1. EVM Home Page = http://acc.dau.mil/evm http://www.dcma.mil = “One Book” DAU POC: (703) 805-2851 (DSN 655) eMail Address: EVM@dau.milEVM@dau.mil Revised 24 Feb 2004 TERMINOLOGY NCC Negotiated Contract CostContract price less profit / fee(s) AUW Authorized Unpriced WorkWork contractually approved, but not yet negotiated / definitized CBB Contract Budget BaseSum of NCC and AUW OTB Over Target BaselineSum of CBB and recognized overrun TAB Total Allocated BudgetSum of all budgets for work on contract = NCC, CBB, or OTB BAC Budget At CompletionTotal budget for total contract thru any given level PMB Performance Measurement BaselineContract time-phased budget plan MR Management ReserveBudget withheld by Ktr PM for unknowns / risk management UB Undistributed BudgetBroadly defined activities not yet distributed to CAs CA Control AccountLowest CWBS element assigned to a single focal point to plan & control scope / schedule / budget WP Work PackageNear-term, detail-planned activities within a CA PP Planning PackageFar-term CA activities not yet defined into WPs BCWS Budgeted Cost for Work ScheduledValue of work planned to be accomplished= PLANNED VALUE BCWP Budgeted Cost for Work PerformedValue of work accomplished = EARNED VALUE ACWP Actual Cost of Work PerformedCost of work accomplished = ACTUAL COST EAC Estimate At CompletionEstimate of total cost for total contract thru any given level; may be generated by Ktr, PMO, DCMA, etc. = EAC Ktr / PMO / DCMA LRE Latest Revised EstimateKtr’s EAC or EAC Ktr SLPP Summary Level Planning PackageFar-term activities not yet defined into CAs TCPI To Complete Performance IndexEfficiency needed from ‘time now’ to achieve an EAC EVM POLICY: EVMS = DFARS 252.234-7000; 252.234-7001; & C/SSR = DFARS 252.242-7005; 252.242-7006; ANSI/EIA-748-A Jan 2002 / Mar 2003; DoDI 5000.2, Table E3.T2; & Defense Acquisition Guidebook MANAGEMENT REQUIREMENTS: Select pair of Contract Clauses based on cost, risk, criticality: EVMS EIA-748 Management System Validated as Consistent with EIA-748 Standard at detailed level Non-FFP contracts / agreements for R&D > $73M; & Proc or O&M > $315M (CY00$) Cost/Schedule Status Report ( C/SSR ) Management System not required to meet EIA-748 Standard; Non-FFP contracts / agreements > $6.3M (CY00$) & > 12 months duration Integrated Baseline Review (IBR) Mandatory for both EVMS & C/SSR within 6 months of Contract Award REPORT REQUIREMENTS: Tailor Data Requirements via CDRL, Select One: Cost Performance Report = DI-MGMT-81466 = Formats 1-5 (WBS, Organization, Baseline, Staffing, & Explanations) CPR is Mandatory for EVMS EIA-748 contracts & optional for C/SSR contracts Cost/Schedule Status Report = DI-MGMT-81467 = 2 Formats (WBS & Explanations) or ‘Tailored’ CPR Management Reserve Work PackagesPlanning Packages OVERRUN AUW Control Accounts NCC Undistributed Budget OTB CBB TAB Profit / Fees PMB Summary Level Planning Packages Contract Price EVM Home Page = http://acc.dau.mil/evm http://www.dcma.mil = “One Book” DAU POC: (703) 805-2851 (DSN 655) eMail Address: EVM@dau.milEVM@dau.mil Revised Feb 2004 TERMINOLOGY NCC Negotiated Contract CostContract price less profit / fee(s) AUW Authorized Unpriced WorkWork contractually approved, but not yet negotiated / definitized CBB Contract Budget BaseSum of NCC and AUW OTB Over Target BaselineSum of CBB and recognized overrun TAB Total Allocated BudgetSum of all budgets for work on contract = NCC, CBB, or OTB BAC Budget At CompletionTotal budget for total contract thru any given level PMB Performance Measurement BaselineContract time-phased budget plan MR Management ReserveBudget withheld by Ktr PM for unknowns / risk management UB Undistributed BudgetBroadly defined activities not yet distributed to CAs CA Control AccountLowest CWBS element assigned to a single focal point to plan & control scope / schedule / budget WP Work PackageNear-term, detail-planned activities within a CA PP Planning PackageFar-term CA activities not yet