March - April 2012

The EVM Newsletter™
from Management Technologies
In This Issue
The EVM Newletter Wins Award
Angels Have Wings
DoD Changing EVM Terms
EVP 2011 Pass Rate Increases
Did You Plan Those Variances?
Get On-line EVP Study Guide FREE
EVM Course Managed from Aquisition Office
Panel to Address EVM and Agile

Management Technologies
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Co-Founder of Deltek Passes

from
 Washington Technology
 

 

A co-founder of Deltek, Donald deLaski died of lung disease on March 9. He was 80.

 

Deltek is well known throughout the EVM community for products that support the needs the PMs, CAMs, and EVM data recipients. Products include Cobra, MPM, Open Plan, and wInsight.

 

DeLaske founded Deltek in 1981 with an investment of $100,000 to pay for the programmers. Deltek is now a public company. Revenue in 2011 was $341 million. They employ 750. DeLaski was the CEO of Deltek until 1996 and he remained active on the board until 2005.

 

 

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Quotable Quote

quill

 

"only with hindsight can one conclude that ... unprecedented acts were foreseeable"
 

spokesman for the Virginia attorney general's office

 

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Forward to a friend 
Did you find this newsletter interesting? Forward it to a friend!
 

EVM3The Earned Value Management Maturity Model®
on
Books 24 x 7 
EVM3 cover
The Earned Value Management Maturity Model book is now available from Books 24x7, as well as from Management Concepts.

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Save $150 with Management Technologies' EVPrep Workshop

AACE recently announced that attendees at AACE Approved Education Providers (AEP) events would receive no-cost temporary membership in AACE.

 

This policy allows these attendees to apply for AACE certification exams at the AACE member price ($150 less than the non-member price).

 

If you are planning on taking the EVP exam here is how to save $150.

 

  1. Attend our EVPrep exam prep workshop
  2. Get your temporary member e-mail from AACE.
  3. Apply to take the EVP exam at AACE member rates
  4. Save $150.
   

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EVM Schedule Adherence and CPI and SPI (t)Statistical Forecasting

The EzEVM™ workbook has provided projects and firms a low cost solution to performing EVM and refining their EVM processes.

 

The EzEVM MSExcel workbook template now includes "Schedule Adherence" and statistical forecasting of final CPI and SPI(t).

 

EVM data can be entered from any EVM software to provide these valuable analysis products as well as traditional EVM indicators.

 

 

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The EVM Newsletter Receives Constant Contact
ALL STAR AWARD

The EVM Newsletter gets its second Constant Contact ALL STAR AWARD. Only about 10% of Constant Contact clients achieve this award.

 

The award is given to Constant Contact client companies with high newsletter open rates (>25%), regular contact with subscribers, following anti-SPAM rules, and other criteria. 

 

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Angels Do Have Wings

Those of you who know me or have read my LinkedIn profile know I fly a Cessna aircraft around California, Arizona, and Nevada. When possible I volunteer my flying and plane for Angel Flight West missions.

 

I could explain why I do this but this one minute video says it all - without saying a word.  

 

 

Angel Flight West - Never Far Away

 

 

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US DoD Changing EVM Terminology

 

LATE BREAKING NEWS

In a press release the US DoD announced that effective next fiscal year all EVM policies, reports, and documents must use new EVM terminology.

 

Just when we got used to PV, EV, and AC. Seems we're moving backward.

 

BCWS is being replaced with SBDN, BCWP is being replaced with WGDN, and ACWP is being replaced with OMGN.

 

The April 1st press release defines the new terms as:

SBDN = Should Be Done Now

WGDN = What Got Done Now

OMGN = Our Money Gone Now

  

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 R.E.P. logo

 

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Top 

Greetings..

 me2011

Welcome to the March- April  EVM Newsletter.

 

Single point adjustment. That's the term for resetting the current project status in order to zero out variances and move forward with a new plan. It was bound to happen to The EVM Newsletter. If you were wondering why you didn't see the March EVM Newsletter, so was I. Work and play got in the way. So here is the March-April issue. With this issue the Newsletter has moved from the end of the month to the beginning. Let's hope it stays that way.

 

In this issue we discuss how sometimes we plan in cost and schedule variances. There is a way to reduce these planned variances. Other articles discuss US DoD DAUs movement from EVM training oversight in Business to Acquisition. Also new EVM terminology is coming from US DoD.

