Organizations failing to implement Earned Value need to under that Technology is only a tool at their disposal. Processes/Procedures and the Culture are paramount to a successful Earned Value Program.
Earned Value Management - Quantifiable project metrics for learning the current state of a project.
Examples and Value Definitions for EVM in relation to project management.
https://agile-mercurial.com
https://twentyfirstcenturyworkforce.com/
Earned Value Management - Quantifiable project metrics for learning the current state of a project.
Examples and Value Definitions for EVM in relation to project management.
https://agile-mercurial.com
https://twentyfirstcenturyworkforce.com/
This presentation is from the free online course, which i delivered in February 2013.
*If you downloaded before the 8th August, please download again the correct file* -Feel free to download and share. -Denise
Symposium 2016 : CONF. 401 Jonathan Shriqui EVM: Go Beyond the NumbersPMI-Montréal
The purpose of Earned Value Management (EVM) is to integrate a common rigour of project performance management. Execution is everything with EVM. It requires nothing less than a complete commitment by senior management to fully ingrain a business wide culture of EVM. Do it right, and you will reap invaluable data from and for your project teams. Do it wrong, and it will send you into an abyss of disarray. Proper execution does not guarantee perfect program performance. Rather, it will give you invaluable insight into your schedule and budget. Being ahead of schedule and under budget may have the same negative impacts as the opposite unless you can effectively manage to answer the most daunting question of all: Why? Please join me as we Go Beyond the Numbers of EVM. We will briefly review the basic foundations of EVM (SPI, CPI, etc.) before we seek to not only understand what the data is telling us, but more importantly, how can we use it to our benefit.
BIOGRAPHY
Jonathan Shriqui has over a decade of financial management experience acquired from General Electric & Lockheed Martin on large scale programs. His Earned Value Management (EVM) acumen was refined when he joined Lockheed Martin, in 2007, as part of the successful capture team for the frigate modernization program (HCM/FELEX CSI) for the Canadian Navy. In 2012, he transitioned to the Navy’s arctic patrol program (AOPS) where the EVM reporting requirement demanded a weekly delivery cycle. Since 2015, as part of the BMT Clarity management consultancy, he provides insights and recommendations to the Department of National Defense for the AOPS and Canadian Surface Combatant (CSC) programs. Jonathan has earned his PMP and Six Sigma Black Belt credentials and is currently working towards completing his Canadian Risk Management (CRM) designation.
Foundations for New Champlain Bridge Corridor ProjectDaksh Raj Chopra
In this presentation, we constructed 15 temporary bent foundations for the New Champlain Bridge. The presentation is about the project management done for this project.
Webinar: Earned value management pure common senseAli Zeeshan
To view recording: http://youtu.be/hn7zXzotNjM or watch the video at end of the slide
For other Informa Webinars: http://www.informa-mea.com/webinars
Since its inception in the 1960s, Earned Value Management (EVM) has grown to become the cornerstone in the management of projects. There is no doubt that planning projects is essential for success, however, after the planning phase is completed, project managers find themselves with a multitude of parameters to be achieved in various areas. The most visible of those areas are time, cost and scope (quality). Each of the parameters can be monitored and measured reasonably well. However, the “sum” of those parameters has proven hard to calculate, hence, leaving project managers with no clear overall picture of the project status.
EVM has proven to be the right approach to get this “whole picture” of the project status, enabling the manager to determine current status, distance from the planned status, and the future outlook.
This webinar will shed light on the common sense behind EVM, its main components, and how to use it to increase project success probabilities in your organisation.
Earned value management (EVM) is a methodology that combines scope, schedule, and resource measurements to assess project performance and progress.
It is a commonly used method of performance measurement for projects.
It integrates the scope baseline with the cost baseline, along with the schedule baseline, to form the performance baseline, which helps the project management team assess and measure project performance and progress
By Er.Nikhil Raj, Senior Planning Enginner, Navig Solution Pvt Ltd
Sourcing Functional Requirements for a Services Division. Transforming DigitallyGhassan Kabbara
A Digital Transformation Project for the Oil Sector.
Freelance Consultant with Deloitte back in 2007 was appointed to work on the automation of the processes for the Services Division of KNPC.
