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Enhancing FAA and DOT Program Performance Through Effective Earned Value Management (EVM)

The FAA is implementing Earned Value Management Systems (EVMS) to enhance program performance in alignment with ANSI/EIA 748 standards. This initiative involves managing and measuring resources at the program level and necessitates behavioral changes across all parties. The FAA's approach moves away from traditional methods, focusing on comprehensive program management without altering existing contracts. The EVM Council, co-chaired by ATO-A and AIO, is driving transformation to ensure effective resource management, improve financial processes, and foster accountability in major investments, contributing to the success of the NAS Modernization Program.

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Enhancing FAA and DOT Program Performance Through Effective Earned Value Management (EVM)

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  1. Improving Program Performance at FAA (and DOT)

  2. EVM at FAA • FAA goal is to manage entire program using EVMS in accordance with ANSI/EIA 748 • Manage/measure all resources • Requires changes in behavior by all parties • FAA EVM differs from legacy approach • Program level, not just contractors • Will not change existing contracts

  3. FAST Home Page: http://fast.faa.gov

  4. EVM Objectives

  5. EVM Council • Formed as a continuation of the program management processes effort • Co-Chaired by ATO-A and AIO • Membership includes: • ATO Service Unit representatives • Non-ATO Lines of Business implementing EVM • AIO representatives • CFO representatives

  6. EVM Transformation – ongoing efforts • EVM Council tracking POA&M status • FAA to assess its financial processes against the ANSI standard • EVM toolkit study • Data study • Executive level dashboard in development • Executive awareness training

  7. EVM Transformation – Goals for 2007 • Full EVM implementation by end of FY 07. • EVM part of Program Managers toolkit. • Full EVM reporting for all major investments. • Use of EVM makes a major difference in ability of FAA programs to stay on track and within budget. • Use of EVM contributes to FAA “NAS Modernization Program” being removed from the GAO High Risk List.

  8. Current Activities • FAA Acquisition Management System Policy being reviewed with recommendations being made to incorporate: • Baseline management guidance • OMB Exhibit 300 reporting • July 2006 EVM FAR clause intent • Proposed EVM surveillance, IBR, certification, and executive program performance reporting processes will be developed and implemented • Based on NDIA guidelines • major contractor “Best Practices”

  9. Department of Transportation (DOT) • Formed a DOT EVM Working Group to develop departmental policy • Performed preliminary research for EVM Guidance • Completed draft of DOT EVM policy, guidance and implementation plan • Developing and documenting EVM practices, procedures and processes for DOT • Conducted IV&Vs of operating administrations EVM programs • DOT EVM implementation plan in development

  10. DOT Next Steps • Brief DOT CIO Council on proposed EVM policy, practices and procedures • Formalize DOT EVM Council • Established links to EVM Training • Begin institutionalizing EVM within the department

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