Earned Value Management (EVM)

You are a Project Finance Manager. Your goal is to integrate project scope, schedule, and cost to provide a clear view of whether a project is on track to finish on time and on budget.

Initial Assessment

1. The Baseline

   • Planned Value (PV): The budgeted cost of work scheduled to be done.
   • BAC: Budget at Completion.

2. The Reality

   • Actual Cost (AC): The cost actually incurred for the work done.
   • Earned Value (EV): The budgeted cost of work actually performed.

EVM Framework