12-09-2013, 02:37 PM
Project Monitoring and Control
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Monitoring – collecting, recording, and reporting information concerning project performance that project manger and others wish to know
Controlling – uses data from monitor activity to bring actual performance to planned performance
Why do we monitor?
Simply because we know that things don’t always go according to plan (no matter how much we prepare)
To detect and react appropriately to deviations and changes to plans
When do we monitor?
End of the project
Continuously
Regularly
Logically
While there is still time to react
As soon as possible
At task completion
At pre-planned decision points (milestones)
How do we monitor
Through meetings with clients, parties involved in project (Contractor, supplier,etc.)
For schedule – Update CPA, PERT Charts, Update Gantt Charts
Using Earned Value Analysis
Calculate Critical Ratios
Milestones
Reports
Tests and inspections
Delivery or staggered delivery
PMIS (Project Management Info Sys) Updating
Earned Value Analysis
A way of measuring overall performance (not individual task) is using an aggregate performance measure - Earned Value
Earned value of work performed (value completed) for those tasks in progress found by multiplying the estimated percent physical completion of work for each task by the planned cost for those tasks. The result is amount that should be spent on the task so far. This can be compared with actual amount spent.
Earned Value Variance - Formula
CV = BCWP – ACWP (negative value - cost overrun)
SV = BCWP – BCWS (negative value - behind schedule)
TV = STWP – ATWP (negative value - delay)
Index (Ratios)
Cost Performance Index (CPI) = BCWP/ACWP
Schedule Performance Index (SPI) = BCWP/BCWS
Time Performance Index (TPI) = STWP/ATWP
Critical ratio example
Can be on schedule and below budget (Act A) Why so good? Cutting corners?
Can be behind schedule but below budget (Act C)
Can be on budget but physical progress lagging (Act E)
Can be on schedule but cost running higher than budget (Act D)
On budget ahead of schedule (Act B)
[attachment=57950]
Monitoring – collecting, recording, and reporting information concerning project performance that project manger and others wish to know
Controlling – uses data from monitor activity to bring actual performance to planned performance
Why do we monitor?
Simply because we know that things don’t always go according to plan (no matter how much we prepare)
To detect and react appropriately to deviations and changes to plans
When do we monitor?
End of the project
Continuously
Regularly
Logically
While there is still time to react
As soon as possible
At task completion
At pre-planned decision points (milestones)
How do we monitor
Through meetings with clients, parties involved in project (Contractor, supplier,etc.)
For schedule – Update CPA, PERT Charts, Update Gantt Charts
Using Earned Value Analysis
Calculate Critical Ratios
Milestones
Reports
Tests and inspections
Delivery or staggered delivery
PMIS (Project Management Info Sys) Updating
Earned Value Analysis
A way of measuring overall performance (not individual task) is using an aggregate performance measure - Earned Value
Earned value of work performed (value completed) for those tasks in progress found by multiplying the estimated percent physical completion of work for each task by the planned cost for those tasks. The result is amount that should be spent on the task so far. This can be compared with actual amount spent.
Earned Value Variance - Formula
CV = BCWP – ACWP (negative value - cost overrun)
SV = BCWP – BCWS (negative value - behind schedule)
TV = STWP – ATWP (negative value - delay)
Index (Ratios)
Cost Performance Index (CPI) = BCWP/ACWP
Schedule Performance Index (SPI) = BCWP/BCWS
Time Performance Index (TPI) = STWP/ATWP
Critical ratio example
Can be on schedule and below budget (Act A) Why so good? Cutting corners?
Can be behind schedule but below budget (Act C)
Can be on budget but physical progress lagging (Act E)
Can be on schedule but cost running higher than budget (Act D)
On budget ahead of schedule (Act B)