Chapter 7 – Terms (20 Points)

1. Monitoring
2. Controlling
3. Baseline
4. Earned Value
5. Project Control
6. Plan-Monitor-Control Cycle
7. Closed Loop
8. Real-Time Data
9. Frequency Counts
10. Scope Creep

Chapter 7 – Review Questions (10 Points)

1. Why can’t the PM use the organization’s current information system for project monitoring and reporting?

1. What does it mean to say that project monitoring and control are on the opposite sides of project selection and planning?
2. The monitoring system is the direct connection between project planning and control. Why is this true?
3. Why is it probably a good idea to avoid periodic reports, except in specific cases such as reports tied to the organization’s accounting system?
4. Aside from the obvious benefits for project control, what other benefits might result from a good project reporting system?
5. Using earned value analysis, explain how the total cost of a partially completed project can be estimated.

Chapter 7 – Discussion Questions (10 Points)

1. The chapter included an example of a firm where the PM dispensed with all the planning formality because no one ever looked at it anyway. What did the PM think the purpose of such planning was in this firm? What should the fi rm do in the future to correct this problem?
2. “In order to manage for overall project success, control must be exercised at the detailed work level for each aspect of project performance or no significant change will occur.” Does this mean that the PM should micromanage the project? If not, what does it mean?

Chapter 7 – Problems (10 Points)

1. A project in its 26th week has an actual cost of $270,000. It was scheduled to have spent $261,000. For the work performed to date, the budgeted value is $272,000. What are the cost and schedule variances for the project? What is the SPI and CPI?
2. A project has just completed the 87th item in its plan. It was scheduled to have spent $168,000 at this point in the plan, but has actually spent only $156,000. The foreman estimates that the value of the work actually finished is about $162,000. What is the spending and schedule variances for the project? What is the SPI and CPI?

Chapter 7 – Case Study: St. Dismas Assisted Living Facility Program Plan – 5 (10 Points)