Acceptance (This section should be modified for best application to specific projects. Include all project team members that should have some level of authority regarding document review and approval.) Approved by: Date: <Name of Approver> Executive Sponsor Date: <Name of Approver> Business Sponsor Date: <Name of Approver> Project Director/Manager Date: <Name of Approver> Stakeholder Glossary (This section includes definitions for the standard Earned Management terms. This section should be modified for best application to specific projects. Include all terms that may be needed to ensure complete understanding by those who are responsible for document review and approval.) Cost Performance Index (CPI) measures the value of the work completed compared to the actual cost of the work completed. CPI is calculated as EV/AC. If CPI is equal to 1 the project is considered to be on budget. If CPI is greater than 1, the project is considered to be under budget. If CPI is less than 1, the project is considered to be over budget. Cost Variance (CV) is a measurement of the budget performance for a project. CV is calculated by subtracting Actual Costs (AC) from EV. As explained in the paragraph above, EV is the actual value earned in the project. AC represents actual costs incurred to date. Subtracting AC
Acceptance (This section should be modified for best application to specific projects. Include all project team members that should have some level of authority regarding document review and approval.) Approved by: Date: <Name of Approver> Executive Sponsor Date: <Name of Approver> Business Sponsor Date: <Name of Approver> Project Director/Manager Date: <Name of Approver> Stakeholder Glossary (This section includes definitions for the standard Earned Management terms. This section should be modified for best application to specific projects. Include all terms that may be needed to ensure complete understanding by those who are responsible for document review and approval.) Cost Performance Index (CPI) measures the value of the work completed compared to the actual cost of the work completed. CPI is calculated as EV/AC. If CPI is equal to 1 the project is considered to be on budget. If CPI is greater than 1, the project is considered to be under budget. If CPI is less than 1, the project is considered to be over budget. Cost Variance (CV) is a measurement of the budget performance for a project. CV is calculated by subtracting Actual Costs (AC) from EV. As explained in the paragraph above, EV is the actual value earned in the project. AC represents actual costs incurred to date. Subtracting AC
TBSMCostManagementPlan.docx