This presentation is from the free online course, which i delivered in February 2013.
*If you downloaded before the 8th August, please download again the correct file* -Feel free to download and share. -Denise
Symposium 2016 : CONF. 401 Jonathan Shriqui EVM: Go Beyond the NumbersPMI-Montréal
The purpose of Earned Value Management (EVM) is to integrate a common rigour of project performance management. Execution is everything with EVM. It requires nothing less than a complete commitment by senior management to fully ingrain a business wide culture of EVM. Do it right, and you will reap invaluable data from and for your project teams. Do it wrong, and it will send you into an abyss of disarray. Proper execution does not guarantee perfect program performance. Rather, it will give you invaluable insight into your schedule and budget. Being ahead of schedule and under budget may have the same negative impacts as the opposite unless you can effectively manage to answer the most daunting question of all: Why? Please join me as we Go Beyond the Numbers of EVM. We will briefly review the basic foundations of EVM (SPI, CPI, etc.) before we seek to not only understand what the data is telling us, but more importantly, how can we use it to our benefit.
BIOGRAPHY
Jonathan Shriqui has over a decade of financial management experience acquired from General Electric & Lockheed Martin on large scale programs. His Earned Value Management (EVM) acumen was refined when he joined Lockheed Martin, in 2007, as part of the successful capture team for the frigate modernization program (HCM/FELEX CSI) for the Canadian Navy. In 2012, he transitioned to the Navy’s arctic patrol program (AOPS) where the EVM reporting requirement demanded a weekly delivery cycle. Since 2015, as part of the BMT Clarity management consultancy, he provides insights and recommendations to the Department of National Defense for the AOPS and Canadian Surface Combatant (CSC) programs. Jonathan has earned his PMP and Six Sigma Black Belt credentials and is currently working towards completing his Canadian Risk Management (CRM) designation.
Foundations for New Champlain Bridge Corridor ProjectDaksh Raj Chopra
In this presentation, we constructed 15 temporary bent foundations for the New Champlain Bridge. The presentation is about the project management done for this project.
Webinar: Earned value management pure common senseAli Zeeshan
To view recording: http://youtu.be/hn7zXzotNjM or watch the video at end of the slide
For other Informa Webinars: http://www.informa-mea.com/webinars
Since its inception in the 1960s, Earned Value Management (EVM) has grown to become the cornerstone in the management of projects. There is no doubt that planning projects is essential for success, however, after the planning phase is completed, project managers find themselves with a multitude of parameters to be achieved in various areas. The most visible of those areas are time, cost and scope (quality). Each of the parameters can be monitored and measured reasonably well. However, the “sum” of those parameters has proven hard to calculate, hence, leaving project managers with no clear overall picture of the project status.
EVM has proven to be the right approach to get this “whole picture” of the project status, enabling the manager to determine current status, distance from the planned status, and the future outlook.
This webinar will shed light on the common sense behind EVM, its main components, and how to use it to increase project success probabilities in your organisation.
Earned value management (EVM) is a methodology that combines scope, schedule, and resource measurements to assess project performance and progress.
It is a commonly used method of performance measurement for projects.
It integrates the scope baseline with the cost baseline, along with the schedule baseline, to form the performance baseline, which helps the project management team assess and measure project performance and progress
By Er.Nikhil Raj, Senior Planning Enginner, Navig Solution Pvt Ltd
Sourcing Functional Requirements for a Services Division. Transforming DigitallyGhassan Kabbara
A Digital Transformation Project for the Oil Sector.
Freelance Consultant with Deloitte back in 2007 was appointed to work on the automation of the processes for the Services Division of KNPC.
A presentation recommending new Inventory Order parameters that would improve parts dead stock and improve parts availablity for low cost fast moving items.
for an auto dealership
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Enriching engagement with ethical review processesstrikingabalance
New ethics review processes at the University of Bath. Presented at the 8th World Conference on Research Integrity by Filipa Vance, Head of Research Governance and Compliance at the University of Bath. June 2024, Athens
Senior Project and Engineering Leader Jim Smith.pdfJim Smith
I am a Project and Engineering Leader with extensive experience as a Business Operations Leader, Technical Project Manager, Engineering Manager and Operations Experience for Domestic and International companies such as Electrolux, Carrier, and Deutz. I have developed new products using Stage Gate development/MS Project/JIRA, for the pro-duction of Medical Equipment, Large Commercial Refrigeration Systems, Appliances, HVAC, and Diesel engines.
