Wendy is the project manager of the NNJ project for her company. As part of the variance and trend analysis tool and technique for risk governance she is using earned value management. In this…

Question

Options

• AWendy can determine a true project completion date.
• BWendy can track the cost and schedule variances.
• CWendy can review quality performance on baselines.
• DWendy can forecast deviation of the project cost and schedule for completion targets.

• A
  6% (1)
• D
  94% (16)

Explanation

In the context of risk governance (Monitor Risks), using Earned Value Management (EVM) within variance and trend analysis allows the project manager to forecast future deviations in cost and schedule - not just report current variances. Metrics like CPI (Cost Performance Index) and SPI (Schedule Performance Index) are used to project where the project is heading, enabling early detection of risk materializing. Option B (tracking cost and schedule variances) is partially correct but is only describing what EVM measures in the present, not its full risk-related purpose. The key word in option D is 'forecast' - the forward-looking predictive value is what makes EVM most useful as a risk monitoring technique.

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