Budgeted cost of work scheduled
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Budgeted Cost of Work Scheduled (BCWS) is also referred to as Planned value (PV). In Project Management (PM) speak, PV is part of the earned value management, which is used to accomplish the Performance Measurement Analysis technique, a tool and technique used in the cost control process. PV is nothing more than the approved budget that has been allocated to complete a schedule activiy or Work Breakdown Structure (WBS) component during a specific time period. In other words, if there was a WBS component called "Test hardware" and the approved budget to accomplish this task is $1000, then the PV would be $1000. This is only true if, and only if, at the time of PV measurement the test hardware compent is supposed to be complete at that time. If you were only half way through this WBS component, then the PV would only be $500 because you are only half way through completing this task. In simpler terms, you planned on only spending half of the budget at this point. To sum up PV in a few words, PV is the amount of money that you planned to have spent at the point of measurement.
[edit] See also
[edit] Literature
- Fleming, Quentin (2005). Earned Value Project Management, Third Edition, Project Management Institute. ISBN 1-930699-89-1.
- (1998) ANSI EIA-748A Standard, June1998, Electronic Industries Alliance.
