A control account is where factors such as actual cost, schedule, and scope can be measured using earned value performance measures. Control accounts are assigned to various levels of the WBS. This process manages the changes to project costs using the cost change control system. The authorized time-phased budget for the project using the budget at completion earned value management formula. Cost baselines are represented as S curves. This plan establishes policies and procedures for estimating, managing, and controlling project costs. It is an output of the Plan Cost Management process. An earned value analysis technique that is used to calculate cost performance efficiencies: CPI = EV / AC . An earned value analysis technique that determines whether costs are higher or lower than budgeted during a given period of time: CV = EV - AC . CA (control account) Control Costs Cost Baseline Cost Management Plan CPI (cost performance index) CV (cost variance) Determine Budget
4/14/2018 Lesson 7 : Project Cost Management -uCertify 3/6 This process creates the cost baseline, which measures the variance and performance of the project throughout the project's life. This compares the value of the future cash flows of the project to today's dollars using time value of money techniques. EV (earned value) is the value of completed work. It is the budgeted amount for the work actually completed on the schedule activity during a given time period. The most commonly used performance measurement method. It looks at schedule, cost, and scope project measurements and compares their progress as of the measurement date against what was expected. The three measurements needed to perform earned value analysis are PV (planned value), AC (actual cost), and EV (earned value). An earned value analysis technique that forecasts the expected total cost of a work component, the schedule activity, or the project at its completion. This process develops an approximation of the costs of each project activity. An earned value analysis technique that determines the expected remaining costs to complete the schedule activity, WBS component, or control account (or project). This is most typically calculated in a bottom-up manner.
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- Summer '17
- Art Brown
- Project Management, Project Cost Management