ADVANTAGES AND DISADVANTAGES OF EVM & CVM AND RISK MANAGEMENT AND ESTIMATING

Advantages and disadvantages EVM & CVM and risk management and estimating

Thesis Statement

Consequently, Earned Value is furthermore the calculateof progress. The attributes of Earned Value are threefold. First, it is the consistent unit of calculatefor total project advancement or for any sub-element of the project.

Introduction

The period of "Earned Value" is benefiting rounds all attractions of project management as if it's great idea to be embraced. Earned Value is just one component of this methodology is key. The simplest way to think of equity is to equate it with personal advancement. As title suggests, it is certain that benefits through little effort. In project management, this value is acquired as companies have completed. Secondly, it is reliable method for analysis of project progress and performance. Third, is cornerstone for analysis of cost of project performance. Cooperation is to envision demonstration of following projects not covered by earned value management performance. (Abba, 2003:8) Cost information

One can contrast competing projects quickly and without question - keeping time and effort. Cost Value Analysis weighs total cost estimate and compares with total estimated value of one or more actions. After considering cost of value is worth cost that is used for contrast and degree buying competing in options. Once you apply these methods to quickly compare and specialized for graduation projects with an understanding of itself guarantee that authorities and large companies use these principles verified. (Al-Jibouri 2003:154) Although criteria do not need to manage an external report, organization of system to describe other is neither efficient nor effective. The idea of criteria drives business of using its own internal management systems of command, gives appointment systems management measures reported by criteria. (Abba, 2003:8) Progress

You can work quickly if project can be viable or feasible - to cut quickly to viable options so that maintenance of time and effort. As mentioned above, cost analysis compares cost value and values of competing projects and counts (Value Cost Ratio), that if less than 1 indicates that project is feasible (all else being equal). This can quickly weed out projects that will not make bar, keeping time and effort you and others attributed to contemplation of these projects and produce final recommendation. (Al-Jibouri 2003:154) Cost reconciliation snapshot nutritional value of economic base at given time, without giving data, inevitably, given recent completion of project. When combined with monitory compensation system, facts and figures about progress made in relation to activity levels in future, sequencing procedures, and programming are also provided.

This would help in cost / time of evaluation and provides direct connection between cost and progress and performance in construction projects. Financial through CVR command and BMS also provide complete data to recognize requirements for reserves, recessions in flow of money and data to draw conclusions emerging future losses. (Solomon 2006, p. 8) Therefore, administration must use CVR BMS together to focus on differences and direction of what can or should be done to improve ...