Project management

Business Problem
Your team has been assigned to develop four program modules for a new mobile sales application to handle login, security, payment, and order confirmation. Your team was chosen because it consists of all senior application developers, all having similar skill and experience levels. 

After thorough analysis, each module is assumed to be of equal effort and complexity. You’ve determined that each module will require the same amount of programming/labor costs, and will take the same amount of time to complete. You estimate that the entire project will take 4 weeks to complete and your budget has a total cost of $40,000.

Three weeks have gone by and the sponsor is now asking you for a project progress report, in the form of a detailed Earned Value analysis. As you make preparations for the report, your team tells you that as of the end of week 3, the total costs incurred are $35,000 and only 70% of the project is completed.

Project Instructions
To create the Earned Value report, you need to complete the worksheet below; all required formulas are provided.

1. BAC (budgeted cost at completion) =

2. Actual % completed to date =

3. EV (earned value) =

4. ** PV (planned value) =

5. SPI (schedule performance index) =

6. SV (schedule variance) =

7. CPI (cost performance index) =

8. CV (cost variance) =

9. EAC (estimated cost at completion) =

10. VAC (variance at completion) =

11. ETC (estimated cost to complete) =

12. Based on the CPI, is your project budget on track, below plan, or over plan? Using a few sentences, explain why the CPI supports your answer

13. Based on the SPI, is your project on schedule, behind schedule, or ahead of schedule? Using a few sentences, explain why the SPI supports your answer?


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