NASA/SP-2010-3406

Integrated Baseline Review (IBR) Handbook

National Aeronautics and Space Administration

NASA Headquarters

Washington, D.C. 20546

February 2013
3

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4

NASA/SP-2010-3406

Integrated Baseline Review (IBR) Handbook

National Aeronautics and Space Administration

NASA Headquarters

Washington, D.C. 20546

February 2013
5

Table of Contents

1.0 INTRODUCTION .................................................................................................................................7

1.1 Background.................................................................................................................................................7

1.2 Purpose .......................................................................................................................................................7

1.3 Authority ....................................................................................................................................................8

1.4 Applicability...............................................................................................................................................8

1.5 Document Structure....................................................................................................................................8

2.0 IBR PREPARATION ............................................................................................................................9

2.1 General .......................................................................................................................................................9

2.2 Determination of Need for an IBR .............................................................................................................9

2.3 IBR Planning ..............................................................................................................................................9

2.4 Customer Team Roles and Responsibilities .............................................................................................10

2.5 Determine Supplier Readiness for the IBR...............................................................................................14

2.6 IBR Notification Letter/Documentation ...................................................................................................15

2.7 IBR Guidance Package.............................................................................................................................18

2.8 Training ....................................................................................................................................................18

2. 9 Travel Arrangements/IBR Logistics.........................................................................................................19

3.0 ON-SITE IBR......................................................................................................................................20

3.1 General .....................................................................................................................................................20

3.2 On-site Discussions ..................................................................................................................................20

3.2.1 In-Briefs...............................................................................................................................................20

3.2.1.1 Joint IBR Team and Supplier...................................................................................................................20

3.2.1.2 IBR Team-Only ...................................................................................................................................20

3.2.2 CAM Discussions................................................................................................................................20

3.2.2.1 CAM Discussion Guidelines................................................................................................................20

3.2.2.2 Discussion Topics................................................................................................................................21

3.2.2.3 IBR Documentation and Forms...........................................................................................................23

3.2.3 Out-briefs.............................................................................................................................................24

3.2.3.1 Daily Team Out-briefs............................................................................................................................24

3.2.3.2 Final IBR Out-brief................................................................................................................................25

4.0 IBR CLOSEOUT......................................................................................................................................26

4.1 General .....................................................................................................................................................26

4.2 Letter of Findings/IBR Report..................................................................................................................26

4.3 Tracking Concerns....................................................................................................................................26

4.4 IBR Closeout Letter..................................................................................................................................27

4.5 Lessons Learned .......................................................................................................................................27

APPENDIX A IBR CHECKLIST .................................................................................................................28

APPENDIX B SMALL PROJECT IBR........................................................................................................30

APPENDIX C PROPOSED IBR Language ..................................................................................................36

APPENDIX D RESPONSIBILITY ASSIGNMENT MATRIX....................................................................37

APPENDIX E IBR NOTIFICATION LETTER TEMPLATE......................................................................38

APPENDIX F IBR GUIDANCE PACKAGE...............................................................................................42

APPENDIX G IBR TRAINING ....................................................................................................................85

APPENDIX H IBR IN-BRIEF TEMPLATE...............................................................................................109

APPENDIX I DOCUMENTATION AND DATA TRACE EVALUATION TEMPLATE......................115

APPENDIX J IBR LOGS..........................................................................................................................117

APPENDIX K OUTBRIEF SAMPLES.......................................................................................................118

APPENDIX L IBR LETTER OF FINDINGS TEMPLATE .......................................................................133

APPENDIX M IBR REPORT......................................................................................................................135

APPENDIX N IBR CLOSURE NOTIFICATION LETTER TEMPLATE.................................................136

APPENDIX O GLOSSARY........................................................................................................................138

APPENDIX P CxP CANDIDATE RISK ASSESSMENT FORM .............................................................153
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RECORD OF REVISIONS

REV

LTR DESCRIPTION DATE

Basic Issue February 21, 2013
7

1.0 INTRODUCTION

1.1 Background

An Integrated Baseline Review (IBR) is a review of a supplier’s Performance Measurement 

Baseline (PMB). It is conducted by Program/Project Managers and their technical staffs on 

contracts and in-house work requiring compliance with NASA Earned Value Management 

System (EVMS) policy as defined in program/project policy, NPR 7120.5, or in NASA Federal 

Acquisition Regulations. The IBR Handbook may also be of use to those responsible for 

preparing the Terms of Reference for internal project reviews. While risks may be identified 

and actions tracked as a result of the IBR, it is important to note that an IBR cannot be failed. 

The objective of the IBR is to confirm compliance with the following business rules:

 The technical scope of work is fully included and consistent with authorizing 

documents

 Key schedule milestones are identified

 Supporting schedules reflect a logical flow to accomplish the technical work scope

 Resources (budgets, facilities, personnel, skills, etc.) are adequate and available for 

the assigned tasks

 Tasks are planned and can be measured objectively, relative to technical progress

 Underlying PMB rationales are reasonable

 Managers have appropriately implemented required management processes

An assessment of the management reserve with respect to risk not accounted for in the PMB

should be made as well. 

An IBR is intended to be an extension of the supplier’s existing management practices. 

Anything that does not support the intent of the IBR should be moved outside the review. Risks 

associated with Technical, Schedule, Cost, Resource, and Management Processes that are

identified during the IBR should be reviewed; action risks should be incorporated into the 

project’s existing risk management process.”

1.2 Purpose

This document is intended to be a how-to guide to prepare for, conduct, and close-out an IBR. 

The document lists the steps that should be considered for each IBR, and offers tips for tailoring 

the IBR based on risk, cost, and need for management insight. Appendices to this handbook

contain samples of documentation typically used in connection with the IBR. Please note that 
8

these appendices are samples only, and should be tailored to meet the needs of individual 

projects and contracts. These attachments are available in native format on the NASA EVMS 

Web Site at http://evm.nasa.gov/handbooks.html..

While an IBR has traditionally been conducted on contracts, it can be effective when conducted 

on in-house work as well. The same principles, objectives, and processes apply for in-house and 

contract IBR’s; however minor changes may be necessary to the steps in conducting an IBR.

Appendix A contains an IBR Checklist that can be used as a guide in conducting the IBR and 

ensuring that all steps are considered.

1.3 Authority

It is not a requirement to use this document, nor does this document intend to create or levy new 

requirements on a NASA project or contract. It is simply intended to aid customers and

suppliers preparing for an IBR to understand expectations of the IBR. Following this guide will 

help to ensure that the IBR is successful. Using this document will also help to meet NPR 

7120.5 IBR requirements for in-house programs and projects, as well as the NASA Federal 

Acquisition Regulation Supplement (NFS) 1852.234-2 IBR requirements on NASA contracts.

1.4 Applicability 

The objectives of an IBR are applicable and beneficial to projects and contracts of all sizes and 

types; however the level of detail and formality of the review vary based on dollar value, risk, 

and need for management insight. The IBR Team Leader should determine if the Decision 

Authority or Technical Authority have prepared a Terms of Reference for the project. The IBR 

should be consistent with the Terms of Reference and assure an adequate level of detailed 

information and analysis is provided to the Decision Authority and Technical Authority. The 

Mission Directorate may impose unique guidelines for the IBR. 

NASA has many reviews during the program and project lifecycles, and some of these reviews 

share common goals and objectives with the IBR. Therefore, when possible, the IBR can be 

combined with these other reviews. It is important, however, to ensure that the intent of the IBR 

still be met and supported by key personnel when reviews are consolidated.

Appendix B contains a sample format for an IBR for a very small, low-risk project. For a project

of this size, it is not unusual to have one person act as the Control Account Manager (CAM) for 

all control accounts. In this case, the IBR usually occurs in one day and consists of one team 

conducting all CAM discussions. Often, a presentation format is used to present relevant data to 

the IBR team, and this information should be furnished to the IBR team at least one week before

the review. 

1.5 Document Structure

This guide is divided into three major sections: IBR Preparation, On-site IBR, and IBR 

Closeout. 
9

2.0 IBR PREPARATION

2.1 General

Preparation is the foundation for a successful IBR. The preparation portion of the IBR is the 

most important part of the entire process. Preparation includes the planning that identifies key 

responsibilities, required technical expertise, IBR and/or EVM training, review dates, review 

scope, risk evaluation criteria, documentation needs, disposition of findings, and procedures for 

risk identification, documentation, and incorporation into the project’s risk management 

planning. 

2.2 Determination of Need for an IBR

The need for an IBR must be determined early on - prior to contract award for contracts and in 

the program and project plans of in-house work. The requirement for contract IBR’s is contained 

in NASA Federal Acquisition Regulation Part 1852. The requirement for in-house IBR’s is 

contained in NPR 7120.5. In addition, the Mission Directorate may establish unique IBR 

requirements and thresholds that must be followed. The Project Plan should identify the 

contracts and in-house work that will require an IBR, including flow-down of IBR requirements 

to major subcontractors. An IBR may also be planned for efforts that do not meet the dollar 

thresholds in 7120.5, but that have significant risk or require more management attention. 

Including the clause at 1852.234-2 in a solicitation will notify potential bidders of NASA’s intent 

to conduct IBR’s. In addition to that clause, or in a case where the clause is not included in the 

RFP or contract, it is a good idea to provide suppliers with more details about the IBR. This will 

ensure that clear expectations are established and provide NASA the ability to tailor IBR 

requirements. Appendix C contains sample IBR language that can be used in solicitations, 

contracts, or even in-house agreements.

2.3 IBR Planning

The customer should begin preparation for the IBR should begin as soon as practical after 

determining the need for an IBR. The program or project manager should appoint an IBR 

Coordinator and a Review Facilitator early-on to help facilitate the IBR. The IBR Coordinator 

helps to coordinate various activities to ensure a successful IBR. The Review Facilitator 

provides the team members with earned value management expertise. The roles of the IBR 

Coordinator and Review Facilitator are further described below.

The first step in planning the IBR is to determine which control accounts will be reviewed at the 

IBR. A Responsibility Assignment Matrix (RAM) that shows the budget separately broken out 

for each control account will help in this assessment. See Appendix D for a sample RAM and 

Section 2.4 for a more detailed description of the RAM. A RAM or equivalent document must 

be requested from the supplier or project. Typically 85% of the dollar value and all of the high 

risk areas should be examined. Usually, at least one Level-Of Effort (LOE) and one material 

account will be included to provide insight into various aspects of the project. The Program or 

Project Manager, with advice from the Review Facilitator, should choose the control accounts

for the IBR and inform the supplier, usually informally, of the ones selected.
10

Team composition and assignments are based on which control accounts are selected for review. 

Participants should be identified based on their expertise as required for the review. These 

disciplines include program and project management, business management, and technical 

management (e.g., system engineering, software engineering, manufacturing, integration and test 

engineering, and integrated logistics support). When appropriate, the team should include 

subcontractor, Defense Contract Management Agency (DCMA), and Defense Contract Audit 

Agency (DCAA) personnel. There may be several sub-teams with discussions scheduled 

concurrently, or one team can interview every CAM. Each of these teams should be assigned a 

sub-team leader to lead the discussion. To be effective, the discussion group should remain 

small and focused, usually 3-4 people per team. Typically, the technical experts for NASA will 

lead the discussion. A sample team may consist of an EVMS analyst, a Project Manager, and 

one or two technical experts in the area of the Control Account (CA) to be discussed. A good 

rule of thumb is to allow at least two hours to conduct the CAM discussions and one hour for 

completing documentation.

2.4 Customer Team Roles and Responsibilities

Program or Project Manager (PM): The PM either acts as or assigns the Team Leader for the 

IBR. The overall responsibility of conducting the IBR lies with the Team Leader. The Team 

Leader is responsible for coordinating the activities of all individuals assigned to perform the 

review. Some individual tasks to be performed by the Team Leader are described below. 

a. Coordinate with the supplier to discuss the IBR strategy, areas to be reviewed, and 

tentative dates for the IBR.

b. Choose appropriate team members and assign responsibilities. 

c. Ensure team members are adequately trained and prepared. Provide IBR training and 

workshops as necessary to prepare the team before the review begins.

d. Provide technical direction and leadership emphasizing the importance of thorough 

cost, schedule and technical integration of work. 

e. Provide an in-brief and out-brief at the IBR.

f. Provide an overall evaluation of the IBR and assess whether or not a follow-on 

review will be required. 

g. Document review findings. The format of this documentation is at the discretion of 

the Team Leader. Sample formats are included as part of the IBR Guidance Package

in Appendix F.

h. Ensure that all issues identified during the review are resolved in an appropriate and 

timely manner. Assign action items and completion dates to appropriate government 

and supplier personnel. Schedule action item review as necessary.

i. Define the risk evaluation criteria to generally categorize the risk that may be 

identified at an IBR: cost, schedule, technical, resource, and management processes. 

Appendix F, the IBR Guidance Package, contains sample criteria for each type of 

risk. 
11

IBR Coordinator: The Team Leader may appoint an individual as IBR Coordinator whose 

function entails coordination of various activities to ensure a successful Integrated Baseline 

Review. This includes but is not limited to coordinating review dates, obtaining information 

necessary for the review, organizing this material, and coordinating the various aspects among 

the government and supplier review participants. The following is a recommended guide to 

assist the coordinator in performing this role. 

a. Coordinate the review dates that are amenable to all parties. Consideration should be 

given to a time period that is the least disruptive to ongoing activities. Normally 

scheduling the review in the early part of the month after the close of the accounting 

period and statusing activities is the most appropriate time. 

b. Provide written notification of the IBR to the supplier. Send the letter to all of the 

team members for informational purposes. 

c. Obtain a list of the IBR Team members from the Team Leader.

d. Coordinate with individual team members to ensure travel and security arrangements 

have been accomplished. 

e. Prepare the IBR Guidance Package. 

f. Collect information and data requested in the IBR notification letter; compile and sort 

the information by sub-team responsibilities; and make this information, along with 

the IBR Guidance Package, available to the respective sub-team leads. 

g. Schedule an IBR Kick-Off meeting to allow team members to familiarize themselves 

with the documentation and develop questions to be addressed during the review. 

h. Collect the IBR Concern Area Report Forms or questions that have been generated

during the pre-IBR meeting for the Team Leader’s review. Forward those deemed 

appropriate by the Team Leader to the supplier for resolution. The IBR Coordinator 

will perform this function during the on-site review also.

i. Coordinate with the Team Leader to ensure all team members receive necessary IBR 

training prior to the review. 

j. Distribute IBR forms, either hard-copy or electronic format, to team members prior to 

CAM discussions.

k. Collect documentation at the IBR.

l. Establish and maintain an IBR log. 

Review Facilitator: Duties and responsibilities of the IBR Review Facilitator include 

providing the team members with earned value management expertise. This is accomplished 

through the review of documentation, assessing earned value status, and interpreting issues 

that relate to overall earned value management. The Review Facilitator should be an EVM 
12

Working Group member from the Center if possible. The items listed below are provided as a 

recommended guide to assist the facilitator in the accomplishment of this role.

a. Determine status of the EVM system. If applicable, request documentation showing 

that the EVM system has been previously accepted by the government. When 

applicable, contact the local DCMA representative to determine if there are any 

outstanding earned value management system problems that would affect the quality 

of the performance measurement data. 

b. If the EVM system requires previous government acceptance and has not met that 

requirement, coordinate with appropriate personnel the means by which this 

acceptance can be accomplished.

c. Review management processes that will be used in the management of the work.

d. Provide earned value management expertise to the IBR Team by assisting team 

members in the understanding of any EVMS data obtained prior to the review. 

e. Coordinate with the Team Leader and IBR Coordinator in determining the interview 

schedule. 

f. Review the experience and background of the team participants and provide a 

recommendation to the team leader of the type and amount of EV training deemed 

necessary. 

g. Provide assistance to IBR Team members in determining whether individual tasks 

have been assigned appropriate earned value techniques used for measuring progress. 

h. Assist the team leader in the development of the risk evaluation criteria.

i. The IBR Facilitator reviews all action items generated to ensure that earned value 

issues requiring follow-up are appropriate and necessary. 

j. Provide assistance to the Team Leader with the preparation of both the in-briefing 

and out-briefing at the IBR. 

