1、Lessons Learned Entry: 1409Lesson Info:a71 Lesson Number: 1409a71 Lesson Date: 2004-04-28a71 Submitting Organization: KSCa71 Submitted by: Glenn Rhodeside/Hector DelgadoSubject: Earned Value Management/“RESULTS OF A NASA KENNEDY SPACE CENTER EARNED VALUE MANAGEMENT PILOT PROJECT“/Project Management
2、Abstract: Earned value management (EVM) is a technique used throughout the aerospace industry. An EVM system requires the establishment of a controlled Performance Measurement Baseline (PMB) against which cost, schedule, and technical performance can be integrated and assessed. However, it has only
3、been relatively recently that the rigorous methodologies of EVM have been applied to small projects and/or to in-house Government activities. “Small” projects may be defined as those with a total dollar value of less than $5M, although this is subjective and must be put in the greater context of an
4、individual project and its organizational environment. A set of NASA Kennedy Space Center (KSC) projects with a dollar range from approximately a few hundred thousand to a few million dollars implemented earned value management as part of a pilot initiative. At least a portion of the work was in-hou
5、se Government activity. The objectives were to uncover the strengths and weaknesses of EVM for projects of that type and size and to determine what obstacles would stand in the way of EVM implementation. The pilot would identify solutions to these obstacles, if possible. The value of the KSC pilot w
6、as to collect data in a structured way rather than just relying on defining issues anecdotally. While there has been much verbal discussion on the subject, a literature search produced little dealing explicitly with what size of projects to apply EVM. Government policy and related documents have tra
7、ditionally dictated total contract value dollar thresholds for the application of EVM and state that it is optional below those thresholds. There is often no discussion as to why the thresholds are what they are versus a lower or a higher number. Description of Driving Event: KSC Earned Value Manage
8、ment Pilot with Eight Development ProjectsProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-Lesson(s) Learned: The pilot program demonstrated the difficulty in introducing a new method in an environment that is very dynamic. There are many lessons lear
9、ned in order to help future endeavors. Training: Although training was given to all project teams, perhaps the time needed and number of examples presented were not sufficient to explain all facets of the subject matter. Perhaps the time should be lengthened to at least two days from half a day, thu
10、s allowing more time for explanation of the concepts and for the students to work sample problems, etc. The curriculum used needs to be clear and organized in a way that is attractive to project managers and shows them the benefits to their work. Data Acquisition: This probably proved to be one of t
11、he biggest obstacles to overcome. Since the NASA financial system was and is undergoing a major change, a lot of data were very difficult to obtain in a format that would support EVM. Project managers spent a lot of time looking for data, collecting data, and trying to reconcile data. There was much
12、 manual as opposed to automated effort. This portion of the pilot was totally underestimated in terms of difficulty, time spent, and level of frustration, which probably did not aid in project manager acceptance of the EVM process. On the bright side, it clearly identified opportunities for improvem
13、ent in how data is collected so that it can not only support financial requirements but also project management requirements and above all support the project manager so that he/she can have a good tool to manage the project. The bottom line on data is to make sure the financial system supports the
14、kind of data that is needed to fully implement EVM without incurring a high cost in time, effort, or budget to the project. Tools: Another significant finding was the lack of available off-the-shelf software tools to facilitate conversion of data into an EVM format, although some software does exist
15、. However, they seem more suited for large complex projects. At least in our pilot, project managers expressed the need for a “magic bullet” software solution that would not tax the project manager. Our experience showed that the level of frustration with the implementation was related to the amount
16、 of manual data input that was necessary or required. For this pilot, we resisted the creation of “in-house” software to automate the process other than for minor job aids. We did not successfully recreate a large-scale enterprise solution. Environment: As stated previously, the NASA environment at
17、the time of the pilot was ever changing; not only was Provided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-the financial system being overhauled, but also the Agency was moving to “full cost accounting” as well as other significant changes in the way proj
18、ect management was executed. In retrospect, maybe the pilot was asking too much too fast from the project management population. They had to remain focused on delivering the products while working under an ever changing system. Even though the task of the pilot proved to be daunting, in true NASA tr
19、adition the project teams gave it their best shot to support the pilot program and provide invaluable data as to the merits of the pilot. Recommendation(s): The Earn Value Management Pilot provided a tremendous amount of data on the strengths and weaknesses of the new financial system, the ability t
20、o support EVM from many viewpoints, the lack of tools for small to medium projects implementing EVM, and the training and environment necessary to successfully deploy EVM to all projects. This data along with other pilots will prove invaluable. Deploying EVM should not be taken lightly - a full asse
21、ssment of capabilities and supporting infrastructure should be done prior to any deployment, and some very basic questions should be asked. For instance, will sufficient training be provided? Can the project managers readily and easily obtain all the necessary data? If EVM is to thrive in all projec
22、ts regardless of cost, the transition should be as seamless as possible, minimizing cost and effort, and with the end user in mind. In setting up an EVM implementation, the question, “How does the project manager benefit from this process?” must remain at the forefront. Further research in this area
23、 is needed to answer the question, “Is EVM cost effective in small projects?” Evidence of Recurrence Control Effectiveness: N/ADocuments Related to Lesson: NPR 7120.5Mission Directorate(s): a71 Exploration Systemsa71 Sciencea71 Space Operationsa71 Aeronautics ResearchAdditional Key Phrase(s): a71 Fi
24、nancial ManagementProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-a71 Information Technology/Systemsa71 Policy & Planninga71 Program and Project ManagementAdditional Info: Approval Info: a71 Approval Date: 2004-05-20a71 Approval Name: Gena Bakera71 Approval Organization: KSCa71 Approval Phone Number: 321-867-4261Provided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-
