Resource, Capacity and Procurement Management

Introduction

Projects convert plans into temporary systems of work. Their performance depends not only on scope, schedule and budget, but also on whether the right people, equipment, materials, information and suppliers are available at the right time. Resource, capacity and procurement management therefore connect project planning with operational execution. A technically sound schedule can still fail if a specialist is overallocated, a critical machine is unavailable, or a supplier contract transfers excessive risk to the buyer.

Resource management concerns the identification, acquisition, allocation, development and control of project resources. Capacity management concerns the relationship between required work and available capability. Procurement management concerns the external acquisition of goods, services and outcomes, including sourcing, contracting, supplier relationship management and performance control. These areas are interdependent: a make-or-buy decision changes the resource profile; a supplier delay creates an internal capacity problem; and an aggressive utilization target may reduce resilience.

This chapter develops an integrated approach suitable for complex projects in manufacturing, construction, information systems, infrastructure and professional services.

Learning Objectives

After studying this chapter, the reader should be able to:

1. Develop human, equipment and material resource plans.
2. Estimate resource demand and compare it with available capacity.
3. Diagnose and resolve resource-constrained schedules.
4. Apply make-or-buy and sourcing analyses.
5. Select suitable procurement strategies and contract types.
6. Evaluate suppliers using weighted criteria and total cost of ownership.
7. Plan and conduct principled negotiations.
8. Establish procurement controls, metrics and governance mechanisms.
9. Critically assess ethical, technological and sustainability issues in procurement.

1. Resource Management as an Integrated System

A project resource is any capability consumed, used or coordinated to produce a deliverable. Resources may be:

• Human: project managers, engineers, analysts, operators, tradespeople and external specialists.
• Physical: equipment, facilities, vehicles, tools and temporary installations.
• Material: components, raw materials, consumables and spares.
• Financial: funds and cash-flow capacity.
• Information and digital: data, software licences, models, networks and intellectual property.

Resource planning should begin with the work breakdown structure (WBS). Each work package is decomposed into activities, and each activity is associated with resource types, quantities, skills, productivity assumptions, timing and cost. The resulting resource-loaded schedule allows managers to see not merely when work occurs, but what capability is required to perform it.

A useful distinction is between effort and duration. Effort is the amount of work, such as 80 engineer-hours. Duration is the elapsed time, such as 10 working days. They are related but not identical because calendars, availability, teamwork, learning, rework and technical dependencies affect the conversion. Eighty hours assigned to one engineer may require ten days at eight productive hours per day, whereas two engineers may complete the work sooner only if the task is divisible and coordination does not offset the benefit.

Resource classification and responsibility

A resource management plan normally specifies:

The project manager is accountable for integration, but resource owners, functional managers, procurement officers, finance personnel and suppliers frequently share responsibility. A responsibility assignment matrix, such as a RACI matrix, clarifies who is responsible, accountable, consulted and informed for major decisions.

2. Human Resource Planning

Human resources are not interchangeable units. Their productivity depends on competence, experience, motivation, fatigue, teamwork, communication and organizational context. Consequently, staffing should consider both capacity and capability.

A practical staffing process is:

1. Derive activities and deliverables from the WBS.
2. Identify required roles, skills, authority and experience.
3. Estimate effort using analogous, parametric, bottom-up or expert methods.
4. Map demand onto a time-phased resource histogram.
5. Compare requirements with availability and organizational priorities.
6. Acquire, train, contract or reassign personnel.
7. Establish onboarding, performance, safety and knowledge-transfer arrangements.
8. Monitor workload, productivity, morale, turnover and forecast changes.

Estimating labour demand

For a task with workload W measured in standard labour-hours, productive time per worker per period p, and n workers, the ideal duration is:

Here, D is duration in periods. This equation assumes divisible work, constant productivity, adequate coordination and no interruption. It is not a universal law: adding people to a highly sequential task may have little effect, and communication overhead may increase duration.

If effective utilization is u, where 0 < u ≤ 1, then:

The utilization factor accounts for meetings, breaks, administration, waiting, maintenance and other unavoidable losses. Units remain consistent: labour-hours divided by labour-hours per period gives periods.

Motivation, learning and team design

Resource plans should avoid treating workers as purely economic inputs. Psychological safety, fair workload distribution, inclusion, recognition and opportunities for development influence performance and retention. Cross-functional teams can reduce handoffs but may create role ambiguity. Specialists improve technical quality but can become bottlenecks. A balanced team therefore combines essential expertise with sufficient redundancy and knowledge transfer.

