September 19th, 2016
A recent McKinsey report estimates that 98 percent of large-scale projects face cost overruns or delays, and the average cost increase is 80 percent. With the complexity involved for such projects, it’s far too easy for stakeholders to discover that their budgets are underwater only when it’s far too late to make a difference. But suppose there was a way to reliably predict when a project was going to finish, and how much it was going to cost, at less than 20% of the way in? This is the extraordinary, under-hyped ability of Earned Value Management (EVM).