Earned Value Management Quiz

1. Earned Value provides answers to the following important questions:

What value of work should have been completed

How much value have we realized so far

How much money has been spent to date to get the project where it is today

All the above

Options B and C

Earned Value is a project management technique that helps in measuring the progress and performance of a project. It provides answers to important questions such as what value of work should have been completed, how much value have we realized so far, and how much money has been spent to date to get the project where it is today. Therefore, the correct answer is "All the above" as it encompasses all the questions mentioned in the options.

Explanation

Earned Value is a project management technique that helps in measuring the progress and performance of a project. It provides answers to important questions such as what value of work should have been completed, how much value have we realized so far, and how much money has been spent to date to get the project where it is today. Therefore, the correct answer is "All the above" as it encompasses all the questions mentioned in the options.

2. True or False? Earned Value analysis was developed by the US Department of Transportation to dtermine the performance of large projects

True

False

Earned Value analysis was not developed by the US Department of Transportation. It was actually developed by the US Department of Defense in the 1960s as a method to track the progress and performance of defense projects. It has since been widely adopted in various industries, including construction, engineering, and software development, to assess project performance and make informed decisions. Therefore, the correct answer is False.

Explanation

Earned Value analysis was not developed by the US Department of Transportation. It was actually developed by the US Department of Defense in the 1960s as a method to track the progress and performance of defense projects. It has since been widely adopted in various industries, including construction, engineering, and software development, to assess project performance and make informed decisions. Therefore, the correct answer is False.

3. What requirements must be in place for accurate Earned Value Management

Good Project Management Practices

Cost control software tool

Work measurement by work-hours, dollars, and units

All the above

Options A and C

For accurate Earned Value Management, good project management practices and work measurement by work-hours, dollars, and units must be in place. Good project management practices ensure that the project is being managed effectively and efficiently, while work measurement by work-hours, dollars, and units provides accurate data for calculating earned value. The cost control software tool is not explicitly mentioned as a requirement for accurate Earned Value Management, so it is not necessary for accurate EVM. Therefore, the correct answer is Options A and C.

Explanation

For accurate Earned Value Management, good project management practices and work measurement by work-hours, dollars, and units must be in place. Good project management practices ensure that the project is being managed effectively and efficiently, while work measurement by work-hours, dollars, and units provides accurate data for calculating earned value. The cost control software tool is not explicitly mentioned as a requirement for accurate Earned Value Management, so it is not necessary for accurate EVM. Therefore, the correct answer is Options A and C.

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5. Our project is behind by what dollar amount, worth of work?

Hint: SV= BCWS-BCWP .

Note: Please use powerpoint slide for info

The answer is 125,000 because the question is asking for the dollar amount by which the project is behind in terms of the worth of work. The formula SV= BCWS-BCWP is used to calculate Schedule Variance, which represents the difference between the budgeted cost of work scheduled (BCWS) and the budgeted cost of work performed (BCWP). In this case, since the answer is 125,000, it means that the project is behind by that amount in terms of the worth of work.

Explanation

The answer is 125,000 because the question is asking for the dollar amount by which the project is behind in terms of the worth of work. The formula SV= BCWS-BCWP is used to calculate Schedule Variance, which represents the difference between the budgeted cost of work scheduled (BCWS) and the budgeted cost of work performed (BCWP). In this case, since the answer is 125,000, it means that the project is behind by that amount in terms of the worth of work.

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6. Earned Value Management is a methodology that measures the value of a project as dollars are spent

True

False

Earned Value Management is a methodology that measures the value of a project by comparing the planned value, earned value, and actual cost of the project. It helps in tracking the project's progress and performance in terms of schedule and cost. It does not directly measure the value of a project as dollars are spent, but rather evaluates the value earned in relation to the planned value. Therefore, the statement is false.

Explanation

Earned Value Management is a methodology that measures the value of a project by comparing the planned value, earned value, and actual cost of the project. It helps in tracking the project's progress and performance in terms of schedule and cost. It does not directly measure the value of a project as dollars are spent, but rather evaluates the value earned in relation to the planned value. Therefore, the statement is false.

7. Check all that apply: What are the project manager initiatives to ensure proper Earned Value management:

Develop a realistic plan of the work scope, budget and schedule

Take meeting minutes

Authorize work properly

Control changes

Performance reporting

The project manager initiatives to ensure proper Earned Value management include developing a realistic plan of the work scope, budget, and schedule to set clear expectations and goals for the project. They also need to authorize work properly to ensure that the project team is working on the approved tasks. Controlling changes is essential to manage scope creep and maintain project alignment. Performance reporting is necessary to track and analyze project progress and identify any deviations from the plan. Taking meeting minutes, while important for communication purposes, is not directly related to Earned Value management.

Explanation

The project manager initiatives to ensure proper Earned Value management include developing a realistic plan of the work scope, budget, and schedule to set clear expectations and goals for the project. They also need to authorize work properly to ensure that the project team is working on the approved tasks. Controlling changes is essential to manage scope creep and maintain project alignment. Performance reporting is necessary to track and analyze project progress and identify any deviations from the plan. Taking meeting minutes, while important for communication purposes, is not directly related to Earned Value management.

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