Project success indicators focusing on residential projects: Are schedule performance index and cost performance index accurate measures in earned value?

2009 ◽  
Vol 36 (11) ◽  
pp. 1700-1710 ◽  
Author(s):  
Sang-chul Kim
Keyword(s):  
Performance Index ◽  
Quantitative Measure ◽  
Control Technique ◽  
Earned Value ◽  
Cost Information ◽  
Cost Performance ◽  
Cost Overruns ◽  
Success Indicators ◽  
Two Indices ◽  
Schedule Performance

As a concept of project control that provides a quantitative measure of schedule and cost information, earned value (EV) can evaluate work progress by identifying potential delays and cost overruns. When EV is used as a construction control technique, the schedule performance index (SPI) and the cost performance index (CPI) are the core factors in the EV system. The standard is only 1, i.e., 1.0 above or below. Though the two indices have important roles in the EV system, those indices do always show the project status exactly; for example, when planned value (PV), EV, and actual cost (AC) are not collected in a timely manner. Additionally, there is no guideline on how each value in SPI and CPI is understood or how to read the hidden meaning behind the construction status. Therefore, this study first speculates about the meaning of the two indices, then suggests a practical application, and finally shows the framework where the two indices apply to various types of construction.

scholarly journals An Investigation into the Use of Laney U Chart as a Visual Schedule Tracker to Graphically Monitor the Schedule Performance Index

2020 ◽  
Vol 10 (1) ◽  
pp. 35-41
Author(s):  
Jayet Moon
Keyword(s):  
Performance Index ◽  
Control Charts ◽  
Value Management ◽  
Project Schedule ◽  
Earned Value ◽  
Earned Value Management ◽  
Cost Performance ◽  
Schedule Risk ◽  
Schedule Performance ◽  
Visual Schedule

AbstractThe intent of this article is to explore a mathematically sound method to graphically monitor schedule performance index (SPI) such that it enables the project manager to take objective data based decisions regarding the progress of the project schedule. The article aims to leverage the theory and application of control charts, specifically the U chart and Laney U chart and test its applicability to earned value management by trending schedule performance index on a time series chart. Off the shelf software, MinitabTM was used to generate the control charts based on earned value and planned value. While this paper proves that the Laney U chart, with correct interpretation, acts as an effective trigger-based tool for schedule risk management, it also generates further avenues for research into similar use of control charts for cost performance and other quality indices.

scholarly journals Predicting Performance Measurement of Residential Buildings Using an Artificial Neural Network

2021 ◽  
Vol 7 (3) ◽  
pp. 461-476
Author(s):  
Salah J. Mohammed ◽  
Hesham A. Abdel-khalek ◽  
Sherif M. Hafez
Keyword(s):  
Performance Index ◽  
Construction Projects ◽  
Residential Buildings ◽  
Machine Intelligence ◽  
Control Technique ◽  
Value Management ◽  
Earned Value ◽  
Earned Value Management ◽  
Cost Performance ◽  
Artificial Neural

Application Earned Value Management (EVM) as a construction project control technique is not very common in the Republic of Iraq, in spite of the benefit from EVA to the schedule control and cost control of construction projects. One of the goals of the present study is the employment machine intelligence techniques in the estimation of earned value; also this study contributes to extend the cognitive content of study fields associated with the earned value, and the results of this study are considered a robust incentive to try and do complementary studies, or to simulate a similar study in alternative new technologies. This paper is aiming at introducing a novel and alternative method of applying Artificial Intelligence Techniques (AIT) for earned value management of the construction projects through using Artificial Neural Networks (ANN) to build mathematical models to be used to estimate the Schedule Performance Index (SPI), Cost Performance Index (CPI) and to Complete Cost Performance Indicator (TCPI) in Iraqi residential buildings before and at execution stage through using web-based software to perform the calculations in the estimation quickly, accurately and without effort. ANN technique was utilized to produce new prediction models by applying the Backpropagation algorithm through Neuframe software. Finally, the results showed that the ANN technique shows excellent results of estimation when it is compared with MLR techniques. The results were interpreted in terms of Average Accuracy (AA%) equal to 83.09, 90.83, and 82.88%, also, correlation coefficient (R) equal to 90.95, 93.00, and 92.30% for SPI, CPI and TCPI respectively. Doi: 10.28991/cej-2021-03091666 Full Text: PDF

scholarly journals Pengendalian Proyek dengan Earned Value Method (Evm) pada Proyek Pemeliharaan Jalan Provinsi Denpasar- Simpang Pesanggaran

