Earned Value Management in a Production Environment

Earned Value Management in a Production Environment, October 2011

The NDIA white paper on Earned Value Management in a Production Environment explains how EVM principles apply when programs transition from development into manufacturing and delivery. It highlights the key differences between development and production work, particularly the increased role of systems like Material Requirements Planning (MRP), the use of standard hours, and the handling of material-driven cost and schedule performance. The paper focuses on aligning EVM practices with real production processes, emphasizing that differences in implementation do not imply non-compliance but rather reflect the need to integrate EVMS with factory operations. It serves as a practical guide for both industry and government personnel to better understand how to interpret EVM data in production settings, maintain compliance with ANSI/EIA-748 guidelines, and avoid common misunderstandings when managing or reviewing production programs.

Agency: DoD
Publishing Organization: NDIA

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