Primavera P6

Primavera P6 Basic &advanced course

• Prepared &facilitated by
• Eng.Shaban Osman
• PMP ,RMP ,PBA ,PRMG

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Course Leader Biography

• Eng. SHABAN OSMAN
• Project manger for infrastructure projects .
• Experiences in projects more than 16 years .
• B.Sc. degree in engineering .
• PMI-PMP certified .
• PMI-RMP certified .
• PMP_PBA Certified .
• Project management diploma from American University in Cairo .
• Training of trainers certified .
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References
PMBOK 6 Edition .
Oracle website.

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Before we start ‫للتذكير‬ Please turn off your mobiles

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Welcome!
• Introduction.
• May we introduce our selves?
• Logistics.
• Course schedule
• Training material.
• Printed slides.
• Practice questions.

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Course outline
1-Introduction in project management .
2-Primivera basic steps.
3-Develop project schedule .
4-Primivera advanced steps .
5-Control schedule and cost .
6-Earned value management .

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 Project management introduction

Project and project management definitions .

Project processes .
Planning process group .
Create WBS .
Develop schedule processes &steps and calculations .

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Primavera step one :P6 download and installation

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Primavera step one :P6 download and installation

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Note :
Before starting our primavera course ,we should have a trip in project
management processes .

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 PROJECTS
A project is a temporary endeavor undertaken to create a unique product, service,
or result.

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 Project Initiation Context.

- Meet Regulatory,
- Satisfy Stakeholder
Legal, or Social
Requests or Needs
Requirements

Project
- Create, Improve, - Implement or
or Fix Products, Change Business
Processes, or or Technological
Services Strategies
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 THE IMPORTANCE OF PROJECT MANAGEMENT

Project management is the application of

skills

knowledge
tools, and
techniques

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 PROJECT MANAGEMENT PROCESSES

 Every project management process produces one or more outputs from one or more
inputs by using appropriate project management tools and techniques. The output can
be a deliverable or an outcome. Outcomes are an end result of a process.

- What is the process ?

Inputs tools and techniques outputs
`

Input Tools & Techniques

Output

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 PROJECT MANAGEMENT PROCESS GROUPS

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Process Group
Knowledge Area
Initiating Planning Executing Monitoring & Controlling Closing
4.5. Monitor & Control
4.3.Direct & Manage Project 4.7. Close
4. Project Integration 4.1. Develop project 4.2. Develop project management Project Work
Work Project or
Management charter plan 4.6. Perform Integrated
4.4.Manage Project Knowledge Phase
Change Control
5.1. Plan Scope Management
5.Project Scope 5.2. Collect Requirements 5.5. Validate Scope
Management 5.3. Define Scope 5.6. Control Scope
5.4. Create WBS

6.1. Plan Schedule Management.

6.2. Define Activities
6. Project schedule
6.3. Sequence Activities 6.6. Control Schedule
Management
6.4. Estimate Activity Durations
6.5. Develop Schedule

7.1. Plan Cost management

7.Project Cost
7.2. Estimate Costs 7.4. Control Costs
Management
7.3. Determine Budget
8. Project Quality
8.1. Plan Quality management 8.2. Manage Quality 8.3. Control Quality
Management
9.3. Acquire Resources
9. Project Resource 9.1. Plan Resource Management
9.4. Develop team 9.6. Control Resources
Management 9.2. Estimate Activity Resources
9.5. Manage team
10. Project
10.1. Plan Communications 10.3. Monitor
Communication 10.2. Manage Communications
Management Communications
Management
11.1. Plan Risk Management
11.2. Identify Risks
11.3. Perform Qualitative Risk
11. Project Risk 11.6. Implement Risk
Analysis 11.7. Monitor Risks
Management Responses
11.4. Perform Quantitative Risk
Analysis
11.5. Plan Risk Responses
12. Project Procurement
12.1. Plan Procurement Management. 12.2. Conduct Procurements 12.3. Control Procurements
Management
13. Project Stakeholder 13.1. Identify 13.3. Manage Stakeholder 13.4. Monitor Stakeholder
13.2. Plan Stakeholder Engagement
Management Stakeholders Engagement Engagement

2 24 10 12 1

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 Planning processes group

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1-Scope management
Agenda :
 1-Develop the project scope statement .
 2-Create WBS (Work breakdown structure )

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 1- Define Scope: Outputs
 PROJECT SCOPE STATEMENT

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 1- Define Scope:

 Poor scope definition results in:

 Higher final project costs.
 Changes that disrupt the project rhythm
 Rework.
 Increase in project time.
 Lower productivity.
 Lower morale of workforce.

