| dc.description.abstract | Cost overruns are a prevalent issue in the construction sector,
particularly in infrastructure projects such as road development,
where actual project costs often exceed budgeted amounts. This study
aims to evaluate and analyze the cost and schedule performance of the
Batam Main Corridor Road Project and calculate the estimated cost
needed to complete the project in each monthly reporting period using
earned value management (EVM). The methodology provided a
profound understanding of project dynamics and assisted in making
more accurate cost estimates. The study involved calculating planned
value, earned value, and actual cost, followed by variance analysis
and performance index to identify deviations from the project plan as
well as calculating estimate at completion (EAC). The findings
revealed significant initial challenges with schedule performance, as
indicated by an SPI below one, implying slower project progress than
planned, leading to higher initial cost estimates reflected in the EAC3
model. However, improvements from the second month onward
allowed the project to catch up, with consistent SPI values above one.
Ultimately, the project cost management ef iciency was reflected in
positive CV and the CPI consistently above one, indicating that the
actual project execution costs were lower than budgeted. The inclusion
of EAC in the EVM analysis further enhanced the accuracy of the
financial projections, demonstrating ef ective cost management. The
results underscore the ef ectiveness of EVM in managing and
predicting the financial and scheduling aspects of major infrastructure
projects, providing valuable insights for future project planning and
management. | en_US |