Sub-team Technical Lead: The Sub-team Technical Lead is normally a technical expert who 

specializes in the area that is being addressed during the CAM discussion. The responsibilities 

of the Sub-team Technical Lead include:

a. Attend the pre-IBR meeting, including training and documentation review prior to the 

start of the IBR.

b. Review documentation prior to baseline discussions with the CAM.

c. Lead CAM and senior manager discussions.

d. Establish the strategy for conducting the CAM discussions, e.g., designates a single 

person to lead the discussion, someone to take notes, etc.
13

e. Ensure all applicable documentation is properly completed (i.e. Discussion 

Assessment Form, Concern Area Report, Documentation Request Form, and Risk 

Assessment Form).

f. Provide daily out-briefs to keep the IBR Team informed.

g. Provide an assessment of risk based on the prescribed risk evaluation criteria.

h. Assist in the preparation of the IBR out-brief.

Technical Subject Matter Expert (SME) Team Members: Team members may include 

technical experts, EVM analysts, procurement representatives, DCMA, as well as other 

personnel who may be of benefit during the review. Duties of team members include:

a. Attend the pre-IBR meeting, including training and documentation review, prior to 

the start of the IBR.

b. Review documentation prior to baseline discussions with the CAM.

c. Conduct CAM and senior manager discussions.

d. Assist in completing all applicable documentation.

e. Provide an assessment of risk based on the prescribed risk evaluation criteria.

f. Assist in completing IBR documentation.

g. Assist in the preparation of the IBR out-brief.

Schedule Analyst: The duties of the Schedule Analyst include:

a. Attend the pre-IBR meeting, including training and documentation review prior to the 

start of the IBR.

b. Review documentation prior to baseline discussions with the CAM.

c. Conduct CAM and senior manager discussions.

d. Review the EVM Systems Description or management processes to understand the 

processes and procedures by which the Integrated Master Schedule is created and 

maintained.

e. Provide an assessment of all project risk based on the defined risk evaluation criteria.

f. Assist in completing all IBR documentation.

g. Assist in the preparation of the IBR out-brief.
14

Cost Analyst: The responsibilities of the Cost Analyst include:

a. Attend the pre-IBR meeting, including training and documentation review prior to the 

start of the IBR.

b. Review documentation prior to baseline discussions with the CAM.

c. Provide insight into the reliability of the Basis Of Estimate.

d. Inform the team of any areas where the independent or non-advocate estimates differ 

from the advocate estimate.

e. Conduct CAM and senior manager discussions.

f. Provide an assessment of all project risk based on the defined risk evaluation criteria.

g. Assist in completing all IBR documentation.

h. Assist in the preparation of the IBR out-brief.

Having a representative from the Independent Program Assessment Office (IPAO) and/or 

Systems Management Office (SMO)on the IBR team is recommended to ensure an independent 

member of the review panel. The team member will provide a common thread for all reviews at 

a particular Center to ensure consistency across all the reviews and provide an avenue for lessons 

learned to be communicated across the Center. This will also familiarize the SMO or IPAO 

representative with the project to make independent evaluations that occur later in the project life 

cycle more thoroughly and efficiently conducted and completed.

It is also important to include trainees and observers as part of the IBR process. This is a good 

way to provide training to people who may need to participate in a future IBR. 

2.5 Determine Supplier Readiness for the IBR

Prior to the IBR on-site review, the IBR Team must assess the readiness of the supplier to 

conduct an IBR. Below are some rules of thumb to help determine IBR readiness.

 The PMB should reflect the entire scope of work.

 The schedules reflect the entire scope of work.

 It is good to have at least two reporting cycles worth of data before the IBR. This 

will provide the IBR Team with some performance measurement data as well as a 

feel for the accuracy of the data.

 Look for detail planning to the work package level for six months to one year to 

ensure an adequate assessment of the baseline.
15

The IBR Team must measure the ability of the supplier to meet the intended objectives prior to 

conducting the IBR on-site review. The IBR is not just a check in the box! If after the IBR, the 

Program or Project Manager does not feel that the IBR met the objectives, a second IBR must be 

performed.

2.6 IBR Notification Letter/Documentation

An IBR notification letter should be prepared and sent to the supplier within 3 months of the 

scheduled on-site IBR. This notification letter can take any form but should include the 

following information: the purpose of the review, the time frame of the review, the agenda, 

documentation requested, team requirements (ex: fax and phone access, meeting rooms, etc),

IBR Team members and roles, and points of contact for follow-up. See Appendix E for a sample 

IBR notification letter. For contracts and subcontracts, the IBR Notification Letter should be 

sent from the government Contract Technical Representative to the contractor organization. The 

local DCMA and DCAA organization, if applicable, should be informed of the review. 

One of the main functions of the notification letter is to request documentation for use on-site

and prior to the review so that the team can prepare. This documentation will be used by the 

team to identify risk areas and to develop preliminary questions for the on-site review, and 

should be received 2 – 4 weeks prior to the IBR. The following is a listing of some of the 

documentation that may be requested. 

a. Organizational Breakdown Structure (OBS)

b. Control Account Plans (CAP): Basis of Estimates (BOE), Assumptions, and Risk

c. Work Authorization Documents (all levels)

d. Performance Measurement Reports (internal cost/schedule reports)

e. Estimate at Completion (EAC)

f. Budget Change Requests (BCR): 

g. Control Account (CA)/Work Package (WP) summary containing:

 Number of work packages by type of EVM method

 Longest CA, shortest CA, mean and median duration, total value of account

 Largest CA, smallest CA, mean and median values

h. Baseline Control Logs (Management Reserve, Undistributed Budget, Contract Budget 

Base)

i. SOW with Work Breakdown Structure (WBS) Matrix 

j. Schedules (Master, Intermediate, and Detailed)

k. EVM System Description 

l. Description of Management Process such as baseline maintenance, risk management, and 

other business processes

m. Financial Management Reports such as 533M/Q or equivalent

n. All Contract Performance Reports (CPR) submitted to date 

o. Responsibility Assignment Matrix (RAM) 

p. WBS or Contract Work Breakdown Structure (CWBS) and Dictionary

q. Subcontractor listing and value of subcontracts

r. All authorized changes

s. Contractor/Subcontractor Flow-Down Requirements

t. Risk Register from Risk Management System
16

Only request data that has not already been received. Also, this list should be tailored based on 

information required for preparation and insight. The supplier may have the data described 

above in different formats, and these documents are acceptable and even preferred as 

replacements when the information is sufficient. 

Responsibility Assignment Matrix (RAM):

The RAM correlates the work required by a WBS or CWBS element to the functional 

organization responsible for accomplishing the assigned tasks. The RAM results from the 

intersection of the WBS or CWBS with the organizational structure. This intersection identifies 

the CA. The RAM includes the functional organization and the individual responsible for the 

CA, known as the CAM as well as the budget for each CA. 

Work Authorization Documents:

All work, regardless of origin, is described and authorized through the work authorization 

system. Work authorization assures that performing organizations are specifically informed 

regarding their work scope, schedules for performance, and budget for that work.

Work authorization is a formal process related to various levels of the organization. Agreement 

is reached to each level of authorization so that there is no question as to what is required. The

CA authorization represents an agreement between the CAM and the authorizing party. The 

documents involved in work authorization, at each level, are maintained in a current status as 

revisions take place.

Cost/Control Account Plans (CAP):

A CAP is a plan of all effort to be performed in a cost/control account. The CA is the focus for 

planning, monitoring, and controlling because it represents work within a single WBS or CWBS 

element, and it is the responsibility of a single organizational unit or work team. Virtually all 

aspects of a project come together at the CA level, including budgets, schedules, work 

assignments, cost collection, progress assessment, problem identification, corrective actions, and 

EAC development.

A Work Package (WP) is a detailed job that is established by the CAM for accomplishing work 

within a CA. A WP can be characterized by the following:

a. The WP represents units of work at the levels where the work is performed.

b. A WP is clearly distinct from all other WP’s, and is the responsibility of a single 

organization element.

c. A WP has scheduled start and completion dates (with interim milestones, if applicable), 

which are representative of physical accomplishment.

d. A WP has a budget or assigned value expressed in terms of dollars, labor hours, or other 

measurable units.

e. The duration of a WP is relatively short, unless it is subdivided into discrete value 

milestones that permit objective measurement of work performed.
17

f. The WP schedule is integrated with all other schedules.

g. The WP has a unique earned value technique for determining the value of completed and 

in-process work.

If a CA cannot be subdivided into detailed WP’s, far-term effort may be identified in larger 

Planning Packages (PP’s) for baseline control purposes. The budget for a PP is identified 

specifically for the work that is intended, is time-phased to the extent possible, and has controls 

that prevent its use in performance of other work. Eventually, all work in PP’s will be planned to 

the appropriate level of detail in WP’s.

Integrated Master Schedule (IMS)

Various schedules are essential to review before IBR discussions begin. 

a. Integrated Master Schedule

The Integrated Master Schedule is the controlling schedule for the entire contract or inhouse work activity. It contains required milestones/activities. An integrated schedule 

developed by logically networking all detailed activities. The highest level schedule is 

the Master Schedule supported by Intermediate Level Schedules and by lowest level 

detail schedules.

b. Intermediate Schedule(s)

Intermediate Schedules are the integrating schedules for a contract or in-house work 

activity. There may be single or multiple levels of intermediate schedules. They may be 

oriented to either WBS/CWBS elements or to functional organizations. In either case, 

the purpose is to form a bridge between the Master Schedule and CA schedules. The 

term “integrating” is used since the purpose is to coordinate the effort of a number of 

CA’s that are related in one way or another to the scope of the intermediate schedule. 

Intermediate schedules are often the primary tool for identifying key interfaces through 

network logic.

c. Cost/Control Account (Detail) Schedules

See Cost/Control Account Plans. 

Electronic versions, in native vile formats, are necessary for providing insight into the various 

schedules.

Cost Reports:

As part of the documentation review process, it is important to review the supplier’s latest cost 

report deliverables, i.e. 533M or 533Q, etc. 
18

WBS/CWBS and Dictionary:

The Work Breakdown Structure or Contract WBS is the basis for further extension to lower

levels that represent how the supplier plans to accomplish the entire work scope and is consistent 

with internal organizations and processes. This extended CWBS or WBS serves as the 

framework for reporting of cost and schedule status. The WBS or CWBS Dictionary is used to 

describe the effort and tasks associated with corresponding elements.

Once the documentation is received the next step is for the IBR Team to evaluate this 

documentation and determine risk areas. This evaluation of documentation, as well as other 

activities, can be conducted at a pre-IBR meeting. Questions may be held for discussion at the 

IBR or can be provided to the supplier prior to the IBR, allowing time to respond prior to the 

IBR team arriving at the facility. The questions can be informal or documented in a Concern 

Area Report (CAR). See Appendix F for a sample CAR. If the documentation review uncovers 

new risk areas, those control accounts should be added to the review schedule.

2.7 IBR Guidance Package

An IBR Guidance Package should be prepared that serves as a guide for the IBR Team. The IBR 

Guidance Package will assist the team members in conducting the review. The package provides 

the contract or in-house work background, sample discussion questions, documentation 

guidelines, sample documentation, risk evaluation criteria, and a glossary of EVMS terms. The 

review agenda and team assignments should also be included in the package. See Appendix F 

for a sample IBR Guidance Package.

2.8 Training

Training should be conducted at a Pre-IBR meeting. The three components of the training are 

basic EVM training, IBR training, and an overview by the supplier. The supplier can be a great 

help during the Pre-IBR meeting, by explaining documentation and answering any preliminary 

team questions. The supplier personnel can also give the team an understanding of management 

processes, such as baseline maintenance, risk management, and other business processes 

including EVM, that will be used to manage the project. Note that while EVMS processes are 

discussed at an IBR, the IBR is not an EVMS Validation Review. The team will also review the 

IBR Guidance Package during the training, and learn the use of the various forms and 

assessments used to document interview findings.

Training may be obtained from various sources and should be tailored based upon the needs and 

experience of the individual members of the review team. Training sources may be found by 

contacting the local NASA Training Coordinator or the NASA EVM Working Group. Names of 

members and contact information are listed on the NASA EVM Website.

If at all possible, the training and documentation review should occur prior to the on-site IBR. 

This will help to ensure a smoother review; provide the team an opportunity to review the data 

for completeness; and ensure readiness of the supplier. If the team is not able to have ample 

training and preparation time prior to the on-site review, sufficient time needs to be allocated to 

accomplish these efforts. Conducting the training and documentation review on-site
19

immediately followed by the CAM discussions may also be done. If this is done, make sure to 

allow adequate time for the team members to complete a review of the documentation prior to 

the start of the IBR discussions. See Appendix G for sample IBR and EVM Training.

2. 9 Travel Arrangements/IBR Logistics

Team members need to be informed as early as possible of the travel plans, of the review 

schedule and agenda, and of their assignments. Additionally, team members should know the 

name and number of a POC for the IBR, and security arrangements need to be made for each 

team member visiting the facility (i.e. Visit Requests need to be sent to the Security Office.) IBR 

Team members should also be provided area maps, directions to facilities, directions to visitor 

check-in, and specific directions to the building and room where the initial meeting or in-briefing 

will be held. 
20

3.0 ON-SITE IBR 

3.1 General

The preparation and planning done up to this point pay off at the on-site IBR. The primary 

purpose is for the Program and Project Managers to gain a mutual understanding of the risks 

inherent in the PMB and management processes. Anything that does not support this purpose 

should be discussed outside of the IBR. Any issues that arise during the IBR should be recorded, 

but resolved after the review. 

The intent of this section is to provide sample tools and documentation for conducting the on-site

IBR. While each IBR may be tailored, these tools will provide a starting point for conducting 

the review.

3.2 On-site Discussions

Once the IBR Team is on-site at the supplier’s facility, several different activities must be 

considered. This section describes of each of these activities and their role in making the IBR 

successful. See Appendix H for a review in-brief template.

3.2.1 In-Briefs

3.2.1.1 Joint IBR Team and Supplier

In some cases the IBR team may want to provide an in-brief to the supplier at the start of the 

IBR. The main theme of this discussion is to re-emphasize that the purpose of the IBR is to 

evaluate the adequacy of the baseline and identify concerns, not to try to solve problems. 

3.2.1.2 IBR Team-Only

The team may also want to conduct an IBR Team in-brief before the CAM discussions begin. 

This meeting is the final opportunity to focus the IBR Team on the objectives.

3.2.2 CAM Discussions

The CAM discussions are the key events of the IBR. These discussions focus on key risk areas 

and management processes. During this period the team members should cover the key aspects 

of the planning of the work scope. Overall success of the IBR results, in part, through productive 

CAM discussions. Following the techniques and formats below will help to ensure that adequate 

information is obtained in a timely manner to accomplish the objectives of the IBR.

3.2.2.1 CAM Discussion Guidelines

Below is a list of suggested techniques for all team members to consider before and during the 

CAM discussions. 
21

a. Prior to the discussions, the IBR Team members should be familiar with areas 

previously identified for discussion. Review the documentation thoroughly. 

b. Prior to the discussion, conduct a basic data and documentation trace to become 

comfortable with the data and how it flows through the system. Appendix I contains 

a documentation and data trace format that may be useful in conducting the trace.

c. Introduce yourself and identify the organization you represent. You may also wish to 

indicate your team affiliation in the review. 

d. Be well prepared and maintain a tempo that keeps the discussion moving along 

toward satisfying your objective. Be friendly, but avoid long conversations 

extraneous to the discussion.

e. Take notes. The discussion leader (normally the Sub-team Technical Lead) or an 

accompanying team member should take notes during the discussion. 

f. Request copies of documents only if necessary to accomplish the objective of the 

discussion. If documentation is not readily available, complete a Documentation 

Request Form and submit it to the IBR Coordinator. See Appendix F for a sample 

Documentation Request Form.

g. Watch the time. Discussions are normally scheduled for two hours in length. Should 

additional time be required to complete the discussion, coordinate with the Team 

Leader 

h. If disagreements arise which cannot be resolved, the team member should write a 

description of the disagreement in a Concern Area Report and submit it to the Team 

Leader for disposition. The Team Leader will handle any continuing discussion.

The supplier must ensure that each CAM is well prepared (documentation available, 

understands documentation content, can support answers, etc.).

