASA programs, projects, major contracts and subcontracts in a consolidated reference document. This handbook was developed to serve as the central EVM guidance document for NASA personnel. • Content: Key components of NASA’s EVM policy addressed in this handbook include: Roles and Responsibilities, EVM Implementation on NASA Contracts (pre-award contract requirements (e.g., Data Requirement Descriptions, Statement of Work (SOW), contract type/incentives, etc.); EVM Implementation on NASA in-house Programs/Projects and EVM System (EVMS) Acceptance and Surveillance Processes. NASA EVM best practices and lessons learned are also included. • NASA Project Control Account Manager (P-CAM) Handbook 1.Purpose: This handbook is intended to be a quick reference for a P-CAM or technical manager empowered with a project’s cost, schedule, and technical responsibilities where EVM is required. The overall objective is to support the P-CAMs in performing their responsibilities as they relate to EVM. • NASA Integrated Baseline Review (IBR) Handbook (NASA/SP-2010-3406) 1.Purpose: This handbook is intended to be a how-to guide to prepare for, conduct, and close-out an IBR. 2.Content: The guide describes the steps that should be considered for the IBR, offers tips for tailoring the IBR based on risk, cost, and need for management insight. Appendices to the guide contain samples of documentation typically used in connection with the IBR. • NASA Schedule Management Handbook (NASA/SP-2010-3403) 1.Purpose: The purpose of this handbook is to provide the framework for time-phasing, resource planning, coordination, and communicating the necessary tasks within a work effort. The intent is to improve schedule management by providing recommended concepts, processes, and techniques used within the Agency and industry. 2.Content: Describe the schedule management approach and best practices for developing and maintaining an integrated master schedule. Includes schedule tool considerations, pre-schedule development activities, development of the IMS, status updates and maintenance, schedule assessment and analysis, schedule control and lessons learned. • NASA Work Breakdown Structure (WBS) Handbook (NASA/SP-2010-3404) 1.Purpose: Provide WBS development guidance for the Agency to include government partners, international partners and contractors to extent required by their contracts.
  • 30. LEGEND Document(s) Off-Page Agency EVM Capability Storyboard Decision (If blue, linked documents attached) Process (If blue, illustration attached) Connector(s) (May not be in proper swim lane) NASA Earned Value Management (EVM) Capability Project 1.0 Organization MDAA / HQ 1.01 KDP B No Program Mgr / Program Mgt Office 3.03 Project Office Prepare & Issue Manager / 1.02 Preliminary Project Finalize Project Plan Planning for Phase C (EVM Guidance / WAD / Approach) Dollarized RAM 1.03 Approve Project Plan Element Mgr / Subproject / 1.04 1.05 Extend & Team Yes Prepare WBS Refine Project Dictionary WBS 1.07 1.06 Extend & Extend & Refine 2.01 Refine Responsibility Extend and Refine Organizational Assignment Master Schedule Breakdown Matrix (RAM) & (Draft) Structure (OBS) Identify Control Accounts P-CAM Institutional/ Functional 8.01 Estimate Material Needs and Cost
  • 31. LEGEND Document(s) Off-Page Agency EVM Capability Storyboard (If blue, linked Process Connector(s) Project (EVM) Capability Project Decision documents attached) (If blue, illustration (May not be in attached) proper swim lane) 2.0 Scheduling Developing IMS IMS Status & Update 7-1.11 Input CAPs/ 10.08 update IMS, Integrate WBS, RAM, Supplier WAD, etc. Management Manager / Project Office Cost/ Update budget Schedule logs (PBB, Data into AUW, 10.08 Cost & Contingency/ Integrate Schedule MR, UB) Supplier Cost/ Schedule Tools and Data into Cost Reports & Schedule 7-2.08 1.07 Tools and Input CAPs/ Extend & Reports update IMS, Refine WBS, RAM, 8.19 Responsibility WAD, etc. Claim Assignment Update budget No BCWP/Status Matrix (RAM) logs (PBB, Schedule & Identify AUW, Control Contingency/ 3.12 Accounts 2.08 MR, UB) Establish Conduct the PMB Schedule Health Check 2.01 2.11 2.16 Extend and Generate Input 2.04 Verify Refine Yes Vertical & status workaround 2.02 2.03 Extend & 2.07 gathering plans. Master Horizontal 2.17 Schedule Extend & Refine 2.05 Integrate 2.09 mechanism to 2.18 Schedule Traceability 2.13 2.14 Publish and logic at Refine Logic- Detailed CAP Extend & Detail Approve collect IMS Health Export data (Draft) Input P-CAM Calculate a Distribute Inter- Linked Schedules Refine Logic- Schedules IMS? 2.10 updates & Check and to cost tool (Includes Verify updates into new critical final mediate (Drafts), Linked from CAPs 3.07 NASAInstitutional/ P-CAM Element Mgr on-going Intermediate Baseline & EVM status the detailed path and new Analysis schedules Earned Value Subproject/ Level? Define WPs, forming a Significant Status & Level Detailed CAP Reconcile Yes Publish from P-CAMs schedule and forecast & assign EV single IMS Project Updates Schedule Schedules Schedule IMS or cost tool dates Iterate Measure- 2.06 (Includes Milestones (Draft) (Drafts), with as needed. (Includes on- ment Define WPs, Create Roll- on-going Budget (Includes Techniques up status & Validate going Status & assign EV data Master, (Includes on- Intermediate updates) Critical Path & Updates Measure- until fully Intermediate going Status ment Level integrated & Detail & Updates Schedule Conduct Techniques Levels) using Task Schedule (Includes on- 6-1.01 Coding Risk 6-1.02 going Status Distributing Assessment Monthly & Updates Monthly 2.12 Performance Schedule Verify Provide status 2.15 Analysis No Intermediate- including AS/ Review Analysis Level Rollup AF, forecasted results of dates, status. Milestones, & EV Develop 3.05 workaround P-CAMs 9.14 plans Develop Integrate as needed to CAPs Contractor correct Functional (Budget Cost/ forecasted only) Schedule schedule Data into slips Cost & Schedule Tools and Reports