In this paper the subject to compare and contrast will be of three performance measurements, which can be used by the project manager during a project. Performance measurement is a numeric description of the work during a project and the results once the project is complete (Office of Financial Management, 2009). The performance measures provide the project manager and the team about progress in meeting the goals and objectives of the project. Measuring performance allows budget decisions, better management, and accountability for the project manager. The three performance measures, which will be addressed, are quality, key milestones, and target costs.
Quality is measured by ...view middle of the document...
Scheduling activities in a project provides significant value to the product manager and his or her team. The project manager can determine if the project is on or behind schedule. The milestones assist with indicating where slack in an activity exist and provides a better view over activities whose completion is critical to the success of the project.
Milestones monitor the progress of each activity within the project. However, limitation of their effectiveness does exist. The milestone measurement shows progress with critical activities, but ignores non-critical activities within the project. Therefore, project managers may choose to move non-critical activities to critical activities to ensure that the milestones are measured and met. This will provide an accurate view that all activities met and ensure none are neglected.
Target costs are the final cost of a product or service, which must be achieved to generate the desired level to meet the project requirements. The target cost for a project is established through the budget. Prior to the project beginning, the target costs for the project are established. The project manager’s first step in using this measurement is to define the work of the project. This is accomplished through the work breakdown structure (WBS). The project manager can estimate the costs associated with the project to determine if the project will meet the target cost.
The schedule of work, assigns work responsibility to those who are accountable for managing the resource allocation and cost baseline. This allows the project manager to spread the budget through the different activities of the project. The project manager can identify cost overruns through the use of earned...