Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 190 views

    STUMP Earned Value Exercise

    Uploaded by

    Nevets Nonnac
    The document describes a project for a robotics company to develop a new generation robot. It provides the original task list and budget of $680,000. After 8 months, project progress is detailed and estimates are calculated. The project is $108,000 over budget and $98,000 behind schedule based on earned value calculations. The cost performance index is 0.811 and schedule performance index is 0.825. The estimated total cost is $838,471 based on the original budget and cost performance to date.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd

    STUMP Earned Value Exercise

    Uploaded by

    Nevets Nonnac
    190 views5 pages
    The document describes a project for a robotics company to develop a new generation robot. It provides the original task list and budget of $680,000. After 8 months, project progress is detailed and estimates are calculated. The project is $108,000 over budget and $98,000 behind schedule based on earned value calculations. The cost performance index is 0.811 and schedule performance index is 0.825. The estimated total cost is $838,471 based on the original budget and cost performance to date.

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document describes a project for a robotics company to develop a new generation robot. It provides the original task list and budget of $680,000. After 8 months, project progress is detailed and estimates are calculated. The project is $108,000 over budget and $98,000 behind schedule based on earned value calculations. The cost performance index is 0.811 and schedule performance index is 0.825. The estimated total cost is $838,471 based on the original budget and cost performance to date.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    190 views5 pages

    STUMP Earned Value Exercise

    Uploaded by

    Nevets Nonnac
    The document describes a project for a robotics company to develop a new generation robot. It provides the original task list and budget of $680,000. After 8 months, project progress is detailed and estimates are calculated. The project is $108,000 over budget and $98,000 behind schedule based on earned value calculations. The cost performance index is 0.811 and schedule performance index is 0.825. The estimated total cost is $838,471 based on the original budget and cost performance to date.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    You are on page 1of 5

    General Application

    Case Study

    Earned Value
    Project Background
    To maintain their competitive position in the robotics market, STUMP Corp need to develop a new generation robot. They have initiated a project to achieve this goal. The project starts on 1st January 2000. The project is comprised of the tasks listed in Table One below. Predecessors, task duration and the number of personnel required to achieve the task in that duration are also provided.

    Part 1: Requirements
    Construct a Bar chart for the project and determine the Budget At Completion (BAC) for the project. Assume that STUMP have access to unlimited resource; that personnel cost $10,000 per month per person, and that there are no project costs other than personnel costs. A task cannot commence until all its predecessors have been completed. ID A B C D E F G H I Job Description Electrical Design Assemble Boards Test Boards Software Design Programming Software Testing Robot Body Design Robot Construction Final Assembly Immediate Predecessors Start A B Start D E A G C,F,H Planned Duration (Months) 4 4 2 4 2 2 4 2 2 Staff 6 3 2 1 2 2 2 2 2

    Table One: Original Task List and Budgeted Effort

    (c) Harrison International Ltd, 2000. All rights reserved.

    Page 1 of 5

    General Application

    Case Study

    Model Answer For Part 1


    Month
    Task Electrical Design Assemble Boards Test Boards Software Design Programming Software Testing Robot Body Design Robot Construction Final Assembly 01 02 03 04 05 06 07 08 09 10 11 12 01 02 03

    Table Two: Original Gantt Chart BAC = $680,000 i.e. sum(duration(i) x staff(i)) for all i, where i = a project task.

    Part 2: Earned Value Calculations


    After 8 months project progress is detailed in Table Three. Predecessors remain the same. ID Job Description Effort to Date (Person Months) 30 9 0 4 8 0 6 0 0 Outstanding Duration (Months) 0 1 2 0 1 4 1 2 2 Staff

    A B C D E F G H I

    Electrical Design Assemble Boards Test Boards Software Design Programming Software Testing Robot Body Design Robot Construction Final Assembly

    0 3 2 0 2 2 2 2 2

    Table Three: Progress as at the End of Month 8 Using the information in the table above, and the original details, create a Gantt Chart showing just the remaining work, and estimate the PV, AC and EV for each task as at the end of Month 8. For the project, what is the Cost Variance? Schedule Variance? Cost Performance Index (CPI)? Schedule Performance Index (SPI)? Estimate At Completion (EAC)? The next section provides details about calculating these values.

    (c) Harrison International Ltd, 2000. All rights reserved.

    Page 2 of 5

    General Application

    Case Study

    Important Definitions and Formulae


    Data Date PV EV Current reporting date. Date against which project progress is measured. Usually set to end of latest reporting period. Planned Value of the work that was scheduled to be performed to the Data Date (originally: Budgeted Cost of Work Scheduled) Earned Value of the work actually performed. I.e. Based on the baseline schedule, how much was budgeted to perform the work that has been accomplished? (originally: Budgeted Cost of Work Performed) Actual costs incurred as at the Data Date (Actual Cost of Work Performed) Schedule Variance = EV - PV Cost Variance = EV - AC Schedule performance index = EV/PV (efficiency factor relating to schedule) Cost Performance Index = EV/AC (efficiency factor relating to cost) Budget At Completion. Budgeted cost of completing the project. Estimate At Completion = BAC/CPI. This is also known as the Estimated Cost at Completion (ECAC)

    AC SV CV SPI CPI BAC EAC

    (c) Harrison International Ltd, 2000. All rights reserved.

    Page 3 of 5

    General Application

    Case Study

    Model Answer For Part 2


    Month
    Task Electrical Design Assemble Boards Test Boards Software Design Programming Software Testing Robot Body Design Robot Construction Final Assembly 01 02 03 04 05 06 07 08 09 10 11 12 01 02 03

    Table Four: Gantt Chart of the Remaining Work

    Project Estimates at End of Month 8


    Budgeted Cost of Work Scheduled (PV)
    This is the original budgeted cost of the work that was scheduled to be completed at this point. From the original Gantt, this comprises all work in the following tasks: A B D E F G. The PV at this point is $560,000. For Taski: EVi = Original Budgeti * %Completei A B C D E F G H I Completed 75% complete Not started Completed Budget $40,000, $20,000 o/s Not Started 75% complete Not Started Not Started TOTAL AC $300,000 $90,000 $0 $40,000 $80,000 $0 $60,000 $0 $0 $570,000 EV $240,000 $90,000 $0 $40,000 $32,000 $0 $60,000 $0 $0 $462,000

    Table Five: AC and EV as at End of Month 8

    Cost Variance (CV)


    CV = EV AC = ($108,000) The project is $108,000 over budget for the work that has been done.

    Schedule Variance (SV)


    SV = EV PV = ($98,000) The project is currently $98,000 worth of effort behind schedule.

    (c) Harrison International Ltd, 2000. All rights reserved.

    Page 4 of 5

    General Application

    Case Study

    Cost Performance Index (CPI)


    CPI = EV / AC = $462,000 / $570,000 = 0.811 For every dollar spent we get $0.81 of planned result

    Schedule Performance Index (SPI)


    SPI = EV / PV = $462,000 / $560,000 = 0.825 For every dollar spent on scheduled effort we get $0.82 worth of schedule progress.

    Estimate At Completion (EAC)


    EAC = BAC / CPI = $680,000 / 0.811 = $838,471

    (c) Harrison International Ltd, 2000. All rights reserved.

    Page 5 of 5

    You might also like