Consultancy

• Process Controlling
• Reporting
• PDM/PLM Services
• Analysis
• Data Integration
• Application Integration
• Earned Value Management

Supervision of large projects

How to stay in control of huge projects? How to watch rising costs of a project? How will unexpected problems be projected into the overall costs of the project? Where to get data for fast corrective measures?

The traditional controlling approaches are great for supervising common, repeated projects. However, the control of time-consuming and financially demanding, specific projects is more difficult and information systems usually do not contain necessary information for their optimal management.

Project costs visualization

One way how to compare a plan and the reality is to visualize the project cost flow in the course of time. The following chart shows a long project in a certain stage of realization. The management learned, by comparing real costs with planned costs, that the amount of money which had been spent on the project exceeded the planned costs.

Earned Value (EV)

Earned Value is a basic element of Earned Value Management methodology and it is possible to conceive it as the value of work that has really been done on the project and which is expressed in expended costs. Therefore it is about expressing operations which were really carried out. It is possible to identify the causes of costs discrepancies by putting the EV figures into the chart of cost progression in time.

The following information can be acquired by analyzing these discrepancies from the stated chart

• If we compare the EV with the value of planned costs at this stage of the project, we can recognize exactly how much of the discrepancy from the plan is caused by speeding up / slowing down the project.
• If we compare EV with the value of costs which were really spent, we can see how much we have exceeded the costs on finished parts of the project so far.

We can now distinguish the discrepancy caused by cost variance from the discrepancy caused by drifting in time (Schedule variance).
In order to calculate EV, it is usually necessary to use not only data which are already contained in information systems but also information from workers who take part in the project. In practice, this requires a powerful information system which can have data from different company subdivisions put in through a user-friendly interface which saves employees time.

EVM solution by Inter-Informatics
Inter-Informatics offers a solution for an effective Earned Value Management support which has been proven over long time and which contains:

• Collection of necessary data in different parts of the company including proposal and optimization of connected processes. According to our experiences, this part of the system is the most demanding and crucial for a successful use of EV method.
• Calculation of EV
• Analyses of discrepancies caused by changed costs
• Prediction of the future costs development in the project
• Well-arranged presentation of all information in diagrams and charts
• Connection to already existing company information systems

Potential uses

• Project costs monitoring
• EV calculation
• Discovery, calculation and description of plan discrepancies
• Future project development prediction

Benefits

• More effective management of serious problems
• Possibility to react to imminent threats in time