The earned value concept
back to the basics
The concept of 'earned value' is part of the C/SCSC, or the Cost/Schedule Control Systems Criteria which was first issued by the Department of Defense in 1967 and originated as the Cost of Work Report within PERT/Cost in 1962. C/SCSC is a set of 35 formal management control system standards that have given rise to sophisticated methods for monitoring project costs. Although C/SCSC professionals use an arcane vocabulary and complex process, the concept of earned value can be beneficially used as a tool for providing early warnings of project problems and has the potential to be simplified and adopted as a broad-based project management tool for all applications in all industries.