3.2.2.2 Discussion Topics

Below are some examples of information that should be obtained from the CAM discussions. 

This list of questions is not all-inclusive and should be tailored for each project. Additional 

sample questions can be found in the IBR Guidance Package in Appendix F. 

a. What is the Manager’s scope of work? Does the Manager know what scope of work 

is his/her responsibility?

The Manager should be able to show the team a Statement of Work (SOW) 

paragraph, a WBS, or CWBS narrative, and a Work Authorization Document that 

correlates to the task.

b. How did the Manager plan the scope of work into control accounts? 
22

The SOW defines the effort. The WBS or CWBS provides specifics, such as work 

definition. The work authorization and change documentation should show 

information such as the dollars/hours, period of performance, and description of the 

scope of work and any changes.

c. How did the Manager ensure that all elements of the scope of work were planned?

The Manager should be able to show the team the work packages breaking down the 

scope of work, and the budget associated with each work package. The sum of the 

work packages and planning packages should be the control account budget. Each 

control account should contain a specific scope of work.

d. How did the Manager obtain the resources for assigned work?

This information should be obtained through the Work Authorization Document. The 

work authorization should provide specific resources used to manage the scope of 

work.

e. How did the Manager come to an agreement of the scope, hours, dollars and 

schedule?

f. Ask the Manager to show the team the schedule milestones used in the planning of 

the control accounts. The Manager should discuss:

 Schedule impacts

 Schedule impacts from other organizations

 Resource levels which support schedule milestones

 Schedule constraints

 Relationships to other tasks

 Logical relationships of work package to milestones

 Level of Effort (LOE) tasks that support the schedule 

 The Manager should be able to show the team the activity supported on the 

appropriate schedule

 Critical path items for which the CAM is responsible

h. Ask the Manager how the work was time-phased to achieve the schedule.

All work should be logically planned in accordance with the scope of work and the 

schedule.

i. Ask the Manager to identify any known risks that may affect the plan. 

j. Are the Manager's resources adequately planned and correctly time phased to meet 

the plan? Progress of each plan should relate to earned value.
23

k. Ask the Manager why he/she chose a particular type of earned value method.

Does the earned value method used make sense for the type of work being 

performed? Can you measure performance? Is the Manager using milestones to 

measure accomplishments? Does the Manager use the LOE method; and is the LOE 

in support of measurable scope? Is LOE the appropriate earned value method for the 

task?

l. How does the Manager manage his/her plan?

Does the manager use monthly reports, latest schedules, technical assessment of 

impacts, daily meetings, and continuous assessment of the plan?

m. How is the baseline maintained?

How does the CAM ensure changes are incorporated into the baseline? What are the 

controls (retroactive, freeze period, etc.) to ensure the integrity of the baseline?

n. What is the risk management process? How is risk incorporated into the EAC? 

o. What is the process for reviewing and updating EAC’s? 

p. How does the CAM update the schedule? How often are schedules updated? 

3.2.2.3 IBR Documentation and Forms

After each CAM discussion, each Sub-team should sit down and review what was discussed. 

This is an opportune time to collect documentation to better prepare for the out-brief 

presentation. Each Sub-team Leader is responsible for documenting the team’s assessments and 

findings. The Team Leader uses the documentation to support overall team assessments and 

required corrective actions.

The following forms have been developed to facilitate review documentation. Sample IBR 

forms are provided in the IBR Guidance Package in Appendix F. Note that these are just sample 

formats and program/project specific formats can be substituted.

Discussion Assessment Form:

The Sub-team should complete one of these forms after each discussion. The Sub-team 

Technical Leader is responsible for reviewing this form and submitting it to the Team 

Leader and the IBR Coordinator. Keep in mind that the Discussion Assessment Form 

can be tailored based on risk.

Concern Area Report (CAR):

A CAR should be completed for each concern noted. Generally, concerns noted are 

items that require follow-up action. Information on this form should be clear and as 

specific as possible because it will be provided to the supplier to obtain a response and 

resolution. Spell out abbreviations. These forms should be submitted immediately to the 
24

Team Leader, and as soon as practical to the supplier. Responses should be provided to 

the IBR Team as soon as possible. Again, the Sub-team Leader is responsible for 

reviewing this form, and submitting it to the Team Leader and the IBR Coordinator. All 

forms will be compiled and logged. 

Documentation Request Form:

During CAM discussions, the team may find that additional documentation is required to 

gain a better understanding of the issue in question. Use this form to obtain required 

documentation. Submit the completed form to the Team Leader and the IBR 

Coordinator. All forms will be tracked in order to reduce redundancies and ensure 

receipt of all the requested material. 

Risk Assessment Form:

A risk assessment form should be completed after each discussion. Each risk and 

opportunity identified during the CAM Discussion is assigned a probability of 

occurrence. A potential cost and schedule impact for each risk and opportunity should be 

estimated, and a determination made as to whether this risk has been accounted for in the 

baseline. Each risk is classified as cost, schedule, technical, resource, or management 

process and assigned a rating based on risk evaluation criteria established by the NASA 

Program or Project Manager prior to the IBR. The ultimate goal of the Risk Assessment 

area of the IBR is an updated Estimate At Complete (EAC) or Life Cycle Cost estimate 

(LCC) which incorporates quantified risks. The Sub-team Leader is responsible for 

reviewing this form and submitting it to the Team Leader and IBR Coordinator. Risks 

identified at the IBR should be incorporated into the project’s existing risk management 

plan. 

General Assessment Form: 

The form is used to document observations for those things that are “not CAR worthy”, 

but might help EVM efficiencies (such as automatic links between IMS and EVM 

engine), as well as potential problem areas in the future based on previous IBR lessons 

learned. It is also used to document “best practices” for those things that improve the 

EVM process. 

All forms should be compiled and logged in an IBR Log. The IBR log should consist of both 

potential and actual issues revealed prior to and during the review, and should contain the 

appropriate actions required along with anticipated completion dates. This IBR Log will support 

the Letter of Findings during the IBR Close-Out Phase discussed in Section 4. See Appendix J

for sample IBR Logs.

3.2.3 Out-briefs

3.2.3.1 Daily Team Out-briefs

At the end of each day, the NASA IBR Team should conduct out-briefs where each sub-team 

reports findings from the CAM discussions. This will ensure that the entire team is aware of 

issues that have been raised by other teams, allowing further investigation during other CAM 
25

discussions. A supplier representative can be a part of this meeting, helping to clarify any issues 

and resolve issues in a timely manner.

3.2.3.2 Final IBR Out-brief

An IBR team meeting should be conducted prior to the final out-brief where the IBR Team can 

discuss the brief and concerns. This will ensure that the IBR Team members have a clear 

understanding of any concerns and action items. The agenda for the IBR must ensure that ample 

time is made available to prepare the out brief presentation.

The Team Leader should provide an out-brief to the supplier at the end of the on-site IBR. The 

out-brief should be tailored for each contract or in-house work activity; however several areas 

should be included. First, the brief should include assessments of each area’s PMB discussed 

(pros and cons) as well as all Concerns and Action Items. Next, a summary of the overall risk 

should be included as part of the out-brief as well. Finally, the Team Leader should provide an 

overall evaluation of the IBR and assess whether or not a follow-on review will be required. 

This decision is based on the Team Leader’s assessment of whether the objectives of the IBR 

have been achieved. 

A sample IBR Out-Brief can be found in Appendix K.

The Team Leader may also want to have the Sub-team Technical Leaders brief their area(s) of 

expertise. In addition, the Review Facilitator should note to the team any concerns and issues 

related to the management processes.
26

4.0 IBR CLOSEOUT

4.1 General

Once the IBR out-brief is completed, the closeout portion of the IBR process entails the review 

of all corrective actions identified during the IBR and the establishment of a plan to formally 

close out the IBR. The Program and Project Managers should agree on the closure plan of action 

and identify the individual(s) responsible for all identified risks. This phase also includes 

capturing lessons learned from the IBR process.

4.2 Letter of Findings/IBR Report

The results of the IBR should be reported to the supplier, and an IBR Report or a Letter of 

Findings can be used to effectively communicate these results. The IBR is an event required by 

the contract, therefore a letter to the contractor issued by the Contract Technical Representative 

(COTR) is customarily sent. The Review Facilitator should work with the Team Leader to 

generate the letter to the supplier. A letter will help to prevent the supplier from claiming that 

resolving actions resulting from the IBR are out of scope. 

The purpose of the letter or report is to summarize all of the concerns that were found during the 

IBR discussions and to request a corrective action plan from the supplier. The corrective action 

plan should identify proposed corrective/preventative actions, responsibility assignments, and 

projected completion dates. Issues that could impact the performance measurement data should 

also be identified and a copy provided to the appropriate EVM Working Group member. 

Appendix L contains a template for a Letter of Findings and Appendix M contains an IBR 

Report format. The IBR Concern Area reports or a Concern Area summary spreadsheet would 

typically be acceptable attachments to the letter. Also, if an IBR Report is prepared, it should be 

included as part of the letter to the supplier.

As an alternative, the customer and the supplier could agree on a corrective action plan 

immediately after the IBR out-brief to ensure more timely resolution of issues. This will make 

certain that the concerns are understood and that the IBR team agrees with the corresponding 

corrective action plan. This can speed resolution of the Concern Area Reports and closeout of 

the IBR. 

4.3 Tracking Concerns

Tracking the progress in resolving each concern rests with the Team Leader, including the 

Defense Contract Management Agency (DCMA) team representatives located at the contractor’s 

facility when applicable. The IBR Coordinator should work closely with the IBR Team to 

ensure that all actions are closed. Regular project reviews are also another good place to have 

the follow-up on any actions that resulted from the review. Approval of corrective actions rests 

with the Team Leader, and most likely would be an iterative process. 
27

4.4 IBR Closeout Letter

When all Concern Area Reports have been closed, the Team Leader will approve close out of the 

IBR. An IBR closeout letter is sent to the supplier indicating that all CAR’s are either closed or 

being tracked and that the IBR is complete. Reporting the results of the IBR may take the form 

of an informal letter or memo for record, depending on the size and formality of the IBR. See 

Appendix N for a sample IBR Closure Letter.

 

4.5 Lessons Learned

After the IBR on-site review and actions have been agreed upon, it is important to poll the IBR 

participants for lessons learned. This includes the areas that worked well and those where 

improvements could be made. Lessons learned can come from both the IBR team and the 

supplier team. Lessons learned should be forwarded to the Agency’s Program Executive for 

EVM as the Agency EVM Working Group is responsible for the Agency IBR Toolkit. This 

document was developed using best practices from previous IBR’s, and therefore these are 

included within the document. In addition, below is a listing of some additional lessons learned 

from both in-house and contractor IBR’s. This list is updated as IBR’s occur.

a. If a form includes an assessment of CAM discussions, ensure that criteria for those 

ratings is established, clear, and objective. If an unfavorable rating is assessed, include 

rationale supporting the rating.

b. The team leader should discuss interview strategy with the team members prior to the 

interview to describe conduct of the review, i.e. who will ask questions, who will take 

notes, etc. This will ensure that team members understand roles and responsibilities 

during the discussions.

c. Supplier participation in the daily out-briefs can help to ensure that concerns are clearly 

communicated and understood. However, it is important to stress the purpose of the 

meeting is for team discussion of issues and not for resolution of those issues.

d. CAM discussions should not be scheduled for less than two hours to ensure that teams 

have enough information to answer questions on discussion and concern area forms. 

Ample time must also be allowed to poll all team members.

e. If the time allotted for CAM discussions is insufficient, work with the CAM to schedule 

additional time. This will eliminate the need for side-bar discussions, ensuring that the 

whole team is aware of the information.

f. Dedicate a room for the IBR team for the duration of the IBR.

g. Provide hard copies of logistics information (i.e. schedule, maps, etc.) to IBR team 

members as part of the in-brief on the first day of the on-site IBR.
28

APPENDIX A IBR CHECKLIST

IBR Event: __________________________

IBR Date: ___________________________

Phase I - Organization & Planning

TARGET DATE DONE RESPONSIBILITY REMARKS

Determine Need for IBR Project Manager

Appoint IBR Coordinator and Review Facilitator Project Manager

IBR Overview training for PM & leadership 

team

Facilitator

Define CWBS/CA scope for IBR Team Lead

Request Responsibility Assignment Matrix 

(RAM) from Supplier Team Lead

Determine Supplier IBR Readiness Team Lead

Determine areas to be reviewed at the IBR Team Lead

Identify & Assign Review Team members Team Lead

Coordinate IBR dates and review agenda with 

the supplier and Program/Project Mgmt Coordinator

Formally notify supplier of Review & request 

project data & documentation Coordinator

Create a Common Data Repository/Archive site 

for IBR data drop Coordinator

Collect requested project documentation and 

distribute to IBR Team Coordinator

Define Risk Evaluation Criteria Team Lead

Prepare IBR Guidance Package Coordinator

Phase II - Prepare & Train for the IBR

TARGET DATE DONE RESPONSIBILITY REMARKS

Conduct IBR Kick-off Meeting Team Lead

Provide training for Team Members Team Lead

Plan for Team travel and logistics for the Onsite Review Coordinator

Coordinate with contractor/project team for 

On-site support required Coordinator

Collect concerns from the IBR Kick-Off Meeting 

and forward to supplier Coordinator

Determine Discussion Questions Sub-team Lead

Phase III - On-Site Review Activities

TARGET DATE DONE RESPONSIBILITY REMARKS

Assemble Team on-site to review IBR plan and 

schedule Team Lead

Deliver IBR In-Brief at Kick-Off Meeting Team Lead

Conduct summary-level planning reviews and 

discussions/interviews Sub-team Lead Per interview or per day activities.
29

Conduct detailed (CA level) 

discussions/interviews Sub-team Lead

Hold daily end-of-day Team meetings to review 

issues/findings Team Lead

Prepare assessment Reports for each 

discussion/interview Sub-team Lead

Identify and request any additional data or 

documentation required Coordinator

Document concerns using the Concern Area 

Report (CAR) template Sub-team Lead

Document action items using the IBR Action 

Items template Sub-team Lead

Assign action items and completion dates to 

appropriate people Team Lead

Prepare final IBR Out-Brief and review with 

senior management Team Lead

Deliver final Out-Brief Team Lead

Phase IV - Follow-up Activities

TARGET DATE DONE RESPONSIBILITY REMARKS

Formally notify Supplier of IBR Findings Coordinator

Monitor action item progress Team Lead

Notify Supplier of IBR Closure Coordinator

Schedule further IBRs as appropriate over the 

life of the contract/project Team Lead
30

APPENDIX B SMALL PROJECT IBR

1

Integrated Baseline Review (IBR)

Project Name

Project Manager’s Name

Date

2

WBS/Work Description/Requirements

BAC ($K)

Work 

Description

Requirement 

Paragraph

1 3185 3.0

1.1 510 3.1.1 1

1.1.1 Propulsion (Single Stage Only) 150 3.1.1.1 2

1.1.2 Stage I 120 3.1.1.2 3

1.1.3 Stage II...n (As Required) 150 3.1.1.2 3

1.1.4 Guidance and Control 60 3.1.1.3 4

1.1.5

Integration, Assembly, Test and 

Checkout 30 3.1.1.4 5

1.2 590 3.2.2 6

1.2.1 Propulsion (Single Stage Only) 220 3.2.2.1 7

1.2.2 Stage I 75 3.2.2.1 8

1.2.3 Stage II...n (As Required) 100 3.2.2.2 9

1.2.4 Guidance and Control 150 3.2.2.3 9

1.2.5

Integration, Assembly, Test and 

Checkout 45 3.2.2.4 10

1.3 1650 3.2.3 11

1.3.1 Spacecraft 600 3.2.3.1 12

1.3.2 Payload I...n (As Required) 300 3.2.3.2 13

1.3.3 Reentry Vehicle 450 3.2.3.2 14

1.3.4 Orbit Injector/Dispenser 225 3.2.3.3 15

1.3.5

Integration, Assembly, Test and 

Checkout 75 3.2.3.4 15

1.4 60 3.2.4 16

1.4.1 Sensor I...n (As Required) 20 3.2.4.1 17

1.4.2 Telemetry, Tracking and Control 30 3.2.4.2 18

1.4.3 External Communications 10 3.2.4.3 19

1.5 50 4.1.1 20

1.5.1 Mate/Checkout/Launch 30 4.1.1.1 21

1.5.2 Mission Control 20 4.1.1.2 22

1.6 100 5.1.1 23

1.7 90 6.1.1 24

1.1.7 Mock-ups 50 6.1.1.1 25

1.7.2 Test and Evaluation Support 40 6.1.1.2 26

1.8 50 7.1.1 27

1.9 60 8.1.1 28

1.9.1 Technical Publications 10 8.1.1.1 29

1.9.2 Support Data 20 8.1.1.2 30

1.9.3 Data Depository 30 8.1.1.3 31

1.10 Initial Spares and Repair Parts 25 9.1.1 32

System Test and Evaluation

Training

Data

Ground Command, Control, Communications 

and Mission Equipment

Flight Support Operations and Services

Systems Engineering/Program Management

Space System

Launch Vehicle

Orbital Transfer Vehicle

Space Vehicle
31

3

Basis Of Estimate (BOE)

Program/Project/Activity Name

WBS Element

Description of Work Content 

Technical Parameters

Ground Rules/Assumptions

Labor / Material Breakout Labor Labor Material Subcontract Other Govt. Agency ODC

Hours $ $ $ $ $

NASA Labor

Contractor/Subcontractor

TOTAL 0 0 0 0 0 0

BASIS OF ESTIMATE: (i.e., analogous programs, historical data, parametric estimates, etc.)

