CPEM flashcards
CPEM · Build recall with a focused review session.
32 cards. Read the term and the definition here. The deck at the top of this page is optional.
- Earned Value (EV)
- Budgeted cost of work actually performed to date. Computed as percent complete times the budget for that work, and used as the performance baseline in cost and schedule variance formulas.
- Cost Variance (CV)
- CV equals earned value minus actual cost. A negative result means the project has spent more than the value of work completed, indicating a cost overrun at the measurement date.
- Schedule Variance (SV)
- SV equals earned value minus planned value. A negative result means less work was completed than planned by that date; expressed in currency, it is a schedule proxy rather than time.
- Cost Performance Index
- CPI equals earned value divided by actual cost. A value below 1.0 means each unit of currency buys less work than planned; CPI is commonly used to forecast final cost.
- Schedule Performance Index
- SPI equals earned value divided by planned value. A value below 1.0 indicates work is proceeding slower than planned; SPI trends toward 1.0 as a project nears completion.
- Estimate at Completion
- Projected total cost of the project. Common forms: actual cost plus remaining budget, budget divided by CPI when current efficiency persists, or a fresh bottom-up estimate of remaining work.
- Budget at Completion
- The total approved budget for the scope of work in the project baseline. It anchors variance at completion and the to-complete performance index calculations.
- To-Complete Performance Index
- TCPI equals remaining budget divided by remaining funds. It states the cost efficiency required on all remaining work to meet a stated budget target.
- Variance at Completion
- VAC equals budget at completion minus estimate at completion. A negative value forecasts a final cost overrun relative to the approved baseline budget.
- Critical Path
- The longest-duration path through the network, which sets the shortest possible project duration. Activities on it have zero or negative total float.
- Total Float
- Amount of time an activity can be delayed without delaying the project finish. Calculated as late start minus early start, or late finish minus early finish.
- Free Float
- Time an activity can slip without delaying the early start of any successor. Free float is always less than or equal to total float for the same activity.
- PERT Expected Duration
- Weighted average of optimistic, most likely, and pessimistic estimates, using weights of one, four, and one divided by six. It approximates a beta-distributed activity duration.
- Crashing
- Adding resources or paying overtime to shorten duration of critical-path activities. Effective only on the critical path and chosen by lowest cost per unit of time saved.
- Fast Tracking
- Overlapping activities normally performed in sequence to compress schedule. It adds risk of rework and coordination errors and works best where activities have limited dependency.
- Resource Leveling
- Rescheduling activities to resolve resource over-allocation, often by delaying work beyond its float. It frequently extends project duration and can change the critical path.
- Resource Smoothing
- Adjusting activity timing within available float to flatten resource demand without changing the project finish date. Unlike leveling, it never delays the critical path.
- Risk Transfer
- Shifting financial consequence of a threat to a third party, as with insurance or fixed-price contracts. Transfer does not eliminate the risk itself, only ownership of its impact.
- Risk Mitigation
- Action taken to reduce probability or impact of a threat before it occurs. Differs from contingency planning, which prepares a response for after the risk event happens.
- Secondary Risk
- A new risk created as a direct result of implementing a risk response. It must be identified and assessed separately from the original threat.
- Residual Risk
- Risk that remains after planned responses have been applied. Accepted residual risk should be documented and monitored through the risk register.
- Contingency Reserve
- Budget or time set aside for known risks with identified responses. Held by the project manager and distinct from management reserve for unknown risks.
- Management Reserve
- Budget held outside the project baseline for unplanned scope or unknown risks. Release typically requires sponsor or senior management approval and changes the cost baseline.
- Cost of Quality
- Sum of conformance costs (prevention and appraisal) and non-conformance costs (internal and external failure). External failures such as warranty claims usually cost the most.
- Scope Creep
- Uncontrolled expansion of scope without corresponding adjustments to time, cost, or resources. Prevented by formal change control and a defined scope baseline.
- Change Control Board
- Formal group that reviews, approves, or rejects change requests affecting the project baseline. Its decisions are recorded and communicated to affected stakeholders.
- Work Breakdown Structure
- Hierarchical decomposition of total project scope into manageable work packages. The lowest level, the work package, supports estimating, scheduling, and assignment of accountability.
- Responsibility Assignment Matrix
- Chart linking work packages to team members. A RACI variant labels each person as responsible, accountable, consulted, or informed, with exactly one accountable owner per task.
- Stakeholder Salience
- Model ranking stakeholders by power, legitimacy, and urgency. Stakeholders holding all three attributes are definitive; those with one are latent and may need monitoring.
- Configuration Management
- Discipline controlling changes to deliverables and documents through identification, status accounting, and audits. Ensures the delivered product matches its approved specification.
- Lessons Learned Register
- Repository of knowledge gained during the project, recorded as work proceeds rather than only at closure. Used to improve current and future project performance.
- Decision Tree Analysis
- Technique comparing alternatives by expected monetary value, multiplying outcome value by probability and summing branches. Supports selection among risky options under uncertainty.