Question

If a project is halfway completed, it's schedule performance index is 110 percent, and it's cost performance index is 95 percent, how is it progressing?

Answer 1

The project is ahead of schedule due to an SPI of 110 percent but is over budget due to a CPI of 95 percent.

Step-by-step explanation:

If a project is halfway completed with a schedule performance index (SPI) of 110 percent and a cost performance index (CPI) of 95 percent, we can discern how the project is progressing. The SPI is a measure of schedule efficiency, and because it is above 100 percent, it indicates that the project is ahead of schedule. However, the CPI, which is a measure of cost efficiency, is below 100 percent, suggesting that the project is over budget.

Essentially, the project is progressing more quickly than planned, but it is costing more than what was budgeted. In project management terms, being halfway through the project time-wise is a good sign for schedule but may be concerning for the budget, as signified by the given indexes.