Control Cycle

1093 Words5 Pages
Control cycle: Control cycle refers to, continuously repeating cycle of planning, monitoring, assessing, comparing, correcting, and improving plans, processes, and practices. The Four Steps 1. Setting a goal: In this step of control cycle, a business establishes the objectives and processes necessary to deliver results in accordance with the expected output (the target or goals). 2. Measuring progress: In this step, a business implements the plan, executes the process, makes the product. It also collects data for charting and analysis in the following "CHECK" and "ACT" steps. 3. Comparing actual with planned performance: A business then compares the actual result against the expected result to figure out any differences. 4.…show more content…
Monitoring planned value, earned value, and actual cost. To describe your project’s schedule and cost performance with EVM, you use the following indicators: * Schedule variance (SV): The difference between the amounts budgeted for the work you actually did and for the work you planned to do. The SV shows whether and by how much your work is ahead of or behind your approved schedule. * Cost variance (CV): The difference between the amount budgeted and the amount actually spent for the work performed. The CV shows whether and by how much you’re under or over your approved budget. * Schedule performance index (SPI): The ratio of the approved budget for the work performed to the approved budget for the work planned. The SPI reflects the relative amount the project is ahead of or behind schedule, sometimes referred to as the project’s schedule efficiency. You can use the SPI to date to project the schedule performance for the remainder of the task. * Cost performance index (CPI): The ratio of the approved budget for work performed to what you actually spent for the work. The CPI reflects the relative value of work done compared to the amount paid for it, sometimes referred to as the project’s cost efficiency. You can use the CPI to date to project the cost performance for the remainder of the task. Steps in earned value management: Step 1. Establish the scope. Define what it is that you want to develop and deliver. This
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