Essential PMP Formula Sheet

 

Essential PMP Formulas

Project Selection Return on Invested Capital (ROIC) = Net Proft ater Tax ÷ Total Capital Invested Economic Value Add (EVA) = Net Proft ater Tax – Cost o Capital Beneft Cost Ratio (BCR) = Beneft ÷ Cost (Values > 1 is desirable) et Present Value (NPV) = Present Value o te total !enefts – Costs over a period (the bigger the value, the better)

Communication Communication C!annels = N (N – ") ÷ #$ %ere N %ere N = te nu&!er o people in te pro'et tea&

Earned Value BAC = Total Budeted or te pro'et PV = Planned * Co&plete + B,C EV = ,tual * Co&plete + B,C AC = -u& o te atual osts CV = .V – ,C (Negative CV shows we are over budget) SV = .V – PV (Negative SV shows we are behind schedule) CPI = .V ÷ ,C (For a given period of time) CPIC = .VC ÷ ,CC (Cumulative from the beginning to a given point in time) SPI = .V ÷ PV EAC = B,C ÷ CPI C E"C = .,C – ,C VAC = B,C – .,C "CPI = (B,C – .V) ÷ Re&ainin /unds (%ere re&ainin unds is alulated as B,C – ,C or .,C – ,C) 

SPI or CPI > 1

shows that !ou are ahead on schedule or under budget



SPI or CPI = 1 shows

that !ou are on target (performance is as planned)



SPI or CPI < 1 shows

that !ou are behind schedule or over budget 

Estimatin# Cop0rit #1"# Pivotia 2earnin3 ,ll Rits Reserved

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Essential PMP Formulas

PER" Estimates a343a3 5Tree6Point .sti&ates7 .sti&ates7 = (P 8 9R 8 O) ÷ :$ %ere P = Pessi&isti$ R = Realisti or ;ost 2i4el0$ $ = Opti&isti %ere  P = Pessi&isti$ $ = Opti&isti Standard %eviation (-<) = (P – O) ÷ :$ %ere

Activit& Variance = (-<)  or  '(P – O ÷ :) + (P – O ÷ :) %ere %ere  P = Pessi&isti$ $ = Opti&isti %ere  EA% = .xpeted ,tivit0 <uration or Ran#e o* an Activit& %uration  = .,< 8>6 -<$ %ere P.RT .sti&ate

$rder o* Ma#nitude or Ball Pac+ Estimate , –?1* to 8"11*  %efnitive Estimate , –"?* to 8#1*

Sc!edulin# Activit& %uration = ./ – .- 8 "$ %ere  %ere EF = .arl0 /inis$ ES = .arl0 -tart -ate Finis! = 2- 8 ,tivit0 <uration <uration – "$ %ere  %ere -S = 2ate -tart Float = 2- – .- or 2/ – ./  "arl! Start, #ate Start or "arl! Finish can be derived from an! of the above formulas b! substitution substitutio n method when the necessar! variables are $nown

Procurement Plannin# Point o* "otal Assumption = Taret Cost 8 ((Ceilin Prie – Taret Prie ) ÷ Bu0er@s * -are) %ere %ere  Ceilin# Price = , Cap or te iest prie te !u0er %ill pa0$

"ar#et Cost = .xpeted ost o produt or servie (-eller@s ost plus proft)$ "ar#et Price = Overall expeted ost o te ontrat (taret ost 8 taret inentive ee)$ S!arin# Ratio = <esri!es o% ost savins or overrun %ill !e saredA .  /   = = 0u&er 1 2 1 2 seller 1

Cop0rit #1"# Pivotia 2earnin3 ,ll Rits Reserved

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