10 Steps to Achieving & Maintaining EVMS Validation, Part 1

Achieving Earned Value Management System (EVMS) validation can seem like a daunting undertaking.In this three-part blog series, I will be covering 10 steps to achieving and maintaining EVMS validation. But first, why is EVMS validation important?

If your organization wishes to pursue Department of Defense contracts valued at greater than $100M, then you must have an EVMS that has been determined to be compliant to the Electronic Industries Alliance Standard 748 (EIA-748) by a Cognizant Federal Agency (CFA). CFAs include DCMA, NASA, Department of Energy, FAA, DHS, NRO, NSF or any other agency performing validation reviews for contracts under FAR 52.234-2.

Now, let’s dive into part one of this series.

The first step in achieving EVMS validation must be commitment from the organization’s executive management team, as well as accountability at all levels of the organization to support the EVMS. Achieving EVMS validation is not a small endeavor, it takes a significant investment of time and resources, and requires dedication from the top down to be successful.

It is important that the executive leadership team understands exactly what is involved in achieving EVMS validation and it starts with the awareness that earned value management is much more than a reporting tool. It requires consistency in documented processes, and adherence to them, across the business. The leadership team must ensure that all levels of the organization not only understand the value of having a validated EVMS, but also accept the responsibility of supporting the EVMS.

Communication directly from the executive leadership team, detailing why this endeavor is so important to the company, is critical to securing buy-in from the entire organization. The adoption of new processes and procedures, ways of doing business, and learning new terminology is a change and many people dislike change. But when that change is communicated from the top, demonstrating the positive financial impact to the business, it goes a long way in establishing the foundation for success.

Once there is commitment established across the board, it’s time to conduct an assessment into the business’s existing processes, organizations, and systems to determine where changes and/or enhancements are necessary or not. This is often referred to as a gap analysis. The reason for the assessment is to ascertain whether the existing project management processes comply with the 32 EVMS guidelines established in the EIA-748, whether employees are following the established processes, and analyze other internal systems to determine if they are providing accurate and reliable data.

One key benefit to working with a third-party company to conduct an assessment is that you will have a non-biased, fact-based evaluation, with a cohesive plan to meet the EIA-748 guidelines. Our project management professionals will work with your team to assess existing processes, procedures, and tools used to gain an understanding of your current state. Then we will provide you with recommendations and a plan forward to demonstrate EVMS compliance.

Keep in mind that EVMS compliance is much more than just the software being used. It is a combination of people, processes, and tools. As partners with the industry-leading project management software vendors, we ensure that the tools used support the established processes. Post assessment we will provide ways that you can streamline processes and procedures through the use of software tools. Our software experts will make certain that the processes and tools are in alignment and are fully compliant.

Following the assessment, it is now time to develop the EVMS implementation plan. Make sure that your team spends adequate time developing this plan, including implementation objectives and the timeline to achieve them. Our implementation plans include the following:

• Project plan and timeline for implementation
• People, processes, and tool recommendations
• EVM Tool architecture
• Work Breakdown Structure (WBS) for the implementation
• WBS Dictionary, which defines the details of the plan
• Basis of Estimate

As you can see, there are many elements to keep in mind as you develop your implementation plan. Other things to consider are how EVMS requirements will be flowed down to subcontractors, selecting pilot project(s), and communication of the plan to stakeholders.

What are your thoughts on the above?

Keep an eye out for the second and third articles in this three part series by .

Interested in discussing how your organization can benefit from Pinnacle's guidance in achieving and maintaining validation of your EVMS?  or