Widya Teknik ◽  
2019 ◽  
Vol 13 (02) ◽  
pp. 37-46
Author(s):  
Ida Ayu Putu Sri Mahapatni ◽  
Ida Bagus Wirahaji ◽  
I Made Harta Wijaya
Keyword(s):  
Performance Index ◽  
Earned Value ◽  
Cost Performance ◽  
Cost Variance ◽  
Schedule Performance

Pengendalian Proyek Pemeliharaan Jalan Provinsi Denpasar-Simpang Pesanggaran dengan menggunakan metode Earned Value.Tujuan penelitian adalah untuk mengetahui varian biaya dan jadwal (Cost Variance/CV dan  Schedule Variance/SV), untuk mengetahui indeks kinerja dari segi biaya dan waktu (Cost Performance Index/CPI dan Schedule Performance Index/SPI) dan untuk mengetahui perkiraan biaya dan waktu untuk penyelesaian proyek. Jenis penelitian ini adalah deskriptif kuantitatif. Hasil dari penelitian ini adalah kinerja proyek pada minggu pertama menghasilkan CV positif, SV negatif, SPI <1 dan CPI>1, berarti pekerjaan lebih lambat dari jadwal dengan biaya yang lebih kecil dari yang dianggarkan. Pada minggu kedua, ketiga dan keenam menghasilkan CV negatif, SV negatif, SPI<1 dan CPI<1, berarti terjadi keterlambatan dan pembengkakan biaya. Pada minggu keempat dan kelima menghasilkan CV negatif, SV positif, SPI>1 dan CPI<1, berarti pekerjaan lebih cepat dari jadwal dengan biaya yang lebih besar dari yang dianggarkan. Pada minggu ketujuh sampai dengan minggu duapuluh menghasilkan CV positif, SV positif, SPI>1 dan CPI>1, pekerjaan lebih cepat dari jadwal dengan biaya yang lebih kecil dari yang dianggarkan. Hal ini berarti Proyek Pemeliharaan Berkala Jalan Provinsi Denpasar-Pesanggaran, setelah dianalisis dengan Earned Value Method, perkiraan biaya total dan waktu penyelesaian proyek tidak mengalami kerugian dan tidak mengalami keterlambatan

scholarly journals ANALISIS PENGARUH KETERLAMBATAN WAKTU TERHADAP BIAYA MENGGUNAKAN EARNED VALUE CONCEPT (PADA PROYEK JETTY DI PULAU WAIBALUN, FLORES TIMUR)

2019 ◽  
Vol 3 (1) ◽  
pp. 25-40
Author(s):  
Wisnu Abiarto Nugroho ◽  
Kusnul Yakin ◽  
Maulidya Octaviani Bustamin ◽  
Hendrikus Andriano Daeng Weking
Keyword(s):  
Performance Index ◽  
Earned Value ◽  
Cost Performance ◽  
Schedule Performance ◽  
Value Concept

Selama fase konstruksi, produktivitas yang tidak akurat karena manajemen proyek yang tidak tepat sering terjadi.Biaya yang tidak dapat diprediksi, periode konstruksi yang lama serta kualitas konstruksi yang buruk menjadi masalah manajemen proyek.Hal ini perlu guna mengidentifikasi penyimpangan terkait biaya dan jadwal yang berorientasi pada kinerja.Penelitian ini mengkuantifikasi kinerja proyek dengan metode Earned Value Concept. Untuk Pengembangan Proyek jembatan Jetty di pulau Waibalun menggunakan Anggaran Biaya Jadwal Kerja (BCWS), Anggaran Biaya Kerja Dilaksanakan (BCWP) dan Aktual Biaya Kerja Dilakukan (ACWP) sebagai indikator untuk menganalisis nilai-hasil dari Varians Biaya (CV), Jadwal Varians (SV), Indeks Kinerja Biaya (CPI), Jadwal Kinerja Indeks (SPI) di samping perkiraan Estimasi Jadwal (EAS) dan Perkiraan Biaya Perkiraan proyek (EAC) menggunakan Microsoft Excel.Pada penelitian menunjukkan bahwa hingga minggu ke-16 Kinerja proyek di tinjau berdasarkan schedule performance index (SPI) sebesar 0,870, kinerja proyek terhadap biaya, cost performance index (CPI) sebesar 0,893 (CPI<1) dan (SPI<1) menunjukan bahwa kinerja biaya yang buruk .Hal ini disebabkan karena biaya yang dikeluarkan ACWP lebih besar dibandingkan nilai yang di dapat dari penyelesaian pekerjaan selama periode waktu tertentu.,maka dengan kondisi tersebut proyek mengalami keterlambatan -5,625% dan penambahan waktu proyek atau Extension Of Time (EOT) sebesar ( 16 minggu) . BCWP sampai minggu ke-16 = Rp 433.000.000,00 BCWS sampai minggu ke-16 =Rp 499.957.901,00 ACWP sampai minggu ke-16=Rp484.617.468,00 penyimpangan terhadap jadwal Rp.66.957.901,00 dan terhadap waktu sebesar Rp.51.617,468,00.

