• This Tech-Clarity TV animation explains how companies can combat industry disruption from new, innovative companies and business models in the food and beverage industry by adopting the digital enterprise. It's no secret that companies like Amazon, Blue Apron, HelloFresh, and more are changing the way consumers and consumer packaged goods companies relate. This video shares how companies can become more innovative and agile to compete with these challengers through the value of digitalization, and provides an example of what a digital food and beverage company looks … [ read more ]

    Digitalization in the Food and Beverage Industry (Animation)
  • Join Tech-Clarity's Jim Brown in a lively discussion with Planview NPD Evangelist Carrie Nauyalis discussing how to effectively measure product innovation. The duo will discuss the pitfalls of measuring innovation based on prior performance, the top five measures companies can use to measure innovation capability, and what's needed to get started measuring innovation to improve outcomes.Register for the November 30th webcast now, sponsored by Planview (free of charge, registration required).  … [ read more ]

    Top 5 Metrics to Stop Measuring Innovation in the Rearview Mirror (webcast)
  • Jim Brown will moderate this IEEE webcast featuring Gentherm Director of Engineering Systems Marinko Lazanja and PTC's Senior Director of Product Management Graham Birch. The webcast will share the importance of managing Bills of Material and product structures to avoid common inefficiencies and errors, but also to serve as the digital product backbone for the digital enterprise. The webinar will be an interactive discussion focusing on the things companies should look for when evaluating a solution to support BOM Management, including:Software Requirements (functionality) Service Needs (including … [ read more ]

    Select the Right PLM Solution for BOM Management (webcast)
  • This episode of Tech-Clarity TV explores how food and beverage industry can avoid industry disruption from a new class of competitors, including the likes of Amazon, Blue Apron, HelloFresh, and others. It shares how digitalization can help R&D innovate faster, readily customize products to customer needs, and respond to the market with both agility and quality.This video is part of a series of videos showing how digitalization can help food and beverage companies compete with these innovative, digital industry competitors that are disrupting the status quo.The video series is sponsored by … [ read more ]

    Raising the Bar in R&D with Digitalization and the Digital Enterprise (video)
  • On Tuesday November 21, 2017  please join Christopher Rösner, General Requirements Manager at e.GO mobile AG, Tech-Clarity's Michelle Boucher, and Che Curnew, Senior Technical Sales Specialist at PTC for a discussion on the benefits of a better approach to requirements management. This session will be an interactive interview to share different perspectives and experiences on requirements management. The discussion will include topics such as:How a Requirements Management solution can help your business How to identify specific requirements needs How to select the right solution for your … [ read more ]

    Selecting the Right Requirements Management Solution (webcast)

Reducing Program Risk with EVM

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EVM-thumbReducing Program Risk with Earned Value Management explores the business value of Earned Value Management (EVM) processes and tools and how they can streamline program execution and drive down risk. The eBook shares a brief overview of EVM in business terms and shares how EVM helps companies gain control of programs, monitor and correct program health, boost visibility and management oversight, and demonstrate program control to customers. The eBook also shares how companies can leverage PLM to file the gap most companies have in creating an Earned Value Management (EVMS) system.

Please enjoy the summary below, or click the report to download a PDF overview (free of charge, no registration required).

For the full report, please visit our sponsor Dassault Systèmes (free of charge, registration required).

Why Earned Value Management?

EVM-FrameworkLarge programs are notoriously difficult to deliver on time and on budget. But expectations are high on program managers and program management offices (PMOs) even in the face of increased complexity from multi-discipline initiatives, intense budget scrutiny, and globally dispersed supply chains. Earned Value Management (EVM) helps reduce risk on high cost, high risk, time-sensitive programs. It improves a program’s odds for success and provides accountability and traceability into cost and schedule variances. It adds a new level of control, oversight, discipline, and rigor to program management to prevent cost overruns, missed scheduled milestones, and late delivery dates.

EVM improves program management by eliminating subjectivity. The approach lets program managers factually quantify program spending and progress. It provides a mechanism to identify and mitigate issues early before things get too far off track. It also offers a standard, proven way for customers and program sponsors to audit progress to gain confidence that the programs they’re funding are on track. Many companies choose to adopt EVM to improve program success. Others are required to use EVM for specific customers, contract types, and contract values or may need to demonstrate earned value to justify billing. Either way, EVM adds value and improves confidence in program delivery.

DCMA_ShieldCompliance with ANSI/EIA-748 is required for DoD cost or incentive type contracts valued at or greater than $20 million. For cost or incentive type contracts valued at or greater than $50 million, compliance with the management attributes of the ANSI/EIA-748 32 GLs is demonstrated through a formal EVMS validation process. – Defense Contract Management Agency Instruction 208

 

Conclusion and Recommendations

EVM helps mitigate program schedule and budget risk. It helps companies manage large, complex, time-sensitive, risky programs. Further, it’s required to do business in some industries. EVM provides control, connects program data, helps monitor and correct program health, provides visibility to improve management insight, and demonstrates control to customers to increase their confidence.

EVM requires an organizational and systems investment. Today’s advanced PLM systems provide an opportunity to extend existing infrastructure to connect disparate program information from schedule and cost systems, calculate EVM, and provide management insights in context with products and programs.

Based on industry experience and research for this report, Tech-Clarity offers the following recommendations:

  • Leverage PLM as the backbone for the EVMS, connecting EVM with programs and program deliverables.
  • Look for solutions that already incorporate the right data model, processes, and algorithms. There is no need to create this from scratch.
  • Look for a solution that offers flexibility to extend reporting and processes to accommodate additional customer or management needs.

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