Earned Value Management (EVM) is an industry standard method for measuring project performance developed for the U.S. Department of Defense. It focuses on predicting cost overruns early, and takes its measures from the time-phased project budget and the actual work completed to date.
EVM was created by the United States Department of Defense as C/SCSC (Cost/Schedule Control Systems Criteria). The model was canceled in 1996 to accept an industry rewrite, which created new, simpler terms, such as planned value, earned value, actual cost, etc. The NSIA (National Security Industrial Association) led the rewrite to transfer ownership of EVM from the government to private sector. In 1998, the new EVMS was accepted as an ANSI standard, called ANSI/EIA 748.
This best practice explains the basic building blocks of EVM and how it is supported by Planview Enterprise.
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