scholarly journals Analisis Biaya Dan Jadwal Proyek Pembangunan Gedung Dinas Kesehatan Kabupaten Trenggalek Dengan Metode Earned Value

2020 ◽  
Vol 3 (2) ◽  
pp. 362
Author(s):  
Bagus Zakariyya ◽  
Ahmad Ridwan ◽  
Suwarno Suwarno
Keyword(s):  
Performance Index ◽  
Large Scale ◽  
Actual Cost ◽  
Earned Value ◽  
District Health ◽  
Cost Performance ◽  
Schedule Performance ◽  
The Cost ◽  
Benefit Cost ◽  
Index Estimate

The construction of the Trenggalek District Health Office Building is a large-scale construction project. Large-scale projects often have performance issues. It is necessary to control costs and schedules for the project to go according to plan. Research using the Earned Value Method aims to find out the performance index, estimate the cost and time of completion of the work. They thus obtained corrections that must be made to the progress of the project. The results of the study in the 12th week were Budgeted Cost of Work Scheduled (BCWS) amounting to Rp1,946,626,471.64, Budgeted Cost of Work Performed (BCWP) amounted to Rp1,319,204,394.05, Actual Cost of Work Performed (ACWP) of Rp1,181,554,085.52. Performance costs benefit; Cost Varian (CV) of Rp137,660,308.53 or Cost Performance Index (CPI) is worth 1,117>1. Schedule performance is delayed, Schedule Varian (SV) of -Rp627,422,077.59 or Schedule Performance Index (SPI) is worth 0.678<1. Estimate at Completion (EAC) of Rp3,483,730,479.63 benefited Rp405,885,332.51. Estimate All Schedule (EAS) for 29,707 weeks, slow 5,707 weeks.Pembangunan Gedung Dinas Kesehatan Kabupaten Trenggalek merupakan proyek konstruksi berskala besar.Pada proyek berskala besar sering terjadi permasalahan kinerja. Oleh karena itu perlu pengendalian biaya dan jadwal agar proyek berjalan sesuai rencana. Penelitian ini menggunakan Metode Earned Value dengan tujuan agar   dikeetahui indek kinerja, dan dapat memperkirakan biaya dan waktu penyelesaian pekerjaan, sehingga  diperoleh koreksi yang harus dilakukan untuk kemajuan proyek. Hasil penelitian pada minggu ke-12 adalah Budgeted Cost of Work Schedule (BCWS) sebesar Rp1.946.626.471,64, Budgeted Cost of Work Performed (BCWP) sebesar Rp1.319.204.394,05, Actual Cost of Work Performed (ACWP) sebesar Rp1.181.554.085,52. Kinerja biaya mendapat keuntungan, Cost Varian (CV) sebesar Rp137.660.308,53 atau Cost Performance Index (CPI) bernilai 1,117>1. Kinerja jadwal mengalami keterlambatan, Schedule Varian (SV) sebesar -Rp627.422.077,59 atau Schedule Performance Index (SPI) bernilai 0,678 < 1. Estimate at Completion (EAC) sebesar Rp3.483.730.479,63 mendapat keuntungan sebesar Rp405.885.332,51. Estimate All Schedule (EAS) selama 29,707 minggu, lambat 5,707 minggu.

Earned Schedule and the Use of Schedule Execution Reporting Metrics

2018 ◽  
Author(s):  
Philip J. Beck ◽  
Dennis Kovacs
Keyword(s):  
Performance Index ◽  
Critical Path ◽  
Project Performance ◽  
Value Management ◽  
Earned Value ◽  
Past Performance ◽  
Earned Value Management ◽  
Time Element ◽  
Schedule Performance ◽  
Schedule Execution

