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Formulas And The Project Manager
Whether you are attending your first project manager course or gained your qualifications a while ago, there is one thing that you are sure to notice, and that is that when it comes to project management, there are a lot of formulas.
In fact, there are formulas for pretty much everything; and they can really help you in your role, as long as you remember them, of course.
The project management maturity model
This is a critical model as it provides a mechanism that allows you to assess an organization’s capabilities by measuring the maturity of its project management processes. It can be used as an action plan to help push improvements within an organization.
Schedule performance index
The schedule performance index, or SPI, is a measure that is used to determine how close a project is to actually being completed in comparison to its actual scheduled completion date. It is calculated as a ratio by dividing the cost budgeted for work performed, or the earned value, by the planned value.
Cost performance index
Often seen referred to as CPI, this is the calculation used to measure the efficiency and effectiveness in any project’s financial terms. It represents the amount of work that has been completed for each unit of the cost that has been spent. This is calculated as a ratio by dividing the cost that has been budgeted for all completed work, or the earned value, by the cost of the actual work that has been carried out.
Planned value in project management
When it comes to project management, this calculation is essential and is used to monitor a project’s costs compared to a baseline value.
Estimate at completion
Estimate at completion, or EAC, is a forecasting technique often used to estimate what a project might cost. There are several different ways that this can be done. For any project manager who is trying to ensure that they work to a tight budget, this calculation can prove to be vitally important in producing a successful outcome.
Project management courses
There are so many of these calculations that can really help in the day to day running of any project that you are involved in (those listed represent just a few of them) that it is well worth taking the time to learn about them all fully. This could make all the difference to any role in project management that you undertake and help you effectively keep on top of your project no matter how complex it is. From online learning to in-person tuition, whether in larger groups or smaller ones, there are plenty of project manager courses out there that will really help you to get to grips with these formulas and calculations and show you how to use them in a real project management environment.