We have discussed at length the Earned Value Management process. I am sure all of you have used the traditional process of assessing projects where we compare actual dollars spent to the amount we had planned to spend. This was quick and easy, but it has its shortcomings, and the Earned Value Management process is said to be better.
(a) Why is this traditional approach different from using earned value when assessing project performance?
(b) What are some of the basic requirements for the project plan in order for EVM to be able to work?