How do you calculate SPI and CPI?
The cost performance index (CPI) is a measure of the conformance of the actual work completed (measured by its earned value) to the actual cost incurred: CPI = EV / AC. The schedule performance index (SPI) is a measure of the conformance of actual progress (earned value) to the planned progress: SPI = EV / PV.
What does a SPI value of 1 mean?
If the ratio has a value higher than 1 this indicates the project is progressing well against the schedule. If the SPI is 1, then the project is progressing exactly as planned. If the SPI is less than 1 then the project is running behind schedule.
What are formulas for earned value Management?
Calculating earned value
- Planned Value (PV) = the budgeted amount through the current reporting period.
- Actual Cost (AC) = actual costs to date.
- Earned Value (EV) = total project budget multiplied by the % of project completion.
How is SPI and CPI calculated with example?
Earned Value Analysis Example 1
- Cost Performance Index (CPI) = EV / AC = $90,000 / $100,000 = 0.90. This means for every $1 spent, the project is producing only 90 cents in work.
- Schedule Performance Index (SPI**)** = EV / PV = $90,000 / $135,000 = 0.67.
How do you calculate the SPI?
To calculate your project’s SPI performance, the formula is:
- Schedule Performance Index (SPI) = Earned Value (EV) / Planned Value (PV)
- SPI = EV / PV.
What does a CPI of 1.3 mean?
If the ratio has a value higher than 1 then it indicates the project is performing well against the budget. A CPI of 1 means that the project is performing on budget. A CPI of less than 1 means that the project is over budget.
What does an SPI of .9 mean?
Project is right on schedule
What does an SPI of 0.9 mean? Project is right on schedule. Project is behind schedule and in need of schedule compression.
How is SPI calculated in project management?
What is SPI PMP?
“The Schedule Performance Index (SPI) is a measure of schedule efficiency, expressed as the ratio of earned value to planned value.” At the core, the SPI gives insight into the accuracy of the predicted schedule compared to the actual schedule of the project.
How is CPI marks calculated?
How are CPI marks calculated? CPI marks are calculated by dividing the sum of SPI’s by the number of semesters. CPI = SPIs (SEM1+SEM2+SEM3+SEM4+SEM5+SEM6+SEM7+SEM8)/8.
How to calculate the Cost Performance Index ( SPI )?
The Cost Performance Index specifies how much you are earning for each dollar spent on the project. It shows how well the project is sticking to the budget. You can calculate the Cost Performance Index by dividing the earned value by the actual cost.
What is the formula to calculate the CPI?
The formula to calculate CPI is as follow: Cost Performance Index (CPI) = Earned Value (EV) / Actual Cost (AC)
Which is more important, the CPI or the SPI?
In both SPI and CPI formulas, Earned Value is at the top (numerator). CPI is considered as the most critical earned value measure, and is one of the most important concepts for the exam. SPI and CPI values of less than 1 are considered unfavorable and the values greater than 1 are considered favorable.
What is the formula for Schedule Performance Index?
The formula for SPI is really simple. Schedule Performance Index = Earned Value / Planned Value