Analyzing Billing Patterns in The Construction Industry Using Earned Value Analysis

Earned Value Analysis is an effective tool to manage project schedules and cost controls. However, it is not widely used because of the time resources required from construction managers. This research considered whether a central tendency exists in construction projects with same, or similar durations regarding cumulative earned value. An analysis was performed of a dataset containing 967 projects with durations primarily spanning 12 to 14 months. By examining the monthly billing percentages, average monthly billing percentages were calculated alongside their standard deviations, leading to the determination of minimum and maximum confidence intervals. An Earned Value Analysis (EVA) curve was then constructed based on these findings. The research found that a generalizable EVA curve can be established with relatively minimal variation from the mean. Key findings include an established average monthly billing percentage and a predictive EVA curve, which aids in identifying minimum and maximum confidence intervals for project billings. The study contributes to EVA knowledge by laying a foundation for predictive modeling in project billing, with implications for future research.