CALCULATIONS / ADJUSTMENTS: (show adjustments to data and explain reason for adjustments)

4

Time-phased Resources ($)

0

100

200

300

400

500

Jun-03

Jul-03

Aug-03

Sep-03

Oct-03

Nov-03

Dec-03

Jan-04

Feb-04

Mar-04Apr-04

May-04

Labor Material ODC Subcontract Other Govt. Agencies 
32

5

Time-Phased BCWS ($)

0

500

1000

1500

2000

2500

3000

3500

Jun-03

Jul-03

Aug-03

Sep-03

Oct-03

Nov-03

Dec-03

Jan-04Feb-04Mar-04

Apr-04

May-04

PDR

Ver

Test

Product 

CDR Delivery

EAC

6

Schedule
33

7

Work/Planning Package Summary Earned Value Method BAC ($K) % BAC

Milestone Weights 956 30%

0/100 637 20%

50/50 478 15%

Apportioned Effort 159 5%

Level of Effort 478 15%

Planning Packages 478 15%

Total 3185 100% 8

Subcontractor/Other Govt. Activities WBS Subcontractor/Govt. Activity Type Cost ($K)

1100 Marshall Space Flight Center (MSFC) 50

2100 United Space Alliance (USA) CPFF 200

3100 Boeing CPIF 550

5100 Lockheed Martin CPIF 30

5200 Johnson Space Center (JSC) 20

7100 ASRC FFP 40

7200 Dynacs FPIF 40

8000 Goddard Space Flight Center 50

Total Subcontracts/Government Activities 980
34

9

Top Risk List & Risk Matrix (Example)

Program/Project Name from date last review to date current review

LXC Trend Rank Risk ID Approach Risk Title

1 Engine-01 M

Thermal Vacuum/Acoustic 

Test

2 Engine-06 W On-Orbit Propellant Transfer

3 Engine-03 M Aggressive Schedule

4 Engine-08 M

Government Furnished 

Property (GFP)

New 5 Engine-05 M Hot Fire Test Schedule Slip

6 Engine-01 M

Design Launch Weight 

Exceeds the Shuttle Capacity

7 Engine-04 R Returnability Requirement

8 Engine-09 W 12 Year Life Certification

New 9 Engine-07 M Reboos Engine/Thruster Lives

New 10 Engine-15 M

Unachievable Thruster 

Technology

4

100%

80%

60%

40%

20%

1 2 3 5

Consequences

Risk Matrix

9

7,8

4,5

10

1,2

6 3

Criticality L X C Trend Approach

High Decreasing (Improving) M - Mitigate

Med Increasing (Worsening) W - Watch

Low Unchanged A - Accept

New New Since Last Period R - Research 10

Executive Summary

Cost (Funding)

Cost (EAC)

Schedule

Technical Performance

Risk

Management Issues:

Contractor Transition

FR Upgrade

Installation Process

R

Y

G

G

R

Y
35

11

Quantified Risk Risk Title Consequence

Likelihood 

Pocc

Cost ($K) 

Impact

Schedule 

Impact

Expected 

Value ($)

Thermal Vacuum/Acoustic 

Test 4 95% 300 13 wks 285

On-Orbit Propellant 

Transfer 4 90% 150 15 wks 135

Aggressive Schedule 5 80% 50 15 wks 40

Government Furnished 

Property (GFP) 4 85% 75 12 wks 63.75

Hot Fire Test Schedule 

Slip 4 90% 125 14 wks 112.5

Design Launch Weight 

Exceeds the Shuttle 

Capacity 4 80% 200 16 wks 160

Returnability Requirement 4 60% 250 15 wks 150

12 Year Life Certification 4 60% 225 12 wks 135

Reboos Engine/Thruster 

Lives 3 80% 150 7 wks 120

Unachievable Thruster 

Technology 4 40% 175 14 wks 70

Total Cost of Risks 

(Cumulative $K) 1700

Total Cost of Risks 

Expected ($K) 1271.25

Reserve ($K) 3000
36

APPENDIX C PROPOSED IBR Language

Integrated Baseline Review (IBR): The contractor shall present its performance measurement 

baseline plan to the Government within six months after contract award, and subsequently, when 

required, following major changes to the baseline. The Government will verify during the IBR, 

and follow-on IBRs when required that the contractor has established and maintains a reliable 

performance measurement baseline. The contractor will ensure that the baseline includes the 

entire contract technical scope of work consistent with contract schedule requirements, and has 

adequate resources assigned. The contractor will assure the Government that effective earned 

value methods are used to accurately status contract cost, schedule, and technical performance. 

The contractor will perform a self-assessment of the cost and schedule risk for the IBR. The IBR 

will be used to achieve a mutual understanding of the baseline plan, cost and schedule risk, and 

the underlying management processes used for planning and controlling the project. 
37

APPENDIX D RESPONSIBILITY ASSIGNMENT MATRIX

FLIGHT DEVELOPMENT PROJECT CAM BAC ($K)

1 72300

1.1 CAM 1 5000

1.1.1

1.1.2

1.2 CAM 2 3000

1.2.1

1.2.2

1.3 CAM 3 2000

1.3.1

1.3.2

1.4 CAM 4 500

1.4.1

1.4.2

1.5 5000

1.5.1 CAM 5 1000

1.5.2 CAM 6 4000

1.6 12000

1.6.1 CAM 7 2000

1.6.2 CAM 8 4000

1.6.3 CAM 9 6000

1.7 18000

1.7.1 CAM 10 2000

1.7.2 CAM 11 5000

1.7.3 CAM 12 3000

1.7.4 CAM 13 8000

1.8 5000

1.8.1 CAM 14 2000

1.8.2 CAM 15 3000

1.9 12000

1.9.1 CAM 16 4000

1.9.2 CAM 17 3000

1.9.3 CAM 18 5000

1.10 9000

1.10.1 CAM 19 2000

1.10.2 CAM 20 7000

1.11 Education and Public Outreach CAM 21 800

Ground System(s)

System Integration and Testing

Launch Vehicle/Services

Mission Operations

Safety and Mission Assurance

Payload (s)

Aeronautical and Spacecraft Systems

Flight Development Project

Project Management

Systems Engineering 

Science/Technology
38

APPENDIX E IBR NOTIFICATION LETTER TEMPLATE

<Project Name>

Notification of Integrated Baseline Review

Supplier: < Supplier Name>

Contract Number: <Contract #XXXXXXX>

Date: <Month Day, Year>
39

To: <Supplier Contract Officer Name, Organization>

SUBJECT: Notification of Integrated Baseline Review (IBR) and Request for Documentation for 

<Subproject Name or Contract #>.

It is the intent of the <Project Name> Project Office and the <Organization or Contractor> to use Earned 

Value as a tool in the management of <Subproject Name or Contract #>. In order to support this effort, 

a joint IBR will be conducted in accordance with this contract and current NASA requirements on <Date 

of on-site review>. Detailed scope of the IBR, including specific Control Accounts, will be determined at a 

later date.

The purpose of the review is to achieve a mutual understanding of the Performance Measurement 

Baseline and its relationship to the Earned Value Management systems and processes. The objectives 

are to gain insight into cost and schedule risk associated with the contracted effort and to establish 

confidence in the project’s operating plans. This will be accomplished by jointly evaluating, through 

discussions with your Control Account Managers, the Performance Measurement Baseline to ensure it 

captures the entire technical scope, is consistent with contract schedule requirements and has an 

adequate resource plan. Discussions will focus on the scope of work, work authorization, scheduling, 

resource allocation and time phasing, and earned value techniques used to manage the work. 

Enclosed is a list of documentation requirements that need to be submitted electronically for 

government review no later than <Date>. Forward all electronic submissions to <IBR Coordinator Name, 

Email>. The IBR team requires non-escort badges, a working area with tables and access to printers and 

telephones.

The IBR kick-off meeting is scheduled for <Date>. Meeting details will be sent separately. The IBR joint 

team training is scheduled for <Date>, <Organization or Contractor> personnel supporting or 

participating in the IBR are invited. The location is to be determined and will be provided prior to 

training.

<IBR Team Lead Name> will be the IBR Team Leader for this review. Questions concerning this 

notification or the IBR may be directed to <IBR Team Lead Name, Phone, Email> or <IBR Coordinator 

Name, Phone, Email>.

____________________

<PM NAME>

Project Manager

<Project Name> Project

Attachment 1: Documentation and Data Request

Attachment 2: Review Team On-site Requirements

Cc: Government COTR

Review Team Lead

Review Team Members
40

Documentation and Data Request

 Work Breakdown Structure (WBS) - to the Control Account level 

 WBS Dictionary

 SOW with WBS cross-reference index

 Integrated Master Plan (IMP), if available, or key project milestones

 Project Risk Register

 Risk Management Plan

 Organizational Breakdown Structure (OBS) - to the CAM level

 Subcontractor listing by WBS element and value of subcontracts, if applicable

 Contractor/Subcontractor EVMS flow-down requirements

 Responsibility Assignment Matrix (RAM) showing dollars allocated by Control Account

 EVM System Description and related business process descriptions (e.g. Risk Management)

 Initial Control Account Plans (CAP), including Basis of Estimates (BOE), Assumptions, and Risks

 Latest Estimate at Completion (EAC) and supporting documentation

 Work Authorization Documents (all levels)

 Budget Change Requests (BCR) approved thus far, if applicable.

 Baseline Control Logs (Management Reserve, Undistributed Budget, Contract Budget Base)

 Integrated Master Schedule (IMS) with linkages to Integrated Master Plan (IMP)

 Supporting schedules (Intermediate, and Detailed, as applicable)

 All Contract Performance Reports (CPR) to date 

 Financial Reports such as 533M/Q or equivalent 

 Performance measurement reports used for internal management purposes

 Control Account/Work Package summary showing:

o Number of work packages and total value by type of EV method

o Longest CA, shortest CA, mean and median duration, total value of account

o Largest CA, smallest CA, mean and median values- Number of Planning packages and 

total Planning Package budget

 All contract changes to date

Instruction TO BE DELETED:

(The above list is intended to be a comprehensive example of the final list. This list should be tailored 

based on information required for preparation and insight. The supplier may have the data described 

above in different formats or naming conventions. Only request data that has not already been received. 

Documentation should be requested to be received NO LATER THAN 2 - 4 weeks prior to the IBR.)
41

Review Team On-site Requirements

A certain amount of administration is required to ensure the smooth IBR. This effort will benefit all 

stakeholders. The project is requested to arrange the following for our Review Team’s on-site presence 

during the review: 

1. All Review Team members are cleared for any security requirements, and that arrangements are 

in place for them to be collected and escorted in necessary while on site.

2. Provide adequate working area and collaborative work space.

3. Schedules for discussions with CAMs and other project management staff and ensure all 

personnel are available.

4. Ensure that rooms for CAM discussion are available.

5. Administrative support as required.
42

APPENDIX F IBR GUIDANCE PACKAGE

INTEGRATED BASELINE REVIEW

GUIDANCE PACKAGE

<PROJECT LOGO>

<PROJECT NAME> 

<SUPPLIER NAME>

<SUPPLIER ADDRESS>

<IBR DATES>
43

TABLE OF CONTENTS

PURPOSE...................................................................................................................................44

REVIEW METHODOLOGY.....................................................................................................45

SAMPLE REVIEW AGENDA...................................................................................................46

SAMPLE IBR QUESTIONS......................................................................................................47

ORGANIZATION.............................................................................................................................. 47

AUTHORIZATION ........................................................................................................................... 49

BUDGET.............................................................................................................................................. 49

CONTROL ACCOUNT .................................................................................................................... 49

WORK PACKAGE............................................................................................................................. 50

PLANNING PACKAGE ................................................................................................................... 51

SCHEDULE ........................................................................................................................................ 51

CHANGE CONTROL ....................................................................................................................... 52

EARNED VALUE .............................................................................................................................. 52

ESTIMATE AT COMPLETION (EAC) / COST-TO-COMPLETE (CTC)................................... 53

SUBCONTRACTOR/EXTERNAL WORK..................................................................................... 53

ANALYSIS.......................................................................................................................................... 55

OTHER................................................................................................................................................ 56

DISCUSSION GUIDELINES ...................................................................................................57

LOCATION OF DISCUSSION......................................................................................................... 57

STRUCTURING THE DISCUSSION............................................................................................... 57

THE DISCUSSION PROCESS.......................................................................................................... 57

AFTER THE DISCUSSION............................................................................................................... 58

TEAM ASSESSMENTS: .................................................................................................................... 58

DOCUMENTATION GUIDELINES........................................................................................60

IBR DISCUSSION ASSESSMENT FORM ..............................................................................62

IBR CONCERN AREA REPORT..............................................................................................63

DOCUMENTATION REQUEST FORM..................................................................................64

RISK EVALUATION CRITERIA .............................................................................................65

IBR RISK ASSESSMENT .........................................................................................................69

GENERAL ASSESSMENT FORM ...........................................................................................70

GLOSSARY OF EVM TERMS..................................................................................................71
44

PURPOSE 

The purpose of the IBR is to achieve a mutual understanding of the baseline plan and its 

relationship to the underlying Earned Value Management (EVM) systems and processes 

that will operate during the life cycle of the project. The objectives are to gain insight 

into cost, schedule, technical, resource, and management process risk areas, as well as 

develop confidence in the project’s operating plans. This will be accomplished by 

evaluating the performance measurement baseline to ensure it captures the entire 

technical scope of work, is consistent with schedule requirements, has adequate 

resources assigned, and has sound management processes. 

PROJECT BACKGROUND

<Short description of the project and the supplier’s role>
45

REVIEW METHODOLOGY

The IBR process will include the activities listed below. 

a. A review of the documentation that establishes the current and baseline plan 

will occur prior to and during the IBR. This will include technical scope, cost 

estimate to complete (ETC's), basis of estimates, budgets, resource plans, 

schedules, and earned value methods. Concern area reports will be 

generated and submitted as a result of pre-IBR and IBR reviews.

b. IBR training to familiarize the review team with the IBR process, purpose, and 

documentation. 

c. Discussions with selected managers to verify the adequacy and risk related to 

work authorizations, budgets, ETC’s, current and baseline schedules.

e. Sub-team evaluations, risk assessments, and preparation of concern area 

reports required. Team meetings to discuss results of the control account 

manager discussions.

f. An out briefing by the Team Leader covering the results and findings of the 

review. The Sub-team Leaders will also be available at the out brief for 

questions and comments.
46

SAMPLE REVIEW AGENDA

Day 1

8:00- 10:00 IBR In-brief, Administrative Details

10:00- 11:30 Documentation Review

11:30-12:30 Lunch

12:30- 2:30 Discussion Period 1

 2:30- 3:30 Period 1 Wrap up

 3:30- 5:00 Sub-Team Out-Briefs 

Day 2

 8:30-10:30 Discussion Period 2

10:30-11:30 Period 2 Wrap up

11:30-12:30 Lunch

12:30-2:30 Discussion Period 3

2:30-3:30 Period 3 Wrap up

3:30-5:00 Sub-Team Out-Briefs

Day 3

8:00 -10:00 Discussion Period 4

10:00-10:30 Period 4 Wrap up

10:30-11:30 Out-brief Preparation

11:30-12:30 Lunch

12:30-3:00 IBR Out-Brief & Closing Statements
47

SAMPLE IBR QUESTIONS

(USE AS GUIDELINE FOR DISCUSSION PREPARATION)

The list of sample questions below should serve as a guide to the IBR Team, and 

does not represent a comprehensive list. It is not the intent for the IBR Team to ask each 

of these questions during the CAM discussions. The IBR Team can review the 

questions below and select the areas relevant to each CAM discussion.