 

We are beta testing an on-line EVP Study Guide. Learn how you can get the on-line Study Guide and become a beta tester.

 

There's news about an upcoming panel discussion on EVM and agile project management, and news about the former PMI CEO's new role.

 

   

Like us on Facebook  View our profile on LinkedIn

  

 

The Reston, VA EVPrep two-day workshop has been rescheduled into May from June. This is due to the EVP exam opportunity following EVM World in Florida on June 2. Attendees at the Reston workshop will have an opportunity to study prior to the Exam after learning their weaker areas during the May EVPrep workshop.

 

Our subscriber list is over 2,200. If you want to share a story or an idea consider writing 50-100 words on the subject.

 

You can help make this newsletter interesting by contributing news about your activities in EVM, your company, product announcements, or your projects. Each month starts with a blank sheet, we don't make this stuff up! Send news to me at

evinfo@mgmt-technologies.com
 

 

Ray Stratton, PMP,EVP 
Editor

 

 

EVP 2011 Exam Statistics

 

AACE has published the 2011 EVP exam statistics. One Bar Graphhundred fifty seven people took the exam, and 88 passed the exam; a 56% pass rate. In 2010 the pass rate was 47%.

 

I'd like to think that part of the increased pass rate was due to our Study Guide and EVPrep workshop.

 

The full report on all of AACE Certificates is on-line.

 

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Tidbit #31, Avoiding Planned Variances

 

One of the principles of EVM is that we have a baseline created from a "time phased budget". I define a time phased budget as the planned expenditures for the resources needed to completeaccident the work per the project schedule. So it is sensitive to the schedule.

 

In EVM the detail of this process occurs at the Control Account and Work Package level. Once we have our work packages planned we then select our Earned Value Techniques (EVT) or Work In Process (WIP) measures. That is where we have the potential to end up with a baseline that is not based on the time phased budget.

 

Suppose our scheduling results shows a work package begins on the 3rd week of the month and concludes at the end of the next month. Assume the resource usage over the six weeks is uniform. We will spend 1/3 of the work package budget (accumulated at the control account level) in month 1 and 2/3 in month two. Then we pick a 50/50 or 0/100 measurement scheme and mess it all up. Our monthly BCWS is inconsistent with (a) the resources expected to be used and (b) the number of days we plan to work on the task. This leads to a schedule variance where none exists. And, if we perform per the plan our BCWP is also inconsistent with the resources used leading to a cost variance where none exists.

 

Admittedly, these variances may be washed out at higher levels of the WBS and OBS. But why have variances when work is proceeding per the plan?

 

What is the solution? Assume that the amount of work completed is proportional to the effort planned. Instead of 50/50 try X%/100-x%. In other words use the rules of 50/50, start /finish, but use the percent of effort planned each month to determine the start and finish percents. To keep it simple I'd use 30/70%, but you could use 33.3%/66.7% but that's a bit extreme. If you have an ANWI 748 EVMS check your System Description to confirm x%/100-X% is permitted.

 

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Get the EVP On-Line Study Guide FREE!

  

Management Technologies is beta testing an on-line version of the EVPrep Study Guide. The new on-line version will complement the current two choices: (1) a bound Study Guide and (2) a downloadableEVPrep Book Cover Study Guide. The bound edition is great for people who want a book they can take to study sessions or use whenever they have a moment to study. The download (PDF) version is great for instant download and avoids the challenges of shipping the Study Guide to distant continents. It is more "portable" but requires a computer to use. (The PDF file can not be printed.)

 

Our new on-line version is designed for those who are connected to the Internet and want to use the Study Guide with a laptop or tablet PC. No answer sheet is needed. It's all on-line.

 

We're giving away the on-line version with every bound Study Guide to the first 15 Study Guide customers beginning in April. All we ask is that you tell us in an email what you liked, didn't like, and recommendations.

 

Once we have completed the beta testing the on-line version will be our third means of delivery.

 

DAU Moves EVM Course Management to Acquisition Center

  

From the DAU Director's Blog:

 

"The US DoD Defense Acquisition University (DAU) has transferred Earned Value Management (EVM) course management from the DAU Business center to the DAU Acquisition center. This move recognizes the importance of EVM as a critical, multi-disciplinary tool for efficiently executing programs.  

