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Risk management - The process of thinking systematically about all potential outcomes before they happen and determining procedures that will avoid them, minimize their impact, or cope with their impact.
Gantt chart is a horizontal bar chart developed as a production control tool in 1917 by Henry L. Gantt, an American engineer and social scientist. Frequently used in project management, a Gantt chart provides a graphical illustration of a schedule that helps to plan, coordinate, and track specific tasks in a project.
Cost baseline - time-phased budget that is used as a basis against which to measure, monitor, and control overall cost performance on the project.
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Time
It is developed by summing estimated costs by period and is usually displayed in the form of an S-curve
Activities
• AOA and AON networks
• Critical path calculation
• PERT
Activity estimates follow the Beta Probability Distribution:
Expected time: te= (to+ 4tm + tp)/6
Variance of activity completion time: [(tp- to)/6]2
Project variance σ2: sum of the variances of activities on the critical path
Project standard deviation: σp =√project variance
• Crashing
• EVM
• Planned Value PV (BCWS): Budgeted Cost of Work Scheduled (for every period the budgets of the tasks that were planned to be finished in this time unit)
• Earned Value EV (BCWP): Budgeted Cost of Work Performed (for every period the budgets of the tasks that actually finished in this time unit)
• Actual Cost AC (ACWP): Actual Cost of Work Performed (for every period the actual costs of the work)
EVM indexes and variances
Schedule Variance SV= EV – PV
Cost Variance: CV= EV – AC
Cost Performance Index CPI = EV / AC
Schedule Performance Index SPI = EV / PV
• Risk management plan
• WBS
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