ORGANIZATION

What is the manager’s scope?

The manager should be able to refer to a Statement of Work (SOW) paragraph, a 

Contract Work Breakdown Structure (CWBS), or WBS narrative, and a Work 

Authorization Document. 

How many people work for you and what do they do? 

How do they report to you (how do you know the performance status of their work)? 

How did the manager plan the work into control accounts?

The SOW defines the effort. The WBS or CWBS provides specifics, such as work 

definition. The work authorization and change documentation should show 

information such as the dollars/hours, period of performance, and description of 

the scope of work and any changes.

How did the manager ensure that all elements of the scope are planned?

The manager should be able to show the scope of work broken down into 

work packages, planning packages, or summary level planning packages and 

the budgets and ETC's associated with each. The sum of the work packages 

and planning packages should equal the control account budget. The actual 

costs plus the ETC's should equal the Estimate at Completion. 

How did the manager obtain the resources for assigned work?

Baseline resources should be identified in the work authorization document 

and changes in scope, cost or schedule requirements should be reflected in 

change request documentation. 

What process did the manager use to develop the resources required to accomplish the 

current plan and how does this differ from the original plan?
48

Review the basis of estimate for reasonableness. 

Does the manager believe that the budget or ETC is sufficient to perform the 

work? Ask the Manager to describe the resource requirement development 

process. 

What is the current EAC? 

How was the EAC developed? 

Who reviews updates to the EAC? 

Does the EAC require program manager approval? 

How does the EAC compare to the BAC? 

Note: The cost estimate to complete (ETC) should be reviewed monthly by the CAM. 

Elicit a range of possibilities (low and high) that represents as clearly as possible the 

complete judgment of the CAM as follows:

Ask the CAM the basis of estimate (i.e., results from previous projects, etc.). 

Does the estimate consider past performance and does the EAC reflect the 

current cost performance trend?

Identify risks/opportunities that are included/not included in the baseline. 

What are the major risks or challenges remaining to accomplish the CAM's or 

subcontractor's responsibilities? 

Ask the CAM to describe why it is a risk or opportunity. 

Exchange ideas about risks or opportunities.

Establish the likelihood of the risk/opportunity event. 

Ask the CAM to explain the risk mitigation plan emphasizing risk mitigation 

milestones and associated risk performance measurement. 

Determine the impact (cost/schedule) for medium and high risks. 

Ask the CAM to consider extreme values for his effort (optimistic/pessimistic).

Document results on the Risk Assessment Form
49

AUTHORIZATION

How are you authorized to begin work? (Provide an example of work authorization 

documentation.) 

Show me your work authorization document(s), which define the work you must 

accomplish and relate these requirements to the work remaining within your 

team/WBS element at the time the cost to complete, was analyzed/developed. 

BUDGET

What role did you play in formulating the budget? 

How did you arrive at your budget figures? Do you have the backup or worksheets 

from which you arrived at your estimates? 

Was there a negotiation process for your budgets? Is your budget adequate? 

How were you advised of budget? Of tasks? Of schedule? Of changes? 

CONTROL ACCOUNT

How many control accounts are you responsible for and what is the total dollar value of 

your accounts? May we see a control account plan? 

How are your budgets time-phased, and is this reflected in your control account plan? 

How do you status your accounts? How does the performance status of your accounts 

get into the system? 

Do you have any LOE accounts? Please describe the tasks of these accounts. 

Do you have any control accounts that contain a mixture of LOE and discrete effort? 

What is the highest percentage of LOE within an account that also contains discrete 

effort? 

How do you open a control account? 

How do you close a control account? 

How can you tell when a control account is opened or closed? 

What reports do you receive that give you cost and schedule progress of your control 

accounts? 
50

WORK PACKAGE

What percent of your work is measured or discrete effort? What percent is Level of 

Effort (LOE)? 

How does your work package relate to the CWBS or WBS? Please discuss with actual 

examples. 

How are your work package activities related to the Integrated Master Schedule or 

underlying intermediate supporting schedules? Actual examples will support this 

discussion. 

How was the budget time-phased for each work package, i.e., what was the basis for 

the spread? Is the time-phased budget related to planned activities of the work 

package? 

For the example control account, what is your total budget amount? Of this total 

budget amount, how much is distributed to work packages and how much is retained 

in planning packages? Do you have an undistributed budget or management reserve 

account? 

Do you use interim milestones on any of your work packages to measure BCWP? 

How do you define a work package? What is the difference between a work package 

and a planning package? 

How many work packages do you have responsibility for? 

What options does your management system provide for taking BCWP? 

Do your control account plans indicate the method used in taking BCWP? 

How do you know when a work package is opened or closed? 

Have you ever opened work packages earlier than the scheduled start date? If so, how 

is this accomplished? 

Who prepares the budgets for your work packages? 

Demonstrate how you earn BCWP in the same way that BCWS was planned? 

Can you provide examples of how you measure BCWP or earned value for work-inprocess? 

Does anyone review labor hours charged to your work packages? 

Do you ever have mischarges to your work packages? How are these corrected? 
51

PLANNING PACKAGE

What is the procedure and time frame for discretely developing work packages from 

the planning packages? 

Are your planning packages time-phased? 

SCHEDULE

What are your schedule responsibilities? 

What schedule milestones did the manager use in planning the control account(s)? Ask 

the Manager to show the team the schedule milestones used in the planning of the 

control accounts. How does the current schedule compare with the baseline schedule?

The manager should discuss:

Relationships of work packages to milestones.

Schedule interfaces and constraints.

Resource levels to support schedule milestones.

Relationships to other organizations.

Schedule impacts related to other work/organizations.

Level of Effort tasks that support the schedule.

How did the manager time-phase the work to achieve the schedule? All work should 

be logically planned in compliance with the SOW and schedule.

Has the manager considered risks in developing the plan?

Has the manager adequately planned and time-phased resources to meet the plan?

Do you directly support any major master or intermediate schedule milestones? 

Do you have detailed schedules below the work package? 

How do detailed schedules below the work package support the work package 

schedules? 

How are you informed by other organizations of changes in their output that may affect 

your control accounts schedules? (Horizontal Trace) 

Demonstrate that the progress reflected on the master project schedule or underlying 

intermediate schedules correlates to the relative progress reflected in the EVM system. 
52

CHANGE CONTROL

Have you had retroactive changes and/or replanning efforts to the budget baseline? 

Have you had any changes to your accounts? (Provide example of how these are 

handled.) 

Are budget transfers between your accounts and management reserve and 

undistributed budget traceable? How? 

Do you have any work originally planned for in-house that was off-loaded? How was 

this accomplished? 

For off-loaded work, was the budget transferred directly, returned to management 

reserve, or to undistributed budget? 

EARNED VALUE

Is progress toward accomplishing identified and planned activities used to determine 

earned value? If yes, describe the process. If no, how is earned value assessed? 

What type(s) of earned value measurement indicators have been assigned by the 

manager?

Is the earned value method chosen appropriate for the type of work being 

performed?

Does the method chosen objectively measure performance?

Does the earned value assessment correlate with technical achievement?

What methods and tools does the manager use in administering the plan?

Some examples are weekly or monthly earned value reports; master, 

intermediate, and detail schedules; periodic meetings; independent assessments 

of technical progress, etc. 

Determine how changes are incorporated. Evaluate the effect of changes on 

performance measurement information. Assess whether changes are done in 

accordance with the EVM system description or documented management processes.

What formal training have you had in EVM? 

Do you feel you have had adequate training or do you need more? 
53

ESTIMATE AT COMPLETION (EAC) / COST-TO-COMPLETE (CTC)

What does Estimate at Completion (EAC) mean to you? How do you arrive at an EAC? 

How often is your EAC reviewed and revised? 

What guidance or instructions did you receive from management in order to develop 

your EAC? 

If written instructions were provided, what were these and who authored them? 

Define the work remaining within your WBS element at the time the cost to complete 

was analyzed/developed. Identify effort to be performed by major subcontractors.

How did you determine the effort or resource amounts required to complete the 

remaining work? 

 Outline the steps you took to arrive at your estimate.

 What project/performance risks have been considered in your estimate? 

 What performance level was assumed and why?

 How does the projected performance level compare to your experienced 

level of performance?

 How are EAC's calculated for material?

Demonstrate that your EAC is segregated by labor, material, and other direct charge 

categories. 

What current and future events and performance factors have been included in your 

current cost to complete? Examples: task changes, make-buy decisions, performance 

factors, etc. 

Describe and demonstrate how you projected the cost to complete over the time 

remaining. 

Discuss your management's involvement in developing the estimate of the cost 

remaining to complete your program tasks. 

SUBCONTRACTOR/EXTERNAL WORK

Are you responsible for any subcontracts? How do you monitor performance on these? 

How do you take BCWP? 
54

How are subcontracts managed? Ask the Subcontracts Manager to describe the process 

for managing subcontractor earned value.

What subcontracts are your responsibility? What criteria determine whether a 

subcontract or a Purchase Order is used? What types of subcontracts exist or plan to be 

negotiated (fixed price vs. cost plus)?

What are the major challenges or risks to the subcontractor in accomplishing project 

responsibilities?

Are these items tracked by the Project Management Office or Functional Manager in a 

risk register or plan?

What subcontractor technical, schedule and cost reports are required to be submitted to 

you or your team?

What is your total budget (for each subcontract and the corresponding control 

accounts)? How is profit or fee included in your budget?

How was the budget established? Does it reflect an achievable value for the resources 

to fully accomplish the control account scope of effort?

What rationale was used to time phase the budget into planning packages, tasks, work 

packages or summary activities?

Are the time phased budget resources consistent with your integrated master schedule? 

Show the trace from your control account to intermediate or master schedules.

When are you required to detail plan planning packages or summary activities? What 

schedule document or system is used to develop detail planning for your control 

account?

How do you know that the work within your control accounts to be performed by 

subcontractor has been properly planned?

How do you check the status and performance of work on your control account by a 

subcontractor?

How are actual costs recorded against your control account?

What techniques are available for determining Earned Value? Explain the application 

of each technique.

How and when is risk assessment or risk management plan updated for 

technical/schedule/cost risk items affecting your control account?
55

How and when is the actual and forecast schedule update provided for your control 

account effort?

Are variance analysis thresholds or requirements established for reporting technical, 

schedule or cost variances to planned goals established for your control accounts? Do 

you informally/formally report the cause of variance, impact or corrective action for 

these variances?

What is your current Estimated Cost at Completion (EAC)? How often is it updated? 

Does your EAC reflect current cost performance trend?

What document authorizes you to begin work on a subcontract?

For these selected work packages, what specific outputs, products, or objectives are to 

be accomplished?

What is specifically needed by you from other control account managers to generate 

subcontractor outputs or products? How do you monitor its progress?

Who specifically needs the subcontractor outputs or products to perform their program 

functions? How do you status others on the progress of your outputs to them?

Specifically, what technical items are currently producing the greatest risk to achieving 

technical, schedule or cost goals? Are these items reviewed as part of a risk assessment, 

management plan or other reporting tool to your boss or the project management 

office?

How do you determine whether the reported cost variance is due to subcontractor 

effort or a company overhead rate?

How are material budgets planned? 

How do you track material prior to delivery? 

How do you track material when deliveries are late? 

When is BCWP or earned value taken on material? 

How much BCWP is earned when material is withdrawn from inventory or received? 

ANALYSIS

Do you have any variance thresholds of your control accounts? 

What are the variance thresholds of your control accounts? 
56

How do you know when you have exceeded a threshold? 

How do rate changes affect your control accounts? 

Who is responsible for rate variance analysis? 

Will an account accept BCWP or ACWP if there is no BCWS? 

How do you know when you must prepare a variance report? 

Do you have samples of any variance analysis reports? (Do these show a statement of 

problem, the variance, cause, impact and proposed corrective action?) 

Who receives your variance reports? What action is taken on the reports? 

Which reports do you use most frequently? Why? 

OTHER

How are you reporting labor, material, and other direct costs? 

Has your effort been impacted by any directed or contractual change? When did you 

receive authorization to proceed with the change and how did you incorporate the 

change in your plan (schedule and budget time phasing)? 

What changes have been made to the control account planning (technical definition of 

scope, schedule, budget resources, ETC’s)?

 What documents are involved in a change to the control accounts' scope of 

work, schedule, budget, or ETC?

 Did the CAM re-phase or replan work? In process work? Completed work? 

Unopened work packages? Make current period or retroactive changes?

 Did the CAM transfer budget between control accounts?

 How have contract changes or other changes been incorporated into the 

control account?

 If one of the control accounts had an unfavorable cost or schedule variance 

did the CAM replan or request management reserve to reduce or eliminate 

the variance?
57

DISCUSSION GUIDELINES

LOCATION OF DISCUSSION

Conference Rooms will be provided by the supplier for the on-site review.

STRUCTURING THE DISCUSSION

 Have an objective. What is the purpose for speaking with this particular 

manager? What do you expect to gain from the discussion?

 What questions will you ask to achieve the objective?

 Prepare a tentative list of basic questions to serve as a framework for the 

discussion. This will open the way for spontaneous in-depth conversation and 

follow-up questions.

 Designate a person to take notes

THE DISCUSSION PROCESS

Below is a list of suggested techniques for all team members to consider before and 

during the CAM discussions. 

 Prior to the discussions, the IBR Team members should be familiar with areas 

previously identified for discussion. Review the documentation thoroughly. 

 Introduce yourself and identify the organization you represent. You may also 

wish to indicate your team affiliation in the review. 

 Be well prepared and maintain a tempo that keeps the discussion moving 

along toward satisfying your objective. Be friendly, but avoid long 

conversations extraneous to the discussion.

 Take notes. The discussion leader (normally the Sub-team Technical Lead) or 

an accompanying team member should take notes during the discussion. 

 Request copies of documents only if necessary to accomplish the objective of 

the discussion. If documentation is not readily available, complete a 
58

Documentation Request Form. See Appendix F for a sample Documentation 

Request Form.

 Watch the time. Discussions are normally scheduled for two hours in length. 

Should additional time be required to complete the discussion, coordinate 

with the Team Leader 

 If disagreements arise which cannot be resolved, the team member should 

write a description of the disagreement in a Concern Area Report and submit 

it to the Team Leader for disposition. The Team Leader will handle any 

continuing discussion with the Project Team.

AFTER THE DISCUSSION

Complete the written discussion assessment form directly after the discussion. Use this 

as a reference during the daily Government team meetings. Submit the forms and all 

concern area reports to the IBR Coordinator.

Be sure to follow up on any outstanding issues or questions, especially if you address 

them in your discussion assessment forms, or if you have committed to obtaining 

additional information in support of your assessments. Do not leave any loose ends. 

TEAM ASSESSMENTS: 

The following provides additional guidance for assessing the adequacy of the scope, 

schedules, resource plans, and earned value methods. 

a. Technical Scope: Evaluate the technical content described by the CAM and 

compare that to the definitions provided in the CWBS or WBS Dictionary, 

control accounts, and work packages. Ensure that the work scope described 

is consistent with the Statement of Work and specifications and that it is clear, 

sufficiently detailed, well understood, and complete. Ask the CAM if there is 

any planned effort that is not included or fully identified in the 

documentation.

b. Schedules: Examine the detailed, intermediate, and master schedules. The 

scheduled milestones and activities reflected in the work packages and 

control account plans should be consistent with intermediate schedules and 

project milestones. The sequence of planned activities/events should be 

logical. Time frames allocated to accomplish these schedules should be 

reasonable. To the extent practicable, schedules should identify the 
59

significant task interdependencies needed to meet the requirements of the 

project. Significant decision points, constraints, and interfaces should be 

identified as key milestones. Ask the CAM to identify any known risks or 

barriers in meeting the schedules.

c. Resource Plan: Determine the adequacy of the amount and time-phasing of 

hours, materials, and other required resources planned to accomplish the 

work identified in control accounts, work packages, and planning packages. 