 

"Historically, earned value analysts assigned to the business career fields have been the primary practitioners of EVM in program offices. The effective use of EVM requires the involvement of the entire program office team."

 

 
 
 

 Balestrero Heads to IIL 

 

from ProjectsatWork

 

Gregory Balestrero, former president and CEO of the Project Management Institute (PMI), has joined project management Greg Btraining provider International Institute for Learning. He will advise them on new program development in the area of organizational transformation, including "corporate consciousness, leadership and sustainability."

 

Balestrero comes to IIL after serving at PMI from 2002-2011. With a career spanning more than 40 years, his work has brought him to over 60 countries and has shaped his view of organizational purpose and global impact.

 

 
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Workshops EVPrep™ and EVM Workshops
  
The following workshops are planned for the following locations:
  • Reston, VA
  • Atlanta, GA
  • Dallas, TX
  • Saint Louis, MO
Earned Value Experience (CAM) Workshop
 
You'll experience creating an earned value management baseline, determining earned value from project status, Classroomcalculating earned value management indices, and estimating final cost and completion date. This workshop is perfect for team leads, control account managers, financial and schedule control staff, project and program managers, and chief project officers.

Excel EzEVM™Templates may be retained by attendees to implement earned value management in their organization.

 

 

View the Earned Value Experience (CAM) workshop outline and get the registration form.
 
Interested in an on-site workshop? Send an e-mail with your your address and the number of attendees to receive a quote


EVPrepEVPrep Exam Prep Workshop

The workshop covers all the topics likely covered in the exam and provides exam-like questions and workshop discussion about each question and the possible answers. This workshop also includes an EVM analysis question to help prepare you for the three page written essay in Part II (was part IV).
 
Take this workshop and save $150 on the exam. Attendees are given a temporary limited membership in AACE that allows you to take the exam at AACE member rates.

 
This is twelve hours of mock EVP exam and discussions of correct and incorrect answers.
  
Do you have an EVP FAQ
  
Go to AACE's website for the latest information about exam dates.
View the EVPrep workshop outline and get the registration form.

Interested in an on-site workshop? Send an e-mail with your your address and the number of attendees to receive a quote.

Can EVM Work on Agile Projects? 

 

Come to EVM World 2012 and find out!

 mics

I'll be chairing a workshop panel discussion on applying EVM to agile projects at EVM World 2012 in Naples FL, May 30 - June 1. The four panelists are known for their expertise in EVM and its application to agile projects.

 

This is the first workshop of the two and a half day event and immediately follows the kickoff keynote. This is a workshop, not a presentation. Bring your questions and opinions for an interesting 75 minutes. The panelists are:

 

  • Kim Hunter, PMP, EVP; Task Lead for IntePros Federal's Federal Aviation Administration (FAA) support
  • Tony J. Barrett, PE, EVP, PMP; Valued Technology's Chief Executive Officer (CEO)
  • Richard (Dick) Brodkorb; Vice President, Earned Value Management, SM&A, LLC
  • Eric Christoph, PMP, EVP; Vice President for Management Solutions at L-3 Communications 
Upcoming EVM and PM Conferences 
        
   
EVM World 2012
WHEN: 30 May 2012 - June 2 2012
WHERE: Naples, FL
MORE INFO: CPM
 

AACE Annual Meeting 2012

WHEN: 8-11 July 2012 

WHERE:Marriott Rivercenter, San Antonio, Texas
MORE INFO: AACE, International  
  
Do you have news to share? Send your news item and we'll review it for posting in a future EVM Newsletter.
 
Sincerely,
 
Ray Stratton, PMP, EVP
Management Technologies

Copyright 2012, Management Technologies
 

The EVM Newsletter, EVPrep, The Earned Value Management Maturity Model, EVM3, EzEVM, CAMcert, and The Earned Value Experience are trademarks of Management Technologies.

 

The Earned Value Professional , EVP, and the AEP logo are marks of the Association for the Advancement of Cost Engineering, International. (AACE®).

 

The PMP, PMBOK, PMI, and R.E.P. , and the Registered Education Provider logo are
registered marks of the Project Management Institute, Inc.

 

EVM World is a trademark of the College of Performance Management, Inc.