Conceptual framework for effective implementation of ‘project management institute’s standard for earned value management’ in Sri Lanka

Abstract

Successful accomplishment of a project requires effective management of its performance. The performance of the most construction projects is tracked utilizing planned cost vs. actual cost measures only. Earned Value Management (EVM) technique came into existence as an effective performance measurement and a feedback tool for managing projects by emphasizing more on the Earned Value (EV) of projects. Regardless of the immense benefits of EVM, there are significant deficiencies in the process of implementation of the EVM technique in Sri Lanka. Therefore, this study aims to develop a conceptual framework for effective implementation of EVM in the Sri Lankan construction industry with specific reference to the Project Management Institute’s (PMI’s) standard for EVM. A qualitative research approach was used to accomplish the aim of the study. The empirical findings were analyzed using the manual content analysis technique to determine the degree of implementation of the PMI’s standard for EVM in Sri Lanka. The deficiency of professionals and inadequate conceptual knowledge were identified as the most critical barriers associated with the implementation process of the EVM technique. Allocating a separate team to execute the EVM technique, arranging short courses on EVM, developing a standard master format for project performance measurement are the measures that this study recommends promoting the adoption of the EVM technique in the Sri Lankan construction industry.