The basis of estimate should be reasonable. Determine whether the supplier 

has or anticipates potential difficulties in obtaining or using the required 

resources to accomplish the work. Ask the CAM to identify any known risks 

in meeting the plan.

d. Earned Value Methods: Be familiar with the supplier's earned value methods. 

Ask the CAM why a particular type of earned value method was chosen. 

Determine whether the supplier is using the best method for the identified 

type of work. There should be a meaningful correlation between technical 

achievement and cost and schedule control. Ask the CAM how he or she 

ensures that measurable earned value assessments correlate with technical 

achievement. Ensure that earned value methods and assessments are as 

objective as possible, that the assessments represent actual technical progress, 

and that a reasonable quantitative approach exists to assess technical status.
60

DOCUMENTATION GUIDELINES

Each Sub-Team Leader is responsible for documenting the sub team’s 

assessments and findings. The Team Leader uses the documentation to support overall 

team assessments and required corrective actions. 

The following forms have been developed to facilitate review documentation. 

a. Discussion Assessment Form: The Team/Sub-team should complete one 

of these forms after each discussion. The Team/Sub-team Technical Leader is 

responsible for reviewing this form and submitting it to the Team Leader. 

Concerns noted should be documented in the Concern Area Report (CAR). Keep 

in mind that the Discussion Assessment Form can be tailored based on risks 

associated with the project.

b. Concern Area Report (CAR): A CAR should be completed for each 

concern noted. Generally, concerns noted are items that require follow-up 

action. Information on this form should be clear and as specific as possible 

because it will be provided to the supplier to obtain a response and resolution. 

Spell out abbreviations. These forms should be submitted immediately to the 

Team Leader, and as soon as practical to the supplier. Responses should be 

provided to the team as soon as possible. Again, the Team/Sub-team Leader is 

responsible for reviewing this form, and submitting it to the Team Leader. All 

forms will be compiled and logged. 

c. Documentation Request Form: During your discussions, you may find 

that you require additional documentation to gain a better understanding of the 

issue in question. Use the form to obtain required documentation. Submit the 

completed form to the Team Leader. All forms will be tracked in order to reduce 

redundancies and ensure receipt of all the requested material. 

d. Risk Assessment Form: A risk assessment form should be completed after 

each discussion. Each risk and opportunity identified during the CAM 

Discussion is assigned a probability of occurrence. A potential cost and schedule 

impact for each risk and opportunity should be estimated, and a determination 

made as to whether this risk has been accounted for in the baseline. Each risk is 

classified as cost, schedule, technical, resource, or management process and 

assigned a rating based on risk evaluation criteria established by the NASA PM 

prior to the IBR. The ultimate goal of the Risk Assessment area of the IBR is an 

updated Estimate At Complete (EAC) or Life Cycle Cost Estimate (LCCE) which 

incorporates quantified risks. The Team/Sub-team Leader is responsible for 
61

reviewing this form and submitting it to the Team Leader. Risks identified at the 

IBR should be incorporated into the project’s existing risk management plan. 

This is just a sample. If your program or project has a specific risk management 

process, be sure to use that methodology. For Constellation Program IBR’s, see 

Appendix P of the CxP Candidate Risk Assessment Form and the CxP IBR 

Management Guide for risk evaluation criteria and guidance. 

e. General Assessment Form: The form is used to document observations 

for those things that are “not CAR worthy”, but might help EVM efficiencies 

(such as automatic links between IMS and EVM engine), as well as potential 

problem areas in the future based on previous IBR lessons learned. It is also 

used to document “best practices” for those things that improve the EVM 

process. 
62

IBR DISCUSSION ASSESSMENT FORM 

LOG# ______________ Team________ Date: _______________

Manager: Area of Responsibility: __________________ 

2. TECHNICAL SCOPE (Statement of Work):

______ Is there adequate identification, definition, and flow down?

______ Consistent with contract requirements?

______ Adequate assignment of responsibility, authority & accountability?

2. SCHEDULES Period of Performance: _______________________

______ Realistic planned durations?

______ Logical sequence of work planned?

______ Consistent with intermediate/master schedule?

______ Significant interdependencies, interfaces, & constraints?

______ Support contract milestones?

3. COST AND RESOURCE RISK

______ Sound basis of estimate?

______ Budget reasonableness (time phasing, levels, mix, type)?

______ Budget adequacy (time phasing, levels, mix, type)?

______ Resource availability?

______ Adequate budget/etc values assigned?

______ Provisions for scrap, rework, retest or repair?

4. MANAGEMENT PROCESS RISK

______ Integrated cost/schedule/technical planning?

______ Baseline change control?

______ Accurate and timely management/performance data?

______ Adequate determination and maintenance of EAC’s?

______ Adequate subcontract management?

______ Risk management process documents risk associated with the PMB?

______ Appropriate planned earned value methods?

______ Objective determination of progress?

______ Methods correlate with technical achievement?

5. Brief Summary of Discussion

6. Concern Area Report (CAR) prepared? 
63

IBR CONCERN AREA REPORT 

WBS / CA ________________ Log #________________

Date: ______________________

Submitted by: _______________________________

Subject of Finding:

Discussion (Explain root problem and cause. Provide impact assessment. Quantify 

problem and impacts where possible. Provide recommended actions and exit criteria 

for resolution. Attach exhibits if applicable. Provide reference to control account or 

work package number).

Supplier’s response (Address root cause of the problem, impact, 

corrective/preventative action plan; identify dates and POC. Identify exit criteria for 

corrective action).

Sub-team leader signature: _____________________________

Team leader signature: _________________________________
64

DOCUMENTATION REQUEST FORM

Log #: ________________ Sub-Team________________________ 

Date: ____________________

Submitted by:

1. Responsible Manager:

Control Account(s):

Area(s) of Responsibility:

2. Document Description or Type.

3. Reason for Request:

4. Remarks/Comments:

 

Sub-team Leader Signature: _______________________________________

Team Leader Signature: ________________________________________
65

RISK EVALUATION CRITERIA

The IBR Discussion Evaluation Summary form and IBR Out Brief need all 5 types 

of risks for an IBR: Risks can generally be categorized into the following five areas: 

technical, schedule, cost, resource, and management processes. The following are brief 

discussions of each of the types of risk. 

Technical Risk - The ability of the project’s technical plan to achieve the objectives of 

the scope of work. Technical risk includes the effects of available technology, software 

development capability, design maturity, etc.

Schedule Risk - The adequacy of the time allocated for performing the defined tasks to 

successfully achieve the project schedule objectives. Schedule risk includes the effects 

on the schedule of the interdependency of scheduled activities to achieve project 

milestones and support the PMs’ ability to identify and maintain the critical path.

Cost Risk - The ability of the PMB to successfully execute the project and attain cost 

objectives, recognizing the relationship between budget, resources, funding, schedule, 

and scope of work. The quality of the estimates affects the cost risk, which includes the 

assumptions used for both estimates and resource allocation on the budgets for work 

items.

Resource Risk - The availability of personnel, facilities, and equipment, when required, 

to perform the defined tasks needed to execute the program successfully. Resource risk 

includes the effect of external factors such as loss of availability to competing programs 

or unexpected downtime that could preclude or otherwise limit the availability of the 

resources needed to complete planned work.

Management Processes Risk - The degree to which the management processes provide 

effective and integrated technical/schedule/cost planning and baseline change control. 

Management processes risk includes the ability to establish and maintain valid, 

accurate, and timely performance data, including data from subcontractors, for early 

visibility into risks.

The following paragraphs and one chart explain the criteria for evaluating the five risks 

described above.
66

Sample Technical, Schedule, Cost, Resource, and Management Process Risk –

Evaluation Criteria:

Cannot mitigate this type of risk, no 

known processes or workarounds are 

available

Near 

5 certainty

Cannot mitigate this risk, but a different 

approach might

Highly likely

4

May mitigate this risk, but workarounds 

will be required

Likely

3

Have usually mitigated this type of risk 

with minimal oversight in similar cases

Low 

likelihood 2

Will effectively avoid or mitigate this 

risk based on standard practices

Not likely

1

Lvl Likelihood Planned approach and processes

What is the likelihood the risk will happen?

Budget increase or unit production 

cost increase >10%

Cannot achieve key program 

milestone

5 Unacceptable, no alternatives exist

Budget increase or unit production 

cost increase <10%

Unacceptable, but workarounds Program critical path affected

available

4

Budget increase or unit production 

cost increase <5%

Minor schedule slip, will miss need 

date

Moderate performance shortfall, but 

workarounds available

3

Budget increase or unit production 

cost increase <1%

Additional activities required, able to 

meet key dates

Minor performance shortfall, same 

approach retained

2

1 Minimal or no impact Minimal or no impact Minimal or no impact

Lvl Technical Schedule Cost

Given the risk is realized, what would be the magnitude of the impact?

1 2 3 4 5

1

2

3

4

5 Likelihood

Consequence

Likelihood

Consequence

Project Risk Analysis

Resource Risk - Evaluation Criteria:

Excellent (Green) – Has little potential to cause disruption of schedule, 

increased cost, or degradation of performance. Normal supplier effort 

and normal Government monitoring will probably be able to overcome 

difficulties.

Adequate (Yellow) – Can potentially cause some disruption of schedule, 

increased cost, or degradation of performance. Special supplier emphasis 

and close Government monitoring will probably be able to overcome 

difficulties.
67

Poor (Red) – Likely to cause a significant disruption of schedule, increased 

cost, or degradation of performance. Risk may be unacceptable even with

supplier or emphasis and close Government monitoring.

Management Processes Risk - Evaluation Criteria:

Excellent (Green) - Processes are in place for Baseline Maintenance, Risk 

Management, Scheduling, Estimate At Completion updates, Subcontract 

Management and Managerial Analysis. Earned value methods are 

appropriate, provide objective determination of progress, and correlate 

with technical achievement. These processes are formally documented 

and are being used to manage the program. Few issues have been 

identified with the processes or how they are being applied. Management 

processes will provide timely and accurate performance data. Has little 

potential to cause disruption of schedule, increased cost, or degradation of 

performance. Normal supplier effort and normal Government monitoring 

will probably be able to overcome difficulties.

Adequate (Yellow) – Most, but not all, processes are in place for Baseline 

Maintenance, Risk Management, Scheduling, Estimate At Completion 

updates, Subcontract Management and Managerial Analysis. Earned 

value methods could be more objective and correlate more closely with 

technical achievement. Some processes are not fully documented. 

Discussions indicate that the Control Account Managers area not correctly 

using the management processes. There are concerns that the 

management processes may hinder timely and accurate performance data. 

Can potentially cause some disruption of schedule, increased cost, or 

degradation of performance. Special supplier emphasis and close 

Government monitoring will probably be able to overcome difficulties.

Poor (Red) – Few management processes are in place for Baseline Maintenance, 

Risk Management, Scheduling, Estimate At Completion updates, Subcontract 

Management, and Managerial Analysis. Earned value methods are subjective 

and do not correlate with technical achievement. Processes are not documented. 

Discussions indicate that the Control Account Managers are not using the 

management processes There are concerns that the management processes will 

prevent accurate and timely performance data. Likely to cause a significant 

disruption of schedule, increased cost, or degradation of performance. Risk may 

be unacceptable even with supplier emphasis and close Government

A format for assessment by process area is shown below and may be a helpful 

tool to the team in characterizing and consolidating management process 
68

findings. This format can also be used to support the IBR Findings Letter or IBR 

Report.

Management

Process

Area

Deficiency

Low Moderate High No 

Deficiencies

Best

Practice

Organization

Work Authorization

Scheduling

Budgeting

Status/Updates

Management Analysis

Change Control

EAC and Risk Management

Accounting

Indirect Management

Material Management

Contract/Subcontract 

Management

Training

Total

Low (No CAR)

Moderate (Could warrant a CAR)

High (Should have corresponding CAR)

No Deficiencies

Best Practice
69

IBR RISK ASSESSMENT

Sub-Team:___________________ Date: ____________

Control Account: ______________________________ WBS ID: ____________

Risk/Opportunity Description Probability 

of 

Occurrence

Cost 

Impact

Schedule 

Impact

In 

Baseline? 

(Y/N)

Risk 

Type

Risk 

Rating 

(R/Y/G) 

(H/M/L)
70

GENERAL ASSESSMENT FORM

General Assessment: Is intended to document observations for those things 

that are “not CAR worthy”, but might help EVM efficiencies (such as 

automatic links between IMS and EVM engine), as well as potential problem 

areas in the future based on previous IBR lessons learned. It is also used to 

document “best practices” for those things that improve the EVM process. 

Assessment:

Condition Statement: Is a phrase briefly describing current key circumstances, situations, etc. that are “not CAR worthy”,

but might help EVM efficiencies.

IBR Risk Management Officer Signature:______________________________________________

Print Name:_______________________________________________________________________ 

Owning Organization:

Date:

IBR Team/Sub-team Lead Signature:_________________________________________________

Print Name:_______________________________________________________________________ 

Action Statement: Is a phrase briefly describing the appropriate actions required.

Best Practices: Is a phrase briefly describing the “best practices”.

IBR Team Member Signature:_______________________________________________________

Print Name:_______________________________________________________________________ 

 Technical (Yes or No):

 Cost (Yes or No):

 Schedule (Yes or No):
71

GLOSSARY OF EVM TERMS

For the in-house portion of a project, use the NASA financial Management 

Requirements (FMR) document for definitions of Center G&A, corporate G&A, Direct 

Costs, G&A, Indirect Cost, Service Pools, and Service Pool costs

Actual Cost of Work Performed (ACWP) (or Actual Costs). The costs actually incurred 

and recorded in accomplishing the work performed within a given time period. Actual 

costs include the direct cost plus the related indirect cost such as overhead, G&A, etc. 

allocated to the activity.

Apportioned Effort. Effort which by itself is not readily divisible into short-span work 

packages but which is related in direct proportion to some other measured effort.

Authorized Unpriced Work. Any effort for which contractually definitized costs have 

not agreed upon, but for which written authorization has been received.

Authorized Work. Effort which has been definitized and is on contract, plus that effort 

for which definitized contract costs have not been agreed to but for which written 

authorization has been received.

Baseline. See “Performance Measurement Baseline.”

Bottoms–Up Cost Estimate. An estimate derived by summing detailed cost estimates 

of the individual work packages and adding estimated level of effort plus appropriate 

indirect cost estimates. Frequently accomplished as an independent analysis by 

Industrial Engineering, Price Analysis and Cost Accounting.

Budget. A plan of operations for a fiscal period in terms of estimated costs or hours.

Budget At Completion (BAC). The sum of all budgets (BCWS) allocated to the project

or a given Control Account. It is synonymous with the term Performance Measurement 

Baseline.

Budgeted Cost For Work Performed (BCWP) (or Earned Value). The sum of budgets 

for completed work packages and partially completed work packages, plus the 

appropriate portion of the budgets for level of effort and apportioned effort work 

packages. 
72

Budgeted Cost For Work Scheduled (BCWS) (or Planned Value). The sum of the 

budgets for all work packages, planning packages, etc., scheduled to be accomplished 

(including in-process work packages), plus the amount of level of effort and 

apportioned effort scheduled to be accomplished within a given time period. This is the 

value of planned work.

Budgeting. The process of translating approved resource requirements into a timephased plan for accomplishing work.

Change Order. A formal revision or change to a contract or project that may impact the 

scope of work, schedule, cost, price, and/or other requirements.

Contract Budget Base (CBB). The negotiated contract cost plus the estimated cost of 

authorized but unpriced work. It includes the PMB and MR. Customer approval is 

generally required to change it.

Contract Performance Report (CPR). A contractually required recurring report 

designed to provide information on contract cost performance status, problems, and 

corrective actions (DI-MGMT-81466).

