
What is Earned Value Management (EVM)?
EVM projects are managed through the establishment of a performance management baseline that represents the work to be performed along with the needed resources and schedule. The fundamental requirement for using EVM on a project is to plan all work prior to beginning development. Project progress is measured as earned value against the performance management baseline.
Project Tracking System help achieve a project manager on answering five essential questions of EVM, these are :
1. What is the value of the work planned? – Budgeted Cost for Work Scheduled (BCWS)
2. What is the value of the work accomplished? – Budgeted Cost for Work Performed (BCWP)
3. How much did the work cost? – Actual Cost of Work Performed (ACWP)
4. What was the total budget? – Budget at Completion (BAC)
5. What do we now expect the total job to cost? – Estimate at Completion (EAC)