A project evaluation technique to measure a project’s progress, alert to deviations from schedule and budget baselines, and forecast its completion date and final cost.

EVM centres on the measurement and tracking of a project’s Earned Value (EV), which is the intrinsic value of the work already performed at a given moment in time. The Earned Value is compared to the Planned Value (i.e. the value of the work that should have been performed if everything had happened according to plan), and the Actual Cost (i.e. the amount of money actually spent to perform the work).

EVM is now considered a best practice for project and programme management. The US Departments of Defence and Energy, NASA, the FAA and other technology-related agencies have adopted EVM as a central tool for the management and performance measurement of their procurement programs.

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see also: earned value management system