Learning curves may be relevant when repetitive work is performed. However, historical learning rates should not be applied mechanically to innovative, safety-critical or highly variable work. Managers should distinguish genuine learning from changes in scope, selection bias or improved conditions.

3. Equipment and Material Resources

Equipment planning covers selection, acquisition, deployment, maintenance, calibration, utilization, safety and retirement. Important characteristics include capacity, reliability, compatibility, mobility, energy use, operator requirements and total lifecycle cost.

For equipment, nominal capacity is often higher than practical capacity. If a machine has a rated capacity of 100 units per day, but availability is 90%, performance efficiency is 85% and quality yield is 95%, effective output is:

The result is approximately 72.7 conforming units per day. This form resembles overall equipment effectiveness (OEE), although organizations must define its components consistently and avoid comparing unlike processes.

Material planning links the WBS and bill of materials to lead times, lot sizes, safety stock, storage constraints and quality requirements. A material requirement should be time-phased backward from the need date. Purchasing too early may increase financing, obsolescence and storage costs; purchasing too late increases expediting and schedule risk.

A simple reorder-point relationship is:

where d is average demand per time unit, L is replenishment lead time in the same time unit, SS is safety stock, and ROP is the reorder point. The formula assumes reasonably stable demand and lead time. If either is highly variable, safety stock should be based on a documented service-level and variability model rather than an arbitrary percentage.

4. Capacity Analysis and Constraint Resolution

Capacity is the amount of work a resource system can complete during a specified period under stated conditions. It is distinct from availability. A person may be available for 40 hours but possess only 25 hours of relevant capability, while a machine may be physically present but unavailable because of maintenance or missing tooling.

For resource type r in period t, define demand D_r,t and available effective capacity C_r,t. A basic load ratio is:

A ratio above 1 indicates overload under the stated assumptions. A ratio near 1 may also be risky because it leaves little allowance for variation, absence, defects or urgent work.

Capacity analysis should include:

• time-phased demand by skill, machine or material;
• normal working time, shifts and calendars;
• planned maintenance, holidays and absenteeism;
• setup, changeover and transport time;
• quality losses and rework;
• competing projects and operational commitments;
• bottleneck location and likely movement of constraints.

Resource smoothing and leveling

Resource smoothing adjusts activities within available float so that resource use becomes more stable without changing the critical-path completion date, where possible. Resource leveling changes activity timing, often beyond available float, to remove over-allocation; it may extend the project duration.

Typical responses to a constraint include:

1. Prioritize: protect activities with high strategic value, contractual importance or safety significance.
2. Reschedule: move noncritical work into periods of available capacity.
3. Split or sequence work: perform preparatory tasks early and defer dependent tasks.
4. Change methods: use automation, modularization, parallel work or standardization.
5. Substitute resources: use qualified alternatives, while checking quality and safety.
6. Add capacity: recruit, train, rent, outsource or authorize overtime.
7. Reduce demand: remove low-value scope or simplify specifications through change control.
8. Protect the bottleneck: ensure the constraint has materials, information, maintenance and decision support.

Overtime is not free capacity. It can reduce fatigue-related quality, increase safety risk and create future absenteeism. Similarly, outsourcing a bottleneck may shift rather than eliminate the constraint if supplier capacity is limited.

5. Make-or-Buy and Sourcing Strategy

The make-or-buy decision asks whether a capability should be developed or delivered internally, or acquired from an external provider. It is strategic as well as financial. Relevant considerations include cost, capacity, speed, quality, intellectual property, dependence, resilience, learning, regulatory control and future flexibility.

A short-run relevant-cost comparison should include avoidable internal costs and the supplier price. Allocated fixed overhead is relevant only if it will actually be avoided. For a unit decision:

A positive value favors buying on the narrow cost basis. If internal production has fixed cost F and variable cost v per unit, while buying costs p per unit, the break-even quantity is:

This applies when p > v, fixed cost is incurred only for making, quality and scope are comparable, and costs are measured over the same period. It does not capture strategic or risk factors and should not be used when the alternatives are not operationally equivalent.

