1. 2. 3. 4. 5. 6. 7.
PERT Standard Deviation Variance Float or Slack Cost Variance Schedule Variance Cost Perf. Index
(P + 4M + O )/ 6 Pessimistic, Most Likely, Optimistic (P - O) / 6 [(P - O)/6 ]squared LS-ES and LF-EF EV - AC EV - PV EV / AC EV / PV BAC / CPI, AC + ETC -- Initial Estimates are flawed AC + BAC - EV -- Future variance are Atypical AC + (BAC - EV) / CPI -- Future Variance would be typical
8. Sched. Perf. Index
9. Est. At Completion (EAC) 10. Est. To Complete Percentage complete
EAC - AC EV/ BAC
11. Var. At Completion BAC - EAC 12. To Complete Performance Index TCPI 13. Net Present Value 14. Present Value PV 15. Internal Rate of Return 16. Benefit Cost Ratio 17. Payback Period Values for the TCPI index of less then 1.0 is good because it indicates the efficiency to complete is less than planned. How efficient must the project team be to complete the remaining work with the remaining money? ( BAC - EV ) / ( BAC - AC ) Bigger is better (NPV) FV / (1 + r)^n Bigger is better (IRR) Bigger is better ((BCR or Benefit / Cost) revenue or payback VS. cost) Or PV or Revenue / PV of Cost Less is better Net Investment / Avg. Annual cash flow. PV EV AC
18. BCWS 19. BCWP 20. ACWP 21. Order of Magnitude -25% - +75% (-50 to +100% PMBOK) Estimate 22. Budget Estimate 23. Definitive Estimate 24. Comm. Channels 25. Expected Monetary Value 26. Point of Total Assumption (PTA) N(N -1)/2 Probability * Impact
-0.35 -0.15
((Ceiling Price - Target Price)/buyer's Share Ratio) + Target Cost 1 = 68.27% 2 = 95.45%
Sigma
Sigma
3 = 99.73% 6 = 99.99985% Net Income Before Taxes (NEBT) / Total Sales OR Net Income After Taxes ( NEAT ) / Total Sales NEBT / Total Assets OR NEAT / Total Assets NEBT / Total Investment OR NEAT / Total Investment Current Assets - Current Liabilities Cash Flow X Discount Factor Savings = Target Cost Actual Cost
Return on Sales ( ROS ) Return on Assets( ROA ) Return on Investment ( ROI ) Working Capital Discounted Cash Flow
Contract related formulas
Bonus = Savings x Percentage Contract Cost = Bonus + Fees Total Cost = Actual Cost + Contract Cost