What happens when SPI is greater than CPI?

If SPI is greater than 1 then project is ahead of schedule. If CPI is equal to 1 then project is on estimated budget. If SPI is equal to 1 then project is on schedule.

What is a good CPI and SPI?

CPI and SPI When CPI or SPI are greater than 1.0, this indicates better-than-planned project performance, while CPI or SPI less than 1.0 indicates poorer-than-planned project performance.

What is considered a good SPI?

SPI and CPI values of less than 1 are considered unfavorable and the values greater than 1 are considered favorable.

What does a SPI of greater than 1.0 mean?

is ahead of schedule
An SPI of 1.0 means that the project is exactly on schedule. The work completed so far is the work planned to be done so far. An SPI greater than 1.0, on the other hand, means more work was completed than the planned work. The project is ahead of schedule.

What does a SPI value of 1 mean?

If the SPI is 1, then the project is progressing exactly as planned. If the SPI is less than 1 then the project is running behind schedule.

How do you interpret Cost Performance Index?

CPI = earned value (EV) / actual cost (AC). A CPI ratio with a value higher than 1 indicates that a project is performing well budget-wise. A CPI value of 1 indicates that a project is performing on budget. A CPI value that is less than 1 indicates that a project is over budget.

How do you interpret Cost Performance index?

What is a favorable CPI?

CPIs greater than 1.0 are favorable which means the contractor is performing with an efficiecy of great than 100%; CPIs less than 1.0 are unfavorable which means the contractor is performing at an efficiency of less thatn 100%. There should normally never be negative CPIs.

How are SPI and CPI used in monitoring the project?

CPI is calculated by dividing Earned Value by Actual Cost. CPI is an indicator of how efficiently project resources are performing relative to the project budget. SPI is calculated by dividing Earned Value by Planned Value. SPI measures the performance of resources relative to the project schedule.

What is CPI Cost Performance Index?

Cost Performance Index (CPI) Defined “The Cost Performance Index (CPI) is a measure of the cost efficiency of budgeted resources, expressed as a ratio of earned value to actual cost.”

What does it mean when the cost performance index is below 1 What will a project manager do to respond?

If the CPI is less than one, it indicates that the project is over budget to-date whereas a CPI greater than one, indicates the project is running under-budget. A CPI of one indicates the project is exactly on budget.