This is just an introductory video. It answers 'what is...' not 'how to...' For more details (including calculation of TCPI, see my full article, Earned Value Primer: The Basics of EVM at onlinepmcourses.com/earned-value-primer/ Also, take a look at our new video: What is Estimate at Completion - EAC? czcams.com/video/KECND2qLe8A/video.html
Wow, just finished watching a mind-blowing video about Earned Value Management (EVM) in Project Control, and it left me amazed! I've always struggled with tracking project progress and cost, but EVM seems like the ultimate solution. The video explained how to calculate key performance indicators like CV, SV, CPI, and SPI, which provide insights into the project's health at any given time. It's incredible how EVM can forecast potential cost and schedule overruns, allowing for timely corrective actions. This newfound knowledge has already made me more confident in my project management skills. A huge shoutout to the content creator for breaking down this complex topic into easily understandable concepts. Thumbs up!
Thank you - it's great to hear when people value my content. I go into a little more detail, in an article on my website: onlinepmcourses.com/earned-value-primer/
I think it's all those calculations whizzing around in the background, made me realise, 'they are just calculations for specific elements', as usual, I was overthinking it. This video really helped me, so thank you 🙂
@@Onlinepmcourses I am a civil engineering student from Brazil and I am planning to do my thesis/dissertation based on EVM applicated on a local project in my company. This video gave me the certain of what I really should foucus on! Thank you so much!
Thank you for the easy to follow presentation and pacing. It's refreshing in comparison to how rushed other presentations I've watched for class have been.
Great video. I really enjoy the simple explanation. One recommendation from me is it'd be good to see more visual examples for those of us that need to see it to understand it :))
Great explanation of EVM. The problem here with trying to apply EVM to an Agile Environment that leans on the idea of planning out work Just-in-time for the next iteration/sprint. Makes it hard to keep up with calculations of how much work has been completed/burn rates of money and resources when a project is intended to move and shift with new directions coming from the Product Owner and Stakeholders.
EVM is the wrong tool for agile projects - in just the same way as a pipe wrench is the wrong tool for carpentry projects. You may find some way to make use of it, but it wasn't designed for the job.
@@Onlinepmcourses So that is the issue that I have with the program that I am on where we are developing SW in an Agile Environment but one of our deliverables is an EVM of the total project's accomplishments. The bigger issue is that project was designed and planned "on paper" before the first keystroke of new code was developed, making us beholden to what we said we were going to deliver for an entire year. Doesn't seem very "Agile".
@@mattycakes0231 It sounds very much like you are working on a hybrid project to me - a predictive project with agile cycles within it. That can work well, but the PM team needs to be careful about how to apply the EVM approach. Here's an article that will fill you in on the different types of Hybrid Project Management: onlinepmcourses.com/hybrid-project-management/
Much appreciated for the quality content! I wanted to ask you, the actual cost of work performed, should it be the actual cost calculated internally by the company, let's say to develop a software or to finish a sw development task, or should it be calculated based on the price per hour which has been sold to the customer? Would love to receive an answer on this question as it confuses me every time I plan my budget for a software project. Kindly assist.
This is a very good question. The ACWP should be calculated from the point of view of the person who wants to know. So, the answer you need is 'both'. To the vendor (you), the ACWP and BCWP are in terms of your costs. Then you apply your sales terms to calculate your Earned Profit. But, for the buyer, you calculate the ACWP and BCWP in terms of the price to them. Note that: 1. ACWP(B) - ACWP(V) = vendor's profit 2. If you sell at a fixed price, ACWP(B) = BCWP(B), so, as ACWP(V) goes up, your profit goes down.
To me the big ones are: - data-heavy - collecting and analyzing the data is a big task - and it's often hard to get data that's accurate - The EV method does not actually calculate Earned Value. It calculates earned completion. It assumes that % complete = % of final value. This is rarely true.
This is just an introductory video. It answers 'what is...' not 'how to...' For more details (including calculation of TCPI, see my full article, Earned Value Primer: The Basics of EVM at onlinepmcourses.com/earned-value-primer/
This is just an introductory video. It answers 'what is...' not 'how to...' For more details (including calculation of TCPI, see my full article, Earned Value Primer: The Basics of EVM at onlinepmcourses.com/earned-value-primer/
Also, take a look at our new video: What is Estimate at Completion - EAC? czcams.com/video/KECND2qLe8A/video.html
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Wow, just finished watching a mind-blowing video about Earned Value Management (EVM) in Project Control, and it left me amazed! I've always struggled with tracking project progress and cost, but EVM seems like the ultimate solution. The video explained how to calculate key performance indicators like CV, SV, CPI, and SPI, which provide insights into the project's health at any given time. It's incredible how EVM can forecast potential cost and schedule overruns, allowing for timely corrective actions. This newfound knowledge has already made me more confident in my project management skills. A huge shoutout to the content creator for breaking down this complex topic into easily understandable concepts. Thumbs up!
Thank you - it's great to hear when people value my content. I go into a little more detail, in an article on my website: onlinepmcourses.com/earned-value-primer/
Great vid. This is a lot better to watch at 1.5 speed tho.
Thank you.
Pacing allows for people whose first language is not English.
