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Welcome to the first EVM Newsletter of 2014 Ever try to proofread your own stuff? It's hard. That is why software coding includes peer reviews. So I am somewhat rushed to get this edition out before I leave on vacation and have flaky internet access and local Panamanian drinks to drink. Apologies in advance for errors that spell check does not catch. This issue talks about three common project management structures. You can think about how well EVM might work in each case. Wonder who else reads the EVM Newsletter. I have over 3000 subscribers. I list the top 20 domains in the list. Email addresses are never ever released to others. There is a call for papers for EVM World.
Last month's Tidbit on Apportioned Effort is concluded with how AE can be used to relate the progress of one CA or WP to one or more other CA or WP. You can help make the 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 [email protected]
Our quote is from a former US Secretary of Defense. In keeping with his quote I will stop now.
Ray Stratton, PMP, EVP
Editor
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How EVM is implemented can depend on the project structure you are given. Here are three possible structures for running a project.
Departmental - where assets are assigned by functional department heads. This form has very poor project leadership and assets are based upon each department head's interest in the project. This form is typical for government and other bureaucracies. The PM is just one of one of the departments' staff. They often end up as a project administrator with little or no control over other project staff. Poor PM practices are often the result as no one is really trained for a PM career. The true cost of the project is commonly unknown, and not of interest, as people charge to their individual department's budget set by the annual authorized headcount.
Matrix - IPT. This form is a good balance between the long term goals of department management with the transient goals of the projects and a best practice for large projects and firms. Projects get strong PM skills. Often a department IS the PMO (with strong PM skills), alongside engineering, manufacturing, quality, systems engineering, etc. PM and department heads negotiate project resources. The PM may get some top people but also will have to accept newbies as the department managers balance career growth and engineering process maturity. CMMI and EVMS processes are likely followed since people are taught processes as part of department training and told to follow them in spite of any PM's rush to bypass them. It has a downside though. People have two bosses (PM and department head). There will be issues of project goals over long term department goal. An IPT is a form of matrix implementation and falls in line with ANSI 748's expectation that there is an OBS (different from the corporate org chart) and a WBS. This form is often used in organizations with long term departmental structure and standing armies of functional expertise.
Projectized. This is typical for small companies without formal standing departments. Project structures are established upon project start. Hire a PM. Have them hire people (or steal from other projects). The PM defines the organizational structure, typically around deliverables or subassemblies (like a good WBS). The OBS and WBS may look the same except for the title of the boxes. The PM has very strong control, is the only boss and sets salaries, hires and fires. At project end the whole structure vanishes. Layoffs are a common result of project completion. This can cause the project's final tasks to drag on so as to not work oneself out of a job.
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On 15 January the "Help Yourself, Help Others" offer ended. For each purchase of the EVP Study Guide
from 15 Nov to 15 Jan $10 USD was sent to Philippine Relief. Thank you to those who made a purchaseand helped the country rebuild. Good luck on the EVP Exam. ^ Back to top ^
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"Never miss a good opportunity to shut up."
Robert Gates, Former US Secretary of Defense
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Almost annually I list the top twenty domains of EVM Newsletter subscribers. Gmail.com, hotmail.com, yahoo.com and the like don't count. Here they are as of the end of 2013.
ngc.com
raytheon.com
honeywell.com
boeing.com
lmco.com
baesystems.com
bah.com
faa.gov
dcma.mil
orbital.com
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saic.com
l-3com.com
mcri.com
navy.mil
tecolote.com
nasa.gov
zodiacaerospace.com
us.army.mil
losangeles.af.mil
battelle.org
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Is your domain listed? If not share the newsletter with your co-workers and have them sign up too.
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Tidbit #52 The Orphaned Apportioned Effort, Part 2 |
Last month I discussed Apportioned Effort (AE) as one of EVM's three basic categories of work, in addition to Discrete and Level of Effort (LOE). It is also the most seldom used but is a potential solution to avoiding large amounts of LOE effort that distort schedule performance data. Of course the best solution to avoiding LOE is to make the work discrete so its progress can be measured.
So how do you do apportioned effort. Here is a short explanation.
AE is applicable when the plan/progress of one task (work package or control account) is paced by the work of one or more other discrete efforts within the project. There are no defined rules on how to make the connection between the two control accounts or work packages. The mechanics of the relationship should be documented as part of the baseline.
First determine the control account(s) or work package(s) that pace the Apportioned Effort. The AE control account or work package time span should be the same as the pacing control account(s) or work package(s). The AE work should start at the beginning of the planned start of the earliest pacing work package and end with the planned end of the last pacing work package.
