Analysis of Tracking of Project by Earned Value Management Method in High Rise Building

Analysis of Tracking of Project by Earned Value Management Method in High Rise Building

1PG Scholar, Miss. Monali Mahadev Bhagwat

Department of Civil Engineering,

Tatyasaheb Kore Institute of Engineering and Technology, Warananagar, India

2Asst. Prof. Sandeep Chavan

Department of Civil Engineering,

Tatyasaheb Kore Institute of Engineering and Technology, Warananagar, India

Abstract Earn value management is a project accomplishment approach that has been suitable for utilization in project management. Baseline plan can be calculated using EVM to check the progress of the project. EVM operation help in giving achievement standard to the assessment of evolution report of project and it likewise go about as a command gadget to deal with budget and time. The present study deals with planning, scheduling and performance of project process along with it also discusses main parameters involving in the calculation of earned value analysis in cost and time management of civil construction project. the main objectives of manuscript is compare the project tracked by MSP and EVM with conventional tracking method using real time case study of G+15 story building by MSP software.

KeywordsEVM, Tracking, MSP Software, Planning, Schedulling.

1. INTRODUCTION

   Construction industry is an important industry at both the global level and national level. It is second largest sector in India. It provides huge employment to the people and plays very significant role in country economy. Project delay is most common problems in the construction industry. In growing countries challenge overruns is a serious in which implementation of challenge faces many doubts. It outcomes in wastage of scare resource of finance, delay in providing facilities, development and too make costlier in construction. With globalization and technology determined economic growth all over the world, a scientific and systematic approach to project organization becomes imperative to make certain that project objectives are attain within the constraints of time and resources EVM is the procedure of measuring presentation of project employment against a baseline plan. EVM application allows in offering overall performance preferred for the assessment of advancement report of project & it also act as a manipulate tool to take care of time & cost schedule through responsibility described in OBS. It provide better performance picture of project and gives better forecast of the final completion cost

2. LITERATURE REVIEW

   1. Three-Variance Approach for Updating Earned Value Management

      The project management triad has scale, time, and cost. In this study, schedule variations and schedule performance indicators, in traditional dual-variance management (EVM), were shown not for real-time performance indicators, and it is

      suggested that the physical body definitions as work variables (WV) and performance indicators be restored. It is found that the performance of the work may be equal to the performance of the same period before the scheduled project time in certain circumstances. However, the same is not always true, especially if the project is over. A performance measurement earned time (ETM) method is presented in this study, which can serve as an alternative to measuring project time upon completion. Finally, it is suggested that the independent performance measurement, WV, be added to EVM, and that a three-pronged approach be used to analyze work conditions, time, and costs in relation to a given project.

   2. Estimated Cost at Completion: Integrating Risk into Earned Value Management

      Earned Value Management (EVM) is the industry's standard for monitoring the performance of ongoing projects. The operating basis is set in the planning phase to measure any time and cost errors during the project. Based on current progress, it is estimated when completed (EAC). Traditionally, EVM focuses exclusively on project planning (SPI) and cost (CPI), and does not address other important aspects of health and safety, stakeholder satisfaction, and quality. Despite its high volatility, EVM forecasts are still influenced by project risk and uncertainty, leading to a conflict between the results of the EAC obtained by standard formulas. In order to measure a better EAC, a framework is developed that incorporates various key performance indicators in the risk performance indicator (RPI). Using SPI, CPI, and RPI, an integrated model is developed and several case studies are conducted to validate it. The findings show a better EAC compared to traditional methods. Introducing performance indicators to measure key project aspects will provide participants with a better monitoring and decision-making tool.

   3. Study of the Stability of Earned Value Management Forecasting

   In this paper, the authors focus on establishing mechanisms for predicting the value of earned value management (EVM). The contribution was tripled. First, a new condition for measuring stability that does not suffer as a result of a psychological malfunction that is historically used is proposed. Second, the stability of time and cost forecasting methods are compared and compared using computerized tests on a variety of data sets. In all of these tests, predictive accuracy is also reported, which helps to trade between accuracy and stability. Finally, the demonstration shows that the mathematical strength of the novel can be applied to real

   worlds using two real projects. The results of these legal guarantees are found to be highly correlated with computer results.

