Chapter 32

Cost Control and EVA

Abstract

Thia chapter describes the principles of earned value analysis (EVA) and the very similar Foster Wheeler SMAC manhour control system. The advantages of EVA over the traditional weighting system are discussed together with an example showing how to recalculate the earned value and final forecast after poor progress due to re-work. Formulae are provided for calculating earned value, overall % completion, efficiency, and final forecast in either manhours or cost. The chapter also includes a section on EVA in civil engineering and the integration of materials with EVA.

Keywords

Earned value analysis; EVA; % complete; actual hours; value hours; budget hours; forecast final hours; integration of materials; SMAC ...

Get Project Management, Planning and Control, 6th Edition now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.