Contracting Officer’s Technical Representative (COTR). Person responsible for the 

contractor’s performance on a given contract.

Control Account (CA). A management control point at which budgets (resource plans) 

and actual costs are accumulated and compared to the earned value for management 

control purposes. A control account is a natural measurement point for planning and 

control since it represents the work assigned to one responsible organizational element 

(or integrated product team) for a single Work Breakdown Structure (WBS) element.

Control Account Manager (CAM). A manager responsible for task performance of a 

Control Account and for planning and managing the resources authorized to 

accomplish such task.

Cost-At-Completion (CAC). Actual direct costs, plus indirect costs, plus the estimate of 

costs (direct and indirect) for authorized work remaining. The CAC is sometimes 

referred to as Estimate-at-Completion (EAC) or Latest Revised Estimate (LRE).
73

Cost Element. Typical elements of cost are: direct labor, direct material, other direct 

costs, and indirect cost (overhead).

Cost Performance Index (CPI). A measure of cost efficiency. It compares BCWP to the 

actual cost to perform that work (CPI=BCWP/ACWP). An index of 1.0 means that we 

are spending exactly what we planned to spend to accomplish the work performed. 

CPI > 1.0 means we are under running costs. CPI < 1.0 means that we are over running 

costs. 

Cost Plus Award Fee/Fixed Fee/Incentive Fee. Cost reimbursement contract types 

where the fee is based upon: (a) the accomplishment of pre-negotiated goals (Award 

Fee); (b) a negotiated fixed fee amount (Fixed Fee); or (c) a risk sharing ratio within a 

pre-determined range based upon the contractor’s ability to meet technical, cost, and/or 

schedule targets (Incentive Fee).

Cost Reimbursement Contracts. A category of contracts whose use is based upon 

payment by the government to a contractor of allowable cost as prescribed by the 

contract. Normally only the “best efforts” of the contractor are required. The basis for 

payment negotiated may be: (a) cost (no fee); (b) cost sharing; (c) cost-plus-fixed fee; (d) 

cost plus award fee, and/or (e) cost-plus incentive fee.

Cost-To-Complete (CTC) Forecast. The performing activity’s estimate of the cost to 

complete the remaining tasks. Synonymous with Estimate to Complete.

Cost Variance (CV). A metric for the cost performance derived from earned value data. 

It is the algebraic difference between the earned value (BCWP) and the actual cost 

incurred (ACWP). A positive value indicates a favorable condition and a negative 

value indicates an unfavorable condition.

Critical Path . A sequential path of activities that are tied together network logic that 

have the longest overall duration from time now until project completion. 

Critical Subcontractor. A contractor performing a large or complex portion of a 

contract that requires a flow-down of earned value management and reporting (e.g., 

CPR) requirements, and the integration, reviews, acceptance and control of 

subcontractor system and reporting by the prime contractor. Critical subcontractors are 
74

designated as a result of customer negotiation or by management or by government 

direction.

Defense Contract Management Agency (DCMA). The Department of Defense (DoD) 

component that works directly with Defense suppliers to help ensure that DoD, Federal, 

and allied government supplies and services are delivered on time, at projected cost, 

and meet all performance requirements. As the DoD Executive Agent for EVMS, DCMA 

is responsible for ensuring the integrity and application effectiveness of contractor 

EVMS. The NASA Program/Project contracting officer will normally delegate the 

responsibility for verifying a supplier’s initial and continuing compliance with 

ANSI/EIA-748 guidelines to the designated DCMA Administrating Contracting Officer 

(ACO) assigned to a DCMA Contract Management Office (CMO). 

Defense Contract Audit Agency (DCAA). The DoD organization tasked with 

monitoring a contractor’s design and implementation of an acceptable accounting 

system.

Definitized. A contract, contract amendment, or contract supplemental agreement is 

considered definitized when the final contractual documents are unconditionally 

executed by both parties to the agreement.

Direct Cost. Any costs that may be identified specifically with a particular cost 

objective. That is, the portion of labor, material or other cost incurred or expended to 

meet specifications for an end product, tool or other related service specifically 

identifiable to the authorized task. It consists of those costs that can be reasonably and 

consistently related directly and finally without distribution through an overhead unit 

or account.

Direct Labor. That portion of labor expended in the actual design, tooling, testing and 

the physical application of labor (including proofing) to material altering its shape, 

form, nature, or fulfilling a requirement for service.

Discrete Effort. Tasks which have a specific end product or end result, and which 

through planning: (1) can be specifically defined and assigned a budget for 
75

accomplishment; (2) can be scheduled with clearly definable start and completion dates; 

and (3) contain criteria against which performance can be measured.

Discrete Milestone. A milestone which has a definite, scheduled occurrence in time 

signaling the finish of an activity, such as “release drawing,” “pipe inspection 

complete,” and/or signaling the start of a new activity. A type of “objective indicator.”

Earned Value (EV). The budgeted value for work accomplished. The value of 

completed work expressed in terms of the budget assigned to that work. It is the sum 

of budgets for completed work packages and completed portions of open work 

packages, plus the appropriate portion of the budgets for level of effort and 

apportioned effort. Also known as Budgeted Cost for Work Performed (BCWP).

Earned Value Management (EVM). A tool for measuring and assessing project 

performance through the integration of technical scope with schedule and cost objectives

during the execution of the project. EVM provides quantification of technical progress, 

enabling management to gain insight into project status and project completion costs and 

schedules. Two essential characteristics of successful EVM are EVM system data integrity and 

carefully targeted monthly EVM data analyses (i.e., risky WBS elements). 

Earned Value Management System (EVMS). The integrated set of policies, processes, 

systems and practices that meet an organization’s implementation of ANSI/EIA-748. 

An integrated management system and its related subsystems that allow for planning 

all work scope to completion; assignment of authority and responsibility at the work 

performance level; integration of the cost, schedule, and technical aspects of the work 

into a detailed baseline plan; objective measurement of progress (earned value) at the 

work performance level; accumulation and assignment of actual costs; analysis of 

variances from plans; summarization and reporting of performance data to higher 

levels of management for action; forecast of achievement of milestones and completion 

of events; forecast of final costs; and disciplined baseline maintenance and 

incorporation of baseline revisions in a timely manner. 
76

Earned Value Management System (EVMS) Guidelines. The set of 32 guidelines 

established in EIA-748, which define the parameters within which the integrated cost

and schedule management system must fit.

Estimate At Completion (EAC). A value (expressed in dollars and/or hours) 

developed to represent a realistic project ion of the final cost of a task (or group of tasks) 

when completed. EAC is the sum of direct and indirect costs to date, plus the estimate 

of costs for all authorized remaining work. EAC=Inception to data ACWP+ETC

Estimate To Complete (ETC). That portion of the EAC that addresses total expected 

costs for all work remaining.

Fiscal Year. For the United States government, it is the 12 month period: 1 October 

through 30 September. For industry, it may be any formally selected annual accounting 

period including a calendar year.

Fixed Price Contracts. A category of contracts based on the establishment of a price to 

accomplish the required work. Types are: (a) firm fixed price; (b) fixed price with 

escalation; (c) fixed price redeterminable, and (d) fixed price with incentive provisions.

Front Loading. An action to provide adequate or generous budget in the near-term 

budget baseline at the expense of the far-term effort. This practice delays 

acknowledgment of potential overrun conditions, frequently in the expectation of 

recovery through subsequent changes in the statement of work. Front loading often 

results from an inadequate or unrealistic budgets and/or unrealistically optimistic 

planning of far-term effort.

Functional Organization. An organization or group of organizations with a common 

operational orientation such as Engineering, Manufacturing, (Fabrication, Assembly), 

Tooling, Quality Control, Material, Finance, Contracts, etc. See Organization 

Breakdown Structure (OBS).

Functional Manager. A line manager or supervisor of a functional organization.

Funding Profile. A display of project funding requirements normally presented on a 

cumulative basis by months or quarters. 
77

Gantt Chart. A horizontal bar chart. A graphic representation used as an aid to 

effective scheduling and control, showing graphically on a time scale when certain 

events are to take place or where deadlines occur. Status is displayed by either filling 

the bar or adding a filled-in status bar below it.

General & Administrative Expense (G&A). Expense incurred in the overall Corporate 

and Division offices, i.e., their cost of staff services such as, finance, legal, contract 

administration, sales, marketing and independent research and development (IR&D) 

effort. These expenses are allocated to organizational elements on the basis of total 

direct and indirect cost.

Giver/Receiver Schedule. The logical relationships and interdependencies in a Critical 

Path Methodology (CPM) based schedule supported by the matching of deliverables 

and users relationships for all products produced by the Project. The Project produces a 

report from the schedule system which demonstrates these relationships for all 

deliverables produced.

Indirect Budget. The target value established for costs to be incurred by persons 

and/or organizational elements for tasks or expenses that do not have a direct 

relationship to the design, testing and/or production of the end product or specified 

task.

Indirect Cost. Costs that cannot be specifically or immediately identified to a project, 

but can subsequently be traced or linked to a project and are assigned based on usage or 

consumption. 

Costs that, because of their incurrence for common or joint objectives, are not readily 

subject to treatment as direct costs. 

Indirect Cost Pools. A grouping of indirect costs identified with two or more cost 

objectives but not separately identified with any final cost objective. Such separate 

pools are normally established for indirect costs associated with Engineering, 

Manufacturing, Procurement, and/or Material, etc.

Interim Budget. Furnished to departments on an interim basis for authorized tasks for 

which a firm bid or estimate may not yet have been completed and negotiated. It is also 
78

used for task transfers between departments or elements of cost pending formal budget 

transfer. Interim budget is discontinued after budget values are formalized.

Joint Surveillance. Continual observation, by a team of Government and contractor 

representatives, of a supplier’s earned value management system to monitor its 

compliance with the EIA-748 Guidelines and its proper use as a management tool.

Level Of Effort (LOE). Effort of a general or supportive nature that does not produce 

definite end products.

Management Reserve (MR). An amount of the total allocated budget withheld for 

management control purposes rather than designated for the accomplishment of a 

specific task or set of tasks. It is not a part of the Performance Measurement Baseline.

Material. Property which may be incorporated into or attached to an end item to be 

delivered, or which may be consumed or expended in the performance. It includes, but 

is not limited to, raw and processed material, parts, components, assemblies, fuels and 

lubricants, and small tools and supplies.

Milestones. Events of particular significance. Finitely defined events that constitute 

the start or completion of a task or occurrence of an objective criterion for 

accomplishment. Milestones should be discretely identifiable; the passage of time alone 

is not sufficient to constitute a milestone. However, milestones should be associated 

with schedule data to document when the milestone is to occur. (See Objective 

Indicator.)

Negotiated Contract Cost (NCC). The estimated cost negotiated in a cost-plus-fixed-fee 

contract or the negotiated contract target cost in either a fixed-price incentive contract or 

a cost-plus-incentive-fee (or award fee) contract.

Network Schedule. A schedule format in which the activities and milestones are 

represented along with the interdependencies between activities. It expresses the logic 

as to how the work scope will be accomplished. Network schedules are the basis for 

critical path analysis, a method for identification and assessment of schedule priorities 

and impacts.
79

Non-Recurring Cost. Expenditures for specific tasks that are expected to occur only 

once, or very infrequently, on a given project. Examples are such costs as those for 

preliminary design effort, qualification testing, initial tooling, testing, planning, etc.

Objective Indicator. A finite event or accomplishment that can be used to definitively 

establish the degree of completion of a specific task.

Organizational Breakdown Structure (OBS). A family-tree breakdown of an 

organization showing the organizational elements involved in performing the work.

Other Direct Cost (ODC). A group of accounting elements, other than direct labor and 

material, which can be isolated to specific tasks. ODC includes such items as travel, 

computer time, aviation fuel, etc.

Overhead. (See Indirect Costs.)

Overrun. Costs incurred in excess of the allocated budget for a task, group of tasks, 

project, or a contract. For work in process, the overrun is the cost incurred in excess of 

earned value.

Over Target Baseline. A performance measurement baseline where the total allocated 

budget is in excess of the contract value (contract budget base) or project baseline. It 

may involve replanning in-process work, and/or adjusting variances.

Performance Measurement Baseline (PMB). The time-phased budget plan against 

which performance is measured. It is formed by the budgets assigned to scheduled 

control account and the applicable indirect budgets. For future effort, not planned to 

the control account level, the performance measurement baseline also includes budgets 

assigned to higher level WBS elements and undistributed budgets. It equals the total 

allocated budget less management reserve.

Planned Value. Same as Budgeted Cost for Work Scheduled.

Planning Package (PP). A logical aggregation of work within a control account, 

normally the far-term effort, that can be identified and budgeted in early baseline 

planning, but is not yet defined into work packages.
80

Post Acceptance Review. A government review performed on a specific element or 

elements of a performing activity’s EVMS system that display(s) a lack of discipline or 

no longer meet(s) the intent of the EVMS Guidelines.

Price Variance (PV). The portion of a material cost variance due to price change. The 

difference between the planned unit cost of materials and the actual unit cost of 

material. PV is derived by subtracting the planned unit price times the quantity used 

from the actual unit price times the quantity used.

Program (or Project or Product) Manager (PM). The person assigned the prime 

responsibility for overall management of a program (or project, or product).

Progress Payments. Payments made to a contractor or subcontractor during the life of 

a fixed price type (firm fixed price and fixed price incentive) contract on the basis of a 

percentage of total incurred cost.

Quantity Variance (QV). (See Usage Variance).

Recurring Costs. Expenditures against specific tasks that occur on a repetitive basis. 

Examples are costs of sustaining engineering support, repeated fabrication or assembly 

of parts or products, tool maintenance, etc.

Replanning. The process by which a program or project updates or modifies its plans. 

This applies to a change in the original authorized PBB or CBB planning for 

accomplishing formally authorized requirements, typically involving the redistribution 

of budget for remaining work. In accordance with the ANSI/EIA-748, traceability is 

required to previous baselines, and funding requirements need to be considered in any 

replanning effort. There are two types of replanning:

 Internal Replanning. Replanning actions performed by the supplier for remaining 

effort within the recognized Project Budget Base or CBB. It is caused by a supplier’s 

need to accommodate cost, schedule, or technical problems that may have made the 

original plan unrealistic. Internal replanning is restricted to remaining effort and if 

significant, the customer must be advised of the action.

 Authorized Change (or External) Replanning. A change necessitated by 

government/ customer direction which may be in the form of either a definitized or 
81

a no cost contract change order for contracts or formal change to the Project Plan for 

in-house Projects that calls for a change in the original plan. It most often results 

from a change in the authorized requirement affecting cost, schedule, technical 

parameter or a combination thereof.

Reprogramming (or Formal Reprogramming). A comprehensive replanning of the 

remaining PMB that result in an Over-Target Baseline (OTB), an Over-Target Schedule 

(OTS) or both. This type of replan is for performance measurement purposes only and 

requires prior coordination and approval of the Customer.

Risk Analysis. The system that provides a continuous analysis of identified risks with 

respect to their impact on project cost, schedule, and technical performance.

Rolling Wave Planning. The progressive refinement of work definition as time goes on 

by continuous subdivision of downstream activities into detailed tasks.

Rubber Baselining. Actions by the supplier to advance far-term budgets into the 

current or early periods to mask current cost problems. The action involves moving 

budget without a corresponding amount of task, to cover current cost difficulties. It is 

an indication of likely overrun condition. 

Schedule. A plan that defines when specified work must be started, worked on, and 

finished, to accomplish program objectives on time.

Schedule Performance Index (SPI). A measure of schedule efficiency. It compares the 

BCWP to the work scheduled (SPI = BCWP / BCWS). An index of 1.0 means the work is 

being performed right to the schedule. SPI > 1.0 means that the work is ahead of 

schedule. SPI < 1.0 means that the work is behind schedule.

Schedule Variance (SV). A metric for the schedule performance on a program. The 

algebraic difference between the earned value (BCWP) and the budget plan (BCWS). 

(SV=BCWP-BCWS) A positive value is a favorable condition while a negative value is 

unfavorable. It may be expressed for a specific period or cumulative to date.

