What is CV in earned value?
What is CV in earned value?
Earned Value Management Cost Variance (CV) indicates how much over or under budget the project is. It is used to track expense line items, but can also be tracked at the project level, as long as there is a budget allocated to the item.
What is CV and SV?
– Cost Variance (CV): The CV is the difference between the earned value of the work performed and the executed budget (Actual Cost). CV= EV-AC. – Schedule Variance (SV): The SV is the difference between the earned value of the work performed and the planned value of the work scheduled.
What does SPI and CPI mean?
The Cost Performance Index (CPI) is defined as the ratio of Earned Value to Actual Cost, while the Schedule Performance Index (SPI) is defined as the ratio of cumulative Earned Value to cumulative Planned Value (PMI, 2000). Both CPI and SPI are traditionally defined in terms of the cumulative values.
What is SV in PMP?
Specifically, Schedule Variance (SV) is the difference between the cost of work performed and the cost of work scheduled; the Earned Value (EV) minus the Planned Value (PV). SV = schedule variance, EV = earned value, PV = planned value.
What does a positive CV mean?
A positive CV shows that the project is under budget, and a negative CV shows that the project is over budget. If the calculated cost variance is zero (or very close to zero), you are on budget. In earned value management, value always comes down to money, whether the commodity is time or actual dollars spent.
How is SPI calculated?
To calculate your project’s SPI performance, the formula is:
- Schedule Performance Index (SPI) = Earned Value (EV) / Planned Value (PV)
- SPI = EV / PV.
What is SPI PMP?
Schedule Performance Index (SPI) Defined The SPI formula found in PMP® exam questions is grounded in the A Guide to the Project Management Body of Knowledge (PMBOK® Guide) definition: “The Schedule Performance Index (SPI) is a measure of schedule efficiency, expressed as the ratio of earned value to planned value.”
What is the difference between CV and CPI?
Actual cost v Ratio For cost variance, you get the difference in amount. That is the actual money difference between the earned value and the actual cost. On the other hand, the cost performance index gives you a ratio to work with. This is because you will be dividing the earned value by the actual cost.
What is a good SPI?
If the ratio has a value higher than 1 this indicates the project is progressing well against the schedule. If the SPI is 1, then the project is progressing exactly as planned. If the SPI is less than 1 then the project is running behind schedule.
What is SPI project management?
Schedule performance index (SPI) is part of a greater project performance measurement method called earned value management (EVM). The SPI itself is a ratio of earned value to planned (or actual) value. Depending on the integer, SPI reflects a project being on schedule, behind schedule or ahead of schedule.