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 CREATE WBS
 Definition: WBS is a hierarchical decomposition of the total scope of work to be
carried out by the project team to accomplish the project objectives and create the
required deliverables.
 The WBS is finalized by assigning each work package to a control account and
establishing a unique identifier for that work package from a code of accounts.

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CREATE WBS

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CREATE WBS Importance of the WBS

Defines all the work of the project, and only the work of the
project, thereby clarifying the project scope.
 Get team members to ensure buy-in.
 Provides the baseline for subsequent change control.
 Is a primary input to other project management processes—
for example, resource planning, cost estimating, schedule
development, and risk identification.
 Provides the framework for project control, performance
monitoring, Control Scope Creep.
 Can be used as Communication Tool.
 Ensures that every one in the project understand well his
responsibilities and work package is requested to perform.

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 CREATE WBS : I T T O
Inputs

1- Project management plan. Tools & Techniques Outputs

• Scope management plan
2 - Project documents.
1- Expert judgment
• Project scope statement
2 - Decomposition 1- Scope Baseline.
• Requirements documentation.
3- Enterprise environmental 2 -Project documents
Factors. updates
4- Organizational process • Assomption log
assets. • Requirements
documentation

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 CREATE WBS: OUTPUTS
 5.4.3.1 SCOPE BASELINE.

 1- Project scope statement :

 Includes the description of the project scope, major deliverables, assumptions, and constraints.

 2- WBS.

 3- Work package. The lowest level of the WBS is a work package with a unique identifier.

 4- Planning package. A control account may include one or more planning packages. .

 5- WBS dictionary. The WBS dictionary is a document that provides detailed deliverable.

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 CREATE WBS: OUTPUTS

 WBS dictionary

 Code of account identifier.

 Description of work.
 Assumptions and constraints.
 Responsible organization.
 Schedule milestones.
 Associated schedule activities.
 Resources required.
 Cost estimates.
 Quality requirements.
 Acceptance criteria.
 Technical references, and
 Agreement information.

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 EPS (Enterprise project structure )

EPS

Cairo. ALex

Madenity San.
EL Rehab

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Primavera step two :Create EPS

• By select Enterprise –Enterprise project structure –ADD your company projects
and branches .

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 OBS (Organization breakdown structure )

CEO

Finance manger

Portfolio manger

Portiflio manger Portfolio manger

Program Program
manager 2 manager 1

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Primavera step three: Create OBS

• By select Enterprise –OBS –Add your organization breakdown structure .

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Primavera step Fourth: Create WBS

• By select Enterprise –Select WBS –Add your one .

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 PROJECT SCHEDULE MANAGEMENT

 Agenda :
 1-Develop activity list .
 2-Define activity relationships.
 3-Estimate activity resources.
 4-Estimate activity duration .
 5-Develop schedule .
 6-Control schedule

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 Project Schedule Management includes the processes required to

manage the timely completion of the project.

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DEFINE ACTIVITIES.
Define Activities is the process of identifying and documenting the specific actions to

be performed to produce The project deliverables.

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 DEFINE ACTIVITIES :ITTO

Outputs
Tools & Techniques
Inputs
1 -Expert judgment. 1 - Activity list.
2- Decomposition. 2- Activity attributes.
3- Rolling wave planning. 3 - Milestone list.
4- Meetings.
 Scope baseline.

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 DEFINE ACTIVITIES: OUTPUTS

 ACTIVITY LIST.  The activity list includes the schedule activities
required on the project.

 For projects that use rolling wave planning or agile

techniques, the activity list will be updated
periodically as the project progresses.

