Practical sheet | REF: FIC1308 V1

Applying the earned value method to projects: benefits and pitfalls to avoid

Author: Laurent VINCI

Publication date: June 10, 2014 | Lire en français

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    6. Mistakes to avoid

    6.1 Not choosing the right indicators

    The main pitfall commonly encountered is that the assumptions used to calculate the indicators are not taken into account. For example, an IPD close to 100% is a good thing in the middle of a project, but not necessarily at the end (it must be associated with the calendar drift observed), while a CFE well above the BAA is a disaster, provided you know what method was used to calculate it.

    Used properly, this method is a real plus on projects, but if it's poorly implemented and misused, it's easy to make indicators say anything and everything.

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