Budgeted Cost of Work Scheduled (BCWS)
Budgeted Cost of Work Scheduled (BCWS) is a cost management term used in project management. It is the sum of all budgeted costs for scheduled work activities, typically expressed as a time-phased budget plan. In other words, BCWS is the value of the work scheduled to be done in a specific period of time, according to the project schedule.
BCWS is an important metric in project management, as it allows project managers to track the progress of work activities against the planned schedule. By measuring the BCWS against actual progress, project managers can determine if the project is on track, behind schedule, or ahead of schedule.
The formula for BCWS is:
BCWS = Budget at Completion (BAC) x Planned % Complete
Where BAC is the total budget for the project and Planned % Complete is the percentage of work scheduled to be completed at a given point in time, as determined by the project schedule.
The BCWS is also known as the Planned Value (PV) or Budgeted Cost of Work Scheduled (BCWS).
BCWS helps project managers to plan, monitor and control project costs. By comparing BCWS against the actual cost of work performed, project managers can identify variances, understand the reasons behind them, and take corrective action if necessary.