Earned Value Basic Performance Metrics

• Cost Variance : Difference between projected cost and actual cost. \[CV = EV - AC\]

• Schedule Variance : Difference between projected schedule and actual schedule. \[SV = EV - PV\]

• Schedule Performance Index : A measure of how close the project is to performing work as it was actually scheduled. \[SPI = \dfrac{EV}{PV}\]

• Cost Performance Index :A measure of how close the project is to spend on the work performed to what was planned to have been spent. \[CPI = \dfrac{EV}{AC}\]

Solved Example: 9011-01

Earned value management introduces a method to answer how much has been:

A. Left

B. Assigned

C. Accomplished

D. Projected

Correct Answer: C

Solved Example: 9008-01

Which one of the following is captured in the Work Breakdown Structure (WBS)?

A. The life cycle phases

B. The logical order of tasks

C. The scope of the project

D. Project costs

Correct Answer: C

Solved Example: 9008-02

In a work-breakdown structure, the _________ approach to planning is adopted. (JKSSB JE CE Shift I Oct 2021)

A. Bottom-up

B. Horizontal

C. Top-down

D. De-centralised

Correct Answer: C

Solved Example: 9010-01

Pessimistic time and optimistic time of completion of an activity are given as 10 days and 4 days respectively, the variance of the activity will be: (JKSSB JE ME 2015)

A. 1

B. 6

C. 12

D. 18

Correct Answer: A

Solved Example: 9010-02

In construction project planning, free float can affect which of the following? (CIL MT Civil : 2017)

A. Only that particular activity

B. Succeeding activity

C. Overall completion

D. Preceding activity

Correct Answer: D

Solved Example: 9010-03

A PERT network has 9 activities on its critical path. The standard deviation of each activity on the critical path is 3. The standard deviation of the critical path is: (GATE ME 2021 Shift II)

A. 3

B. 9

C. 81

D. 27

Correct Answer: B

Solved Example: 9010-04

The time by which the activity completion time can be delayed without affecting the start of succeeding activities is known as: (SSC JE CE Mar 2017 Evening)

A. Duration

B. Total float

C. Free float

D. Interfering float

Correct Answer: C

Solved Example: 9010-05

Gantt chats are used for: (MPSC AMVI III: Set A/2011)

A. Forecasting sales

B. Production schedule

C. Scheduling and routing

D. Linear Programming

Correct Answer: B

Solved Example: 9010-06

A point which represents either starting or termination of activity is known as _______.(UPRVUNL AE ME July 2022)

A. Loop

B. Network

C. Event

D. Algorithm

Correct Answer: C

Solved Example: 9010-07

Dangling phenomenon in a network diagram: (UPRVUNL AE ME Shift I Jul 2022)

A. Should be increased to the maximum possible extent.

B. Should be avoided.

C. Should be encouraged.

D. Should be inserted compulsorily.

Correct Answer: B

Solved Example: 9010-08

In a network diagram, an activity having a dotted arrow between activities is often referred to as a/an ________ activity. (UPRVUNL AE ME Shift I July 2022)

A. Failed

B. Risky

C. Important

D. Dummy

Correct Answer: D

Solved Example: 9009-01

Critical path method is good for: (UPPSC AE Mechanical Dec 2020)

A. Small project only

B. Large project only

C. Both small and large projects equally

D. Neither small nor large projects

Correct Answer: B

Solved Example: 9009-02

CPM method of network analysis is

1. Ideally suited for linearly extending works
2. Meant essentially for research and development activities.
3. Activity-oriented
4. Used for planning, scheduling and controlling purposes

A. 1 and 2 only

B. 2 and 3 only

C. 3 and 4 only

D. 1 and 4 only

Correct Answer: C

Solved Example: 9009-03

The particular task performance in CPM is known as: (BPSC AE Paper IV Mar 2022)

A. Dummy

B. Event

C. Activity

D. Contract

Correct Answer: C

Solved Example: 9009-04

Total float can be expressed as:

(a) latest start time - earliest start time

(b) latest finish time - earliest finish time

A. Both (a) and (b) are false

B. (a) is true but (b) is false

C. Both (a) and (b) are true

D. (a) is false but (b) is true

Correct Answer: C

Solved Example: 9009-05

The critical path: (BPSC AE Paper IV Mar 2022)

A. Is a path that operates from the starting node to the end node

B. Is a mixture of all paths

C. Is the longest path

D. Is the shortest path

Correct Answer: C

Solved Example: 9009-06

A project has 6 activities (A to F) with respective activity durations 7, 5, 6, 6, 8, 4 days. The network has three paths A-B, C-D and E-F. All the activities can be crashed with the same crash cost per day. The number of activities that need to be crashed to reduce the project duration by 1 day is: (VIZAG MT Mech 2013)

A. 1

B. 2

C. 3

D. 6

Correct Answer: C

Solved Example: 9009-07

When a project is crashed: (ESE Mechanical 2018)

A. Both direct and indirect costs increase

B. Indirect costs increase, and direct costs decrease

C. Direct costs increase, and indirect costs decrease

D. cost are of no criterion

Correct Answer: C

Solved Example: 9012-01

How is Agile planning different from the traditional approach to planning?

A. Agile planning is done only once

B. Agile planning is non iterative

C. Agile planning places emphasis on the plan

D. Agile planning places emphasis on planning and is iterative

Correct Answer: D

Solved Example: 9012-02

What is the unit of measurement that is used to measure the size of a user story for an Agile project?

A. Function points

B. Story points

C. Work breakdown points

D. Velocity points

Correct Answer: B

Solved Example: 9012-03

When forming an Agile project team it is BEST to use:

A. Generalized Specialists

B. Top management officials

C. Highly specialized developers

D. All of the above

Correct Answer: A