# MS Project - SPI

• ### Question

• We have a project that is not based on cost and uses one resource per task but the PMO office we report to uses SPI to determine if the project is on schedule.  How is SPI calculated in this situation?  Even though we are on schedule the SPI is running at .82.
Friday, April 20, 2012 2:05 PM

• PK Long --

Because SPI is calculated using the formula SPI = BCWP / BCWS, this means that you must have a Standard Rate greater than 0 for every resource in your project.  We currently have a client that does not want to track project costs (like you), but does want to calculate Earned Value (like you).  To allow them to do the Earned Value analysis, this client has specified a Standard Rate of \$1.00/hour for every resource in their Enterprise Resource Pool.  So, if you want to use SPI to track variance in your project, you will need to do the following:
• Specify a Standard Rate for every resource in the project, such as the \$1.00/hour example.
• Save a Baseline for your project.
• Enter actual progress in the project using your company�??s preferred method.
• Set the Status Date representing the last day of work performed in last week�??s reporting period.
Hope this helps.

Dale A. Howard [MVP]
VP of Educational Services
msProjectExperts
http://www.msprojectexperts.com
http://www.projectserverexperts.com
"We write the books on Project Server"

Friday, April 20, 2012 3:10 PM

### All replies

• Are the calculating SPI or CPI?

Can you publish the micro they are using to calculate SPI?

Abhijeet M. Mohite

Friday, April 20, 2012 2:14 PM
• Hello PK Long,

SPI is calculated the same whether there is one resource or 10 resources assigned: SPI = BCWP/BCWS

If your SPI is below 1.0 it is an indication that you are behind schedule.  Are you sure that your status date and tracking are up to date?

Friday, April 20, 2012 2:16 PM
• PK Long --

Because SPI is calculated using the formula SPI = BCWP / BCWS, this means that you must have a Standard Rate greater than 0 for every resource in your project.  We currently have a client that does not want to track project costs (like you), but does want to calculate Earned Value (like you).  To allow them to do the Earned Value analysis, this client has specified a Standard Rate of \$1.00/hour for every resource in their Enterprise Resource Pool.  So, if you want to use SPI to track variance in your project, you will need to do the following:
• Specify a Standard Rate for every resource in the project, such as the \$1.00/hour example.
• Save a Baseline for your project.
• Enter actual progress in the project using your company�??s preferred method.
• Set the Status Date representing the last day of work performed in last week�??s reporting period.
Hope this helps.

Dale A. Howard [MVP]
VP of Educational Services
msProjectExperts
http://www.msprojectexperts.com
http://www.projectserverexperts.com
"We write the books on Project Server"

Friday, April 20, 2012 3:10 PM