EVM in the OMB Circular A-11, FAR, and DFARS
- OMB Circular A-11 - Preparation, Submission and Execution of the Budget (July 2020)
- Capital Programming Guide - Supplement to Part 7 of Circular A-11; requires risk management on major investments and suggests EVM as a critical component of that management
- FAR Subpart 34.2 - Requires an EVMS and monthly reporting for “major acquisitions for development,” in accordance with OMB Circular A-11
- DFARS Subpart 234.201 - Provides specific contract value thresholds for EVMS applicability and procedures for the review/approval of an EVMS
Adaptive Acquisition Framework
In the past few years, OUSD(A&S) has undertaken a massive rewrite of the 5000 series, transforming the traditional one-size-fits-all Acquisition process into six tailorable pathways designed for the unique characteristics of the capability being acquired. The latest in overarching policy for the Adaptive Acquisition Framework (AAF) is shown below; for guidance, see the API website or the interactive DAU guide.
- DoDD 5000.01 – “The Defense Acquisition System”: Describes the DAS and establishes overarching policy and objectives
- DoDI 5000.02 – “Operation of the Adaptive Acquisition Framework”: Defines the AAF and its six tailorable pathways
- DoDI 5000.02T – Transitional policy that establishes intermediate policy for each pathway / functional area until the official policies are released and this is superseded.
- DoDI 5000.74 - Acquisition of Services
- DoDI 5000.75 - Business Systems Requirements and Acquisition
- DoDI 5000.80 - Middle Tier of Acquisition
- DoDI 5000.81 - Urgent Capability Acquisition
- DoDI 5000.85 - Major Capability Acquisition
- DoDI 5000.87 - Software Acquisition
IPMDAR DID & CDRLs
The IPMDAR DID describes reporting requirements for EVM/IPM Contract and Schedule performance reports. Sample CDRLs for the IPMDAR are also now available, including specific language for incremental delivery, major subcontractors, and schedule-only reporting.
Technical documentation for the IPMDAR can be found on the IPMDAR DEI and FFS page. Legacy IPMR DIDs, CDRLs, and Guides are located on the Archive page.
CFSR DID and Sample CDRL
The Contract Funds Status Report (CFSR) is designed to supply funding data about defense contracts to Program Managers. It includes information on funds requirements, planning for funding changes, obligations, and termination costs.
- CFSR DID - Oct 19, 1995
- CFSR Sample CDRL - The CFSR CDRL example provides common language a program office may use when placing CFSR on contract.
MIL-STD-881 Standard
The MIL-STD-881 Standard presents direction for effectively preparing, understanding, and presenting a Work Breakdown Structure (WBS). It provides the framework for Department of Defense (DoD) Program Managers to define their program's WBS and to defense contractors in their application and extension of the contract's WBS. Revision E of the MIL-STD-881 was published in October 2020.
EVM-CR Policy Manual
The EVM-CR Policy Manual establishes the specific policy and guidance for the submittal of all EVM/IPM data to the EVM Central Repository (EVM-CR).
IPMDAR – Integrated Program Management Data and Analysis Report DID
DEI – Data Exchange Instructions
These documents provide specific direction for using the File Format Specification for the IPMDAR Contract and Schedule Performance Datasets to exchange performance data.
FFS – File Format Specification
These documents are intended as a technical reference for computer programmers implementing software to support the exchange of data composing the IPMDAR datasets.
EVMSIG: DoD EVMS Interpretation Guide
The DoD Earned Value Management System Interpretation Guide (EVMSIG) will be used as the basis for the DoD to assess EVMS compliance to the industry standard EIA-748's "32 EVMS Guidelines". The EVMSIG was developed in collaboration with DoD EVMS experts from the Office of the Secretary of Defense and the organizations responsible for conducting EVMS compliance reviews.
32 EVMS Guidelines
- GL 1. Define the Work Breakdown Structure (WBS). Define the authorized work elements for the program. A Work Breakdown Structure (WBS), tailored for effective internal management control, is commonly used in this process.
- GL 2. Define Program organizational Breakdown Structure (OBS). Identify the program organizational structure, including the major subcontractors, responsible for accomplishing the authorized work, and define the organizational elements in which work will be planned and controlled.
- GL 3. Integrate Subsidiary Management Processes. Provide for the integration of the planning, scheduling, budgeting, work authorization and cost accumulation processes with each other, and as appropriate, the program work breakdown structure and the program organizational structure.
- GL 4. Identify Overhead Management. Identify the organization or function responsible for controlling overhead (indirect costs).