My experience includes:
Managed customized engineered refrigeration system projects with high voltage power panels from quote to ship, coordinating actions between electrical engineering, mechanical design and application engineering, purchasing, production, test, quality assurance and field installation. Managed projects $25k to $1M per project; 4-8 per month. (Hussmann refrigeration)
Successfully developed the $15-20M yearly corporate capital strategy for manufacturing, with the Executive Team and key stakeholders. Created project scope and specifications, business case, ROI, managed project plans with key personnel for nine consumer product manufacturing and distribution sites; to support the company’s strategic sales plan.
Over 15 years of experience managing and developing cost improvement projects with key Stakeholders, site Manufacturing Engineers, Mechanical Engineers, Maintenance, and facility support personnel to optimize pro-duction operations, safety, EHS, and new product development. (BioLab, Deutz, Caire)
Experience working as a Technical Manager developing new products with chemical engineers and packaging engineers to enhance and reduce the cost of retail products. I have led the activities of multiple engineering groups with diverse backgrounds.
Great experience managing the product development of products which utilize complex electrical controls, high voltage power panels, product testing, and commissioning.
Created project scope, business case, ROI for multiple capital projects to support electrotechnical assembly and CPG goods. Identified project cost, risk, success criteria, and performed equipment qualifications. (Carrier, Electrolux, Biolab, Price, Hussmann)
Created detailed projects plans using MS Project, Gant charts in excel, and updated new product development in Jira for stakeholders and project team members including critical path.
Great knowledge of ISO9001, NFPA, OSHA regulations.
User level knowledge of MRP/SAP, MS Project, Powerpoint, Visio, Mastercontrol, JIRA, Power BI and Tableau.
I appreciate your consideration, and look forward to discussing this role with you, and how I can lead your company’s growth and profitability. I can be contacted via LinkedIn via phone or E Mail.
Jim Smith
678-993-7195
jimsmith30024@gmail.com
Comparing Stability and Sustainability in Agile SystemsRob Healy
Copy of the presentation given at XP2024 based on a research paper.
In this paper we explain wat overwork is and the physical and mental health risks associated with it.
We then explore how overwork relates to system stability and inventory.
Finally there is a call to action for Team Leads / Scrum Masters / Managers to measure and monitor excess work for individual teams.
Specific ServPoints should be tailored for restaurants in all food service segments. Your ServPoints should be the centerpiece of brand delivery training (guest service) and align with your brand position and marketing initiatives, especially in high-labor-cost conditions.
408-784-7371
Foodservice Consulting + Design
Public Speaking Tips to Help You Be A Strong Leader.pdfPinta Partners
In the realm of effective leadership, a multitude of skills come into play, but one stands out as both crucial and challenging: public speaking.
Public speaking transcends mere eloquence; it serves as the medium through which leaders articulate their vision, inspire action, and foster engagement. For leaders, refining public speaking skills is essential, elevating their ability to influence, persuade, and lead with resolute conviction. Here are some key tips to consider: https://joellandau.com/the-public-speaking-tips-to-help-you-be-a-stronger-leader/
Org Design is a core skill to be mastered by management for any successful org change.
Org Topologies™ in its essence is a two-dimensional space with 16 distinctive boxes - atomic organizational archetypes. That space helps you to plot your current operating model by positioning individuals, departments, and teams on the map. This will give a profound understanding of the performance of your value-creating organizational ecosystem.
Integrity in leadership builds trust by ensuring consistency between words an...Ram V Chary
Integrity in leadership builds trust by ensuring consistency between words and actions, making leaders reliable and credible. It also ensures ethical decision-making, which fosters a positive organizational culture and promotes long-term success. #RamVChary
Employment PracticesRegulation and Multinational CorporationsRoopaTemkar
Employment PracticesRegulation and Multinational Corporations
Strategic decision making within MNCs constrained or determined by the implementation of laws and codes of practice and by pressure from political actors. Managers in MNCs have to make choices that are shaped by gvmt. intervention and the local economy.