 The activity list includes an activity identifier and

a scope of work description for each activity in
sufficient detail to ensure that project team members
understand what work is required to be completed.

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 DEFINE ACTIVITIES: OUTPUTS

 ACTIVITY ATTRIBUTES
 Activity attributes extend the description of the activity by
identifying multiple components associated with each activity.
 During the initial stages of the project, they include the unique
activity identifier (ID), WBS ID, and activity label or name.
 When completed, they may include activity descriptions,
predecessor activities, successor activities, logical relationships,
leads and lags .resource requirements, imposed dates,
constraints, and assumptions.
 Activity attributes can be used to identify the place where the
work has to be performed, the project calendar the activity is
assigned to, and the type of effort involved.

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 6.2.3 DEFINE ACTIVITIES: OUTPUTS
 6.2.3.3 MILESTONE LIST.
 A milestone is a significant point or event in a project.
 A milestone list identifies all project milestones and indicates
whether the milestone is mandatory, such as those required
by contract, or optional, such as those based on historical
information.
 Milestones have zero duration because they represent a
significant point or event.

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SEQUENCE ACTIVITIES.
 Sequence Activities is the process of identifying and documenting relationships
among the project activities.

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 SEQUENCE ACTIVITIES : ITTO .

Inputs
• Scope baseline Outputs
Tools & Techniques
• Activity attributes.
• Activity list. 1 - Project schedule
• Assumption log. 1- Precedence network
• Milestone list. diagramming method. Diagrams.
2- Dependency 2- Project documents
determination updates.
and integration. • Activity attributes.
3 - Leads and lags. • Activity list.
4 – PMIS . • Assumption log.
• Milestone list.

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 SEQUENCE ACTIVITIES: T&T

 PRECEDENCE DIAGRAMMING METHOD

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 Finish-to-start  Start-to-start
I must complete activity ‘A’ before I can I must start activity ‘A’ before I can start
start activity ‘B’. activity ‘B’.

 Finish-to-finish  Start -to-finish

I must complete activity ‘A’ before I can I cannot complete activity ‘B’ until I
complete activity ‘B’ start activity ‘A’.

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 SEQUENCE ACTIVITIES: T&T

 DEPENDENCY DETERMINATION AND INTEGRATION.

 1- Mandatory dependencies(hard logic or hard dependencies).

 2- Discretionary dependencies. Are sometimes referred to as

preferred logic, preferential logic, or soft logic. sequences.

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 SEQUENCE ACTIVITIES: T&T

 3- External dependencies. It involves a relationship between

project activities and non project activities. These dependencies are
usually outside of the project team’s control.

 4- Internal dependencies. It involves a precedence relationship

between project activities and are generally inside the project team’s
control.

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 SEQUENCE ACTIVITIES: T&T

 LEADS AND LAGS.

 A lead
Is the amount of time whereby a successor activity
can be advanced with respect to a predecessor
activity.

 A lag
Is the amount of time whereby a successor activity
will be delayed with respect to a predecessor
activity.

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 SEQUENCE ACTIVITIES: T&T

 6.3.2.4 PROJECT MANAGEMENT INFORMATION SYSTEM (PMIS)

 Includes scheduling software that has the capability to help plan, organize, and adjust the sequence of
the activities; insert the logical relationships, lead and lag values; and differentiate the different types
of dependencies.

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 SEQUENCE ACTIVITIES: OUTPUTS

 PROJECT SCHEDULE NETWORK DIAGRAMS.

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 ESTIMATE ACTIVITY RESOURCES
 Estimate Activity Resources is the process of estimating team resources and the type and quantities of
materials, equipment.

Inputs Tools & Techniques Outputs

1- Resource requirements
1- Expert judgment.
2 -Basis of estimates
2 -Bottom-up estimating.
3 -Resource breakdown
• Scope baseline 3 -Analogous estimating.
structure
• Activity attributes 4- Parametric estimating.
4- Project documents
• Activity list 5- Data analysis.
updates
• Alternatives analysis
• Activity attributes
6-PMIS.
• Assumption log
7 –Meetings.
• Lessons learned register

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 ESTIMATE ACTIVITY DURATIONS.

