Adjusting the BCWS in Earned Value Methods X%/Y%




Earned Value Management
Knowledge Center

Translate

Forum
5
Major Reen
Project Manager, United States

Adjusting the BCWS in Earned Value Methods X%/Y%

I am in a disagreement with a coworker regarding Earned Value Methods X%/Y%. They contend that by assigning an Earned Value method of (for example) 50/50, your BCWS should automatically be adjusted to have 50% of your budget allocated in month 1 and 50% allocated in month 2.
Being an ex-MPM user, I know the software does not do that, but I seem to be losing the debate. I don’t think that by virtue of assigning an EVM, your BCWS that was established in your integrated master plan (IMS) should be altered to accommodate that EVM.
Sounds like the tail wagging the dog to me. Any takers?
 
Comments

Rating

 
3
Paul D Giammalvo
Professor and Consultant, Indonesia
 

Changing the BCWS

Sorry Major, but you should NOT change the BCWS at all... That is and should remain your baseline, against which you measure, assess and evaluate your BCWP and ACWP.

The bigger challenge is how to match your ACWP against the BCWP. Using the 50/50 rule you will have earned 50% of the BCWS for that activity, but will have no ACWP to charge against it, making it appear in the beginning that you are ahead of schedule and under budget and you won't know for sure what your CPI and SPI are until after the activity finishes.

   

More on Earned Value Management:
Summary
Discussion Topics
🥇 What is Earned Value Management? Definition of EVM
EVM in Fixed Price Software Projects
When is an Asset over / under cost?
🥈 Earned Value Management is Like a Speedometer
🥉 EVM Implementation in Construction
👀Adjusting the BCWS in Earned Value Methods X%/Y%
EVM Problem: Project Scope Change
Earned Value Management (EVM) in Agile Projects
EVM Baseline Cost When Moving a Task to Another Calendar Year
Project Portfolio Scorecard in EVM
🔥 Tips to Improve the Productivity in your Project
Project Management Finance
Special Interest Group

Do you know a lot about Earned Value Management? Become our SIG Leader

Earned Value Management
Knowledge Center



About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
© 2023 12manage - The Executive Fast Track. V16.1 - Last updated: 2-6-2023. All names ™ of their owners.