3. RESEARCH METHODOLOGY

   Fig. 1. Flowchart of Methodology

4. PREPARE YOUR PAPER BEFORE STYLING

   1. Earned Value Analysis-Process

      Value Earn is a system management system that uses continuous activity to show what will happen in the future. EVA uses costs as a standard measure of project costs & schedule performance. Allows cost estimates by currency, hours, working days, or other similar item that can be used as the same amount of project-related amounts. EVA uses the following project parameters to evaluate project performance:

      • Planned Value

      • Earned Value

      • Actual Value

        As mentioned, there are several ways to calculate the EV, PV and AC of a work package in work. A comparison of those statistics can be used to identify performance and progress inadequate or sophisticated specific work packages, project manager and team can expect supportive actions. Cost and schedule performance should be measured and evaluated with consistency and severity with the magnitude of the performance risk as required by project management. The analysis should be progressive and follow the principle of management by exception. The variance limit should be set at the planning stage and used to guide the examination of performance.

   2. Concepts & Terminologies Related to Earned Value Management

      Value management systems gives different variations that can be analyzed to provide the current status of the project, initiate corrective action also predict future trends measure: Planned Value (PV), Actual Price (AC) and Acquired Value (EV). From the three measures, project performance indicators are formed.

      • BCWS (PV) Budgeted Cost of Works Scheduled It is the baseline for the analysis, cumulated planned

        costs related to time of their incurrence; Figure 1 shows the graph of BCWS vs. Time

      • BCWP(EV) Budgeted Cost of Work Performed It is a measure of physical progress of works expresed by cumulated planned cost of works actually done related to time, it is also called Earned Value (like the method it is used by);

      • ACWP (AC) Actual Cost of Work Performed A cumulated amount payable for work done related to time;

      • BAC Budget at Completion The total planned cost of the whole project, it equals BCWS at the planned finish;

      • T Planned duration of the project.

      • SV: Schedule Variance (EV-PV)

        • A comparison of amount of work performed during a given period of time to what was scheduled to be performed.

        • A negative variance means the project is behind schedule

      • CV: Cost Variance (EV-AC)

        • A comparison of the budgeted cost of work performed with actual cost.

        • A negative variance means the project is over budget

        • SPI: Schedule Performance Index

        • If means project is behind schedule

        • CPI: Cost Performance Index

        • If means project is over budget

        • CSI: Cost Schedule Index

        • The further CSI is from 1.0, the less likely project recovery becomes. Estimate at completion

   3. Case Study

      TABLE I. CASE STUDY INFORMATION

      Name of the Project	Elixa Park
      Client	Sachin Shinde, Kolhapur
      Builder	Ajay Singh V. Desai, Builders and Developers, Kolhapur 416004
      Total duration	1400 Day
      Built up Area per Floor	643.82 sq.m = 6927.50 sq.ft
      Rate per sq. ft	2850 per sq.ft
      Start date	01 Jan 2018
      End date	29 Oct 2021

      Fig. 2. Plan of Project

5. RESULT AND DISCUSSION

   1. Conventional Model Results

      1. Earned Value Overtime Report

         TABLE II. EARNED VALUE OVERTIME REPORT

         Year	Quarter	Earned Value	Planned Value	AC
         2018	Q1	61493405.1	61540959.66	61493405.1
         	Q2	103701832.6	103749387.1	103701832.6
         	Q3	116020816.9	116068371.5	116020816.9
         	Q4	133471552	133519106.5	133471552
         2018 Total		133471552	133519106.5	133471552
         2019	Q1	145859361.1	147058926.4	145859361.1
         	Q2	156234168	157433733.3	156234168
         	Q3	164347322.7	165546888.1	164347322.7
         	Q4	173785638.3	174985203.6	173785638.3
         2019 Total		173785638.3	174985203.6	173785638.3
         2020	Q1	181675846.7	182875412.1	181675846.7
         	Q2	189596239	190958371	189596239
         	Q3	252731059.7	254093191.7	252731059.7
         	Q4	264611082	265973213.9	264611082
         2020 Total		264611082	265973213.9	264611082
         2021	Q1	276564556.4	277926688.4	276564556.4
         	Q2	287506496.1	288868628.1	287506496.1
         	Q3	293348797.5	294710929.5	293348797.5
         2021 Total		293348797.5	294710929.5	293348797.5
         Grand Total		29,33,48,797.5	29,47,10,929.5	29,33,48,797.5

