Application of Earned Value Management (EVM) in Tanzanian construction projects

Abstract

Earned Value Management (EVM) is one of the fundamental approaches acting as a comprehensive project management and controlling technique for tracking the costs and examining project expenditures relative to the physical progress of work. Majority of the previous literature reviews and findings indicates the positive contributions of EVM in monitoring the project time-cost performance progressively and forecasting its future trends. However, EVM was not widely used as practically, the traditional cost and schedule monitoring tool is still very common in the construction industry. Thus, this research was conducted using quantitative and qualitative methods to the identified quantity surveyors, project managers and engineers of contractor in Tanzanian construction firms to achieve the objectives of; (1) to assess the use of EVM in construction projects, (2) to examine the challenges in using EVM, and (3) to recommend on ways to enhance the application of EVM. Based on the results, it was found that only some parts of the concept of EVM were being used in construction projects but not the EVM as a whole. The application of EVM was found to be partial which some parties are not fully used like analysis of data collected and forecasting of time/cost through EVA. Despite the major challenges identified in using EVM due to the lack of EVM knowledge, expertise and experience by the user in the industry, the results also continuous training to the industrial practitioners on construction project management principles is one of the strategies proposed as measure of improving the application of Earned Value Management (EVM) for performance of Tanzanian construction projects.