Earned Value Analysis

To monitor and manage cost and schedule, project managers use an Earned Value Analysis (EVA). EVA uses "work in progress" to indicate the future of a project. while traditional methods of accounting focus on planned expenditure and actual costs, EVA examines actual cost at any period during the progress of a project. This provides project managers greater insight into potential risk areas and allows them to plan ahead with risk mitigation plans based on actual cost, schedule and technical progress of the work. EVA provides project managers an "early warning" and enables them to identify and control problems before they become out of control.