A robust make-or-buy analysis uses scenarios rather than one forecast. For example, management may compare expected, high-demand and disruption cases, assigning probabilities where credible. It should also evaluate switching costs and the value of retaining internal knowledge. A low bid can be economically unattractive if it creates lock-in, weakens innovation or exposes the project to a single point of failure.

Sourcing models

• Single sourcing: one supplier; simpler coordination and possible volume leverage, but greater dependency.
• Dual or multiple sourcing: resilience and competition, but more coordination and potentially less scale efficiency.
• Local sourcing: shorter logistics and contextual responsiveness, possibly at higher unit cost.
• Global sourcing: access to capability and scale, with exposure to currency, geopolitical, transport and compliance risks.
• Strategic partnership: joint planning, innovation and long-term investment; requires governance and trust.
• Framework agreement: pre-agreed terms supporting repeated purchases; useful where demand is uncertain but recurring.

The appropriate choice depends on criticality, supply-market structure, substitutability, volatility and the organization's risk appetite.

6. Procurement Lifecycle and Contract Strategy

Procurement begins before a purchase order. A disciplined lifecycle comprises:

1. Need definition and specification.
2. Make-or-buy and market analysis.
3. Procurement planning and approval.
4. Solicitation and supplier communication.
5. Bid evaluation and due diligence.
6. Negotiation and contract award.
7. Expediting, inspection and delivery control.
8. Invoice verification and acceptance.
9. Supplier performance management.
10. Closeout, lessons learned and records retention.

Specifications should state required outcomes, interfaces, standards, acceptance criteria, delivery milestones, documentation and change procedures. Overly prescriptive specifications can prevent innovation; vague specifications create disputes and inconsistent bids.

Contract types

Contract selection should align risk allocation with the party best able to manage the risk. A fixed-price contract does not make uncertainty disappear; it may produce claims, contingencies, reduced quality or supplier distress. Contracts should also address currency, inflation, force majeure, warranties, liability, insurance, intellectual property, confidentiality, data protection, audit rights, termination and dispute resolution.

7. Supplier Evaluation and Selection

Supplier evaluation should distinguish qualification from selection. Qualification asks whether a supplier is capable and compliant. Selection compares qualified suppliers against the project's objectives.

A weighted scoring model can make criteria explicit. If supplier j receives score s_ij on criterion i, and criterion weight is w_i, with weights summing to 1, then:

Scores must use a defined scale, such as 0–10, and evaluators should document evidence. The model assumes criteria are sufficiently represented by additive scores and that weights reflect decision priorities. It should not override mandatory requirements: a supplier failing a safety licence or financial threshold may be disqualified regardless of total score.

Typical criteria are technical capability, quality systems, delivery reliability, total cost, financial health, capacity, cybersecurity, sustainability, ethical conduct, after-sales support and geographic or logistical resilience.

Total cost of ownership (TCO) includes acquisition price plus relevant lifecycle costs, such as transport, installation, training, energy, maintenance, inventory, failure, disposal and switching costs. Comparing purchase prices alone encourages false economies.

Due diligence may include reference checks, site visits, financial review, sample testing, capacity verification and sanctions or conflict-of-interest screening. Evaluation panels should separate technical and commercial assessments where appropriate and retain an auditable record.

8. Negotiation and Supplier Relationship Management

Effective negotiation is preparation-intensive. The team should define objectives, minimum acceptable outcomes, reservation points, alternatives, authority limits, facts, dependencies and tradeable issues. Negotiation is not simply price reduction; it can improve lead time, warranty, payment terms, data access, service levels, flexibility and risk allocation.

A principled approach separates people from problems, focuses on interests rather than positions, generates options for mutual gain and uses objective criteria. For example, a supplier requesting a price increase may be responding to material inflation, cash-flow pressure or an unrealistic delivery requirement. Understanding the underlying interest enables alternatives such as index-linked adjustment, revised milestones, volume commitment or design substitution.

The best alternative to a negotiated agreement (BATNA) is the practical fallback if agreement is not reached. A strong BATNA improves decision quality, but a fictitious alternative creates overconfidence. Negotiators should avoid deceptive representations, coercion, undisclosed conflicts and promises outside their authority.

Supplier relationship management should be proportionate. Strategic suppliers may require executive reviews, joint improvement plans, integrated forecasting and innovation governance. Transactional purchases may need only standard terms, receipt inspection and invoice control.

