S-Curve
The S-curve can be used to keep track of both the progress and the cost of a project over time. The cost S-curve is a graph that shows how much a project has cost together over time.
In the case of the Progress S-Curve, it shows the progress of project product development over time.
In the case of the Cost S-Curve, it shows how much the whole project has cost at each point in time.
The S-curve has three stages:
- Growth Phase
- Maturity Phase
- Saturation Phase.
Costs are usually lower in the growth phase because the project is just getting started and not all of its resources have been used yet. As the project moves into the maturity phase, costs start to go up more quickly. This is because more resources are being used and production or other activities need to be stepped up. In the final phase, called “saturation,” costs may stay the same or even go down because the project is almost done and less work needs to be done.
By keeping an eye on the cost S-curve, project managers can see how costs are growing over time and take steps to make sure the project stays on budget. For example, if costs are going up faster than expected during the maturity phase, the project manager may need to change how resources are allocated or other project variables to bring costs back under control.
By comparing the progress S-curve to the cost S-curve, project managers can also see where progress is falling behind or going above and beyond what was expected. They can then take steps to get the project back on track.
Usage
It is used in Project Monitor and Control / Project Cost Management.