Risk factors affecting the ability for earned value management to accurately assess the performance of infrastructure projects in Australia

Purpose – The purpose of this paper is to investigate a set of risk-related factors influencing the earned value management (EVM) concept as an assessment technique in evaluating the progress of modern sustainable infrastructure construction projects. Design/methodology/approach – A qualitative research approach has been adopted for identifying risk-related factors influencing EVM concept from a literature review and through interviewing industry personnel, followed by an inductive process to form sets of key factors and their measuring items. Findings – EVM is a common method for assessing project performance. A weakness of this approach is that EVM assessment in its current form does not measure the impact of a number of project performance factors that result from the complexity of modern infrastructure construction projects, and thus does not accurately assess their impact in this performance. This paper discusses and explains a range of potential risk factors to evaluating project performance such as sustainability, stakeholder requirements, communication, procurement strategy, weather, experience of staff, site condition, design issues, financial risk, subcontractor, government requirements and material. In addition, their measuring items were identified. Practical implications – This research assists projects managers to improve the evaluation process of infrastructure construction performance by incorporating a range of factors likely to impact on that performance and which are not included in current EVM calculations. Originality/value – This research addresses the need to include in the EVM calculation a range of risk factors affecting the performance of infrastructure projects in Australia and therefore makes this calculation a more reliable tool for assessing project performance

Project regularity : development and evaluation of a new project characteristic

The ability to accurately characterize projects is essential to good project management. Therefore, a novel project characteristic is developed that reflects the value accrue within a project. This characteristic, called project regularity, is expressed in terms of the newly introduced regular/irregular-indicator RI. The widely accepted management system of earned value management (EVM) forms the basis for evaluation of the new characteristic. More concretely, the influence of project regularity on EVM forecasting accuracy is assessed, and is shown to be significant for both time and cost forecasting. Moreover, this effect appears to be stronger than that of the widely used characteristic of project seriality expressed by the serial/parallel-indicator SP. Therefore, project regularity could also be useful as an input parameter for project network generators. Furthermore, the introduction of project regularity can provide project managers with a more accurate indication of the time and cost forecasting accuracy that is to be expected for a certain project and, correspondingly, of how a project should be built up in order to obtain more reliable forecasts during project control

Welcome to OR&S! Where students, academics and professionals come together

In this manuscript, an overview is given of the activities done at the Operations Research and Scheduling (OR&S) research group of the faculty of Economics and Business Administration of Ghent University. Unlike the book published by [1] that gives a summary of all academic and professional activities done in the field of Project Management in collaboration with the OR&S group, the focus of the current manuscript lies on academic publications and the integration of these published results in teaching activities. An overview is given of the publications from the very beginning till today, and some of the topics that have led to publications are discussed in somewhat more detail. Moreover, it is shown how the research results have been used in the classroom to actively involve students in our research activities

Estimating, planning and managing Agile Web development projects under a value-based perspective

Context: The processes of estimating, planning and managing are crucial for software development projects, since the results must be related to several business strategies. The broad expansion of the Internet and the global and interconnected economy make Web development projects be often characterized by expressions like delivering as soon as possible, reducing time to market and adapting to undefined requirements. In this kind of environment, traditional methodologies based on predictive techniques sometimes do not offer very satisfactory results. The rise of Agile methodologies and practices has provided some useful tools that, combined with Web Engineering techniques, can help to establish a framework to estimate, manage and plan Web development projects. Objective: This paper presents a proposal for estimating, planning and managing Web projects, by combining some existing Agile techniques with Web Engineering principles, presenting them as an unified framework which uses the business value to guide the delivery of features. Method: The proposal is analyzed by means of a case study, including a real-life project, in order to obtain relevant conclusions. Results: The results achieved after using the framework in a development project are presented, including interesting results on project planning and estimation, as well as on team productivity throughout the project. Conclusion: It is concluded that the framework can be useful in order to better manage Web-based projects, through a continuous value-based estimation and management process.Ministerio de Economía y Competitividad TIN2013-46928-C3-3-

An overview of recent research results and future research avenues using simulation studies in project management

This paper gives an overview of three simulation studies in dynamic project scheduling integrating baseline scheduling with risk analysis and project control. This integration is known in the literature as dynamic scheduling. An integrated project control method is presented using a project control simulation approach that combines the three topics into a single decision support system. The method makes use of Monte Carlo simulations and connects schedule risk analysis (SRA) with earned value management (EVM). A corrective action mechanism is added to the simulation model to measure the efficiency of two alternative project control methods. At the end of the paper, a summary of recent and state-of-the-art results is given, and directions for future research based on a new research study are presented

