Predicting the Projects Future

Notice in the preceding paragraph I said, "at this point in time." That's because the project will, hopefully, continue to make progress and the planned value and earned value numbers will change. Naturally, as the project moves towards completion, the earned value amounts will increase and so will the planned value numbers. Typically, these indexes, both schedule and costs, are measured at milestones, and they allow the project management team to do some prognosticating as to where the project will likely end up by its completion. That's right—we can do some forecasting.

Budget at Completion $500,000

Budget at Completion $500,000

Figure 7-10 The SPI is found by dividing the earned value by the planned value.
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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