evms planning Archives - Humphreys & Associates

EVMS and Agile Implementation FAQ’s

By Humphreys & Associates / February 4, 2016 / agile management, agile method, agile planning, agile project management, agile systems, DoD EVMS, EVM, EVMS, evms planning, project management, wbs

agile management, agile method, agile planning, agile project management, agile systems, DoD EVMS, EVM, EVMS, evms planning, project management, wbs

Title Image - EVMS and Agile Implementation FAQs

These are some of the frequently asked questions we receive when discussing EVMS and Agile implementations within the same company or on the same project.

Question 1: What documentation do you have that I can use to help me understand EVMS and Agile and how they are implemented?

Answer 1: There is expansive EVMS documentation, and the EVMS guidelines are well documented. On the other hand, there is little in the way of Agile documentation since the Agile mindset is to be lean and not to document unless absolutely necessary. The DOD released an
EVMS and Agile Program Manager’s Desk Guide that can be used for quick reference. H&A has done the homework and has created training for EVMS and Agile.

Question 2: What is the comparable Agile term or artifact for this EVMS artifact (for example the WBS)?

Answer 2: There is no roadmap between EVMS and Agile that is hard and fast. The best approach would be to identify “similar to” situations or likenesses. For example the EVMS WBS is similar to the Product Backlog within Agile. The Steering Committee of The World Congress in Computer Science, Computer Engineering and Applied Computing reported on Constructs to Support Agile and EVMS

Question 3: What roles within the PMO are there for EVMS and for Agile and how do they relate?

Answer 3: In Agile there is no real “management” role. So the PMO roles that are management titled are not germane to Agile. And in the opposite direction, the Agile roles do not really exist within EVMS. For example the Agile “Product Owner” is a person with a customer view of the product and speaks for the customer. In a stretch this could be a high level Software or System Engineer with requirements responsibilities. The Scrum Master is a facilitator on the Scrum team and there is no corresponding EVMS role. The team members organize themselves so there is no team lead like the Control Account manager in an EVM System.

Question 4: Since the Sprint in the Agile/Scrum approach is defined as a time-box with a fixed end date, how do you reconcile that with the EVMS approach of working the task until it is done?

Answer 4: The EVMS baseline can be set above the Sprint level and can correspond to known “mandatory” delivery points such as release deliveries. This will then align the Agile deliveries to the EVMS structure and the two can work together.

Question 5: Does the fact that Agile/Scrum Sprints have very short durations cause a problem with EVMS performance measurement?

Answer 5: Not at all since teams update their progress daily. But it is preferable if the Sprints are four weeks or less and align with the cut-off dates for the EVMS. In that way the EVMS can pull the stated performance from the teams and use it as the input for the EVMS without any translation work. If a Sprint crosses an EVMS period, that would need special consideration.

Question 6: Since Agile work is not really budgeted, how does that reconcile with the EVMS need for budgets and budget control?

Answer 6: Budgets will be held in packages in the EVMS based on the plan for the Sprints and the teams doing the Sprints. The Agile weighting of work will be within the same packages but is not considered to be budgeting; it is weighting of milestones, if anything.

Question 7: We do not like the idea of the 0/100 EV Technique even with milestones. At our company we have an allowance to earn partial credit for milestone work. How does that fit into the EVMS and Agile implementations?

Answer 7: Agile wants to measure work when done. The work should be in such small stories, or tasks, that they are in-process for only a matter of days. Partial credit should not be needed in this situation; if it is, then perhaps there are issues with work definition.

Question 8: Agile applies to software development, but can we use it for other types of work?

Answer 8: Yes. It is a misconception that Agile is for software only. If you are creative you can find ways to use Agile Development in many areas. One company reports it uses it for circuit design and breadboarding resulting in significant time savings.

For additional information about EVMS and Agile see the blog post:

Agile/Scrum Ceremonies and Metrics Useful in EVMS Variance Analysis and Corrective Action

EVMS and Agile Implementation FAQ’s Read Post »

EVM for Biotech and Pharma – Part I Implementation and Training

By Humphreys & Associates / July 23, 2013 / BARDA EVM, earned value management procedure, Earned Value Management System Interpretation Guide, EIA-748-C, EVMS, EVMS Implementation, evms planning, EVMSIG, Health and Human Services (HHS), Integrated Master Plan, Integrated Program Management Division, IPMD, NDIA, PMSC

BARDA EVM, earned value management procedure, Earned Value Management System Interpretation Guide, EIA-748-C, EVMS, EVMS Implementation, evms planning, EVMSIG, Health and Human Services (HHS), Integrated Master Plan, Integrated Program Management Division, IPMD, NDIA, PMSC

Updated December 13, 2017

As you know, the Earned Value Management System (EVMS) is a management process with characteristics that are absolutely logical to manage projects whether there is an external customer or not. The EVMS is also required by the Federal Government on DOD, DOE, FAA, NSA, DOT, DOJ, NASA, etc. contracts over $20M.

