Advantages and Disadvantages of EVM

981 WordsOct 12, 20144 Pages
Advantages and Disadvantages of Earned Value Management (EVM) Student Name: INF337: Integrated Cost & Schedule Control Instructor: Elliott Lynn October 6, 2014 The purpose of this paper is to compare and contrast the similarities and differences of earned value management (EVM) and how it could provide the project manager a better chance of having a successful project. When you are assigned as the project manger or any project, your goal is to meet assigned deadlines, accomplish the projects objective and hopefully come in under budget not over budget. The paper will highlight the examples of the real world benefits, as well as, the myths of EVM as it relates to the success of each…show more content…
EVM had become such a requirement that any project over $20 million must employ the EVM standard. In a survey conducted in December 2005, only 33% of the federal department hired personnel skilled in EVM. I was involved in a project that exposed the myths of EVM. The project manager failed to understand the importance of EVM. The organization had contracted to have six storage containers erected in the back of the company. The initial budget was $50, 000 dollars with a completion date of 30 days within contract agreement. The WBS provided a breakdown at each level, the amount of work to be performed, and the cost at each level. It is known that many projects require a more in depth research of what is required for project success. Even with prior planning uncertainties will happen. In this case, the contractor decided to outsource the concreted for the paid. The problem is that the concrete was not with codes and had to be removed and repoured. This delay caused budget overruns. This goes back to the quality not being measured in the earned value management (EVM) system. The 30 day project turned into 60 days and was ultimately over budget but the difference was paid by the contractor. Even
Open Document