Finding the Schedule Performance Index

The schedule performance index (SPI) measures the project schedule's overall health. The formula, as Figure 7-10 demonstrates, is earned value divided by planned value. In other words, you're trying to determine how closely your project work is being completed in relation to the project schedule you created. Let's try this formula out.

Your project with the $500,000 budget is 40 percent complete, for an earned value of $200,000, but you're supposed to be 45 percent complete by today. That's a planned value of $225,000. The SPI for this project at this point in time is determined by dividing the earned value of $200,000 by the planned value of $225,000, for an SPI of .88. This tells me that this project is 88 percent on schedule, or, if you're a pessimist, the project is 12 percent off track.

Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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