Correction Postings

Use

The progress analysis data is determined on the basis of information currently available in the system. Plan changes can lead to changes in values, even for past periods. You use correction postings to ensure that reporting is consistent.

Features

The system records both the original values and the corrected actual values. If you run the progress calculation more than once, the system records the values as follows:

Correction postings are made only for actual values from preceding periods. Current updated values are always recorded in the current period.

Example

The following examples illustrate the effects of correction postings.

You are determining the earned value based on cumulative planned costs. You use the 20-80 start finish rule to calculate the POC. The cumulative costs amount to $200. You carry out the progress calculation in period 5.

Progress calculation for period 5

Period

5/99

6/99

Overall planned costs

$200

$200

Planned POC

20%

80%

BCWS

$40

$160

Actual POC

20%

 

BCWP

$40

 

Correction postings

0

0

Adjusted earned value

$40

$0

The planned costs increase by $40 to $240. You carry out the progress calculation in period 6. For the internal view, the system calculates the adjusted BCWP based on the current planned costs.

Progress calculation for period 6

Period

5/99

6/99

Comments

Overall planned costs

$240

$240

Planned costs have changed.

Planned POC

20%

80%

No change

BCWS (budgeted cost of work scheduled)

$48

$192

Planned value adjusted

Actual POC

20%

80%

No change

BCWP

$40

$200

External value, BCWP in period 5 must not be changed. BCWP in period 6 is increased as appropriate.

Correction postings

+ 8

- 8

 

Adjusted earned value

$48

$192

Internal view, earned value based on changed planned costs

If you carry out the progress calculation for period 5 again, the values in period 6 are deleted and the values in period 5 are calculated on the basis of the change in the planned costs.

Progress calculation for period 5

Period

5/99

6/99

Comments

Overall planned costs

$240

$240

Planned costs have changed.

Planned POC

20%

80%

No change

BCWS (budgeted cost of work scheduled)

$48

$192

Planned value is always calculated up to the end of the project.

Actual POC

20%

 

Actual POC deleted from period.

BCWP

$48

 

External view, BCWP in period 5 changes because the values within a period cannot be adapted.

Value in period 6 is deleted.

Correction postings

   

None.

Adjusted earned value

$48

 

Internal view, value in period 6 is deleted.