Explore BrainMass

Explore BrainMass

    Monitor Performance of the Project Baseline Plan

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Using re-carpeting project as the model, compare and contrast the effect of monitoring performance against the Earned Value Baseline.

    Verification of Viability
    Establishment of Variance Thresholds
    Detailed List of Overhead with Justification of Needs
    Management Oversight
    Schedule Variance

    Provide a recommendation of which approach either Performance Monitoring or Earned Value.

    GOAL: My goal is to construct a minimum of 10 pages that can include graphs.

    © BrainMass Inc. brainmass.com June 4, 2020, 5:12 am ad1c9bdddf

    Solution Preview

    The response addressed the query is posted in 2556 words with references

    // Under this paper, a comparative analysis will be undertaken amongst the implementation of performance monitoring and earned value baseline upon re-carpeting project, accordingly the viability of the project is indicated and recommendation regarding the most suitable approach has been proposed. Thus, in this regard, a re-carpeting project with a gestation period of one month or thirty days is selected and its performance evaluation after ten days is undertaken.//
    In the process of project management, baseline indicates the approved and accepted plans along with their associated documents. The management team is held responsible for the measurement, as well as controlling of the project activities. Through the baseline method, the management develops a comprehensive understanding of the progress and accordingly, they forecast the future project outcomes (Carstens, Richardson & Smith, 2013). The project baseline is inclusive of the schedule baseline, scope baseline, cost baseline and quality baseline.
    Generally, the schedule, scope and cost baseline collectively contribute to the performance measurement baseline that constructs a framework for the overall project baseline through which the project performance is measured (Carstens, Richardson & Smith, 2013). The scope baseline indicates the physical, technical and functional requirements that are required to be assured in the context of the deliverable products in the project. The schedule baseline indicates the overall project schedule, along with all the other elements that support the project schedule.
    The budget or cost baseline indicates an approved budget that reflects the time distribution format that is used for estimating, monitoring, as well as controlling the cost-based performance of the project (Carstens, Richardson & Smith, 2013). Lastly, the quality baseline indicates the probability of uncertainties that could influence the overall performance of the project.
    //In the below-mentioned section, the earning value baseline has been applied to the project through the calculation of cost variance and scheduled variance//
    The earned value baseline is a tool for the performance measurement wherein the earned value is the technique that indicates the work in progress through which the future performance is evaluated. Earned value measurement is the system of controlling and planning the cost performances of the project by the way of integrating the scope, cost objectives and time schedule of the project (Budd & Budd, 2013). The baseline is also known as the tool for cost control, and it is used for the evaluation of the project performance for a specified date.
    More specifically, in the case of revising or re-planning the project budget, the variance analysis facilitates with the cost related information in order to identify the problem, analyze the trend and undertake corrective actions (Budd & Budd, 2013). Both, the time and cost are simultaneously considered in the earned value curve, and the manager ascertains if the actual cost that has been incurred as per the budgeted cost and the physical progress has been undertaken as per the budgeted schedule (Lewis, 2007). Thus, the two major focus points are the cost management and schedule management, wherein the cost management aims at evaluating the cost performance of the project by the way of assessing the relationship between the actual cost and the earned value.
    In addition to this, schedule management lays its focus on the schedule performance and establishes a relationship between the planned value and the earned value (Lewis, 2007). The earned value performance measurement analyses the cost and schedule variance in addition to the evaluation of the cost and schedule efficiency. Through the usage of the details of re-carpeting project, the cost variance, considering the work undertaken in one month, can be calculated as follows:
    (See the Table)
    Thus, the calculation of the cost variance of the project is as follows:
    CV = EV - AC
    CV = $35848 - $34924
    CV= $ 924
    CV% = CV/ EV
    = $924/ $35848 = 0.25 or 2.5%
    Where, graphically, it could be explained as ...

    Solution Summary

    The response addressed the query is posted in 2556 words with references