Introduction

• Discussion of workshop approach.
• Review of notebook contents.

Introduction to the Earned Value Concept

• Problems with comparing plan versus actual to ascertain performance.
• Earned Value - An essential parameter.

The Brick Wall

• An illustrative example of Earned Value methods.

Introduction to Earned Value Management Systems (EVMS)

• The essential features of a disciplined Earned Value Management System.
• Objectives and policies of customer-implemented requirements.
• What are the benefits to the customer?
• Why should the seller implement an Earned Value Management System?
• Who uses Earned Value?

Organization and Work Definition

• WBS defined.
• Purposes of a WBS.
• Developing a WBS for standard and non-standard systems.
• Trade-off assessments on determining the number of levels in the WBS.
• Negotiating the WBS with the customer.
• Purpose and importance of defining WBS elements.

Responsibility Assignment

• Matrixing the organization structure with the WBS.
• Essential features of a Control Account.
• Guidance in the identification of Control Account levels and contents.
• Why the Control Account is the driving factor in system cost and how to minimize this cost.
• Integrating management subsystems around the WBS and Control Accounts.

Planning, Scheduling and Budgeting

• Planning, Scheduling and Budgeting - A three-stage iterative process.
• Proper design of a scheduling system.
• Horizontal and Vertical Integration.
• Critical Path.
• Integrating cost and schedule.
• Management philosophies on Management Reserve and Undistributed Budgets.

Measuring Accomplishment

• Description of Work Measurement classifications.
• Work Packages defined.
• Discrete Work Measurement techniques.
• Milestone Characteristics.
• Rolling Wave - How far in the future must you plan?
• Summary Planning Packages and their use.

Control Account Plan (EVMS Case Study #3)

A comprehensive, but concise, exercise involving selecting appropriate Earned Value methodologies and calculating the budget and Earned Value for a sample Control Account.

Accounting

• Why Actual Cost for Work Performed (ACWP) is different from "Actual Costs".
• Structuring an effective cost control code for accumulating Actual Costs of Work Performed.
• Common problems and solutions to accumulating material costs for performance measurement.
• "Enlightened" customer requirements on material costs.
• How to identify meaningful material variances.

Earned Value Methods (EVMS Case Study #3 Part 2 - Material EV Methods)

An exercise involving the determination of BCWS and BCWP for Material work packages based on selected Earned Value Methods.

Analysis

• Identifying cost and schedule variances.
• Methods of portraying variances.

Calculation of Cost and Schedule Variances (EVMS Case Study #4 - Walk Through)

A simplistic exercise in the calculation of Cost and Schedule Variances.

Estimates, Indices and Forecasts

• Developing Estimates at Completion (EAC)
• Utilization of Performance Indices

Performance Efficiency Factors and Estimate at Completion (EVMS Case Study #7)

A simplistic exercise requiring the calculation of past and future efficiency factors and an Estimate at Completion forecast.

Variance Analysis

• Interpreting Cost and Schedule Variance.
• What constitutes a significant variance?
• Writing useful variance analysis reports.
• Comparing past and future efficiency factors.

Reporting

• What type of financial reports are required and what is their purpose?
• How to prepare and interpret the various reports.
• Reconciling funds reports with performance reports - An accuracy check.
• Differences in reporting requirements.

Highway Case (EVMS Case Study #8 - Walk Through) (Scheduling and Cost)

A reinforcement of variance calculation, performance indices, and EAC analysis.

Revisions and Baseline Maintenance

• The importance of Baseline Management.
• Obtaining a balance between a firm baseline and the requirement for replanning flexibility.
• How the baseline is affected by various changes.
• Acceptable reasons for retroactive changes to the baseline.

Contract/Project (CBB/PBB) Budget Base Log Preparation (EVMS Case Study #9a)

A concise exercise on how changes affect the budget and how to document them.

Top Management Use of Earned Value Data

• How Congress measures Federal acquisitions.

Earned Value Management System Development

• How to implement an EVM System.
• Common problems and solutions.

EVMS Compliance/Certification, Integrated Baseline Review (IBR) and Surveillance Process

• Understand the Validation/Certification and Surveillance processes.
• The Corrective Action process for identifying and correcting issues
• The Integrated Baseline Review (IBR) timeline, purpose and process
• Other post Validation/Certification efforts

The Use of Performance Measurement Data

• Review of course to date

Appendix

Course Evaluation Sheet and Discussion