The use of earned value analysis enables the measurement of project performance and advancement by means of comparing the budgeted cost of the work performed, which is basically the earned value, and the budgeted cost of work that is scheduled, which is basically the planned value. Taking into account that I am a project manager in a weak matrix environment where salaries are confidential, I would estimate the salaries for workers on my projects and use the estimates in the earned value analysis. A weak matrix organization is comparable to a functional organization where a project manager (PM) has very minimal and close to no authority within the organization. Therefore, in this matrix, the role of the PM is limited and devoid of the information regarding the amount the workers are paid, making it difficult to calculate these formulas (SNEC, 2009).
By selecting an estimated salary for every role played within the project, it becomes possible to undertake a calculation of the value that is being earned, detect the problems and undertake a number of overall projections by constantly utilizing the wage statistics and figures that I have determined. In addition, it becomes possible to reveal the manner in which this technique helps in the management of the projects to a more effective and successful result, and thereby might have the capacity to attain more accurate data and information from the organization. In addition, by having an estimated sample, it becomes much easier to attain what is required by elucidating how such information will be employed. The salary figures in the formulas may be employed to construe the weekly accounts from the project team, and in turn this will help in estimating the project health in the forthcoming periods (SNEC, 2009). This option will enable me as the project manager to obtain the payroll numbers that will facilitate tracking of the project cost and progress as well (SNEC, 2009).
Topic 2: Theory/Trends
Earned value management (EMV) is a tool, whose significance has risen in recent periods as it facilitates project managers in making precise estimations of the progress of the project in question against an already established project plan. In addition, it facilitates resource allocation and proper decision making as project teams are able to appraise where they will be in future period using EMV (Pratt, 2006). However, one of the worrying factors as to why several managers have…