Earned value management (EVM)

Earned value management (EVM) is a project management technique for measuring project performance and progress in an objective manner.
Because EVM has the ability to combine measurements of:

• scope
• schedule
• and cost,

In a single integrated system, Earned Value Management is able to provide accurate forecasts of project performance problems, which is an important contribution for project management.
EVM research showed that the areas of planning and control are significantly impacted by its use; and similarly, using the methodology improves both scope definition as well as the analysis of overall project performance. The principles of EVM are positive predictors of project success.
Essential features of any EVM implementation include:-
1. A project plan that identifies work to be accomplished,
2. A valuation of planned work, called Planned Value (PV)
3. Pre-defined “earning rules” (also called metrics) to quantify the accomplishment of work, called Earned Value (EV) pre-defined “earning rules” (also called metrics) to quantify the accomplishment of work, called Earned Value (EV)