The traditional approach of managing project performance is with the use of Earned Value Management. There is a recent trend towards the expansion of traditional Earned Value Management practices to include the concept of Earned Schedule. Whereas Earned Value provides insight as to how the project is trending in relation to the plan by assessing cost and schedule variances, Earned Schedule focuses on the time element of schedule performance throughout the project execution phase. Earned Value, although very effective at providing visibility to cost performance, is not as transparent when it comes to schedule performance over time. Case in point, at completion, irrespective as to how work progressed on the schedule (ahead or behind plan) at completion, the schedule performance index will always be 1.0. Earned Schedule overcomes this drawback, providing useful tools to report on schedule performance, and providing visibility to the project state from which to base informed decisions. To perform the analysis, Earned Schedule analysis incorporates detail from the baseline and forecast schedules as well as the integrated project management cost report (earned versus planned). In addition to looking at Earned Schedule metrics, other key metrics are factored into this approach to assess overall schedule performance. Key metrics derived from the schedule and highlighted in this approach include: • Critical Path Length Index (CPLI) • Baseline Execution Index (BEI) • Total Float Consumption Index (TFCI) • To Complete Schedule Performance Index (TSPI) • Predicted Forecast Finish Date (PFFD) • Schedule Performance Index (time) (SPIt) • Independent Estimate At Complete (time) (IEACt) The intent of these metrics is to identify trends and assist in predicting project outcomes based on past performance. Since this approach is highly dependent on the schedule data, the more compliant a schedule is to industry best practices the better the quality of the results. The metrics are negatively impacted by recent re-baselining as this causes us to lose historical performance detail. Frequent analysis of the schedule execution reporting metrics defined above provides transparency of project performance and brings visibility to early risk triggers in support of a proactive approach to project execution monitoring and control. This paper will present a case study demonstrating how additional transparency through this approach highlighted a potential schedule risk. This increased visibility allowed the project team to reprioritize and implement proactive corrective actions to mitigate any potential impact to the project In Service Date (ISD).

Integrated cost and schedule control in the Korean construction industry based on a modified work-packaging model

2008 ◽  
Vol 35 (3) ◽  
pp. 225-235 ◽  
Author(s):  
Sangchul Kim ◽  
Chanjeong Park ◽  
Sangyoub Lee ◽  
Jaeho Son
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Quantitative Measure ◽  
Domestic Market ◽  
Control Technique ◽  
Schedule Control ◽  
Cost Information ◽  
Integrated Cost ◽  
Ev Model ◽  
The Cost

As a project control technique concept that provides a quantitative measure of schedule and cost information, the earned value (EV) model can evaluate work progress by identifying the potential delay and the cost overruns in a project, which is useful for controlling projects. The construction industry in Korea does not put this concept into practice, however, because it is poorly understood and because the construction practices in Korea are different from those in other industrialized countries. Most important is the fact that almost all the construction projects in Korea are controlled in accordance with the budget breakdown structure (BBS), which is less detailed than the cost breakdown structure (CBS), while those in the USA are managed through schedule control on the basis of the work breakdown structure (WBS). This is because most of the construction projects in Korea are generally contracted at a fixed price. This being the case, once the contract is awarded, the clients are no longer concerned with the cost of the project. This current construction practice based on the BBS rather than on the WBS has brought forth a limitation in terms of the use of the existing EV model in the domestic market. In this study, the EV model, which is suitable for the domestic market, is demonstrated. An integrated model of the WBS and CBS is then developed based on the modified work-packaging model. Finally, the developed model is integrated into the project management system (PMS) to verify its suitability and efficiency.

scholarly journals ANALISA PENERAPAN MANAJEMEN WAKTU PADA PROYEK BETON PENANGKIS OMBAK

2021 ◽  
Vol 4 (2) ◽  
pp. 246-259
Author(s):  
Sugiyanto Sugiyanto ◽  
Saiful Fallah
Keyword(s):  
Performance Index ◽  
Earned Value ◽  
Schedule Performance

