Guild of Project Controls: Compendium | Roles | Assessment | Certifications | Membership

Planned value cost

How does Primavera P6 calculate Planned Value Cost for Activities without linear distribution (using Resource Curves or Manual plan) in Earned Value Management

Posted Sat, 2018-02-17 08:05 by Khuong Do

When we use Earned Value Management technique, we focus on:

  • Planned Value Cost (PV) = Budget At Completion * Schedule % Complete
  • Earned Value Cost (EV) = Budget At Completion * Performance % Complete (usually equal to Activity % Complete)
  • Schedule Variance (SV) = EV - PV
  • SV > 0 : project is good, ahead of schedule

So Planned Value Cost play a very important role here.

By default when we assign resource to activity, the unit is distributed equally (linear). Then calculation of Planned Value is as above.

Market Place

Eastwood Harris Pty
Primavera P6 and Microsoft Project books, on-line video training courses and training material available from an internationally recognised publisher. Teach yourself using on-line or book based learning or run your own in-house or public courses.
http://www.eh.com.au/
Syndicate content