Definition:
A measure of the value of work actually performed in terms of the approved project budget.
Key Components:
- Work Progress Measurement: Assesses completed work against planned scope.
- Budget Utilization: Links cost performance with project progress.
- Performance Benchmarking: Evaluates deviations from expectations.
Use Cases/Industries:
- Construction: Measuring progress of completed vs. planned structural work.
- Energy Sector: Assessing the installation percentage of wind turbines.
- Software Development: Tracking completed vs. planned coding milestones.
Advantages:
- Integrates cost and schedule performance.
- Helps forecast total project costs.
- Enables early identification of performance issues.
Challenges:
- Requires precise tracking of work completion.
- Misinterpretation can lead to inaccurate performance assessments.
Related Terms:
Planned Value, Estimate to Complete, Cost Performance Index
Example:
If 50% of a $1M project is completed, EV = $500,000.
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Synonyms:
Value of Work Performed, Progressed Work Budget, Completed Scope Value
