What is schedule variance?
Schedule variance is an indicator of whether a project schedule is ahead or behind. It is typically used within earned value management (EVM) to provide a progress update for project managers at the point of analysis.
What does schedule variance tell you?
Schedule Variance (SV) indicates how much a project is ahead or behind schedule. It measures whether a project is on track by calculating actual progress against expected progress. SV is used by the Program Manager (PM) and program personnel to determine how best to utilize their remaining resources.
What is schedule variance and cost variance?
Schedule variance shows the deviation in time consumed and the estimated time. Cost variance is the difference of earned value and actual cost. Schedule variance is the difference of earned value and planned value. CV = EV – AC. SV = EV – PV.
What does it mean when schedule variance is 0?
A positive schedule variance (SV > 0) indicates that the earned value exceeds the planned value in the reference period(s), i.e. the project is ahead of the schedule. If the schedule variance is 0 this indicates that that the schedule baseline is met, i.e. the earned value is equal to the planned value.
What is a variance in project management?
Variance is the amount of change from the original plan. In the project management context, a variance can be a problem or risk, with an impact on the schedule and budget. Calculating “Variance at Completion” (VAC) is a way for project managers to forecast cost variance (CV) at the end of the project.
What is CV and SV?
– Cost Variance (CV): The CV is the difference between the earned value of the work performed and the executed budget (Actual Cost). CV= EV-AC. – Schedule Variance (SV): The SV is the difference between the earned value of the work performed and the planned value of the work scheduled. SV= EV-PV.
What is CPI and SPI?
The Cost Performance Index (CPI) is defined as the ratio of Earned Value to Actual Cost, while the Schedule Performance Index (SPI) is defined as the ratio of cumulative Earned Value to cumulative Planned Value (PMI, 2000). Both CPI and SPI are traditionally defined in terms of the cumulative values.
What is schedule variance and effort variance?
Schedule variance = ((Actual calendar days – Planned calendar days) + Start variance)/ Planned calendar days x 100. Effort Variance: Difference between the planned outlined effort and the effort required to actually undertake the task is called Effort variance.
How do you calculate project schedule variance?
To calculate SV, subtract your project’s planned value (PV) from its earned value (EV): SV = EV – PV. You will also need to know the value of your project’s planned budget at completion (BAC). If your SV is positive, your project is ahead of schedule. If it is negative, your project is behind schedule.
What does it mean if schedule variance is negative?
Negative: A negative schedule variance means less work is complete than planned, so your project is behind schedule.
Why is schedule variance important?
Schedule variance is important because it gives project managers an accurate picture of the project’s progress, which is a vital element of project management.
Why is schedule variance in dollars?
Wrike reports that schedule variance is the budgeted cost of work performed minus the budgeted cost of work scheduled. In other words, it is the dollar value of the difference between the work scheduled for completion in a specified period and the work actually completed.