      2. Cash Flow

         Fig. 3. Earned Value Overtime Report

         TABLE III. CASH FLOW REPORT FOR PROJECT

         Year	Quarter	Cost	Cumulative Cost
         2018	Q1	61540959.7	61540959.66
         	Q2	42208427.5	103749387.1
         	Q3	12318984.3	116068371.5
         	Q4	17450735.1	133519106.5
         2018 Total		133519107	133519106.5
         2019	Q1	13392495	146911601.5
         	Q2	10522131.8	157433733.3
         	Q3	8113154.75	165546888.1
         	Q4	9438315.55	174985203.6
         2019 Total		41466097.1	174985203.6
         2020	Q1	7890208.45	182875412.1
         	Q2	8082958.9	190958371
         	Q3	63134820.7	254093191.7
         	Q4	11880022.3	265973213.9
         2020 Total		90988010.3	265973213.9
         2021	Q1	11953474.5	277926688.4
         	Q2	10941939.7	288868628.1
         	Q3	8397213.77	297265841.9
         	Q4	933122.694	298198964.6
         2021 Total		32225750.6	298198964.6
         Grand Total		29,81,98,965	29,81,98,964.6

      3. Budget Cost

         Fig. 4. Cash Flow of Project

         TABLE IV. BUDGET COST FOR PROJECT

         Year	Quarter	Baseline Cost	Cost	Actual Cost
         2018	Q1	61540959.66	61540959.66	61493405.1
         	Q2	42208427.46	42208427.46	42208427.46
         	Q3	12318984.35	12318984.35	12318984.35
         	Q4	17450735.07	17450735.07	17450735.07
         2018 Total		133519106.5	133519106.5	133471552
         2019	Q1	13539819.91	13392494.95	12387809.12
         	Q2	10374806.88	10522131.84	10374806.88
         	Q3	8113154.751	8113154.751	8113154.751
         	Q4	9438315.549	9438315.549	9438315.549
         p>2019 Total		41466097.09	41466097.09	40314086.3
         2020	Q1	7890208.449	7890208.449	7890208.449
         	Q2	8082958.904	8082958.904	7920392.274
         	Q3	63134820.68	63134820.68	63134820.68
         	Q4	11880022.27	11880022.27	11880022.27
         2020 Total		90988010.31	90988010.31	90825443.68
         2021	Q1	11953474.48	11953474.48	11953474.48
         	Q2	10941939.7	10941939.7	10941939.7
         	Q3	8397213.767	8397213.767	7691873.144
         	Q4	933122.6935	933122.6935	762655.7395
         2021 Total		32225750.64	32225750.64	31349943.06
         Grand Total		29,81,98,964.6	29,81,98,964.6	29,59,61,025

         Fig. 5. Budget Cost For Project

      4. Budget Work

         TABLE V. BUDGET WORK FOR PROJECT

         Year	Quarter	Baseline Work	Work	Actual Work
         2018	Q1	328	328	311.5
         	Q2	712	712	712
         	Q3	1253.15	1253.15	1253.15
         	Q4	1540.856	1540.856	1540.856
         2018 Total		3834.006	3834.006	3817.506
         2019	Q1	1462.911	1438.761	1140.911
         	Q2	1066.433	1090.583	1066.433

         		Q3	1041.75	1041.75	1041.75
         		Q4	743.3	743.3	743.3
         	2019 Total		4314.394	4314.394	3992.394
         	2020	Q1	903.6	903.6	903.6
         		Q2	807.85	807.85	742.85
         		Q3	833.65	833.65	833.65
         		Q4	1111	1111	1111
         	2020 Total		3656.1	3656.1	3591.1
         	2021	Q1	1083.872	1083.872	1083.872
         		Q2	1420.828	1420.828	1420.828
         		Q3	773.75	773.75	661.05
         		Q4	185.55	185.55	88.91667
         	2021 Total		3464	3464	3254.667
         	Grand Total		15,268.5	15,268.5	14,655.67

      5. Resource Work Availability Report

         Fig. 6. Budget Work For Project

         TABLE VI. RESOURCE WORK AVAILABILITY REPORT

         Year	Quarter	Work Availability	Work	Remaining Availability
         2018	Q1	190944	312	190632
         	Q2	190944	688	190256
         	Q3	190944	1232	189712
         	Q4	193392	1512	191880
         2018 Total		766224	3744	762480
         2019	Q1	188496	1440.167	187055.8333
         	Q2	190944	1048.317	189895.6833
         	Q3	190928	944	189984
         	Q4	193392	808	192584
         2019 Total		763760	4240.483	759519.5167
         2020	Q1	190944	856	190088
         	Q2	190944	792	190152
         	Q3	193392	856	192536
         	Q4	193392	1088	192304
         2020 Total		768672	3592	765080
         2021	Q1	188496	1008	187488
         	Q2	190944	1416	189528
         	Q3	193392	784	192608
         	Q4	61200	200	61000
         2021 Total		634032	3408	630624
         Grand Total		29,32,688	14,984.48	29,17,703.517