9. Procurement Performance Control

Procurement control integrates schedule, cost, quality, risk, compliance and supplier performance. A purchase is not successful merely because it was placed on time; the delivered output must satisfy the contract and support the project outcome.

Useful metrics include:

• purchase-order cycle time;
• percentage of requisitions delivered on or before need date;
• supplier on-time-in-full delivery;
• defect and nonconformance rate;
• cost variance and negotiated savings;
• invoice exception rate;
• change-order frequency and value;
• expediting and premium-freight cost;
• supplier concentration and dependency exposure;
• safety, environmental and ethical incidents;
• corrective-action closure time.

Metrics require definitions. “On-time delivery” should specify the promised date, acceptable tolerance, partial delivery treatment and whether the item passed inspection. Savings should distinguish price reductions from avoided cost, specification changes and volume effects.

A three-way match—purchase order, goods receipt and invoice—reduces payment errors. Segregation of duties should prevent one person from requesting, approving, receiving and paying for the same transaction. Contract changes should be authorized, documented and assessed for effects on scope, schedule, cost and risk.

Earned value can integrate procurement-related schedule and cost information when supplier work is represented in the project baseline. Let planned value be PV, earned value be EV, and actual cost be AC. Then:

The cost performance index CPI indicates value obtained per cost unit, while schedule performance index SPI compares accomplished value with planned value. Values below 1 indicate unfavorable performance relative to the baseline. These indicators require a credible performance-measurement method and should not replace supplier-specific operational measures.

10. Integrated Case: The Northstar Water-Treatment Project

The following is an illustrative case.

Background

Northstar Utilities is delivering a treatment-plant upgrade with a fixed commissioning date. The project requires control-system integration, specialized pumps, fabricated pipework and commissioning services. Internal engineers are highly capable but are also supporting operational emergencies.

Problem

The resource-loaded schedule shows that commissioning requires 1,200 engineer-hours over four weeks. Six engineers are nominally available, each with 35 productive hours per week. However, two weeks contain major operational commitments, reducing availability to four engineers in week 1 and five in week 2. A specialist pump supplier has also proposed a 12-week delivery, while the schedule allows 10 weeks.

Using productive availability, the four-week internal capacity is calculated as:

The resulting shortfall is 465 hours. The project cannot resolve this simply by assigning more work to the existing team.

Analysis

The project team considered four responses:

1. Defer noncritical documentation and release internal capacity.
2. Train two controls engineers from another plant.
3. Contract a commissioning specialist for 400 hours.
4. Use overtime for the remainder.

The team rejected unrestricted overtime because fatigue would increase safety and commissioning risks. It also examined whether pump procurement should be changed. A second qualified supplier could deliver in nine weeks but at a higher price and with less project-specific experience.

Supplier evaluation used the following weights: technical capability 30%, delivery 25%, total cost 20%, quality assurance 15% and resilience 10%. Scores were assigned on a 0–10 scale after technical and commercial review. The second supplier scored higher overall because delivery and resilience outweighed its price disadvantage.

Approach and solution

The project manager adopted a combined solution:

• 180 hours of low-risk documentation were moved outside the commissioning window.
• Two engineers received targeted training and contributed 140 hours.
• A specialist was contracted for 400 hours under a time-and-materials contract with a capped ceiling, deliverable-based acceptance and knowledge-transfer obligations.
• The remaining 480 internal hours were scheduled across the available team.
• The second pump supplier was selected under a firm delivery milestone, inspection hold point and liquidated-damages clause subject to legal review.
• A weekly supplier review tracked fabrication progress, inspection results, logistics and emerging risks.

The revised capacity became 480 internal hours plus 400 specialist hours, with the deferred work removed from the window. The 1,200-hour requirement was reduced to 880 hours during the critical period, leaving no nominal shortfall. A contingency plan retained the original supplier as a qualified backup for selected components.

Outcome

Commissioning began on the planned date. The pump arrived one week before installation, passed inspection, and the specialist completed knowledge transfer. The project incurred additional specialist and supplier costs, but avoided an estimated commissioning delay and reduced single-supplier exposure.

Learning points

First, capacity must be measured as effective capability, not headcount. Second, resource leveling and scope sequencing can be more valuable than blanket overtime. Third, procurement decisions should include delivery and resilience rather than price alone. Fourth, contract controls must convert identified risks into observable milestones, acceptance points and corrective actions. Finally, supplier relationships should preserve alternatives where the item is schedule-critical.

