Recently, I was given the task of writing a short (4 – 5 page) paper on the basics of Earned Value Management (EVM), and why it’s useful for medium to large organizations in managing their projects. The idea was to deal with the “why”, not the “how”. I worked in a large aerospace organization for over two decades and we used EVM extensively. It is, after all, a requirement for all government contractors.
A Plethora of Acronyms Revealed
Having retired from that industry a little over four years ago, I was a bit rusty. However, you can’t have that stuff drummed into your head without it engraving itself fairly deeply on your consciousness. It didn’t take me long to come back up-to-speed. In fact, the biggest problem I had was knowing where to stop. EVM is full of acronyms and formulae (BCWS, BCWP, ACWP, SPI, CPI, etc., etc., etc.), all of which I’m fairly certain are useful . . . when used intelligently. As with most things, how valuable they are depends a great deal on what you’re trying to accomplish, how prepared and disciplined you are, and how well you execute over time.
Now this brings me to a somewhat vexing problem and the reason I’m sharing this. I could swear there’s a good argument somewhere as to why EV is not a very good method for managing a project. However, when I searched for problems or reasons not to use EV, all I could find were lists of where organizations go wrong because they don’t plan properly, they don’t pay attention to detail, or they don’t use tools as they’re designed to be used.
So I have a question, which I am now going to throw out into the aether. Assuming some who read this actually know about, and have experience with, Earned Value Management and maybe one or more of the systems used to facilitate its proper application, are you aware of any reasons NOT to use EVM and, if so, could you point me to a resource or school me on the subject? Thanks.
Leave a comment | tags: acronyms, ANSI 748, contract management, contract performance, Earned Value, Earned Value Management, EVM, EVMS, formulae, government contracts, PMBOK, PMI, program management, project management | posted in Business, Decision Intelligence, Government & Civics, Knowledge Management, Professional, Systems Thinking
Working Out Loud – What a Bright Idea!
I recently posted a little bit about a presentation I gave entitled “The Crowd, The Cloud, and Working Out Loud”. One of the examples I’ve always given when explaining the value of working out loud (sometimes referred to as “Observable Work”) is that of eliminating monthly progress reports. Most anyone who’s had to do these knows how time-consuming they can be and how much of the information meant to be conveyed by them is lost or distorted as it moves up the corporate power structure.
The whole idea of working out loud is to make the things we’re doing more (and more immediately) visible to those who need or can use such information. In this way, less fidelity is lost in translation and useful information and knowledge are available quicker than with conventional methods, which generally take more than a month before they get filtered, rehashed, and finally communicated.
At any rate, I am currently working on a short introductory paper on the usefulness of an Earned Value Management System (EVMS) and, in doing so, I was searching through some of my old papers, etc. I came across a status report I sent to my managers at what was then called Boeing North American, Inc. – Rocketdyne Division (part of the Boeing Defense & Space Group) on October 1, 1999. Interesting, the subject is “August 1999 Status Report”, so it looks like information lagged even further behind than I have been thinking.
The sections of the report are Accomplishments, Issues, and Performance Improvements. In each of the first two sections there’s some serious stuff being addressed regarding our effort at the time to complete 10 High Pressure Fuel Turbopumps for the Space Shuttle Main Engine. I find it somewhat fascinating to read this stuff after almost 15 years have passed.
However, what really stood out for me is the final entry under Performance Improvements. As I have indicated, I’m not a big fan of status reports . . . and here’s what I had to say in that section:
Probably lots of little things. Nothing significant I can remember. Oh! I’ve started using a 7-Iron again to chip around the greens. I chipped in for a birdie on number 10 at Simi the other day. That was an improvement.
Although I have no specific recollection of writing that bit of important information, I am not surprised. Clearly, I did not take the authoring of status reports any more seriously back then than I do now. Neither should you.
Leave a comment | tags: 7-Iron, Boeing, chipping, Earned Value, EVMS, Golf, status report, Working Out Loud | posted in Knowledge Management, Professional