Students may have confusion in TCPI Formula and the calculation in the video. There are two common formulas for TCPI based on whether you are calculating it using the Budget at Completion (BAC) or a revised estimate (EAC). i.e TCPI based on BAC and TCPI based on EAC. 1. TCPI Based on BAC (Budget at Completion): This formula is used when you want to calculate how efficiently the remaining work needs to be completed within the original budget. TCPI based on BAC is equal to BAC-EV divided by BAC-AC BAC: Budget at Completion (the original total budget for the project) EV: Earned Value (the value of work actually completed) AC: Actual Cost (the total cost incurred so far) 2. TCPI Based on EAC (Estimate at Completion): This formula is used when you are working with a revised budget (EAC), and you want to calculate the efficiency needed to finish the project within this new estimate. TCPI based on EAC= BAC-EV divided by EAC -AC EAC: Estimate at Completion (the revised total budget for the project) Interpretation: TCPI > 1: Indicates that greater efficiency is required to complete the project within the budget. TCPI = 1: Means the current performance must be maintained to complete the project on budget. TCPI < 1: Suggests the project can be completed with less effort than currently being applied, indicating favorable conditions. TCPI helps project managers identify whether the project team needs to improve performance to meet budget targets.
Andrew, your videos are awesome and very helpful. I struggle immensely with math and would truly appreciate practice questions on this topic. I would like to ensure that I have this fully down before I take my exam as always thanks for your help and I look forward to chatting with you on Tuesday evening during your live session as I have some questions on the procurement contracts and when to use them.
Hi Andrew, is there any way to give this video 1000000000000000 like? please LMK if you know how to do it! Sir, I acknowledge that thank you is not enough! but really thank you for everything you do for the PMs, I appreciate your efforts!
Hello Andrew, I have a question regarding CAPM exam scope. So basically I applied to the course on the PMI at the very beginning of this year and due to the work, I did not had that much time to finish it earlier and recently I noticed that There has been changes on the scope of the exam. Business analysis is fine but could you tell me which publish version of the book will be used in my exam ? By the way I am planning to take the exam in a month. Lastly, Thanks for this great video. We appreciate your sincere work.
Andrew, I am watching the video now, awesome, one of the things that confuses me is that sometimes positive is good and sometimes positive is bad example I’m watching the TCPI section now and positive is bad and negative is good. Do you have a trick for remembering when negative is good since it seems the majority are positive is good?
Andrew! Is your live Pmp class live with you or pre- recorded? I do have your book and I am approved to take the exam but I really need some accountability ❤
Andrew, Wonderful video , one doubt please . I am a PMP aspirant watched this video, in the problem CV = EV - AC ie 75 - 80 = -5 $ . Cost variance is negative here so over the budget. How did you get $70 as AC ? AC = $80 ( you took the value as $70 instead of $80). So CPI = EV\AC , $75\$80 = .94 So CPI = .94 So SPI = 1.25 , EAC = 106.4 , ETC = $26.4 VAC = - $6.4 (negative value) So TCPI is 1.25 Whether anyone got the same answer as mine ? Andrew, please explain and correct me if I am wrong in the above calculation. Kindly verify .
Andrew, I just found a major major typo on this!! On your earned value management slide where you have all the formulas and you explain them the formula for TCPI is incorrect. I was getting wrong answers and I couldn’t figure it out and went back to page 381 of your book and the formula for TCPI is different there than it is in your presentation. Please check.
Andrew, I just passed my PMP Exam! I took your TIA 35 hour course and read your book. Thank you for passing on so much value to the PMP community!!!
congratulations and celebrate well 🍺
Hello andrew. I just passed the PMP exam last week. AT in all domains.
Thanks for your videos and lectures.
thank you so much for this video. my exam is in 2 weeks. I'm definitely coming back as PMP CERTIFIED
This is the first long format CAPM video I didn't fall asleep. Thank you sm! Great content.
Students may have confusion in TCPI Formula and the calculation in the video.
There are two common formulas for TCPI based on whether you are calculating it using the Budget at Completion (BAC) or a revised estimate (EAC).
i.e TCPI based on BAC and TCPI based on EAC.