 Is the process of estimating the number of work periods needed to complete

individual activities with estimated resources.

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 ESTIMATE ACTIVITY DURATIONS: ITTO
Inputs
• Scope baseline.
 • Activity attributes.
 • Activity list
 • Assumption log.
 • Lessons learned register.
 • Milestone list.
 • Project team assignments.
 • Resource breakdown structure.
 • Resource calendars.
 • Resource requirements.
 • Risk register.
Tools & Techniques
Outputs
1- Expert judgment.
2- Analogous estimating. 1 -Duration estimates.
3 -Parametric estimating. 2 -Basis of estimates.
4 -Three-point estimating. 3 -Project documents
5- Bottom-up estimating. updates
6- Data analysis. • Activity attributes
• Alternatives analysis. • Assumption log
• Reserve analysis. • Lessons learned
register
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 ESTIMATE ACTIVITY DURATIONS: T&T
 EXPERT JUDGMENT

 ANALOGOUS ESTIMATING.

 Analogous estimating is a technique for estimating the duration

or cost of an activity or a project using historical data from a
similar activity or project.

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 ESTIMATE ACTIVITY DURATIONS: T&T

 PARAMETRIC ESTIMATING

 Is an estimating technique in which an algorithm is used to calculate cost or duration based on

historical data and project parameters.

 Parametric estimating uses a statistical relationship between historical data and other variables (e.g.,
square footage in construction) to calculate an estimate for activity parameters, such as cost, budget,
and duration.

Example:
If it takes 1 day and costs x to build a widget then 1000 widgets
will take 1000 days and cost 1000x.

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 ESTIMATE ACTIVITY DURATIONS: T&T

 THREE-POINT ESTIMATING.
 The accuracy of single-point duration estimates may be improved by considering estimation
uncertainty and risk. Using three-point estimates helps define an approximate range for an activity’s
duration.

Pessimistic

Optimistic

Most likely

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 ESTIMATE ACTIVITY DURATIONS: T&T

 BOTTOM-UP ESTIMATING.

 Is a method of estimating project duration or cost by aggregating the

estimates of the lower level components of the WBS. When an activity’s
duration cannot be estimated with a reasonable degree of confidence,
the work within the activity is decomposed into more detail.

 DATA ANALYSIS.

 1- Alternatives analysis. Is used to compare various levels of resource

capability or skills; scheduling compression techniques.

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 2- Reserve analysis.: Is used to determine the amount of contingency and management reserve
needed for the project. Duration estimates may include contingency reserves, sometimes referred to as
schedule reserves, to account for schedule uncertainty.

o 1-Contingency Reserve .
o Duration estimates may include contingency reserves, sometimes referred to as schedule
reserves, to account for schedule uncertainty
o 2- Management Reserve.
o Management reserves are a specified amount of the project budget withheld for management
control purposes and are reserved for unforeseen work that is within scope of the project.
Management reserves are intended to address the unknown-unknowns that can affect a project.

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 ESTIMATE ACTIVITY DURATIONS: OUTPUTS

 DURATION ESTIMATES.
 Duration estimates are quantitative assessments of the likely number of time periods that are required
to complete an activity, a phase, or a project.

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 ESTIMATE ACTIVITY DURATIONS: OUTPUTS

 BASIS OF ESTIMATES:
o Supporting detail for duration estimates may include:
 Documentation of the basis of the estimate (i.e., how it
was developed),
 Documentation of all assumptions made,
 Documentation of any known constraints,
 Indication of the confidence level of the final estimate,
and
 Documentation of individual project risks influencing this
estimate.

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 DEVELOP SCHEDULE

 Develop Schedule is the process of analyzing activity sequences, durations,

resource requirements, and schedule constraints to create a schedule model for
project execution and monitoring and controlling.
 The key benefit of this process is that it generates a schedule model with planned
dates for completing project activities.