If only one control account or work package is pacing the AE work then the determination of the AE monthly PV or BCWS should be easy. The percent of the pacing BCWS planned as a percent of the pacing BAC should be applied to the budget of the AE effort. This determines the proportional BCWS for the AE task month by month.
If more than one work package or control account is related to the AE then you must weigh the percent contribution of each work package or control account by its BAC so that the big ones have the most influence. That means the percent complete for each of the pacing work must be weighted by its budget so that the percent of larger tasks have more weight.
When computing the BCWP for the AE use the same rules. The BCWP or percent complete of each work package or control account is used to get to the BCWP for the AE, weighted again by the BAC of each.
It sound complicated, but with a little back up spreadsheet is not hard if set up. It's worth the effort so LOE does not distort project schedule performance data.
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Management Technologies Products & Services
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The newly formed Tennessee Valley Chapter of CPM will have a half-day meeting on February 11, 2014, from 1-5 pm.
The planned Speakers and Topics are:
1) Gary Troop - President of CPM, "Introduction to CPM"
2) Jerald Kerby- NASA Earned Value Management (EVM) Program Executive, "Status of EVM Implementation at NASA"
3) Chuck Hanes - Boeing, "Safe, Soon and Affordable: Applying Earned Value Management to the Development of the Space Launch System Core Stage"
4) LTC Tom Huff - Product Manager ARSGM US Army' "The Value of EVM to the Warfighter".
5) Jason Kinder - Steelray Software,m "Steelray Javelin: Integrating Cost and Schedule Data"
6) Bob Wasser - BCF Solutions, time permitting, "Working to develop an approach for Universities, Small Contractors, and Not for Profits Companies EVM Scalability."
RSVP and additional information is available .
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EVPrep Exam Prep Workshop (14 PDUs)
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). "Ray, your course is excellent preparation for the EVP Certification test. Your questions were comprehensive like the test and somewhat harder (more complex) than the real test. Your preparation course especially helped with the memo." Jeff Kottmyer NASA Do you have an EVP FAQ? Does our EVPrep workshop and/or EVP Study Guide really help with the EVP exam? Using these data and data from AACE regarding yearly totals of EVP exams taken and exams passed we did some statistical analysis. Yes, our EVPrep products are effective in increasing the likelihood of passing the EVP exam. Earned Value Experience (CAM) Workshop (14 PDUs) You'll experience creating an earned value management baseline, determining earned value from project status,calculating 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. |
CPM has announced their call for papers for presentations and workshop for EVM WORLD 2014. Any topics related to EVM, project controls, project/program management are welcome. Topic specific tracks will address scheduling, EVM in the oil and gas industry, and Agile and EVM. Formal papers are not required. The deadline in 7 February.
Information on submission requirements and format; and due dates is available on the EVM World 2014 website.
You have to get yourself to the Alamo and pay any tour fees.
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Construction CPM Conference
WHEN: January 21-24 2014
WHERE: Swan & Dolphin Resort, Walt Disney World, FL
MORE INFO: www.constructioncpm.com
AACE International Annual Meeting WHEN: 15-18 June 2014
WHERE: New Orleans, LA, USA
MORE INFO: AACE
9th ICEC World Congress
WHEN: 20-22 October 2014
WHERE: Milano Italy
MORE INFO: TBD
PMI Global Congress 2014 - EMEA
WHEN: 5-7 May 2014
WHERE: Dubai, United Arab Emirates
MORE INFO: TBD
PMI Global Congress 2014 - North America
WHEN: 26-28 October 2014 WHERE: Phoenix, Arizona, USA MORE INFO: TBD
AACE International Conference WHEN: 12-13 November 2014 (Yes 2014) WHERE: Bangkok Thailand MORE INFO: AACE
PMO Symposium
WHEN:16-19 November 2014 WHERE: Miami, Florida, USA MORE INFO: TBD ^ Back to top ^ |
The Measurable News for LinkedIn Group Members |
The fourth quarterly 2013 Measureable News is available to members of the LinkedIn "Earned Value Management" group. The Group is affiliated with the College of Performance Management (CPM). CPM offers many other benefits directly to the Group's members. If you are not a member of this group maybe you should be? There are at least eight or more EVM Groups on LinkedIn. Be sure to join the "Earned Value Management" group.
This issue includes articles on Applying Earned Value to Overcome Challenges in Oil and Gas Industry Surface Projects, PARCA: The Next Generation of Earned Value Management, Measuring Schedule Adherence, and Taking the Guessing out of When to Rebaseline.
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Copyright 2014, Management Technologies
The EVM Newsletter, EVPrep, The Earned Value Management Maturity Model, EVM3, EzEVM, The CAM^Exam, 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 registered trademark of the College of Performance Management, Inc.
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