11. Ethics, Governance, Sustainability and Technology

Procurement decisions create opportunities for corruption, favoritism, conflicts of interest, bid manipulation, forced labour, unsafe production and environmental harm. Governance should include transparent criteria, documented approvals, segregation of duties, declarations of interest, competition where feasible, supplier codes of conduct, whistleblowing channels and proportionate audits.

Sustainable procurement considers lifecycle emissions, resource efficiency, circularity, social conditions, human rights and responsible disposal. Claims should be evidence-based; vague “green” assertions can constitute greenwashing. Requirements must also avoid excluding smaller suppliers without legitimate justification.

Digital procurement platforms can improve workflow visibility, spend analysis, electronic bidding, contract repositories and supplier dashboards. Artificial intelligence can assist with demand forecasting, anomaly detection, document classification and supplier-risk screening. However, AI outputs may reproduce biased data, misclassify suppliers or expose confidential information. Human review, explainability, access controls, data governance and audit trails remain necessary. Automated recommendations should support, not replace, authorized professional judgment.

12. Challenges and Limitations

Resource and procurement models are simplifications. Estimates are uncertain; availability changes; suppliers strategically respond to incentives; and additive scoring can hide interactions between criteria. Capacity buffers may appear inefficient but provide resilience. Conversely, excessive buffers can conceal poor planning and reduce urgency.

Organizations also face conflicting objectives: low price versus resilience, utilization versus responsiveness, standardization versus innovation, and contractual protection versus collaborative trust. These tensions cannot be solved by a single metric. Scenario analysis, cross-functional review, sensitivity testing and explicit risk appetite are better than false precision.

Best-Practice Checklist

Before execution, the project team should confirm that:

• resources are linked to WBS activities and time-phased;
• effort, duration and productive capacity are distinguished;
• bottlenecks and contingency options are visible;
• make-or-buy decisions include strategic and lifecycle effects;
• specifications and acceptance criteria are testable;
• contract risk is allocated to the party able to control it;
• supplier selection is evidence-based and auditable;
• negotiation authority and BATNA are defined;
• supplier metrics have precise definitions;
• changes, receipts, invoices and payments are controlled;
• ethics, safety, sustainability and data risks are addressed;
• lessons learned are captured at closeout.

Chapter Summary

Resource, capacity and procurement management transform project requirements into executable capability. Effective planning identifies the quantity, skills, timing, ownership, cost and risk of human, equipment, material and external resources. Capacity analysis compares time-phased demand with effective availability and supports smoothing, leveling, prioritization, method change, training, outsourcing and scope control.

Make-or-buy analysis should combine relevant cost with strategic issues such as knowledge, resilience, flexibility and dependency. Procurement strategy must fit market conditions and risk. Contract types allocate different combinations of price, scope and performance risk; no contract removes uncertainty. Supplier evaluation should use mandatory qualification, weighted evidence, total cost of ownership and due diligence. Negotiation should be principled and supported by a credible BATNA. Performance control requires clear metrics, contract governance, inspection, financial controls and corrective action. Finally, ethical conduct, sustainability, cybersecurity and responsible use of technology are integral to professional procurement rather than optional additions.

Key Terms

Resource management: Planning, acquiring, allocating and controlling capabilities needed by a project.

Capacity: Effective amount of work a resource system can perform in a specified period.

Resource histogram: Time-phased display of resource demand.

Resource leveling: Adjusting activity timing to remove over-allocation, potentially extending duration.

Resource smoothing: Adjusting work within available float to stabilize resource use.

Bottleneck: Constraint that limits system throughput or project progress.

Effective capacity: Usable capacity after availability, efficiency, quality and other losses.

Effort: Quantity of work required, usually expressed in labour-hours or machine-hours.

Make-or-buy analysis: Evaluation of internal provision versus external acquisition.

Total cost of ownership: Acquisition and lifecycle costs associated with an option.

Sourcing strategy: Deliberate approach to selecting and managing sources of supply.

Firm fixed-price contract: Contract with a predetermined price for defined deliverables.

Cost-reimbursable contract: Contract under which allowable costs are reimbursed under agreed terms.

Time-and-materials contract: Contract paying agreed rates for time and materials used.

BATNA: Best alternative to a negotiated agreement.

