Validated Deliverables Versus Accepted Deliverables
| | |

Validated Deliverables Versus Accepted Deliverables

This blog post was written based on the fourth edition of the PMBOK Guide. Since the arrival of the PMBOK Guide 5th Edition, this post is no longer valid. However, I am leaving it intact as part of organizational process assets. If you wish to review old definitions you can read them here.

Many PMP aspirants may confuse validated deliverables and accepted deliverables. They seem similar, but they are not.

Validated deliverables and accepted deliverables are important concepts in project management. You will see a few questions on these topics on your PMP exam.

To-Complete Performance Index (TCPI) in Project Cost Management
|

To-Complete Performance Index (TCPI) in Project Cost Management

The To Complete Performance Index (TCPI) is the third forecasting tool mentioned in the PMBOK Guide.

This is a relatively new term which was coined by the PMI to assist project managers in calculating the future cost performance of the project.

Since the concept of TCPI is new and there is not much research available on this topic, it often confuses many people.

However, there is some good news for you. Now that I have passed the PMP exam and have a better understanding on this topic, I am writing this blog post to make this concept easier for you.

First I will explain to you the definition, next I will show you a real world example, and then finally I will give you mathematical examples to hit the last nail in the coffin.

Okay let’s get started.

Estimate to Complete (ETC) – Another Project Forecasting Tool
|

Estimate to Complete (ETC) – Another Project Forecasting Tool

You will often want to know how much more money you need to complete a remaining task.

In your personal matters, you can go with a guess, but in your professional life you must adopt a professional approach and use proven techniques to reach a decision.

In project management one such technique is the Estimate to Complete (ETC), which is another forecasting technique used along with the estimate at completion.

This technique gives you an approximate idea of how much money will be required to complete the remaining balance of work.

Since this is a very important forecasting technique, I will explain this topic with three simple examples in three different scenarios, so you can understand it properly and then we will move on to mathematical examples.

This topic is very important for the PMP exam. You may see a few questions from this topic on your exam.

Okay, let’s get started.

Estimate at Completion (EAC) – A Project Forecasting Tool
|

Estimate at Completion (EAC) – A Project Forecasting Tool

Forecasting helps us predict future events, and it has been used in every part of the world since the dawn of time.

People from different cultures use different methods to predict the future. Some people use the movement of the moon or stars to predict the future and others use palm lines to predict it.

In project management we also do forecasting to find the future performance of projects.

However, here the forecasting is based on past performance and objective data, which provides you with the future progress of the project and gives an early indication if anything may go wrong.

Schedule Performance Index (SPI) & Cost Performance Index (CPI)
|

Schedule Performance Index (SPI) & Cost Performance Index (CPI)

Today we are going to discuss Schedule Performance Index (SPI) and Cost Performance Index (CPI). Like variances, indexes also let you analyze the health of the project.

They help you analyze the efficiency of schedule performance and cost performance of the project.

This blog post is the fourth blog post in a series of seven on earned value management and project forecasting.

If you’re coming here through any search engine or a referral, I suggest you go through my previous three blog posts before reading this post.

Schedule Variance (SV) & Cost Variance (CV) in Project Cost Management
|

Schedule Variance (SV) & Cost Variance (CV) in Project Cost Management

Schedule Variance and Cost Variance are two important parameters in earned value management, helping you analyze the project’s progress, i.e. how are you performing in terms of schedule and cost.

In my previous blog posts I have discussed earned value management and its three basic elements.

If you have not read these blog posts, I suggest you read them first, then come back to this post. In this post I will discuss Schedule Variance and Cost Variance, which are determined with the help of earned value, planned value and actual cost.

Let us start with an example:

Suppose you are managing a construction project, and the client comes and asks you to update him about the current status and progress of the project.

Planned Value (PV), Earned Value (EV) & Actual Cost (AC) in Project Cost Management
|

Planned Value (PV), Earned Value (EV) & Actual Cost (AC) in Project Cost Management

I have discussed earned value management in detail and provided a short explanation of its three elements: Planned Value (PV), Actual Cost (AC), and Earned Value (EV).

Now we are going to look at these elements in detail, including mathematical calculations. Therefore, I request you to go through every step thoroughly; missing any step will make further calculations difficult to solve .

The calculations for finding Planned Value, Earned Value, and Actual Cost are simple, and once you understand them, the rest will be easy. Although I am going to explain them thoroughly, I suggest you obtain a good PMP exam reference book for further reading and practice questions.

Grade Vs Quality
| | |

Grade Vs Quality

Grade and quality are two of the most commonly used terms in project management. Not just in this field either; you will use these terms on a daily basis. For example, people frequently say that this is a low-grade product, this is a high-grade product, this is a low-quality product, or this is a high-quality product.

What does that actually mean?

Does “low-grade” mean bad or undesirable and “high-grade” always mean good?

To put it simply, no. low-grade and high-grade are not necessarily right or wrong, and that is what we are going to discuss in this blog post.

Grade and quality are fascinating concepts; however, even professionals don’t understand their differences and mistakenly use them synonymously. They are not difficult terms to understand, we simply need to pay them a bit more attention.

Work Performance Information (WPI) vs Work Performance Measurements (WPM)
| | | | | |

Work Performance Information (WPI) vs Work Performance Measurements (WPM)

This blog post was based on the 4th edition of the PMBOK Guide, and from the 5th edition of the PMBOK Guide, the PMI has changed the definitions of terms used in this blog post; therefore, this post is now obsolete.

I have re-written this blog post based on the current version of the PMBOK Guide (6th edition). Please visit: Work Performance Data and Work Performance Information. I am leaving this post in case someone wants to review the old post under the PMBOK Guide (4th edition).

Management is always interested in the status and progress of the project. They want to know: