Value Analysis Essay
Meredith explains the three most common project-reporting systems are “routine, exception, and special analysis” (Meredith, 2009, p. 447). Regular can refer to a calendar date, but most often, refers to the publication of a project milestones. Exception reporting occurs when decisions affecting the team members and the project status occur. These usually involve a deviation from plan that the project manager needs to document for protection of the team as well as self-preservation. The astute project manager uses this reporting type sparingly. Special analysis reporting results from extraordinary circumstance that arises during the project. Material substitutions or process …show more content…
A better method uses earned value analysis. The “concept of earned value combines cost reporting and aggregate performance reporting into one comprehensive chart” or measurement document (Meredith, 2009, p. 452). This can be an invaluable “early warning tool, allowing a project manager to identify and control problems before they become insurmountable” (Nagrecha, 2002). By going beyond traditional accounting measures of progress and looking at the work in progress, a project manager has specific insight into potential areas of risk.
To facilitate earned value analysis reporting, the project manager needs to identify which tasks within the project have been finished and are 100% complete; which tasks have not been started and are 0% complete; and “which tasks are started but are not yet finished; for these we can estimate a percent completion” (Meredith, 2009, p. 451). There are many “rules” used to aid a project