Earned Value Analysis of Two Projects: Calculation of Planned and Earned Values, Actual Cost, and Cost & Schedule Variances

This assignment presents the analysis of the earned value analysis of two projects. It includes the calculation of planned and earned values, actual cost, and cost & schedule variances. The project activities A, B, C, and D have been evaluated for Schedule Performance Index and Cost Performance Index for the project. The two projects had been facing issues for successful completion namely, delay in execution of the project activities, lagging in terms of expected work completion, and exhaustion of resources. Some recommendations for the project include using more resources, utilizing effective schedule planner, and implementing project management principles of change management and control management process.

The following presentation has been developed for forming the analysis of the earned value analysis of
the project. The two project cases and their progress values had been considered for the project. The
calculation of planned and earned values, actual cost, and cost & schedule variances had been done in
this assignment. The project activities A, B, C, and D have been evaluated for Schedule Performance
Index and Cost Performance Index for the project. The following outcomes has been seen for the
projects,
5.1
Activity
A
Budget (in
dollars)
Work Time (in
weeks)
BAC PV
Expected $150,000.00 100% 15 $150,000.00 $52,500.00
Actual $45,000.00 35% 5
Activity
B
Budget (in
dollars)
Work Time (in
weeks)
Expected $100,000.00 100% 4 $100,000.00 $45,000.00
Actual $50,000.00 45% 2
Activity
C
Budget (in
dollars)
Work Time (in
weeks)
Expected $110,000.00 100% 1 $110,000.00 $100,000.00
Actual $100,000.00 100% 3
Activity
D
Budget (in
dollars)
Work Time (in
weeks)
Expected $450,000.00 100% 6 $450,000.00 $247,500.00
Actual $200,000.00 55% 3
Total BAC $810,000.00
PV $445,000.00

EV $421,200.00
AC $395,000.00
SV -$23,800.00
CV $26,200.00
SPI 0.95
CPI 1.07
5.2
Activit
y A
Budget (in
dollars)
Wor
k
Time (in
weeks)
BAC PV EV AC
Expect
ed
$250,000.00 47% 15 $250,000
.00
$117,500.
00
$125,000
.00
$165,000
.00
Actual $165,000.00 50% 7 CV SV CPI SPI
-
$40,000.
00
$7,500.00 0.76 1.06
Activit
y B
Budget (in
dollars)
Wor
k
Time (in
weeks)
BAC PV EV AC
Expect
ed
$190,000.00 50% 4 $190,000
.00
$95,000.0
0
$123,500
.00
$150,000
.00
Actual $150,000.00 65% 2 CV SV CPI SPI
-
$26,500.
00
$28,500.0
0
0.82 1.3
Activit
y C
Budget (in
dollars)
Wor
k
Time (in
weeks)
BAC PV EV AC
Expect
ed
$250,000.00 120
%
1 $250,000
.00
$300,000.
00
$250,000
.00
$200,000
.00
Actual $200,000.00 100 3 CV SV CPI SPI

%
$50,000.
00
-
$50,000.0
0
1.25 0.83
Activit
y D
Budget (in
dollars)
Wor
k
Time (in
weeks)
BAC PV EV AC
Expect
ed
$500,000.00 67% 6 $500,000
.00
$335,000.
00
$275,000
.00
$350,000
.00
Actual $350,000.00 55% 4 CV SV CPI SPI
Total BAC $1,190,000.0
0
-
$75,000.
00
-
$60,000.0
0
0.79 0.82
PV $876,000.00
EV $773,500.00
AC $865,000.00
SV -$74,000.00
CV -$91,500.00
SPI 1.0045
CPI 0.9042
It is evident from the tables that,
Calculation of 5.1 was based on the expected and actual cost of the project activities (A, B, C, and D)
Expected budget for activity A was $150,000, activity B was $100,000, activity C was $110,000, and
activity D was $450,000
Total BAC for the project was $810,000
The SV, CV, SPI, and CPI has been calculated with the help of calculating the PV, EV, and AC
SV value has been negative for the project and CV value for the project is positive

The negative value has shown that project is behind schedule and the positive value has shown that the
project is cost effective
Calculation of 5.2 was based on the expected and actual cost of the project activities (A, B, C, and D)
Expected budget for activity A was $250,000, activity B was $190,000, activity C was $250,000, and
activity D was $500,000
Total BAC for the project was $1,910,000
The SV, CV, SPI, and CPI has been calculated with the help of calculating the PV, EV, and AC
SV value has been negative for the project and CV value for the project is also negative
The negative value has shown that project is behind schedule and the negative value has shown that the
project is over budget
The two projects had been facing issues for successful completion namely,
The problems of project was the delay in execution of the project activities
The delay in project can result in forming the issues for the project execution
The activities of the project had been both delayed and over budgeted
The project activities had been lagging in terms of expected work completion
The exhaustion of the resources is another major factor that had resulted in negative cost variance for
the project
Some recommendations for the project
The delay of the project can be sorted out by using more resources
The project is ahead in terms of cost and hence, the extra saved resources can be utilized for gaining the
time lapsed
The utilization of the effective schedule planner would help in overcoming the delay
Practically project can be completed in the estimated time duration with minimum cost variation from
the calculated value by using project management principles of change management and control
management process