About Earned Value Analysis

Earned value (earned value: A measure of the cost of work performed up to the status date or current date. Earned value uses your original cost estimates saved with a baseline and your actual work to date to show whether the actual costs incurred are on budget.) analysis is a method for measuring project performance. It indicates how much of the budget (budget: The estimated cost of a project that you establish in Project with your baseline plan.) should have been spent, in view of the amount of work (work: For tasks, the total labor required to complete a task. For assignments, the amount of work to which a resource is assigned. For resources, the total amount of work to which a resource is assigned for all tasks. Work is different from task duration.) done so far and the baseline cost (baseline cost: The original project, resource, and assignment cost as shown in the baseline plan. The baseline cost is a snapshot of the cost at the time when the baseline plan was saved.) for the task (task: An activity that has a beginning and an end. Project plans are made up of tasks.), assignment (assignment: A specific resource that is assigned to a particular task.), or resources (resources: The people, equipment, and material that are used to complete tasks in a project.).

At the root of earned value analysis are three key values:

Earned value analysis is always specific to a status date you choose. This may be the current date, or any date before the current date.

 
 
Applies to:
Project 2003