With the phasing in of the Affordable Health Care Act and recent funding for research and preparation in the event of bio-terrorism, other branches of the Government, such as Health and Human Services (HHS) and Biomedical Advanced Research and Development Authority (BARDA), are becoming more involved in the healthcare sector. Implementing and using EVMS is a baseline requirement for biotech and pharmaceutical firms awarded large contracts by the Federal Government.

This will require companies and universities that receive funding to understand and implement Earned Value Management and that key project personnel, including management and executives, will require high quality Earned Value Training.

Why EVM and Government Contracts

Earned Value Management has been used since the 1960’s and has become the standard by which the Government measures and evaluates the management and reporting processes on projects awarded to contractors. Initially, it was implemented on projects; such as the development of satellites, long-range missiles, fighter aircraft, etc., but has become the US Government’s gold standard to manage the technical, schedule and cost progress of projects and to identify and manage risk and opportunities.

In order for defense contractors to be eligible for large contracts, they are required to follow the 32 Guidelines of the EIA-748-C which can entail system design and development and a substantial learning curve. Earned Value Management company-wide training and proper implementation becomes critical for project efficiency, future funding and to meet Government requirements.

Integral to EVM are the uses of the Integrated Master Plan (IMP)/Integrated Master Schedule (IMS) and risk and opportunity management. The Integrated Master Schedule is the basis for developing the Performance Measurement Baseline (PMB) which in turn, is the basis for measuring performance on a project. Measurement of progress against the baseline provides early identification of problems and helps to identify and mitigate costs and risks, while also identifying opportunities, by implementation of appropriate corrective actions.

Earned Value Management Systems for Project Management

The basic concept of the Earned Value Management System is more than a unique project management technique. The EIA-748-C contains 32 Guidelines that define a set of requirements that a contractor’s management system must meet. The objectives of an EVMS are:

Relate time phased budgets to specific contract tasks and/or statements of work
Relate technical, schedule and cost performance information
Furnish valid, timely and auditable data/information for proactive management action and decision making
Provide the basis to capture work progress assessments against the baseline plan to facilitate realistic project costs and completion dates
Supply managers with a practical level of summarization for effective decision making

Once a contractor’s EVM System is designed and implemented, there are significant benefits to the contractor and to the customer:

Contractor benefits include increased visibility and control to quickly and proactively respond to issues which makes it easier to meet project technical, schedule, and cost objectives
Customer benefits include confidence in the contractor’s ability to manage the project, early problem identification, and objective rather than subjective contract cost and schedule status

Earned Value Management Training

Experienced project managers will tell you that understanding the scope, schedule and costs of a project is essential to its success. The primary objective of the EVMS is to ensure that all elements of a project are planned, authorized, managed, and controlled in a consistent and cost-effective manner. There is an increasing demand for training for organizations beyond the traditional aerospace and defense related construction, software, research and development, and production environment to now include non-defense companies to implement and use the Earned Value Management System.

EVM for Biotech and Pharma

Biotech and Pharma companies are not strangers to dealing with government regulations and requirements. Most have gone through rigorous Food and Drug Administration (FDA) processes to receive approval of compounds and/or devices. Nonetheless, learning how to design and use an EVM system can take a considerable investment of time and money, but is an essential requirement for initial and ongoing funding.

In addition to the EIA-748-C, there are numerous documents that give direction regarding the implementation and use of an EVM system. Some of these are the National Defense Industrial Association (NDIA) Integrated Program Management Division (IPMD) EIA-748 Intent Guide, Cost Accounting Standards (CAS), Data Item Descriptions (DID), Military Standards (MIL-STD) such as MIL-STD-881, the Earned Value Management System Interpretation Guide (EVMSIG), and many others. We have helped many organizations to ensure that they do not overkill or underkill based on their desired management system characteristics. H&A personnel understand the requirements and are able to “size” those requirements to meet company and customer requirements.

Although Biotech and Pharma are relatively recent industries to use EVM, Humphreys & Associates (H&A) has been providing Earned Value Management training and implementation services for over 35 years. H&A provides self-paced online, classroom and private training courses, and can assist in all aspects of Earned Value Management Implementation.

For more information about EVM training or support, or with questions about your company’s requirements, please contact the Humphreys & Associates corporate office.

EVM for Biotech and Pharma – Part I Implementation and Training Read Post »