Cost Performance Index (CPI) and Schedule Performance Index (SPI):

5. SPI greater than 1 is good/favourable (ahead of schedule).

Estimate to complete (ETC): Your estimate of the amount of funds required to complete all work still remaining to be

done on the task

6. The following calculations are operative:

5. A tolerance of 10% has been built into the coloration indicators against the Planned Value

EBI Program Reporting: Earned Value Guidance

Schedule variance (SV) = Earned value (EV) – Planned value (PV)

Cost variance (CV) = Earned value (EV) – Actual cost (AC)

Schedule performance index (SPI) = Earned value (EV) / Planned value (PV)

Cost performance index (CPI) = Earned value (EV) / Actual cost (AC)

Estimate at completion (EAC): Your estimate today of the total cost of the task

1. The principle must hold that all money spent accounts against the value of the Asset - including all CAPEX and OPEX

2. Baselines must be set and be monitored against for EV to have any value

Rules & Principles:

3. Used but undestributed budged must be accounted i.e. all accruals immediately accounted as actual costs

4. Re-forcasting should not change the Planned Value baseline - only CR's that fundamentally change the constraints

3. CPI = 1 means that the cost of completing the work is right on plan (good);

4. CPI > 1 means that the cost of completing the work is less than planned (good or sometimes bad).

Planned Value (PV) is the authorized budget assigned to work to be accomplished for an activity or WBS component. Also known as Budgeted Cost of Work Scheduled (BCWS)

Actual Cost (AC) is the total cost actually incurred in accomplishing work performed for an activity or WBS component.” Also known as Actual Cost of Work Performed (ACWP)

Earned Value (EV) is the value of work performed expressed in terms of the approved budget assigned to that work for an activity or WBS component. Also known as Budgeted Cost of Work Performed (BCWP)

1. CPI greater than 1 is good/favourable (under budget)

2. CPI < 1 means that the cost of completing the work is higher than planned (bad)

Ea

rne

d V

alu

e R

ep

ort

ing

1

PA

DO

P3M

Version 1.0 ………

Reporting Date: 2016/09/05

Budget at Completion

$2,833,896

Estimate at Completion

$3,102,283

Cost Variance at Completion$268,387

Schedule Variance

-$769,028

Cost Variance

-$672,116

SV=EV-PV

CV=EV-AC

0.9

EV=F $450,384

PV=D $2,833,896

AC=H $1,122,500

CPV $1,219,412

Planned Value(PV) ----

$1,219,412Actual Cost (AC) ----

$1,122,500Earned Value (EV) ----

$450,384

CPI

0.91

SPI

0.885121984

CPI=EV/AC (CPI>1 is Good)

SPI=EV/PV (SPI>1 is Good)

EBI Program Reporting: Earned Value

0.00

500,000.00

1,000,000.00

1,500,000.00

2,000,000.00

2,500,000.00

3,000,000.00

--- Planned Value --- Earned Value ---Actual Cost

0.60

0.80

1.00

1.20

S C H E D U L E P E R F O R M A N C E I N D E X ( S P I )

0.80

0.85

0.90

0.95

1.00

1.05

C O S T P E R F O R M A N C E I N D E X ( C P I )

Ea

rne

d V

alu

e R

ep

ort

ing

1

PA

DO

P3

M

Version 1.0

………