This section covers how to identify when costs are varying from the budget and how to manage those variations.
- Earned Value Analysis – a method of periodically comparing the budgeted costs with the actual costs during the project.
- Schedule Variance – the difference between planned and actual progress.
- Estimated Cost to Complete the Project – a prediction, part way through the project, of how much money it will take to complete the unfinished activities.
- Read the the section Managing the Budget in the prescribed textbook (Web | PDF | EPUB | MOBI), Chapter 12 (pages 112-117 in the PDF version).
- Blog post: Think of an example from your own experience or professional context.
- Complete an Earned Value Analysis, including the Schedule Variance (SV) and Cost Variance (CV) for your own example, and calculate the estimate to complete (ETC) assuming this variance continues.
- Why is this information important for you to know?
- What action(s) might you need to take?
- Remember to tag or label your post using the course code: IPM103 (This is needed to harvest a link to your blog post in the course feed.)
- If you haven’t already done so, register the published URL (not the one used for editing) of your course blog by clicking on the graphic above.
- Provide substantive, relevant comments on two other course participants’ blog posts. A substantive comment is at least four sentences that evidence your knowledge and experience in relation to another person’s post