Question

Question Relates to Project Management

TERMS

CPI – Cost Performance Index

SPI – Schedule Performance Index

SV- Schedule Variance

CV- Cost Variance

Can the CPI and SPI give you a different information about your project that the SV and CV didn’t already give you. I guess what I want to know is if the SV CV are negative result can the CPI AND SPI be 1.0 or greater?

Well, the answer to that is straightforward! Right people! Right?  The answer is … is what class? WHAT DO YOU THINK? EXAMPLES PLEASE…

Answer 1

SPI

The Schedule performance index demonstrates value of earned value to planned value. After calculation if result is less than '1', It means that the ongoing project is behind schedule, If result SPI is bigger than one, it tell you that project is running ahead of its time, Same as it a perfect SPI indicates a perfectly scheduled project.

To obtain the percentage of difference in the schedule timing we have to subtract the SPI from one.

CPI

The Cost performance index demonstrate ratio of earned value to actual costs. Bigger result than one indicates that expenses are being done efficiently & lesser than one indicates less efficient project. It is used to measure efficiency of total expenses on o project.

Providing SPI or CPI to the CIO helps project to overcome current situation & find best solution to overcome issue is project is late. If the project is on time then this info may be exchanged with CIO to maintain same.