@@MHStudios1 I'm not sure but... I am going to interpret this according to my German/English dictionary. So, thank you.
Ehrenbruder! Tak for din hjælpen
@@pitmattmann Google translate thinks that's Danish. So, Tak min ven.
@@Hamdard-Rider Never smoked in my life - long-term effects of pneumonia actually. hmmmm
I think it's all those calculations whizzing around in the background, made me realise, 'they are just calculations for specific elements', as usual, I was overthinking it. This video really helped me, so thank you 🙂
That's great to hear. For more detail: onlinepmcourses.com/earned-value-primer/
Concise and easy to understand concepts of EVM. 🤠
Thank you.
The best video of EVM on internet! Thank you! I've successfully explained the concept in five minutes! Amazing!
And you win the prize for best comment! Seriously, thank you very much, João!
@@Onlinepmcourses I am a civil engineering student from Brazil and I am planning to do my thesis/dissertation based on EVM applicated on a local project in my company. This video gave me the certain of what I really should foucus on! Thank you so much!
@@joaopedroabrahaocaron7108 That's fantastic! Good luck with your thesis.
Lovely clear Earned Value Management explainer; cuts through the acronym soup without indigestion ;-)
Thank you very much. Clarity and accuracy are what I aim for!
You are an extremely knowledgeable man, I find your videos relaxing.
I appreciate that!
Thank you for the easy to follow presentation and pacing. It's refreshing in comparison to how rushed other presentations I've watched for class have been.
You're very welcome!
Excellent introduction to EVM !
Thanks, Moumita.
Great video. I really enjoy the simple explanation. One recommendation from me is it'd be good to see more visual examples for those of us that need to see it to understand it :))
For more graphics, take a look at my comprehensive article: onlinepmcourses.com/earned-value-primer/
Great explanation of EVM. The problem here with trying to apply EVM to an Agile Environment that leans on the idea of planning out work Just-in-time for the next iteration/sprint. Makes it hard to keep up with calculations of how much work has been completed/burn rates of money and resources when a project is intended to move and shift with new directions coming from the Product Owner and Stakeholders.
EVM is the wrong tool for agile projects - in just the same way as a pipe wrench is the wrong tool for carpentry projects. You may find some way to make use of it, but it wasn't designed for the job.
@@Onlinepmcourses So that is the issue that I have with the program that I am on where we are developing SW in an Agile Environment but one of our deliverables is an EVM of the total project's accomplishments. The bigger issue is that project was designed and planned "on paper" before the first keystroke of new code was developed, making us beholden to what we said we were going to deliver for an entire year. Doesn't seem very "Agile".
@@mattycakes0231 It sounds very much like you are working on a hybrid project to me - a predictive project with agile cycles within it. That can work well, but the PM team needs to be careful about how to apply the EVM approach. Here's an article that will fill you in on the different types of Hybrid Project Management: onlinepmcourses.com/hybrid-project-management/
Thank you Mr Clayton, very instructive, as always!
You are very welcome
For my value added, Thanks for this info..
You're welcome.
This is a good overview, thank you very much for the explanation
You're welcome!
Thanks 👍
You're welcome
i love it
Thank you.
Much appreciated for the quality content! I wanted to ask you, the actual cost of work performed, should it be the actual cost calculated internally by the company, let's say to develop a software or to finish a sw development task, or should it be calculated based on the price per hour which has been sold to the customer? Would love to receive an answer on this question as it confuses me every time I plan my budget for a software project. Kindly assist.
This is a very good question.
The ACWP should be calculated from the point of view of the person who wants to know.
So, the answer you need is 'both'.
To the vendor (you), the ACWP and BCWP are in terms of your costs. Then you apply your sales terms to calculate your Earned Profit.
But, for the buyer, you calculate the ACWP and BCWP in terms of the price to them. Note that:
1. ACWP(B) - ACWP(V) = vendor's profit
2. If you sell at a fixed price, ACWP(B) = BCWP(B), so, as ACWP(V) goes up, your profit goes down.
@@Onlinepmcourses Thank you very much!
Good overview video.
Thank you, Homar.
This was a very good vid.
Thanks. Appreciate it.
What would be the limitations of earned value management?
To me the big ones are:
- data-heavy - collecting and analyzing the data is a big task - and it's often hard to get data that's accurate
- The EV method does not actually calculate Earned Value. It calculates earned completion. It assumes that % complete = % of final value. This is rarely true.
no examples
кг/ам
No. '...in under 5 minutes' 😉
useful information about value management
Thanks, Mazri.
Ok, but where is the TCPI ?
This is just an introductory video. It answers 'what is...' not 'how to...' For more details (including calculation of TCPI, see my full article, Earned Value Primer: The Basics of EVM at onlinepmcourses.com/earned-value-primer/
The British accent gives the subject the importance it demands 😂
Thanks. I have the accent I have.
They really stretched out a 3 min lesson to 6 minutes just by the pace of his speech, sheesh
Hi, there's always the .5x button. Not all of my audience have English as a first language, so pacing is a deliberate choice.
@@Onlinepmcourses ah ok gotcha, thanks Mike
I was tryna watch some geometry dash what the heck
No idea what you mean. Sorry.