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 DEVELOP SCHEDULE : ITTO
Inputs Tools & Techniques
1 -Project management
1- Schedule network
plan. analysis
• Schedule management
2 -Critical path method.
plan 3 -Resource optimization
• Scope baseline
4 -Data analysis.
2 -Project documents. • What-if scenario analysis
3 –Agreements.
• Simulation
4 -EEF. 5- Leads and lags
5 -OPA.
6- Schedule compression
7 –PMIS.
8- Agile release planning.
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Outputs
1- Schedule baseline.
2- Project schedule.
3 -Schedule data.
4 -Project calendars
5 -Change requests.
6- Project management plan
updates
• Schedule management plan.
• Cost baseline.
7- Project documents updates.
• Activity attributes.
• Assumption log.
• Duration estimates.
• Lessons learned register.
• Resource requirements.
• Risk register.
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Inputs
1 -Project management plan.
• Schedule management plan
• Scope baseline
2 -Project documents.
• Activity attributes. • Activity list
• Assumption log. • Basis of estimates
• Duration estimates.
• Lessons learned register.
• Milestone list.
• Project schedule network diagrams.
• Project team assignments.
• Resource calendars.
• Resource requirements. • Risk register
3 –Agreements.
4 -EEF.
5 -OPA.
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 6.5.2 DEVELOP SCHEDULE: T&T

 6.5.2.1 SCHEDULE NETWORK ANALYSIS

 Assessing the need to aggregate schedule reserves to reduce the probability of a schedule slip
when multiple paths converge at a single point in time or when multiple paths diverge from a single
point in time, to reduce the probability of a schedule slip.

 Reviewing the network to see if the critical path has high-risk activities or long lead items that would
necessitate use of schedule reserves or the implementation of risk responses to reduce the risk on the
critical path. Schedule network analysis is an iterative process that is employed until a viable schedule
model is developed
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 6.5.2.2 CRITICAL PATH METHOD (CPM)

 Is used to estimate the minimum project duration and determine the amount of schedule flexibility on
the logical network paths within the schedule model.
 The critical path in a network diagram is the longest path through the network that produces the shortest
possible completion time for the project. It typically contains zero float.

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 Slack or Float
When constructing a network diagram,
there may be activities that can be delayed
without impacting the project schedule.
These activities are said to contain
float or slack.

Slack/float = LS – ES or
LF – EF

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 6.5.2 DEVELOP SCHEDULE: T&T

 6.5.2.3 RESOURCE OPTIMIZATION
Is used to adjust the start and finish dates of activities to adjust planned resource use to be equal to or less
than resource availability.

 Resource leveling. A technique in which start and

finish dates are adjusted based on resource
constraints with the goal of balancing the demand for
resources with the available supply.

 Resource smoothing. A technique that adjusts the

activities of a schedule model such that the
requirements for resources on the project do not
exceed certain predefined resource limits

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 6.5.2 DEVELOP SCHEDULE: T&T

 6.5.2.4 DATA ANALYSIS
Data analysis techniques that can be used for this process include but are not limited to:

 What-if scenario analysis. Is the process of evaluating

scenarios in order to predict their effect, positive or negative,
on project objectives. This is an analysis of the question,
“What if the situation represented by scenario X happens?”
A
 Simulation. Simulation models the combined effects of
individual project risks and other sources of uncertainty to
evaluate their potential impact on achieving project objectives.

 The most common simulation technique is Monte Carlo

analysis.
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 6.5.2 DEVELOP SCHEDULE: T&T

 6.5.2.5 LEADS AND LAGS

 Leads and lags are refinements applied during network analysis to develop a viable schedule by
adjusting the start time of the successor activities.
 Leads are used in limited circumstances to advance a successor activity with respect to the
predecessor activity.
 Lags are used in limited circumstances where processes require a set period of time to elapse between
the predecessors and successors without work or resource impact.

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 6.5.2 DEVELOP SCHEDULE: T&T

 6.5.2.6 SCHEDULE COMPRESSION
 Schedule compression techniques are used to shorten or accelerate the schedule duration without
reducing the project scope in order to meet schedule constraints, imposed dates, or other
schedule objectives.

 Crashing. A technique used to shorten the

schedule duration for the least incremental cost
by adding resources.