The Team Member and Guest Experience - Lead and Take Care of your restaurant team. They are the people closest to and delivering Hospitality to your paying Guests!
Make the call, and we can assist you.
408-784-7371
Foodservice Consulting + Design
W.H.Bender Quote 65 - The Team Member and Guest Experience
Culture Check on using Earned Value in Organization
1. To EV or not to EV
Prepared by. G.Kabbara
Date: November 15th 2016
2. Are we ready in the organization for EV?
•Before we embark on an EV program we
need to make an assessment if we will be
able to successfully complete this project;
and to use EV in the company.
8. • If we are not at least a level 3 maturity level we should not be using
Earned Value. (EV).
• An analogy:-
• If you are learning to dive you would dive off a board close to water surface to
learn the basics. Once your become proficient, you would move to a 3 meter
diving height, then later to a 10 meter diving height to learn advanced skills.
• If you are new to diving you would not start with the 10 meter diving height
unless you are looking to fail!
9. •The same applies to the use of earned value
analysis. If you don’t have a project organization
with maturity level of 3 or higher, trying to apply
EVA will only lead to failure.
11. Lets look at a sample project
• This project has an authorized budget of $1,000,000 to be completed
in 1 year. (4 quarters).
• The planned cost for the first quarter is $300,000
• And Actual cost spent at the end of the 1st Quarter is $300,000
12. Traditional Cost Management
250
500
750
Authorized Budget
$1,000,000
Planned
Cost =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Using a traditional
cost management
approach, at the end
of the first quarter
the project manager
would display the
cost performance for
the benefit of
management.
13. Traditional Cost Management
250
500
750
Authorized Budget
$1,000,000
Planned
Cost =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
The approved spend
plan called for an
expenditure of
$300,000 for the first
quarter and actual
results thus far show
an expenditure of
exactly $300,000.
14. Traditional Cost Management
250
500
750
Authorized Budget
$1,000,000
Planned
Cost =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
One could conclude
without further
review that the
project was
performing exactly to
its financial plan:
$300,000 planned
and $300,000 spent.
16. Traditional Cost Management
250
500
750
Authorized Budget
$1,000,000
Planned
Cost =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
A fairly typical, but
unfortunately potentially
deceptive, approach to
understanding project cost
performance.
17. Traditional Cost Management
250
500
750
Authorized Budget
$1,000,000
Planned
Cost =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
In fact, looking at the
data as displayed
nobody could really
determine the projects
true cost performance.
To Determine the project’s true
cost performance, one would
need to compare the physical
schedule results in the same
format as the cost displays.
18. On the Road to EV
• There lies the beauty of Earned Value “EV”.
• EV project management requires an integrated baseline plan which relates
the defined scope of work to the budgeted costs.
• Let us now contrast the display with an earned value performance chart.
• Here the total budget of $1,000,000 will be made up from detailed bottom-
up planning that allows for performance to be measure throughout the life
of the project.
• There are ten milestones to be accomplished, and each milestone will have
a weighted value of $100,000. Each time a milestone is completed the
project will earn $100,000.
20. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
This chart reflects
actual physical
earned value of only
two milestones
completed,
representing an
earned value of
$200,000, against the
planned value of
$300,000
21. • The earned value also consist of two elements
• The scheduled work which was completed
• The original budget for the completed work.
22. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
We can immediately
see that the project
is running behind the
work it set out to do
during the first
quarter.
It had planned to
accomplish $300,000
in and work, but had
accomplished only
$200,000.
23. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
The project is
running a negative
$100,000 schedule
variance.
Which is defined as
the earned value
($200,000) less the
planned value
($300,000) which
equals schedule
variance (-$100,000)
24. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
Also the cost actuals
of $300,000, an
amount greater than
the earned value of
physical work
performed of
$200,000.
25. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
Conclusion
The project has spent
$300,000 in actual costs
to achieve only $200,000
worth of earned value.
An earned value cost
variance is defined as the
earned value
accomplished ($200,000)
less the actual costs
($300,000) which equals
the cost variance (-
$100,000).
26. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
This is an “Overrun” of
costs. This project can be
said to be running a
negative $100,000 cost
variance.
27. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
Thus the delicate
relationships reflected
with these actual cost &
schedule performance
relationships can now be
used to predict the final
costs & schedule results
of the project.
28. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
The Project is in
trouble.
But one could not have
discerned that condition
using a traditional cost
management approach.
29. Earned value performance 1st Quarter.
250
500
750
Authorized Budget
$1,000,000
Planned
Value =
$300k
Actual Costs =
$300k
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Earned Value =
$200k
It is only when earned
value brings in the three
dimensions of
performance that we can
tell that the project is
experiencing problems.
Such issues need to be
addressed immediately in
order to avoid adverse
cost overruns & schedule
slippages.
30. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
With a plan versus actual costs
comparison there is no way to
ascertain how much of the
physical work has been
accomplished.
Only has significance as a
reflection of whether a project
has stayed with the funds
authorized by management.
31. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
This only reflects funding
performance, not true cost
performance. Yet most projects
today typically represent their
cost performance using similar
reporting.
32. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Earned Value Project Management
Planned Value = $300K
Earned Value = $200K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
Variance from the planned schedule =(-$100K)
The “true” cost variance = (-$100K)
Now looking at Project
performance using EV.
This displays three dimensions of
data:
1) The planned value of the
physical work authorized
2) The earned value of the
physical work accomplished
3) The actual costs incurred to
accomplish the earned value.
33. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Earned Value Project Management
Planned Value = $300K
Earned Value = $200K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
Variance from the planned schedule =(-$100K)
The “true” cost variance = (-$100K)
As you can see 2 critical variances
may be ascertained.
1) The project is experiencing a
negative schedule variance of -
$100,000 from its planned work.
Put in another way one third of
the work the project set out to do
was not accomplished in the
timeframe being measure. The
team is clearly behind its planned
schedule.
34. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Earned Value Project Management
Planned Value = $300K
Earned Value = $200K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
Variance from the planned schedule =(-$100K)
The “true” cost variance = (-$100K)
The Schedule variance in
conjunction with Critical Path
Method (CPM), provides
invaluable insights into the true
schedule status of the project.
35. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Earned Value Project Management
Planned Value = $300K
Earned Value = $200K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
Variance from the planned schedule =(-$100K)
The “true” cost variance = (-$100K)
The second critical variance 2)
Is the relation ship of value of the
work done, the earned value, to
the funds expended to
accomplish the work.
A total of $300,000 was expended
to accomplish only $200,000
worth of work. Thus the project
has experienced a cost overrun of
minus $100,000 for the work
performed to date.
36. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Earned Value Project Management
Planned Value = $300K
Earned Value = $200K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
Variance from the planned schedule =(-$100K)
The “true” cost variance = (-$100K)
This negative cost trend is of
critical importance to the project,
for experience has indicated that
such overruns of costs do not
correct themselves over time.
In fact, cost overruns
tend to get worse.
37. The fundamental differences
Traditional Project Cost Management
Planned Funds = $300K
Actual Costs = $300K
Earned Value Project Management
Planned Value = $300K
Earned Value = $200K
Actual Costs = $300K
Variance from an expenditure plan = (OK)
Variance from the planned schedule =(-$100K)
The “true” cost variance = (-$100K)
The actual cost & schedule
performance results can also be
used independently or jointly
forecast the final results of the
project with amazing accuracy.
38. Project Manager Needs to know
• As a given point in time, we need answers to these questions:
1. What work is scheduled to have been completed?
2. What was the cost estimate for the work scheduled?
3. What work has been accomplished?
4. What was the cost estimate of the completed work?
5. What have our costs been?
6. What are the variances?
39. Project Manager Needs to know
Planned Value
Earned Value
Actual Cost
CPI & SPI
• As a given point in time, we need answers to these questions:
1. What work is scheduled to have been completed?
2. What was the cost estimate for the work scheduled?
3. What work has been accomplished?
4. What was the cost estimate of the completed work?
5. What have our costs been?
6. What are the variances?
40. THE THREE DIFFERENT TYPES OF PROJECT
MANAGEMENT OFFICES
• 1. Supportive PMO
• 2. Controlling PMO
• 3. Directive PMO
41. 1. Supportive PMO
• The Supportive PMO generally provides support in the form of on-
demand expertise, templates, best practices, access to information
and expertise on other projects, and the like. This can work in an
organisation where projects are done successfully in a loosely
controlled manner and where additional control is deemed
unnecessary. Also, if the objective is to have a sort of "clearing-house"
of project management information across the enterprise to be used
freely by project managers, then the Supportive PMO is the right
type.
