Responding to Variances

It is not enough to simply detect a variance. The next step is to understand what it means and what caused it. Then you have to decide what to do to correct for the deviation. Earlier I explained that there are four responses that can be taken when there is a deviation from plan. Which of these you choose will depend in part on what caused the deviation. Following are some general guidelines:

• When ACWP and BCWP are almost equal and larger than BCWS (see Figure 9-5), it usually means that extra resources have been applied to the project, but at the labor rates originally anticipated. This can happen in several ways. Perhaps you planned for weather delays, but the weather has been good and you have gotten more work done ...

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