 Fast tracking. A schedule compression

technique in which activities or phases normally
done in sequence are performed in parallel for at
least a portion of their duration.

6.5.2.7 (PMIS)
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 6.5.2 DEVELOP SCHEDULE: T&T

 6.5.2.8 AGILE RELEASE PLANNING

Agile release planning provides a high-level

summary timeline of the release schedule (typically
3 to 6 months)based on the product roadmap and
the product vision for the product’s evolution.

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 6.5.3 DEVELOP SCHEDULE: OUTPUTS
 6.5.3.1 SCHEDULE BASELINE
A schedule baseline is the approved version of a schedule model that can be changed only through formal
change control procedures and is used as a basis for comparison to actual results.
 6.5.3.2 PROJECT SCHEDULE
The project schedule is an output of a schedule model that presents linked activities with planned
dates, durations, milestones, and resources.

 1- Bar charts. Also known as Gantt

charts, bar charts represent schedule
information where activities are listed on
the vertical axis, dates are shown on the
horizontal axis, and activity durations are
shown as horizontal bars placed
according to start and finish dates.
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 6.5.3 DEVELOP SCHEDULE: OUTPUTS

 Milestone charts. These charts are similar to
bar charts, but only identify the scheduled start
or completion of major deliverables and key
external interfaces.

 Project schedule network diagrams.

These diagrams are commonly
presented in the activity-on-node
diagram format showing activities and
relationships without a time scale,
sometimes referred to as a pure logic
diagram.

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 6.5.3.3 SCHEDULE DATA.  6.5.3 DEVELOP SCHEDULE: OUTPUTS

Is the collection of information for describing and controlling the schedule. The schedule data includes, at
a minimum, the schedule milestones, schedule activities, activity attributes, and documentation of all
identified assumptions and constraints.

 6.5.3.4 PROJECT CALENDARS.

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 Cost management

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 TYPES OF COSTS
 Type  Description

 Variable  They change with the number of units produced and amount
costs.  of work done.

 Fixed costs.  These cost do not change as the level of production changes.
 Direct
 The costs that can be directly assigned to the project.
costs.
 Indirect
 The costs which benefit more than one project.
costs.
 Opportunity  The cost of any activity measured in terms of the value of the next best
cost. alternative forgone (that is not chosen).

 Sunk cost  The costs that have already been incurred and cannot be recovered.
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 7.2.2 ESTIMATE COSTS: T & T
 7.2.2.1 EXPERT JUDGMENT:
Expertise should be considered from individuals or groups with specialized knowledge

 7.2.2.2 ANALOGOUS ESTIMATING

Analogous cost estimating uses values, or attributes, of a previous project that
are similar to the current project.

 7.2.2.3 PARAMETRIC ESTIMATING

Uses a statistical relationship between relevant historical data and other variables (e.g., square footage
in construction) to calculate a cost estimate for project work.
 7.2.2.4 BOTTOM-UP ESTIMATING
Is a method of estimating a component of work. The cost of individual work packages or activities is
estimated to the greatest level of specified detail.

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 7.2.2 ESTIMATE COSTS: T & T

 7.2.2.5 THREE-POINT ESTIMATING
 Trianguler distribution. cE = (cO + cM + cP) / 3

 Beta distribution. cE = (cO + 4cM + cP) / 6

 7.2.2.6 DATA ANALYSIS.

 Alternatives analysis. Is a technique used to evaluate identified options in order to select which
options or approaches to use to execute and perform the work of the project.

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 7.2.2 ESTIMATE COSTS: T & T

 Reserve analysis (Important ).

 Cost estimates may include contingency reserves (sometimes called contingency allowances) to
account for cost uncertainty.
 Contingency reserves are the budget within the cost baseline that is allocated for identified risks.
Contingency reserves are often viewed as the part of the budget intended to address the known-
unknowns that can affect a project.

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 7.2.2 ESTIMATE COSTS: T & T

 Cost of quality.
 This includes evaluating the cost impact of additional investment in conformance versus the cost of
non conformance .