         Fig. 7. Resource Work Availability Report

   2. Tracking 1 Project Result (Date 12-November 2018)

      TABLE VII. EARNED VALUE ANALYSIS IN TRACKING 1 PROJECT

      Year	Quarter	Earned Value	Planned Value	AC
      2018	Q1	61493405.1	61540959.66	61493405.1
      	Q2	103701832.6	103749387.1	103701832.6
      	Q3	116020816.9	116068371.5	116020816.9
      	Q4	118861184	118908738.5	118861184
      2018 Total		118861184	118908738.5	118861184
      Grand Total		11,88,61,184	11,89,08,738.5	11,88,61,184

      Fig. 8. Earned Value Analysis in Tracking 1 Project

   3. Tracking 2 Project Result (Date 11-September 2020)

   TABLE VIII. EARNED VALUE ANALYSIS IN TRACKING 2 PROJECT

   Year	Earned Value	Planned Value	AC
   2018	133471552	133519106.5	133471552
   2019	173785638.3	174985203.6	173785638.3
   2020	251549735.4	252911867.4	251549735.4
   Grand Total	25,15,49,735.4	25,29,11,867.4	25,15,49,735.4

   Fig. 9. Earned Value Analysis in Tracking 2 Project

   6. Final Values for EVM Element

   TABLE IX. VALUES FOR EVM PERFORMANCE INDICATOR

   EVM Performance Indicator	1st Tracking	2nd Tracking	Conventional Method
   SV	-47554.5	-1362132	-1362132
   CV	0	0	0
   SV%	-0.040	-0.539	-0.462
   CV%	0	0	0
   SPI	0.9996	0.9946	0.9954
   CPI	1.0	1.0	1.0

   TABLE X. VALUES FOR EVM FORECASTING PARAMETER

   EVM Performance Indicator	1st Tracking	2nd Tracking	Conventional Method
   EAC	29,81,98,964.6	29,81,98,964.6	29,81,98,964.6
   VAC	0	0	0
   TSPI	1.00	1.030	1.391
   TCPI	1.00	1.00	1.00

   • Value of schedule performance indicators i.e. SV < 0 and SPI < 1

   • It indicates that, Project is running behind the schedule.

   • Value of cost performance indicators CV = 0 and CPI = 1

   • It indicates that Project is running according to budget.

   • Value of cost forecasting parameters i.e. TCPI =1 and VAC = 0 , it interprets that the remaining work and money left from budget are in good coordination; And if it continues properly, then chances of budgeted timely completion are almost 100%.

   • Value of schedule forecasting parameters i.e. TSPI = 1.391 , it interprets that the coordination between remaining work and the time left from scheduled time is highly lacking; And in order to bring it back on track, crew members have to work 139% more than normal 100%

6. CONCLUSION

• Earned value management provides information for the project work package in decision making.

• Tracking of construction project using earned value

  management is useful recognizing the risk factors of the project and to forecast the potential problem in order to face the remaining project work. It also helps the project team in decision making & to be proactive in managing their projects as well as find out progress of performance in construction projects.

• Tracking is provides practical level knowledge to the contractors about project and proves most helpful to any

  project manager who has made a firm commitment to complete the entire feature within a definite schedule and for a restricted amount of funds.

• The efficiency of project is demonstrated by SPI is 0.995

  which is less than 1 hence the project is performed less efficiently and running at about 99% of the planned schedule.

• Schedule variance of the project is -1362132 Rs. The negative sign determine the project is lagging behind the original schedule.

• CPI indicates the project efficiency of project utilization.

  In our case study CPI is 1 means project is running according to the budget.

• Cost Variance of the project is Rs 0 because of actual cost and earned value of our project is same.

• The study shows important, implementation and unique features of EVM that benefits project managers and

  ultimately results in project success.

• In this study 1.41% of cost is reduced or saving with respect calculated planned estimated cost using EVM method.

• Final Results

TABLE XI. VALUES FOR EVM BASIC ELEMENT

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