Weighted scoring model: Evaluation method combining criterion weights and supplier scores.

Supplier qualification: Verification that a supplier meets mandatory capability and compliance requirements.

Three-way match: Comparison of purchase order, receipt record and supplier invoice.

CPI: Cost performance index, calculated as earned value divided by actual cost.

SPI: Schedule performance index, calculated as earned value divided by planned value.

Review Questions

Short Answer Questions

1. Distinguish effort from duration in project planning.
2. What is the difference between resource smoothing and resource leveling?
3. Identify four considerations in a make-or-buy decision besides price.
4. Why should supplier evaluation use acceptance criteria and documented evidence?
5. What documents are compared in a three-way match?

Long Answer Questions

1. Explain how a resource-loaded schedule can be developed from a WBS and used to control execution.
2. Compare fixed-price, cost-reimbursable and time-and-materials contracts, including suitable applications and risks.
3. Discuss how a project should respond to a persistent bottleneck without relying solely on overtime.
4. Explain the role of total cost of ownership in supplier selection and contract strategy.
5. Evaluate the ethical, sustainability and governance controls required for responsible procurement.

Analytical / Application Questions

1. A project requires 960 labour-hours over three weeks. Four workers provide 30 productive hours per week, and a qualified contractor can provide 240 hours. Determine the internal capacity, total available capacity and remaining shortfall or surplus. State one assumption in your calculation.
2. An internal option has avoidable fixed cost of 18,000 currency units and variable cost of 42 per unit. An external supplier charges 60 per unit. Calculate the break-even quantity and explain which option is preferable above that quantity, assuming all other factors are equal.
3. A supplier is technically excellent but has repeated late deliveries, while a second supplier is slightly more expensive but has strong delivery reliability and dual production sites. Design a weighted evaluation approach and explain how you would manage the residual risk after selection.

Multiple Choice Questions with Answers

Question 1

Which statement best distinguishes effort from duration?

A. Effort is elapsed calendar time, while duration is labour quantity.

B. Effort is the amount of work, while duration is the elapsed time required.

C. Effort and duration are always identical.

D. Duration excludes all resource assumptions.

Correct Answer: B. Effort is the amount of work, while duration is the elapsed time required.

Question 2

A task requires 600 labour-hours. Two workers each provide 30 productive hours per week. Under the stated ideal assumptions, what is the duration?

A. 5 weeks

B. 10 weeks

C. 15 weeks

D. 20 weeks

Correct Answer: B. 10 weeks

Question 3

What does a load ratio greater than 1 normally indicate?

A. Unused capacity

B. Perfect balance

C. Overload under the stated assumptions

D. A quality defect rate of 1 percent

Correct Answer: C. Overload under the stated assumptions

Question 4

Which action is characteristic of resource smoothing?

A. Changing activities within available float where possible

B. Automatically adding unlimited overtime

C. Removing all project scope

D. Ignoring resource calendars

Correct Answer: A. Changing activities within available float where possible

Question 5

Which cost should generally be excluded from a short-run make-or-buy comparison unless it is avoidable?

A. Purchase price

B. Direct material cost

C. Avoidable labour cost

D. Allocated fixed overhead that will continue after buying

Correct Answer: D. Allocated fixed overhead that will continue after buying

Question 6

Which contract type is generally most suitable when scope is stable and well defined?

A. Firm fixed price

B. Open-ended cost reimbursement

C. Uncontrolled time and materials

D. Informal verbal agreement

Correct Answer: A. Firm fixed price

Question 7

In a weighted supplier score, what must the criterion weights normally sum to?

A. 0

B. 0.5

C. 1

D. 1000

Correct Answer: C. 1

Question 8

What is the purpose of a BATNA in negotiation?

A. It defines the supplier's invoice format.

B. It identifies the best practical alternative if agreement is not reached.

C. It guarantees the lowest possible price.

D. It replaces contract governance.

Correct Answer: B. It identifies the best practical alternative if agreement is not reached.

Question 9

Which control compares the purchase order, receipt record and invoice?

A. Resource smoothing

B. Three-way match

C. Learning-curve analysis

D. Supplier segmentation

Correct Answer: B. Three-way match

Question 10

If earned value is 80 and actual cost is 100, what is the CPI?

A. 0.80

B. 1.25

C. 20

D. 180

Correct Answer: A. 0.80