Integrated Baseline Review (IBR) Handbook

The purpose of this handbook is intended to be a how-to guide to prepare for, conduct, and close-out an Integrated Baseline Review (IBR). It discusses the steps that should be considered, describes roles and responsibilities, tips for tailoring the IBR based on risk, cost, and need for management insight, and provides lessons learned from past IBRs. Appendices contain example documentation typically used in connection with an IBR. Note that these appendices are examples only, and should be tailored to meet the needs of individual projects and contracts. Following the guidance in this handbook will help customers and suppliers preparing for an IBR understand the expectations of the IBR, and ensure that the IBR meets the requirements for both in-house and contract efforts

Evaluating Federal Information Technology Program Success Based on Earned Value Management

Despite the use of earned value management (EVM) techniques to track development progress, federal information (IT) software programs continue to fail by not meeting identified business requirements. The purpose of this logistic regression study was to examine, using IT software data from federal agencies from 2011 to 2014, whether a relationship between schedule variance (SV), cost variance (CV), and actual cost (AC) could predict the success of IT software program, as operationalized by meeting the identified business requirements. The population of interest was 132 IT software programs developed between 2011 and 2014 for federal agencies. The sample source was an archival database located at ITdashboard.gov. The theoretical framework for the study was earned value (EV) project management theory. The EV project management theory is a project performance measurement system that involves integrating cost, schedule, and performance elements for planning and control. EVM contributes to project success by providing early warnings when programs deviate from cost and schedule plans. This study found that only SV was significant (SV days, p = .002). The null hypothesis was rejected, suggesting that a relationship exists between IT program success and the SV, CV, and AC. This study may contribute to social change by increasing the program managers\u27 understanding of EV in federal project management and by decreasing federal spending through successful programs and more cost-efficient use of taxpayers\u27 money

and Cost/Benefits Opportunities

Acquisition Research Program Sponsored Report SeriesSponsored Acquisition Research & Technical ReportsThe acquisition of artificial intelligence (AI) systems is a relatively new challenge for the U.S. Department of Defense (DoD). Given the potential for high-risk failures of AI system acquisitions, it is critical for the acquisition community to examine new analytical and decision-making approaches to managing the acquisition of these systems in addition to the existing approaches (i.e., Earned Value Management, or EVM). In addition, many of these systems reside in small start-up or relatively immature system development companies, further clouding the acquisition process due to their unique business processes when compared to the large defense contractors. This can lead to limited access to data, information, and processes that are required in the standard DoD acquisition approach (i.e., the 5000 series). The well-known recurring problems in acquiring information technology automation within the DoD will likely be exacerbated in acquiring complex and risky AI systems. Therefore, more robust, agile, and analytically driven acquisition methodologies will be required to help avoid costly disasters in acquiring these kinds of systems. This research provides a set of analytical tools for acquiring organically developed AI systems through a comparison and contrast of the proposed methodologies that will demonstrate when and how each method can be applied to improve the acquisitions lifecycle for AI systems, as well as provide additional insights and examples of how some of these methods can be applied. This research identifies, reviews, and proposes advanced quantitative, analytically based methods within the integrated risk management (IRM)) and knowledge value added (KVA) methodologies to complement the current EVM approach. This research examines whether the various methodologies—EVM, KVA, and IRM—could be used within the Defense Acquisition System (DAS) to improve the acquisition of AI. While this paper does not recommend one of these methodologies over the other, certain methodologies, specifically IRM, may be more beneficial when used throughout the entire acquisition process instead of within a portion of the system. Due to this complexity of AI system, this research looks at AI as a whole and not specific types of AI.Approved for public release; distribution is unlimited.Approved for public release; distribution is unlimited

THE APPLICATION OF EARNED VALUE MANAGEMENT (EVM) IN CONSTRUCTION PROJECT MANAGEMENT

Earned Value Management (EVM) is a methodology that combines scope, schedule, and resource measurements to assess project performance and progress, it involves the integration of the three key elements of project which are schedule, work scope, and cost. Based on the literatures, various benefits have been associated with the use of EVM in project management. The objectives of this study are to determine the level of awareness on EVM among construction practitioners in Malaysia and to investigate whether EVM is been applied in Malaysia construction projects. For the purpose of data collection, this research applied questionnaire survey technique. This findings of this study reveal that key players in construction industry have very low level of awareness on EVM. The study identified that the key players in Malaysia construction industry have applied some parts of EVM concepts during construction projects but the application is not found to be intensive. It is recommended that much efforts to be made in order to enhance the awareness and increase the level of application on EVM among the key players in the construction industry