As part of Odoo Experience 2015, Eficent presented the session "Project Management with the Lights On: Earned Value Management using Odoo"

1. 1
Odoo Experience 2015
Project Management with the lights on:
Earned Value Management using Odoo
Jordi Ballester Alomar (Eficent)

2. Project management about Deming’s Cycle
Earned Value Management
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3. Identifying patterns and trends…
….is something humans are quite good at.
And patterns and trends in the past can be good predictors of the
future.
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4. Earned Value Management (EVM) attempts to answer to the
following questions:
...are we ahead or behind schedule?
...how efficiently are we using our time?
...when is the project likely to be completed?
...are we currently over or under our budget?
...how efficiently are we using our resources?
...what is the remaining work likely to cost?
...what is the entire project likely to cost?
...how much will we be under or over budget at the end?
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5. Patterns and trends will help to identify:
● Where problems are occurring
● Whether problems are critical or not
● What will it take to get the project back on track
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… or go back to the usual
divination techniques.

6. 6
Work Plan

7. Earned Value Management
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8. 8
Basic Elements

9. 9
Planned Value
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10. Planned Value describes how far along project work is supposed
to be at any given point in the project schedule.
Constitutes the Performance Measurement Baseline
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Budget at
Completion
Planned Value

11. 11
Earned Value
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12. Earned Value is a snapshot of the work progress at a given point
of time. Reflects the amount of work that has actually been
accomplished to date, expressed as the planned value for that
work.
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Planned Value
Earned Value

13. 13
Actual Cost
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14. Actual Cost is an indication of the level of resources that have
been expended to achieve the actual work performed to date.
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Planned Value
Earned Value
Actual Cost

15. 15
Performance
Measurement

16. Work performance is measured periodically, such as weekly or
monthly.
Discrete efforts that span one to two periods are often measured
with fixed formula techniques (0-100, 50-50,..)
Discrete efforts of longer duration (greater than two periods) are
measured with other techniques, including those known as
weighted milestone and percent complete.
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17. Mapping the % complete to project stages allows to implement
fixed formula or percent complete.
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18. 18
Performance
Analysis and
Forecasting

19. Earned Value Management
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20. 20
Schedule
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21. Schedule Variance determines whether the Project is ahead or
behind schedule.
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Schedule
Variance
Time
now
Time behind
SV = EV - PV

22. Earned Value Management
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Schedule Variance (Are we ahead or behind schedule?)
SV = EV - PV

23. Schedule Performance Index (How efficiently are we using
time?)
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SPI = EV / PV

24. 24
Cost
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25. Cost Variance (Are we under or over our budget?)
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Time
now
Cost
Variance
CV = EV - AC

26. Cost Variance (CV)
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CV = EV - AC

27. Cost Performance Index (How efficiently are we using our
resources?)
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CPI = EV / AC

28. To-Complete Performance Index (How efficiently must we
use our remaining resources?)
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TCPI = (BAC - EV) / (BAC - AC)

29. Estimate at Completion (What is the project likely to cost?)
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EAC = BAC / CPI

30. Variance at Completion (Will we be under or over budget?)
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VAC = BAC - EAC

31. Estimate to Complete (What will the remaining work cost?)
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ETC = (BAC - EV) / CPI

32. 32
Guidance for use
of key EVM
Practices

33. 33
Establish a
Performance
Measurement
Baseline
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34. ● Decompose the work to a manageable level
● Assign unambiguous management responsibility
● Develop time-phased budget for each work task
● Select the appropriate Earned Value Measurement
Technique
● Maintain Integrity of Performance Measurement Baseline
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35. 35
Measure and
analyze
performance
against the
Baseline
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36. ● Record resource usage during project execution
● Objectively Measure the Physical Work Progress
● Credit Earned Value according to Earned Value
Techniques
● Analyze and Forecast cost/schedule performance
● Report performance problems and/or take action
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37. Find the module: project_earned_value_task in: https://github.com/Eficent/project-
earned-value
Thanks to
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Jordi Ballester Alomar
Email: jordi.ballester@eficent.com
Twitter: @jbeficent_erp
Website: www.eficent.com