1. TCPI Based on BAC (Budget at Completion):
This formula is used when you want to calculate how efficiently the remaining work needs to be completed within the original budget.
TCPI based on BAC is equal to BAC-EV divided by BAC-AC
BAC: Budget at Completion (the original total budget for the project)
EV: Earned Value (the value of work actually completed)
AC: Actual Cost (the total cost incurred so far)
2. TCPI Based on EAC (Estimate at Completion):
This formula is used when you are working with a revised budget (EAC), and you want to calculate the efficiency needed to finish the project within this new estimate.
TCPI based on EAC= BAC-EV divided by EAC -AC
EAC: Estimate at Completion (the revised total budget for the project)
Interpretation:
TCPI > 1: Indicates that greater efficiency is required to complete the project within the budget.
TCPI = 1: Means the current performance must be maintained to complete the project on budget.
TCPI < 1: Suggests the project can be completed with less effort than currently being applied, indicating favorable conditions.
TCPI helps project managers identify whether the project team needs to improve performance to meet budget targets.
this is exactly what I plan for today to master! Thank you, Andrew!
Hello Andrew, I cleared my PMP today. Thank you so much for the udemy course.
great video !! going for my PMP exam in december.. im starting to study and listen to you
Andrew, your videos are awesome and very helpful. I struggle immensely with math and would truly appreciate practice questions on this topic. I would like to ensure that I have this fully down before I take my exam as always thanks for your help and I look forward to chatting with you on Tuesday evening during your live session as I have some questions on the procurement contracts and when to use them.
Thank you so much for this video. Everything looks easy now😍
Hi Andrew, is there any way to give this video 1000000000000000 like? please LMK if you know how to do it!
Sir, I acknowledge that thank you is not enough! but really thank you for everything you do for the PMs, I appreciate your efforts!
Thankyou! Been waiting for this
Reall Good Lecture
Great content
Hello Andrew, I have a question regarding CAPM exam scope.
So basically I applied to the course on the PMI at the very beginning of this year and due to the work, I did not had that much time to finish it earlier and recently I noticed that There has been changes on the scope of the exam. Business analysis is fine but could you tell me which publish version of the book will be used in my exam ? By the way I am planning to take the exam in a month.
Lastly, Thanks for this great video. We appreciate your sincere work.
Joining the community soon
Andrew, I am watching the video now, awesome, one of the things that confuses me is that sometimes positive is good and sometimes positive is bad example I’m watching the TCPI section now and positive is bad and negative is good. Do you have a trick for remembering when negative is good since it seems the majority are positive is good?
Andrew! Is your live Pmp class live with you or pre- recorded? I do have your book and I am approved to take the exam but I really need some accountability ❤
Thank You Andrew!
Thanks!
Thank you Andrew, I have saved this video.
Thanks 🎉
Thank you for this !!!
Andrew, I was looking for "SAFe® 6.0 training" material by Andrew Ramdayal.. didnt find any ! Do you also provide training for SAFe® 6.0 training ?
Something's wrong with the formula for TCPI shown at 14.43 and then discussed in detail at 40.36...is it EAC- AC or BAC - AC in the denominator?
Hi Andrew, I just saw a question where the answer was derived from EAC=AC+(BAC−EV) this formula. Do you think it will be on the exam?
Andrew, Wonderful video , one doubt please . I am a PMP aspirant watched this video, in the problem CV = EV - AC ie 75 - 80 = -5 $ . Cost variance is negative here so over the budget. How did you get $70 as AC ? AC = $80 ( you took the value as $70 instead of $80). So CPI = EV\AC , $75\$80 = .94 So CPI = .94 So SPI = 1.25 , EAC = 106.4 , ETC = $26.4 VAC = - $6.4 (negative value) So TCPI is 1.25 Whether anyone got the same answer as mine ?
Andrew, please explain and correct me if I am wrong in the above calculation. Kindly verify .
Andrew, I just found a major major typo on this!! On your earned value management slide where you have all the formulas and you explain them the formula for TCPI is incorrect. I was getting wrong answers and I couldn’t figure it out and went back to page 381 of your book and the formula for TCPI is different there than it is in your presentation. Please check.
Hi I passed the exam last week..with the help of your course in udemy. It would be great if you like my LinkedIn post.
Thank you