ABSTRAK Penelitian ini merupakan studi kasus pemasangan beton pada PT. Trans Pacific Petrochemical Indotama Tuban. Penelitian ini dilatarbelakangi oleh adanya permasalahan yang dihadapi oleh perusahaan tersebut karena lokasinya berada di tepi laut terhadap adanya keropos tanah yang bisa mengancam keberadaan akses dan peralatan vital perusahaan. Dari hasil investigasi penyebab adanya keropos tanah tersebut disebabkan karena keberadaan penangkis ombak tidak mampu lagi bekerja dengan performa yang diharapkan karena mengalami korosif dan berkarat sehingga tidak mampu mencegah adanya erosi dan abrasi ombak laut. Berdasarkan hasil investigasi tersebut pula, perusahaan mengambil langkah untuk membuat penangkis ombak yang baru terbuat dari komponen beton dengan mempertimbangkan umur ekonomis, efektivitas kerja dan biaya pemeliharaan. Dalam rangka untuk mengetahui apakah upaya teknik pengendalian waktu pelaksanaan proyek dilakukan secara efektif pada proyek beton penangkis ombak, maka diperlukan analisa penerapan manajemen waktu pada proyek tersebut. Teknik pengendalian pada proyek yang diteliti dilakukan dengan menggunakan metode nilai hasil (earned value) yang merupakan upaya pengendalian terpadu pelaksanaan waktu proyek dengan aplikasi Kurva S. Berdasarkan analisa penerapan manajemen waktu pada proyek yang diteliti, didapatkan informasi waktu pelaksanaan proyek pada minggu ke-1, ke-2, ke-3 dan minggu ke-7 berjalan dengan lebih lambat dari jadwal yang direncanakan; kemudian pada minggu ke-4, ke-5, ke-6, ke-8 dan minggu ke-9 berjalan dengan lebih cepat dari jadwal yang direncanakan; dan akhirnya pada minggu ke-10 pelaksanaan proyek mencapai penyelesaian sesuai dengan jadwal yang direncanakan. Berdasarkan atas analisa kinerja jadwal dengan menggunakan metode nilai hasil (earned value method) pada pelaksanaan proyek beton penangkis ombak, didapatkan hasil perhitungan varian jadwal (schedule variance) SV = 0 dan indek kinerja jadwal (schedule performance index) SPI =1. Dengan demikian, hasil analisa pelaksanaan proyek yang diteliti secara meyakinkan menunjukkan terjadinya jadwal pelaksanaan proyek sesuai dengan jadwal yang telah direncanakan (on schedule). Kata Kunci: Proyek, Manajemen Waktu, Jadwal dan Nilai Hasil

scholarly journals Predicting Earned Value Indexes in Residential complexes’ Construction Projects Using Artificial Neural Network Model

2020 ◽  
Author(s):  
ibraheem Aidan ◽  
Firas Jaber ◽  
Duaa Al-Jeznawi ◽  
Faiq Al-Zwainy
Keyword(s):  
Performance Index ◽  
Construction Projects ◽  
Historical Data ◽  
Performance Indicator ◽  
Residential Buildings ◽  
Great Accuracy ◽  
Value Management ◽  
Earned Value ◽  
Earned Value Management ◽  
Cost Performance

The importance of this study may be defined by using the smart techniques to earned value indicators of residential buildings projects in Republic of Iraq, only one development intelligent forecasting model was presented to predict Schedule Performance Index (SPI), Cost Performance Index (CPI), and To Complete Cost Performance Indicator (TCPI) are defined as the dependent. The approach is principally influenced by the determining numerous factors which effect on the earned value management, that involves Iraqi historical data. In addition, six independent variables (F1: BAC, Budget at Completion., F2: AC, Actual Cost., F3, A%, Actual Percentage., F4: EV, Earned Value. F5: P%, Planning Percentage., and F6: PV, Planning Value) were arbitrarily designated and satisfactorily described for per construction project. It was found that ANN has the capability to envisage the dust storm with a great accuracy. The correlation coefficient (R) has been 90.00%, and typical accuracy percentage has been 89.00%.

scholarly journals Forecasting techniques in construction industry: earned value indicators and performance models

2020 ◽  
Vol 29 (2) ◽  
pp. 234-243
Author(s):  
Firas Jaber ◽  
Faiq Al-Zwainy ◽  
Nidal Jasim
Keyword(s):  
Performance Index ◽  
Construction Projects ◽  
Performance Indicator ◽  
Tall Buildings ◽  
Earned Value ◽  
Cost Performance ◽  
Value Analysis ◽  
Earned Value Analysis ◽  
New City ◽  
And Performance

Machine Learning Regression Techniques (MLRT) as a shrewd method can be utilized in this study being exceptionally fruitful in demonstrating non-linear and the interrelationships among them in problems of construction projects such as the earned value indexes for tall buildings projects in Republic of Iraq. Three forecasting models were developed to foresee Schedule Performance Index (SPI) as first model, Cost Performance Index (CPI) as a second model, and the third model is To Complete Cost Performance Indicator (TCPI) in Bismayah New City was chosen as a case study. The methodology is mainly impacted by the deciding various components (variables) which impact on the earned value analysis, six free factors (X1: BAC, Budget at Completion; X2: AC, Actual Cost; X3: A%, Actual Percentage; X4: EV, Earned Value; X5: P%, Planning Percentage, and X6: PV, Planning Value) were self-assertively assigned and agreeably depicted for per tall buildings projects. It was found that the MLRT showed good results of estimation in terms of correlation coeffi cient (R) generated by MLR models for SPI and CPI and TCPI where the R were 85.5%, 89.2%, and 86.3% respectively. At long last, a result tends to be presumed that these models show a brilliant concurrence with the genuine estimations.

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