defined into WPs BCWS Budgeted Cost for Work ScheduledValue of work planned to be accomplished= PLANNED VALUE BCWP Budgeted Cost for Work PerformedValue of work accomplished = EARNED VALUE ACWP Actual Cost of Work PerformedCost of work accomplished = ACTUAL COST EAC Estimate At CompletionEstimate of total cost for total contract thru any given level; may be generated by Ktr, PMO, DCMA, etc. = EAC Ktr / PMO / DCMA LRE Latest Revised EstimateKtr’s EAC or EAC Ktr SLPP Summary Level Planning PackageFar-term activities not yet defined into CAs TCPI To Complete Performance IndexEfficiency needed from ‘time now’ to achieve an EAC EVM POLICY: EVMS = DFARS 252.234-7000; 252.234-7001; & C/SSR = DFARS 252.242-7005; 252.242-7006; ANSI/EIA-748-A Jan 2002 / Mar 2003; DoDI 5000.2, Table E3.T2; & Defense Acquisition Guidebook MANAGEMENT REQUIREMENTS: Select pair of Contract Clauses based on cost, risk, criticality: EVMS EIA-748 Management System Validated as Consistent with EIA-748 Standard at detailed level Non-FFP contracts / agreements for R&D > $73M; & Proc or O&M > $315M (CY00$) Cost/Schedule Status Report ( C/SSR ) Management System not required to meet EIA-748 Standard; Non-FFP contracts / agreements > $6.3M (CY00$) & > 12 months duration Integrated Baseline Review (IBR) Mandatory for both EVMS & C/SSR within 6 months of Contract Award REPORT REQUIREMENTS: Tailor Data Requirements via CDRL, Select One: Cost Performance Report = DI-MGMT-81466 = Formats 1-5 (WBS, Organization, Baseline, Staffing, & Explanations) CPR is Mandatory for EVMS EIA-748 contracts & optional for C/SSR contracts Cost/Schedule Status Report = DI-MGMT-81467 = 2 Formats (WBS & Explanations) or ‘Tailored’ CPR Management Reserve Work PackagesPlanning Packages OVERRUN AUW Control Accounts NCC Undistributed Budget OTB CBB TAB Profit / Fees PMB Summary Level Planning Packages Contract Price

2. Earned Value Management ‘Gold Card’ Defense Acquisition University VARIANCES Favorable is Positive, Unfavorable is Negative Cost Variance CV= BCWP – ACWPCV % = (CV / BCWP) * 100 Schedule Variance SV= BCWP – BCWSSV % = (SV / BCWS) * 100 Variance at CompletionVAC= BAC – EAC PERFORMANCE INDICES Favorable is > 1.0, Unfavorable is < 1.0 Cost EfficiencyCPI = BCWP / ACWP Schedule EfficiencySPI = BCWP / BCWS OVERALL STATUS % Schedule = (BCWS CUM / BAC) * 100 % Complete= (BCWP CUM / BAC) * 100 % Spent= (ACWP CUM / BAC) * 100 ESTIMATE AT COMPLETION # EAC= Actuals to Date+ [(Remaining Work) / (Efficiency Factor)] EAC CPI = ACWP CUM + [(BAC – BCWP CUM ) / CPI CUM ] = BAC / CPI CUM EAC Composite = ACWP CUM + [(BAC – BCWP CUM ) / (CPI CUM * SPI CUM )] TO COMPLETE PERFORMANCE INDEX (TCPI) # TCPI EAC = Work Remaining / Cost Remaining = (BAC – BCWP CUM ) / (EAC – ACWP CUM ) # To Determine Either TCPI or EAC; You May Replace BAC with TAB Management Reserve Cost Variance Schedule Variance ACWP BCWP BCWS $ EAC Time Now Completion Date PMB TAB BAC time Earned Value Management ‘Gold Card’ Defense Acquisition University VARIANCES Favorable is Positive, Unfavorable is Negative Cost Variance CV= BCWP – ACWPCV % = (CV / BCWP) * 100 Schedule Variance SV= BCWP – BCWSSV % = (SV / BCWS) * 100 Variance at CompletionVAC= BAC – EAC PERFORMANCE INDICES Favorable is > 1.0, Unfavorable is < 1.0 Cost EfficiencyCPI = BCWP / ACWP Schedule EfficiencySPI = BCWP / BCWS OVERALL STATUS % Schedule = (BCWS CUM / BAC) * 100 % Complete= (BCWP CUM / BAC) * 100 % Spent= (ACWP CUM / BAC) * 100 ESTIMATE AT COMPLETION # EAC= Actuals to Date+ [(Remaining Work) / (Efficiency Factor)] EAC CPI = ACWP CUM + [(BAC – BCWP CUM ) / CPI CUM ] = BAC / CPI CUM EAC Composite = ACWP CUM + [(BAC – BCWP CUM ) / (CPI CUM * SPI CUM )] TO COMPLETE PERFORMANCE INDEX (TCPI) # TCPI EAC = Work Remaining / Cost Remaining = (BAC – BCWP CUM ) / (EAC – ACWP CUM ) # To Determine Either TCPI or EAC; You May Replace BAC with TAB Management Reserve Cost Variance Schedule Variance ACWP BCWP BCWS $ EAC Time Now Completion Date PMB TAB BAC time