Application of earned value method on software projects in project scheduling

Abstract

This research is about software project scheduling and use of earned value method onsoftware projects.As a result of the study, a solution for software project scheduling problems is proposed.A mathematical formulation, developed using integer programming method, is at theheart of the solution. Objective of the formulation is to minimize the development costsconsisting of direct labor cost, indirect costs and probable penalty costs. The formulation takes the capability and compatibility variances among resources into account whereas contemporary approaches mostly focus on resource availability. Formulation is of type discrete time and takes the time span to be searched as input. Therefore a heuristic approach has been developed for providing time span input to the models developed using the formulation. The heuristic approach has been proven to be calculating a time span that does not hinder achieving the absolute optimum schedule and shortens the solution time of the integer programs. The heuristic approach and problem formulation have been incorporated into a computer program that generates integer programs and heuristic solutions. This research also describes a method for preparing an earned value plan, based on the scheduling solution defined. The method aims to help project managers in determining the status of their projects and deciding whether any corrective action is required or not.Besides the method, approaches for incorporating indirect costs and penalty costs, which are not explicitly discussed in literature, into final cost estimation have been described.