Tag Archives for " Cost Management "

How To Use Estimate to Complete (ETC) Formulas In Project Management?

estimate to complete

You might know that Estimate To Complete (ETC) is an important metric for Earned Value Management (EVM) calculations. ETC formulas are used to compute the cost of remaining project work. Even though ETC is a very important concept, it is explained sketchily in Project Management (PM) books and literature. Many PM books and PMP Study […]

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Earned Value Management System Explained in Easy Language

Earned Value Management

Do you find Earned Value Management System a difficult concept? I generally ask the above question in my class before I start explaining what is Earned Value Management System. Usually I find most of the students have not even heard about Earned Value Management System, let alone gauge its difficulty. On the other hand, a small […]

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How To Use Analogous & Parametric Estimating Techniques?

project estimation

Project estimation is the most fundamental aspect of Project Management (PM). Analogous and parametric estimating techniques are most commonly used methods. You will find definitions, detailed description, and examples of these techniques in this post. You will also get to know about the difference between Analogous and parametric estimation. This post should help PMP aspirants, […]

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The Ultimate Guide To Use PERT, CPM & Standard Deviation Together

pert cpm

I have described Program Evaluation & Review Technique (PERT), Critical Path Method (CPM) and Standard Deviation in complete detail this post. I have talked about how they are related to each other and how they can be used together. What is Critical Path Method (CPM)? Critical Path is the Longest Path in the Project Network. […]

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What Is The Use Of Standard Deviation In PERT Estimation?

use of standard deviation

What is the chance of getting a ‘Heads’ in a toss of a coin? You would say that’s easy. There is a 50% chance of getting a Heads. Or you would say Probability of getting ‘Heads’ is 50% or 1/2. What is the chance of getting a ‘Six’ in a throw of a dice? You […]

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3-Point Estimate is Different From PERT…

three point pert estimate

Estimation is one of the most basic concepts of Project Management. In fact poor and improper estimation is one of the main causes of challenged projects. There are many ways to Estimate. Some of these estimation techniques are specific to an industrial domain like software size estimation techniques. While other techniques can be applied to […]

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How To Use To Complete Performance Index (TCPI) Formulas In PMP?

tcpi formula calculations (to complete performance index)

To Complete Performance Index (TCPI) is a forecasting technique of Project Management (PM). It is the cost efficiency required to complete a project within a defined budget. I have written this post to provide detailed explanation of To Complete Performance Index. After reading this post, you will understand TCPI definition and meaning. learn about TCPI […]

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How To Use Estimate At Completion (EAC) Formulas In Project Management?

estimate at completion eac formula

Do you think Estimate At Completion (EAC) is a misnomer? I think it is. How can you estimate anything when it is already complete? Well! That is Earned Value Management (EVM) for you. It has many confusing terms. But you don’t have to worry. You are at the right place. You will find detailed explanation […]

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