42. 2. Controlling PMO
• In organisations where there is a desire to "rein in" the activities,
processes, procedures, documentation, and more - a controlling PMO can
accomplish that. Not only does the organisation provide support, but it
also requires that the support be used. Requirements might include
adoption of specific methodologies, templates, forms, conformance to
governance, and application of other PMO controlled sets of rules. In
addition, project offices might need to pass regular reviews by the
controlling PMO, and this may represent a risk factor on the project. This
works if a) there is a clear case that compliance with project management
organisation offerings will bring improvements in the organisation and how
it executes on projects, and b) the PMO has sufficient executive support to
stand behind the controls the PMO puts in place.
43. 3. Directive PMO
• This type goes beyond control and actually "takes over" the projects by providing the project
management experience and resources to manage the project. As organisations undertake
projects, professional project managers from the PMO are assigned to the projects. This injects a
great deal of professionalism into the projects, and, since each of the project managers originates
and reports back to the directive PMO, it guarantees a high level of consistency of practice across
all projects. This is effective in larger organisations that often matrix out support in various areas,
and where this setup would fit the culture.
• The best type is very specific to the organisation, culture, and history of what works and what
does not. But the objectives are - more or less - to:
• Implement a common methodology
• Standardise terminology
• Introduce effective repeatable project management processes
• Provide common supporting tools
• Ultimately, the objective is to improve levels of project success within the organisation
44. EIA-748 Guidelines
• Guideline 1 – Define Work Scope (WBS) .................................................................... 4
• Guideline 2 – Define Project Organization (OBS) ........................................................ 5
• Guideline 3 – Integrate Processes .............................................................................. 6
• Guideline 4 – Identify Overhead Management ............................................................ 7
• Guideline 5 – Integrate WBS/OBS to Create Control Accounts ................................... 8
• 2.2 Planning, Scheduling, and Budgeting .......................................................................10
• Guideline 6 – Schedule with Network Logic .............................................................. 10
• Guideline 7 – Set Measurement Indicators ............................................................... 12
• Guideline 8 – Establish Budgets for Authorized Work ............................................... 14
• Guideline 9 – Budget by Cost Elements .................................................................... 18
• Guideline 10 – Create Work Packages, Planning Packages ..................................... 20
• Guideline 11 – Sum Detail Budgets to Control Account ............................................ 22
• Guideline 12 – LOE Planning and Control ................................................................. 23
• Guideline 13 – Establish Overhead Budgets ............................................................. 24
• Guideline 14 – Identify Management Reserve and Undistributed Budget .................. 26
• Guideline 15 – Reconcile to Target Cost Goal .......................................................... 28
45. EIA-748 Guidelines
• Accounting Considerations
• Guideline 16 – Record Direct Costs
• Guideline 17 – Summarize Direct Costs by WBS Elements ...................................... 30
• Guideline 18 – Summarize Direct Costs by OBS Elements ....................................... 31
• Guideline 19 – Record/Allocate Indirect Costs .......................................................... 32
• Guideline 20 – Identify Unit and Lot Costs ................................................................ 33
• Guideline 21 – Track and Report Material Costs and Quantities ............................... 34
• 2.4 Analysis and Management Reports ..........................................................................36
• Guideline 22 – Calculate Schedule Variance and Cost Variance .............................. 36
• Guideline 23 – Identify Significant Variances for Analysis ......................................... 37
• Guideline 24 – Analyze Indirect Cost Variances ........................................................ 39
• Guideline 25 – Summarize Information for Management .......................................... 40
• Guideline 26 – Implement Corrective Actions............................................................ 41
• Guideline 27 – Revise Estimate at Completion (EAC) ............................................... 42
• 2.5 Revisions and Data Maintenance ..............................................................................44
• Guideline 28 – Incorporate Changes in a Timely Manner .......................................... 44