Tocomplete performance index

The to-complete performance index (TCPI) is a ratio of remaining work compared to remaining budget and is represented as a percentage. It can be viewed as an efficiency formula where the higher the percentage, the more efficiency you're currently getting out of the task. A TCPI that is more than 20 percent higher or lower than the CPI means that the current EAC is not representative of past performance. Here is the TCPI formula:

TCPI = work remaining / funds remaining where: work remaining = BAC—BCWP

funds remaining = BAC—ACWP

For example, given the following project numbers, here's how you'd calculate the TCPI:

BCWP = 175,000

ACWP = 180,000

TCPI = (250,000—175,000) / (250,000—180,000) = 75,000 / 70,000

To compare TCPI to CPI, divide one into the other. If the result is between 1.2 and 0.8, then you're within the +/- 20% guideline:

TCPI / CPI = efficiency compared to past performance

In this case, a comparison of 1.1 means we're essentially on track in our project relative to past performance (provided, of course, that past performance was in line with our expectations).