project management
To Complete Performance Index (TCPI) is the estimated cost efficiency required to complete the remaining project work within a defined budget. The defined budget could be the original budget i.e., Budget At Completion (BAC) or it could be the revised budget Estimate At Completion (BAC). TCPI is different from Cost Performance Index (CPI). TCPI is…
In my previous post I gave a brief on Procurement and Risk. I deliberated upon who (buyer or the seller) has more/less risk in contract types. The post was written to help PMP aspirants answer some tricky questions reared to Risk and Procurement in the exam. The post can be read by following the below…
![Which Type of Contract Is Most Risky In Procurement [PMP]](https://www.pmbypm.com/wp-content/uploads/2012/02/Type-of-Contract.png)
The PMBOK Guide (A Guide to Project Management Body of Knowledge) describes three basic types of contracts in procurement management. There is a cost risk associated with each contract type. Cost Plus (CP) contracts are most risky for the buyers and Fixed Price (FP) contracts are most risky for the sellers. Some books suggest that…
Accuracy is the degree of exactness or correctness whereas precision is the degree to which a measurement is reproducible. The former checks how close a measured value is to the true or accepted value while the latter checks the consistency of repeated measurements and determines how close they are to each other. Precision and accuracy…
Estimate At Completion is the revised estimate of the total funds required to complete total work of a project. It is the sum of the Actual Cost (expenditure already incurred or the money already spent) till the control date and Estimate to Complete (expected cost of remaining work). EAC formula can be expressed by using…
How EVM can be implemented in Projects? In my previous post I explained EVM through an example – Building Tables. Was that a practical project or practical measurement? I would not say so. Does an impractical project gel with my blog philosophy?EVM – Here I come… One of the reader’s wrote following comment on the…
Earned Value Analysis (EVA) or Earned Value Management(EVM) is a project management technique that combines scope, schedule, and cost to measure project progress and performance. The earned value system uses three basic values for measuring the current performance viz. Planned Value (PV), Earned Value (EV), and Actual Cost (AC). In addition, it also uses Budget…
Total Float is the maximum amount of time an activity can be delayed without delaying the project whereas Free Float is the amount of time an activity can be delayed without impacting the Early Start date of any of its immediate successors. Total Float and Free Float are used in Critical Path Method (CPM) to…
Project Management is all about taking right decisions. Let us start by hiring a good experienced PM. So how do you hire an experienced Project Manager? Look for sound education Look for PMP or equivalent certification Look for experience with large companies Look for relevant domain experience Look at the quantum of projects managed by…
You might be looking to understand what Work Breakdown Structure (WBS) is and why is it important in project management. Work Breakdown Structure is deliverable oriented hierarchical decomposition of total scope of work. WBS is a fabulous tool delineate and represent total scope – project as well as product scope. It is useful for estimating,…
