Project Value at Risk (PVaR (TM)): Connecting Risks to Business Value Outcomes
Project professionals and Earned Value practitioners in particular realise the great value that the right indicator and approach could add to managing a project.
But have we become too focused on our project management terminology and goals that other in the organization are finding it hard to relate? Weâ€™ve all had the experience of sitting down with a finance analyst and try to explain our indicators again and again.
PVaR™ is an extension to the VaR (Value at Risk) indicator, widely used in finances.
PVaR™ answers some of the most significant questions in project management by using only 3 well know and widely accepted figures: confidence level, project phase and money or schedule. Itâ€™s a fresh way of thinking beyond the project barriers to allow a data oriented fruitful conversation between project professionals and others.
PVaR™ takes us one step closer to the data revolution thatâ€™s coming our way.