Tools & Formulas

Earned Value Management (EVM)

PV	Planned Value — authorized budget for scheduled work.
EV	Earned Value — EV = % Complete x BAC
AC	Actual Cost — realized cost incurred.
BAC	Budget at Completion — total planned value.
CV	CV = EV - AC — Positive = under budget.
SV	SV = EV - PV — Positive = ahead of schedule.
CPI	CPI = EV / AC — >1.0 = under budget.
SPI	SPI = EV / PV — >1.0 = ahead of schedule.
EAC	EAC = BAC / CPI (typical). Also: AC + (BAC - EV)
ETC	ETC = EAC - AC
VAC	VAC = BAC - EAC
TCPI	TCPI = (BAC - EV) / (BAC - AC)

Communication Channels

Channels = n(n - 1) / 2 — 10 stakeholders = 45 channels.

PERT Estimate

Expected = (O + 4M + P) / 6

Standard Deviation = (P - O) / 6

A Risk is an uncertain event or condition that, if it occurs, has a positive or negative effect on project objectives.

Threat Response Strategies

Avoid	Eliminate the threat by changing the plan.
Transfer	Shift impact to a third party (insurance, outsourcing).
Mitigate	Reduce probability and/or impact.
Accept	Acknowledge without action. Active (contingency) or passive.
Escalate	Risk outside project scope — escalate to appropriate level.

Opportunity Response Strategies

Exploit	Ensure the opportunity is realized.
Share	Allocate to a third party best able to capture it.
Enhance	Increase probability and/or impact.
Accept	Take advantage if it occurs; don't actively pursue.