Analysis of Cost Controlling in Construction Industries by Earned Value Method Using Primavera
Analysis of Cost Controlling in Construction Industries by Earned Value Method Using Primavera
Analysis of Cost Controlling in Construction Industries by Earned Value Method Using Primavera
RESEARCH ARTICLE
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Professor & Dean, Department of Civil Engineering, VMKV Engg. College, Vinayaka Missions University,
Salem, India.
2
PG Student of Construction Engineering and Management, Department of Civil Engineering, VMKV Engg.
College , Vinayaka Missions University, Salem, India.
3
PG Student of Structural Engineering, Department of Civil Engineering, VMKV Engg. College, Vinayaka
Missions University, Salem, India.
ABSTRACT
Most of the construction projects suffer from cost and time overruns due to a multiplicity of factors. Earned
value management (EVM) is a project performance evaluation technique that has origins in industrial
engineering, but which has been adapted for application in project management. The earned value analysis
gives early indications of project performance to highlight the need for eventual corrective action. This
study is to present and discuss the main parameters involved in the calculation of Earned Value Analysis
(EVA) in the cost management of civil construction projects. The purpose of this dissertation is in 3-fold.
Firstly, Earned Value Analysis software is developed in Visual studio 2008, SQL Server 2005, .Net (C#
language). Next Comparison of selected parameters between M.S Project 20 07 , Primavera P 6 and developed
software is done. Therefore, it can be concluded that the software could be used in a wide range of projects for
Earned Value Analysis calculation
KEYWORDS: Analysis, Cost Controlling, Construction Industries, Earned Value Method, Primavera
I. INTRODUCTION
1.1 What is earned value management (EVM)?
The basic concept of EVM is more than a unique
project management process or technique. It is an
umbrella term for 32 guidelines that define a set of
requirements that a contractors management system
must meet. The objectives of an EVMS are to:
Relate time phased budgets to specific contract
tasks and/or statements of work.
Provide the basis to capture work progress
assessments against the baseline plan.
Relate technical, schedule, and cost performance.
Provide
valid,
timely,
and
auditable
data/information for proactive management
action.
Supply managers with a practical level of
summarization for effective decision making.
Once the contractors EVM System is designed
and implemented on a project, there are significant
benefits to the contractor and to the customer.
Contractor benefits include increased visibility and
control to quickly and proactively respond to issues
which makes it easier to meet project schedule, cost,
and technical objectives. Customer benefits include
confidence in the contractors ability to manage the
project, identify problems early, and provide
objective, rather than subjective, contract cost and
schedule status.
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VI. CONCLUSION
Fig 4.8 Graphical presentation of Earned Value
Analysis
C.
EARNED VALUE
DEVELOPED SOFTWARE
ANALYSIS
IN
REFERENCES
Fig 4.10 Earned Value Analysis and SV(t)
V. RESULTS
Developed software.[parameters- SV(t), CV
,CPI, PV, EV, AC, PD, AD. In this study 8
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[1]. ANSI/EIA-748-1998.
[2]. A Guide to the project management
body of knowledge (PMBOK Guide)Fourth Edition.
[3]. Anbari, F. T (2003). Earned Value
Project
Management Method and
Extensions. Project Management journal,
34(4), 12-23
[4]. Carles I. Budd, Charlene S. Budd IInd
Edition A Practical Guide to Earn Value
Project Management.
[5]. EunHong Kim, William G. Wells Jr,
Michael R. Duffey (2003). A Model for
Effective Implementation of Earn Value
Management Methodology International
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[6]. FRANK T. ANBARI, PH.D., P.E., PMP
The Earned Value Analysis
Method:
Extensions and Simplifications The
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