Earned Value Measure The Duration Of The Project Based / Cost Risk Analysis

The duration risk and cost risk are the critical risks in the project risk management. Engineering project has raised the duration and cost requirement continuously with the development of society, the loss caused by duration risk and cost risk have also become larger and larger which may even lead the total value of the project to a sharp decline sometimes. The traditional methods of project risk analysis and estimate usually analyze and control the duration risk and cost risk alone, which may bring a lot of problems. This paper takes the duration risk and cost risk analysis and estimate of the engineering project as the research subject. Firstly, When we check the earned value management indexes in the project implement process, we discover that there are thirteen variant states of the relations among earned value analysis indexes, which reflects different variance situations of cost and duration. Secondly, we divided the duration risk and cost risk into five different levels qualitatively according to the probability of schedule, cost overrun and the loss. Then, we analyze and estimate the duration risk from different aspects and also make the of linkage analysis of duration risk and cost risk in three situations. Finally, we draw the reasons and the results of duration/cost risk, present the project duration/cost risk early warning system and some necessary strategy, an example is shown to illustrate the calculating process.Through the research of this paper, we overcome the disadvantages of traditional risk analysis methods, reflect the situations of duration and cost in the process of the project roundly, improve the visibility of the project risk management, which will be convenient for project managers to take some necessary measures to ensure the project succeed.