What is Tcpi in project management?
What is Tcpi in project management?
TCPI is a calculated projection of cost performance that a project must achieve on the value of the remainder of the project work to achieve a specified end result.
What does negative schedule variance mean?
behind schedule
If schedule variance is negative then the project is behind schedule. If the cost variance is positive then the project is under budget. If the schedule variance is positive then the project is ahead of schedule. If the cost variance is zero then the project is on budget.
What is CPI and SPI in project management?
The Cost Performance Index (CPI) is defined as the ratio of Earned Value to Actual Cost, while the Schedule Performance Index (SPI) is defined as the ratio of cumulative Earned Value to cumulative Planned Value (PMI, 2000). Both CPI and SPI are traditionally defined in terms of the cumulative values.
What if SPI is less than 1?
If the SPI is 1, then the project is progressing exactly as planned. If the SPI is less than 1 then the project is running behind schedule.
What does Tcpi greater than 1 mean?
TCPI < 1 – it means that project has more funds and less work. It is easier to complete the project. TCPI = 1 – it means that project has just enough funds to complete the work. TCPI > 1 – it means that project has less funds and more work. It is difficult to complete the project.
Why is Tcpi significant?
Purpose of To Complete Performance Index (TCPI) The TCPI helps Program Managers and Earned Value Professionals determine the future efficiency of a project. It tells them how to effectively use their resources to complete the project on budget.
Is a negative variance good or bad?
A favorable budget variance refers to positive variances or gains; an unfavorable budget variance describes negative variance, indicating losses or shortfalls. Budget variances occur because forecasters are unable to predict future costs and revenue with complete accuracy.
What does a negative coefficient of variation mean?
The coefficient of variation divides by the mean rather than the absolute value of the mean. If the mean is negative, the coefficient of variation will be negative while the relative standard deviation (as defined here) will always be positive.
How is CPI and SPI calculated?
CPI is the measurement of deviation from the estimated cost of the project. SPI is the deviation from the scheduled time for project. If CPI is less than 1 then project is over budget. If SPI is less than 1 then project is behind schedule.
What is SPI and CPI result?
What are SPI and CPI results? The full form of SPI is the Schedule Performance Index whereas the full form of CPI is Cost Performing Index. SPI measures the schedule efficiency of a product and the cost-efficiency of a product is measured by CPI.
How is SPI calculated?
The SPI calculation easily displays how close the work is to progressing within the original schedule estimate. Using the formula SPI = EV / PV, the project manager will have a value of less than 1 (project behind schedule), of 1 (project on schedule), or greater than 1 (project ahead of schedule).
What does a negative Tcpi mean?
The closer the project is to completion the higher the CPI that will be necessary to complete on budget. It can become extreme near the end. Also, if the project has already spent more than its budget the TCPI will be negative. This indicator tends to be a bigger red flag than other indicators.