- GL 5. Integrate WBS/OBS to Create Control Accounts. Provide for integration of the program work breakdown structure and the program organizational structure in a manner that permits cost and schedule performance measurement by elements of either or both structures as needed.
- GL 6. Scheduling Work. Schedule the authorized work in a manner which describes the sequence of work and identifies significant task interdependencies required to meet the requirements of the program.
- GL 7. Identify Products and Milestones for Progress Assessment. Identify physical products, milestones, technical performance goals, or other indicators that will be used to measure progress.
- GL 8. Establish the Performance Measurement Baseline. Establish and maintain a time-phased budget baseline, at the control account level, against which program performance can be measured. Initial budgets established for performance measurement will be based on either internal management goals or the external customer negotiated target cost including estimates for authorized but undefinitized work. The budget for far-term efforts may be held in higher level accounts until an appropriate time for allocation at the control account level. If an over-target baseline is used for performance measurement reporting purposes, prior notification must be provided to the customer.
- GL 9. Authorize and Budget by Cost Elements. Establish budgets for authorized work with identification of significant cost elements (labor, material, etc.) as needed for internal management and for control of subcontractors.
- GL 10. Determine Discrete Work and Objective Measures. To the extent it is practicable to identify the authorized work in discrete work packages, establish budgets for this work in terms of dollars, hours, or other measurable units. Where the entire control account is not subdivided into work packages, identify the far-term effort in larger planning packages for budget and scheduling purposes.
- GL 11. Sum Work Package (WP) and Planning Package (PP) Budgets to the Control Account Budget. Provide that the sum of all work package budgets plus planning package budgets within a control account equals the control account budget.
- GL 12. Level of Effort Planning and Control. Identify and control level of effort activity by time-phased budgets established for this purpose. Only that effort which is not measurable or for which measurement is impracticable may be classified as level of effort.
- GL 13. Establish Overhead Budgets. Establish overhead budgets for each significant organizational component of the company for expenses that will become indirect costs. Reflect in the program budgets, at the appropriate level, the amounts in overhead pools that are planned to be allocated to the program as indirect costs.
- GL 14. Identify Management Reserves (MR) and Undistributed Budget (UB). Identify management reserves and undistributed budget.
- GL 15. Reconcile to Target Costs. Provide that the program target cost goal is reconciled with the sum of all internal program budgets and management reserves.
- GL 16. Record Direct Costs. Record direct costs in a manner consistent with the budgets in a formal system controlled by the general books of account.
- GL 17. Summarize Direct Costs by WBS Elements. When a work breakdown structure is used, summarize direct costs from control accounts into the work breakdown structure without allocation of a single control account to two or more work breakdown structure elements.
- GL 18. Summarize Direct Costs by OBS Elements. Summarize direct costs from the control accounts into the organizational elements without allocation of a single control account to two or more organizational elements.
- GL 19. Record/Allocate Indirect Costs. Record all indirect costs which will be allocated to the program consistent with the overhead budgets.
- GL 20. Identify Unit and Lot Costs. Identify unit costs, equivalent unit costs, or lot costs when needed.
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GL 21. Track and Report Material Costs/Quantities. For EVMS, the material accounting system will provide for:
- Accurate cost accumulation and assignment of costs to control accounts in a manner consistent with the budgets using recognized, acceptable, costing techniques.
- Cost recorded for accomplishing work performed in the same period that earned value is measured and at the point in time most suitable for the category of material involved, but no earlier than the time of actual receipt of material.
- Full accountability of all material purchased for the program including the residual inventory.
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GL 22. Calculate Schedule Variance and Cost Variance. At least on a monthly basis, generate the following information at the control account and other levels as necessary for management control using actual cost data from, or reconcilable with, the accounting system:
- Comparison of the amount of planned budget and the amount of budget earned for work accomplished. This comparison provides the schedule variance.
- Comparison of the amount of the budget earned and the actual (applied where appropriate) direct costs for the same work. This comparison provides the cost variance.
- GL 23. Analyze Significant Variances. Identify, at least monthly, the significant differences between both planned and actual schedule performance and planned and actual cost performance, and provide the reasons for the variances in the detail needed by program management.
- GL 24. Analyze Indirect Cost Variances. Identify budgeted and applied (or actual) indirect costs at the level and frequency needed by management for effective control, along with the reasons for any significant variances.
- GL 25. Summarize Performance Data and Variances for Management Reporting. Summarize the data elements and associated variances through the program organization and/or work breakdown structure to support management needs and any customer reporting specified in the contract.
- GL 26. Implement Corrective Actions. Implement managerial action taken as the result of earned value information.