 7.2.2.7 (PMIS)
 Can include spreadsheets, simulation software, and statistical analysis tools to
assist with cost estimating. Such tools simplify the use of some cost-estimating
techniques and thereby facilitate rapid consideration of cost estimate alternatives.

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 7.2.3 ESTIMATE COSTS: OUTPUTS

 7.2.3.1 COST ESTIMATES

 Include quantitative assessments of the probable costs required to complete project work, as well as
contingency amounts to account for identified risks, and management reserve to cover unplanned
work. Cost estimates can be presented in summary form or in detail.

 Costs are estimated for all resources that are applied to the cost estimate.

 This includes but is not limited to direct labor, materials, equipment, services, facilities,
information technology, and special categories such as cost of financing (including interest
charges), an inflation allowance, exchange rates, or a cost contingency reserve.

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  7.3 DETERMINE BUDGET.
 Is the process of aggregating the estimated costs of individual activities or work packages to establish
an authorized cost baseline.
 The key benefit of this process is that it determines the cost baseline against which project performance
can be monitored and controlled.

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 7.3.2 DETERMINE BUDGET: T&T

 7.3.2.1 EXPERT JUDGMENT

 7.3.2.2 COST AGGREGATION

 Cost estimates are aggregated by work

packages in accordance with the WBS.
 The work package cost estimates are then
aggregated for the higher component levels of
the WBS (such as control accounts) and,
ultimately, for the entire project.

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WBS

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 7.3.3 DETERMINE BUDGET: OUTPUTS

 7.3.3.1 COST BASELINE

 The cost baseline is the approved

version of the time-phased project
budget, excluding any management
reserves, which can only be changed
through formal change control
procedures.

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 7.3.3 DETERMINE BUDGET: OUTPUTS

 7.3.3.2 PROJECT FUNDING REQUIREMENTS

 Total funding requirements and

periodic funding requirements
(e.g., quarterly, annually) are
derived from the cost baseline.
The cost baseline will include
projected expenditures plus
anticipated liabilities.

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 Earned value management (EVM)

 Performance measurement baselines.

• Scope • Schedule • Cost

baseline. baseline. baseline.
Scope Schedule Cost

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 6.6 CONTROL SCHEDULE

 Control Schedule is the process of monitoring the status of the project to update
the project schedule and managing changes to the schedule baseline.

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 CONTROL SCHEDULE :TT
 6.6.2.1 DATA ANALYSIS

 1- Earned value analysis.

Schedule variance (SV) and schedule performance index
(SPI) are used to assess the magnitude of variation to the
original schedule baseline.

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 CONTROL SCHEDULE : TT

 Performance reviews : measure, compare, and analyze schedule performance against the schedule
baseline such as actual start and finish dates, percent complete, and remaining duration for work in
progress.

 Trend analysis :Examines project performance over time to determine whether performance is
improving or deteriorating.

 Variance analysis : looks at variances in planned versus actual start and finish dates, planned versus
actual durations, and variances in float.

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 CONTROL COSTS

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 7.4.2 CONTROL COSTS: T&T

 7.4.2.1 EXPERT JUDGMENT

 7.4.2.2 DATA ANALYSIS

 1-Earned value analysis (EVA).

Earned value analysis compares the
performance measurement baseline
to the actual schedule and cost
performance.

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 2- Variance analysis

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 7.4.2 CONTROL COSTS: T&T

 7.4.2.2 DATA ANALYSIS

 B-Forecasting. As the project progresses, the project team may develop a forecast for the estimate at
completion (EAC) that may differ from the budget at completion (BAC) based on the project
performance

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Key:
1 – Use if a new estimate was
required (the original was flawed).

2 – Use if spending will continue at

the budgeted rate: no BAC variance

3 – Use if current variances are

typical of the future (current CPI will
continue)

4 – Use if sub-standard cost and

schedule performance will continue,
impacting the ETC

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 7.4.2 CONTROL COSTS: T&T
 7.4.2.3 TO-COMPLETE PERFORMANCE INDEX

 The equation for the TCPI based on the BAC:

(BAC-EV)/ (BAC-AC)
 The equation for the TCPI based on the EAC:
(BAC-EV)/ (EAC-AC)

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