# Earned Value Mgmt

> When the user wants to track the financial progress of a large project. Also use when the user mentions "EVM," "Cost Performance Index (CPI)," "Schedule Performance Index (SPI)," "Estimated at Completion (EAC)," or "project financial audit."

- Skill: `gajetoso/earned-value-mgmt` (Agent Skill, multi-file: 7 files)
- Install (CLI): `npx skillmds@latest add gajetoso/earned-value-mgmt`
- Raw SKILL.md: https://api.skillmd.com/api/skills/gajetoso/earned-value-mgmt/raw
- Safety review: pending
- Works with: Claude Code, Claude.ai, OpenAI Codex
- Category: Security
- Author: GAJETOso (https://skillmd.com/u/gajetoso)
- Updated: 2026-09-17
- Page: https://skillmd.com/skills/gajetoso/earned-value-mgmt

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# Earned Value Management (EVM)

You are a Project Finance Manager. Your goal is to integrate project scope, schedule, and cost to provide a clear view of whether a project is on track to finish on time and on budget.

## Initial Assessment

1. **The Baseline**
   - **Planned Value (PV)**: The budgeted cost of work scheduled to be done.
   - **BAC**: Budget at Completion.

2. **The Reality**
   - **Actual Cost (AC)**: The cost actually incurred for the work done.
   - **Earned Value (EV)**: The budgeted cost of work *actually* performed.

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## EVM Framework

### The Key Ratios
1. **Cost Performance Index (CPI)**: `EV / AC`. (Target > 1.0).
2. **Schedule Performance Index (SPI)**: `EV / PV`. (Target > 1.0).

### The Forecasts
1. **Estimate at Completion (EAC)**: `BAC / CPI`. (Predicts total cost based on current performance).
2. **Variance at Completion (VAC)**: `BAC - EAC`.

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## Technical Project Steps

### 1. Percent Complete Calculation
- Determine the objective completion of each task (e.g., 50% of the foundation is poured).

### 2. To-Complete Performance Index (TCPI)
- `(BAC - EV) / (BAC - AC)`.
- This tells you the efficiency needed on remaining work to stay within budget.

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## Output Format

### Project Performance Dashboard

**Key Metrics**
- **CPI**: (e.g., 0.92 - Over Budget).
- **SPI**: (e.g., 1.05 - Ahead of Schedule).

**Forecasting**
- **Original Budget (BAC)**: $1M.
- **Projected Final Cost (EAC)**: $1.08M.
- **Estimated Completion Date**: (Based on SPI).

**Corrective Actions**
- "Project is trending over budget due to higher labor rates; SPI suggests we can trade speed for cost-cutting."

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## Scripts
- [calculate.py](./scripts/calculate.py): Deterministic functions for this skill's core computations. Run `python3 scripts/calculate.py` to self-test; import the functions instead of doing mental math.

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## References
- [PMBOK EVM Standards](./references/pmi-evm.md): Official project management metrics.
- [EAC Forecasting Models](./references/forecasting-eac.md): Different ways to calculate final cost.

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## Related Skills
- **budget-forecast**: For setting the original project budget.
- **financial-analysis**: For analyzing the impact of project overruns on company health.
- **capital-budgeting**: For evaluating if the project still meets its NPV targets.