- GL 27. Maintain Estimate at Completion. Develop revised estimates of cost at completion based on performance to date, commitment values for material, and estimates of future conditions. Compare this information with the performance measurement baseline to identify variances at completion important to company management and any applicable customer reporting requirements including statements of funding requirements.
- GL 28. Incorporate Changes in a Timely Manner. Incorporate authorized changes in a timely manner, recording the effects of such changes in budgets and schedules. In the directed effort prior to negotiation of a change, base such revisions on the amount estimated and budgeted to the program organizations.
- GL 29. Maintain Baseline and Reconcile Budgets. Reconcile current budgets to prior budgets in terms of changes to the authorized work and internal replanning in the detail needed by management for effective control.
- GL 30. Control Retroactive Changes. Control retroactive changes to records pertaining to work performed that would change previously reported amounts for actual costs, earned value, or budgets. Adjustments should be made only for correction of errors, routine accounting adjustments, effects of customer or management directed changes, or to improve the baseline integrity and accuracy of performance measurement data.
- GL 31. Prevent Unauthorized Revisions. Prevent revisions to the program budget except for authorized changes.
- GL 32. Document Performance Measurement Baseline Changes. Document changes to the performance measurement baseline.
IPMDAR Implementation & Tailoring Guide
The IPMDAR Implementation & Tailoring Guide provides guidance from API on the application of the IPMDAR DID, tailoring the DID in the CDRL and clarification of the intent of the DID.
EVMIG: DoD EVM Implementation Guide
The DoD Earned Value Management Implementation Guide (EVMIG) describes EVM Concepts and Guidelines and provides guidance for Government use of EVM, including guidance for applying EVM requirements to contracts, an introduction to analyzing performance, and a discussion of baseline review and maintenance and other post award activities.
EVMSIG: DoD EVMS Interpretation Guide
The DoD Earned Value Management System Interpretation Guide (EVMSIG) will be used as the basis for the DoD to assess EVMS compliance to the industry standard EIA-748's "32 EVMS Guidelines". The EVMSIG was developed in collaboration with DoD EVMS experts from the Office of the Secretary of Defense and the organizations responsible for conducting EVMS compliance reviews.
Agile and EVM Guide
In July of 2014, representatives from the Air Force and Army asked API (formerly PARCA) for guidance on the application of EVM to programs using Agile development philosophies. The Desk Guide below is a result of API's study on the Agile/EVM intersection.
IBR Guidance
The Program Managers' Guide to the Integrated Baseline Review (IBR) Process is the principal IBR reference and should be used to implement an integrated baseline discipline on an acquisition program. Program Managers are strongly encouraged to use this guide during IBR training, when preparing for an IBR, and then again during the actual execution and conduct of the IBR.
OTB/OTS Guide
Guide for understanding Formal Reprogramming, Over Target Baselines, and Over Target Schedules.
Acquisition Guidebooks
The Acquisition Guidebooks align with and complement our updated acquisition policies. They reflect modern business practice and supersede related chapter content in the Defense Acquisition Guidebook (DAG).
NDIA IPM Guides
The National Defense Industrial Association (NDIA) has many industry documents that can be used as informational materials.
Training Presentations
Presentation slides from past trainings and events are posted below. Upcoming webinars and events where the API IPM Division is presenting can be found on the IPM Events Calendar.
Conferences
Agile in Government Summit
DAU Acquisition Update
Empower User Group
EVM Practitioners' Forum
NASA EVM User Group
NDIA Systems ENG
NDIA IPMD
General Sessions
EVM-CR Authorization Memos
Legacy DIDs and Guidance
DIDs, Guides and Sample CDRLs for legacy formats such as the IPMR can be found here on the Archive page.
Legacy Desktop Tools
Download these tools to view and validate IPMR files (Download Instructions, password: EVM TOOL).
Legacy IPMR XML Schemas
The UN/CEFACT XML schemas enable the various entities involved in the execution of a project to exchange project management related schedule and cost data throughout the life of a project using a standardized data content framework. To complement the XML schemas, API is working with various constituents in developing and providing a set of guidelines to facilitate the various types of data exchanges including support of the IPMR cost, schedule, and historical data requirements as well as CFSR data requirements.
September 2013 Files
The submissions to the EVM-CR are required to conform to the base XML schemas from the United Nations Center for Trade Facilitation and Eletronic Business (UN/CEFACT) Data Library Edition D09B and the related DoD specific Data Exchange Instructions (DEIs). The DoD DEIs provided here include all of the business rules to support the specific data requirements in the IPMR Data Item Description using the base UN/CEFACT XML schemas. Confirmed errata for the DEIs are maintained in a separate document provided below.
