Assignment on

Project Management Process

Submitted to:

Mrs. Akhter Jahan Assistant Professor, FBA, USTC.

Submitted by
Name Roll Batch Semester : Dibyandu Barua. : 679 st : 21 : 4th FBA, USTC

University of Science and Technology, Chittagong

Date of Submission: 08-07-2011

Problem no:-1

A project was begun on 1st January 2010 and was expected to be completed by 30th September 2010. The project is being reviewed on 30th June 2010 when the following information has been developed. Budgeted cost for work scheduled (BCWS) : TK.1500000 Budgeted cost for work performed (BCWP) : TK.1400000 Actual cost of work performed (ACWP) : TK.1600000 Budgeted cost for total work (BCTW) : TK.2500000 Additional cost for completion (ACC) : TK.1200000 Analyze the performance of the project.

Solution :
To analyses the performance of the project needs to conduct the performance analysis method by applying following techniques. a) Cost variance (CV) = BCWP ACWP = TK.1400000 TK1600000 = (TK.200000) b) Schedule Variance in cost terms (SV) = BCWP-BCWS = TK.1400000 TK1500000 = (TK.100000) c) Cost performance index (CPI)= BCWP/ACWP =TK.1400000 TK.1600000 = TK.0.875 d) Schedule performance index (SPI) = BCWP/BCWS =TK.1400000 TK.1500000 = TK.0.933 e) Estimated cost performance index = BCTW/(ACWP+ ACC) = Tk.2500000 (Tk.1600000 + Tk.1200000) = Tk.2500000 Tk.2800000 = 0.89 Analysis of the performance of the project is a) pCV is negative; we are over the budget. b) SV is negative; we are behind schedule. c) CPI is less than 1 ; we are over budget d) SPI is less than 1; we are behind the schedule.

Problem no:-2
A project was begun on 1st April 2010 and was expected to be completed by 31st December 2010. The project is being reviewed on 30th September 2010 when the following information has been developed.

Budgeted cost for work scheduled (BCWS) : TK.6000000 Budgeted cost for work performed (BCWP) : TK.5500000 Actual cost of work performed (ACWP) : TK.5800000 Budgeted cost for total work (BCTW) : TK.10000000 Additional cost for completion (ACC) : TK.5000000 Determine the following: Cost variance Schedule variance in cost terms Cost performance index Schedule performance Index Estimated cost performance index

Solution : We know that,

= BCWP ACWP = TK.5500000 TK5800000 = (TK.300000) b)Schedule Variance in cost terms (SV) = BCWP-BCWS = TK.5500000 TK6000000 = (TK.500000) c)Cost performance index(CPI) = BCWP/ACWP =TK.5500000 TK.5800000 = TK.0.948 d)Schedule performance index(SPI) = BCWP/BCWS =TK.5500000 TK.6000000 =0.917 e)Estimated cost performance index = BCTW/(ACWP+ ACC) = Tk.10000000 (Tk.5800000 + Tk.5000000) = Tk.10000000 Tk.10800000 = 0.93 Analysis of the performance of the project is a) CV is negative, we are over the budget. b) SV is negative, we are behind the schedule. c) CPI is less than 1,we are over budget. d) SPI is less than 1, we are behind the schedule.

a) Cost variance(CV)

Problem no:-3
A project was begun on 1st June 2010 and was expected to be completed by 31st December 2010. The project is being reviewed on 30th October 2010 when the following information has been developed. Budgeted cost for work scheduled (BCWS) Budgeted cost for work performed (BCWP) Actual cost of work performed (ACWP) Budgeted cost for total work (BCTW) Additional cost for completion (ACC) Determine the following: : TK.4500000 : TK.4500000 : TK.4000000 : TK.5600000 : TK.2000000

Cost variance Schedule variance in cost terms Cost performance index Schedule performance Index Estimated cost performance index

Solution : We know that,

a) Cost variance(CV) = BCWP ACWP = TK.4500000 TK4000000 = TK.500000 b) Schedule Variance in cost terms(SV) TK4500000 =0 c)Cost performance index(CPI) = BCWP/ACWP =TK.4500000 TK.4000000 = TK.1.12 d)Schedule performance index(SPI) = BCWP/BCWS =TK.4500000 TK.4500000 = TK.1 e)Estimated cost performance index = BCTW/(ACWP+ ACC) = (Tk.4000000 + Tk.2000000) = Tk.6000000 = 0.93 Analysis of the performance of the project is a) CV is positive, we are with in the budget. b) SV is positive, we are with in schedule. c) CPI is more than 1, we are with in the budget. d) SPI is 1, we are with in the schedule. Tk.5600000 Tk.5600000 = BCWP-BCWS = TK.4500000