Statement Of Work (SOW). The document that defines the work scope requirements

on a program or contract.
82

Subcontract. A contract for services, data, parts, components, assemblies, other 

hardware, or software that a company commits to perform for or provide to the prime 

contractor. A subcontract normally involves the design or production of a component 

by the supplier to the prime contractor’s specifications. 

Summary Level Planning Package (SLPP). An aggregation of work for far-term 

efforts, not able to be identified at the control account level, but which can be assigned 

to higher level WBS elements (and is therefore not “undistributed budget”).

Surveillance. The continuous process of reviewing the health of the earned value 

management system (EVMS) as applied to one or more projects.

Surveillance Plan. An annual plan that identifies the projects to be included in 

surveillance reviews, as well as the frequency and scope of the individual surveillance 

visits planned for each project included in the annual plan.

Task. A piece or portion of discrete, apportioned, or level-of-effort work. Also called 

an activity, something that takes place over a period of time and generally consumes 

resources.

Thresholds. Boundaries or limits (monetary, time, or other values), which, if breached, 

result in some type of management review and action.

To-Complete Performance Index (TCPI). The future cost efficiency needed to 

accomplish the remaining work within a financial goal such as the Budget at 

Completion (BAC) or the Estimate at Completion (EAC). It compares the budget for 

remaining work with the remaining cost or the estimated remaining cost to complete 

the work. TCPIBAC = (BAC – BCWP cum) / (BAC – ACWP cum). Or TCPIEAC = (BAC 

– BCWP cum) / (EAC – ACWP cum). Compare the CPI to determine if the BAC or the 

EAC is realistic or not.

Total Allocated Budget (TAB). The sum of all budgets allocated to a project/contract. 

Total allocated budget consists of the PMB and all MR. The TAB should reconcile 

directly to the project/contract budget base. If the TAB is greater than the 

project/contract budget base, the difference is attributable to an over target baseline 

and must be documented. 
83

Undistributed Budget (UB). Budget associated with specific work scope or authorized 

changes that have not been assigned to a control account or lower level WBS element.

Unpriced Changes. Authorized changes that are not yet priced. 

Usage Variance (UV). The portion of material cost variance due to a change in quantity 

of material used. The difference between planned quantity of materials and the actual 

quantity used, expressed in dollars. UV is derived by subtracting from planned 

quantity times planned unit cost, the actual quantity times planned unit cost. (Same as 

Quantity Variance.)

Variance Analysis Report (VAR). An internal document, within an earned value 

management system, for the analysis and reporting of variances which breech the 

established thresholds. It requires the reason or cause of the variance; the impact on 

cost or schedule; and the corrective action required, or accomplished, on significant

variances. Format 5 of the CPR is a VAR.

Variance At Completion (VAC). The difference between the total budget assigned to a 

contract, project, WBS element, organizational entity, control account, or work package 

and the estimate at completion. It represents the amount of expected overrun or 

underrun. (VAC equals BAC minus EAC, i.e., total allocated budget minus the related

estimated final cost).

Variance Threshold. Internal and external tolerances (or thresholds), which are 

established by management direction, or negotiation with the customer and which, 

when exceeded, require investigation, analysis, reporting and corrective action.

Work Breakdown Structure Element. A single discrete portion of a WBS. May be an 

identifiable product, a set of data, or a service.

Work Package (WP). ). A detail, short duration task or material item identified by the 

Project Control Account manager for accomplishing a Control Account task. A work 

package has the following characteristics: 

 Represents unit of work at the level where work is performed.

 Clearly separate from other Work Packages.
84

 Assignable to a single organizational element. 

 Has scheduled start and completion dates, and interim milestones, if required, all of 

which represent physical accomplishment.

 Has budget expressed in terms of dollars or hours/FTEs.

 Its duration is limited to a relatively short span.

 Is integrated with detailed engineering, shop, or other schedules.

 Has a correct Earned Value Technique assigned to it. 

Work Package Budgets. Resources that are formally assigned by the contractor to 

accomplish a work package, expressed in dollars, hours, standards or other definitive 

units
85

APPENDIX G IBR TRAINING

1

EARNED VALUE MANAGEMENT / 

AND INTEGRATED BASELINE 

REVIEWS

2

IBR Training Agenda

 General IBR Process

 Earned Value Management Overview

 IBR Overview
86

3

INTEGRATED BASELINE REVIEW 

PROCESS

1

Importance of an IBR

IBR lays a solid foundation for project execution and increases the 

odds of successful project completion

 Opportunity to compare project manager(s) expectations and to address 

differences before problems arise

 Understand the project plan and risks - target resources to meet project

challenges

 Increased confidence in the project cost, schedule, and performance data -

a tool for proactive project management and the capability to make timely 

and reliable cost and schedule projections
87

5

Intent of IBR

 The IBR should confirm that the Performance Measurement 

Baseline (PMB)

 captures the entire technical scope of work

 work is scheduled to meet the project objectives

 risks are identified

 the proper amount and mix of resources have been assigned to 

accomplish all requirements

 management control processes are implemented.

Recognize that the IBR is an event, however the purpose and 

objectives should be viewed as a continuing process to 

ensure mutual understanding of the PMB and associated 

risk.

6

Funding

Scope/schedule Change

Changes to Acquisition Plan

Higher level authority

Internal / re-planning

Change in PM

Baseline Maintenance/

Risk Management

Expectation/Assumptions 

Training

Responsibilities

Team Composition

PM Understanding

Document risks and the mitigation plans

Evaluate the baseline

ID risk and impacts

Agree on plan of action

IBR Execution

Contract Award

Authorization to Proceed

IBR Preparation

Joint PM

Mutual

Understanding

PMB

Verification

Required

IBR Process
88

7

Assessment Process

A PMB that is complete and documented at the appropriate 

level of detail is a key element for project management to 

successfully achieve project objectives.

• Focus on risks that may impact project planning and execution

• The primary objective of assessments is to identify and analyze project risks

so that the most critical among them may be managed and controlled

• Risk Management Plan (RMP) is essential for identifying, analyzing, handling, monitoring, 

and documenting project risk.

• The RMP will provide the basis for iterative assessment and management of risk.

8

IBR Team Structure

* Subteams as 

required

Project Manager

(Team Leader)

Sub-Team 

Technical Lead

Sub-Team

Technical Lead

Sub-Team

Technical Lead

IBR Coordinator Review Facilitator

EVM Analyst

Technical Experts

Cost/Schedule Analyst

EVM Analyst

Technical Experts

Contracts Representative

EVM Analyst

Technical Experts

DCMA/DCAA
89

9

Training/Preparation

 The intent of the training is to provide enough information so the 

team can understand the cost, schedule, technical, and 

management processes used on this project. 

 Scope of Work/Statement of Objectives

 Budget Baseline

 Schedule Baseline

 Funding 

 EVM Basics

 IBR Conduct

 Project Managers’ Expectations

 Project Management Processes 

 Risk Identification and Documentation

 Subcontractor(s)

10

IBR Execution

The focus when conducting the IBR is the mutual 

understanding of the PMB content and the risk. Anything 

that does not support the purpose should be moved outside 

the review. 

– The discussions should focus on the key aspects of the 

PMB.

– The key event is the control account managers discussions

To be effective the discussion team must remain small, 

focused, and composed of knowledgeable participants
90

11

Identify Risks

 Review and incorporate into the project’s risk management 

plan: the technical, cost, and schedule risk as identified in 

the PMB, and the risk of the management processes to 

successfully execute the PMB.

 To identify project risks the following items must be 

assessed:

 Scope: impact on product meeting performance requirements and funding 

authorization

 Schedule: Logical flow concerns, Task dependency gaps, Adequate time to 

accomplish

 Resources: Supports schedule & scope to meet performance requirements

 Management control processes: the degree in which effective 

cost/schedule/technical planning and control processes exist and are 

implemented, 

 Management Reserve (MR): should also be compared against risk 

assumptions. The assessment should determine whether there is sufficient 

management reserve to address the risk items identified.

12

IBR Closeout

 After completion of the IBR discussions there needs to be a 

closure plan. 

 The Project Manager should agree on a plan of action and who is 

responsible for the action. 

 Risk items identified need to be classified as to the severity of the 

risk involved. 

 Those items identified, as Action Items require Project Managers’ 

attention and should be documented in the Risk Management 

Plan. 

 Items identified as Watch Items represents concerns that may 

require future attention. 
91

13

Summary

 The IBR is an event, however the purpose and objectives should be viewed as a 

continuing process to ensure mutual understanding of the PMB and associated 

risk

 The purpose of an IBR is to achieve a mutual understanding of the risks inherent on 

the PMB and the management control processes that will operate during execution 

 IBR preparation and planning are the key to a successful review

 A PMB that is complete and documented at the appropriate level of detail is a key 

element for project management to successfully achieve project objectives

 The focus when conducting the IBR is the mutual understanding of the PMB content 

and risk. Anything that does not support the purpose should be moved outside the 

review

 Evaluate the integrated PMB to determine whether it, captures the entire scope of work, 

is consistent with authorizing documents, and has adequate resources to meet schedule 

requirement and planned project tasks

14

BASIC EARNED VALUE 

MANAGEMENT
92

15

 Management systems don’t manage - people do!

 EVM is used to identify, communicate and manage the 

resource effect of technical and schedule problems.

COST SCHEDULE TECHNICAL

EVM & Integrated Product Teams

The Key to Success

16

Traditional Cost Management

Spend Plan vs. Actual

800

700

600

500

400

300

200

100

0

J F M A M J J A S O N D

900

800

700

600

500

400

300

200

100

0

Budget vs. Actuals

50 % Spent

But What Does that Really Mean?

Project Budget

Actual Cost to Date

OR

Time

Dollars
93

17

Actual Cost

Actual Cost is not an indication of work progress,

but only an indicator of hours/money spent

Well, I’ve spent 400 hours,

does that mean I’ve 

accomplished 400 hours 

of work?

18

0

20

40

60

80

100

120

140

160

180

M A M J J A S O

Time Dollars in Thousands

Contract Performance

Time Now

Budget Plan

Actual Cost 

Earned Value 

Project Team Estimate
94

19

 identify what is to be done in terms of tasks and underlying 

assumptions

 specify when the work is to begin and end in terms of order

and duration

 define who will do the work by identifying resources (people, 

equipment, and costs) and constraints 

Three Steps to Success...

20

Defining the Work Scope

 identify what is to be done in 

terms of tasks and underlying 

assumptions

 Begins with the SOW/SOO

 Project Team expands 

SOW/SOO tasks into work 

authorization documents

 Control Account Managers 

(CAMs) “negotiate” the work 

scope

 Everything must be covered
95

21

Schedule the Work

 specify when the work is to begin and end in terms of 

order and duration

 Order = sequence of work

 Finish to start (start to start, finish to finish)

 Leads and Lags

 Added details may reduce risk

 Duration

 Total time to complete a task

 Resource impacts must be considered

 Risk in schedule?

22

PROJECT LEVEL 

INTERMEDIATE LEVEL

DETAIL PROJECT LEVEL 

COST

ACCOUNT 16

 START STOP

WP NO. 1

WP NO. 2

WP NO. 3

WP NO. 4

WP NO. 5

s

s

s s

s

s

s

s s

s COST ACCOUNT

AND WORK

PACKAGE

SCHEDULES

ITEM 1 2 3 4 5 6 7

COST ACCOUNT 14

COST ACCOUNT 15

COST ACCOUNT 16

COST ACCOUNT 17

COST ACCOUNT 18

COST ACCOUNT 19

s

s s

s

s

s

s s

s

s

s s

s s

MAJOR EVENT

OR FUNCTIONAL

ORGANIZATION

MILESTONE

SCHEDULE

l

l

l

l l

l l

l

l

l

l

l

PROJECT 

SCHEDULE

The master schedule and 

lower level schedules must 

be traceable both 

VERTICAL and 

HORIZONTAL

These two levels of 

schedules do not 

show horizontal 

relationships.

Schedule Integration
96

23

Period

1

Period

2

Period

3

Period

4

Engineer 50 22 130 75

Senior Engineer 15 67 50 11

Principal Engineer 20 38 51 28

Systems Engineer 5 64 20 19 Resource requirements shown in hours, direct cost, or total cost.

Identify Resources

24

The Control (Cost) Account

 A management control point consisting of work 

packages and planning packages, where 

accountability for performance is measured 

 Other characteristics of a control account are:

 BCWS, ACWP and BCWP are integrated!

 Variances Are Assessed 

 Estimates Are Revised
97

25

Work Packages

Detailed, short-span tasks, or 

material items, required to 

accomplish the CA objectives, 

typically in the near term.

Task 1

Task 2

Task 4

Task 5

Task 3

Work Packages

Planning Packages

Planning Packages

Future work that has not been 

detail planned as work 

packages. They are always 

scheduled to occur in the future.

* During the IBR, we look at how earned value was set up, for each task, 

and how it will be taken.

EVM Basics

Control Account Elements

26

Classifying the Work 

 Discrete or Measurable

 Specific end product or result

 Preferred category of work because objective

 EV methods include 0/100, milestone, percent complete, etc.

 Level of Effort (LOE)

 Has no specific product

 Measured by the passage of time

 Apportioned effort

 Dependent on other work, discrete tasks

 Measured as a factor, e.g., 10% of discrete task
98

27

Data Element Term Acronym

Scheduled Work Budgeted Cost for Work Scheduled BCWS

Earned Value Budgeted Cost for Work Performed BCWP

Actuals Actual Cost of Work Performed ACWP

Authorized Work Budget At Completion BAC

Forecasted Cost Estimate At Completion EAC

Work Variance Schedule Variance (BCWP-BCWS) SV

Cost Variance Cost Variance (BCWP-ACWP) CV

Completion 

Variance

Variance At Completion (BAC-EAC) VAC

EVM Basics 

Earned Value Terminology

28

The Language of Earned Value Management

 Control Account - the key management control point at which 

ACWP, BCWP, and BCWS are managed 

 Work Packages - detailed planning of short span jobs or material 

items representing units of work at levels where work is 

performed and BCWP is measured

 Planning Packages - a logical aggregation of work which has not 

been detailed planned into work packages 

 Rolling Wave - period of time within which detailed planning must 

occur 

 Measurable or Discreet Effort - contract effort that produces 

definable end products

 Level of Effort (LOE) - contract effort that does not produce 

definable end products

 Apportioned Work - effort that be itself is not divisible into work 

packages
99

29

The Language of Earned Value 

Management (cont.)

 Estimate At Complete (EAC) - ACWP, plus an estimate of costs 

for remaining work

 Budgeted Cost for Work Scheduled (BCWS) - budget for 

scheduled effort

 Budgeted Cost for Work Performed (BCWP) - the value of the 

work performed

 Actual Cost of Work Performed (ACWP) -incurred and recorded 

costs within a given time period

 Cost Variance (CV) - the difference between BCWP and 

ACWP (CV = BCWP-ACWP)

 Cost Performance Index (CPI) - the average cost efficiency with 

which work has been performed. (CPI = BCWP/ACWP)

 Schedule Variance (SV) - the difference between BCWP and 

BCWS (SV = BCWP - BCWS)

 Schedule Performance Index (SPI) - the ratio of the value of work 

performed to the value of work scheduled (SPI = BCWP/BCWS) 30 Work Packages Planning Packages

Control Accounts

Distributed Budget Undistributed Budget

Performance Measurement Baseline (PMB)

note: the "end point" of the PMB

is commonly referred to as the

Budget At Complete (BAC)

Management Reserve

note: this is not the government program

manager's reserve. It refers to an amount

reserved by the contractor for management control purposes

Negotiated Contract Cost (NCC)

Contract Budget Base (CBB)

Total Allocated Budget (TAB)

Creating the Performance 

Measurement Baseline (PMB)
100

31

NCC=CBB=TAB

Actual costs

(ACWP)

Management

Reserve

Budget at

Complete

}

$

Days Report Date Completion date

0

2

4

6

8

10

12

14

16

18

20

22

2 4 6 8 10 12 14 16 18 20

Estimate At 

Complete (EAC) 

or Latest Revised 

Estimate (LRE)

Budgeted costs

(BCWS)

Earned Value

(BCWP)

BAC

MR

Completing the Picture

32

INTEGRATED BASELINE REVIEWS
101

33

Preparing Yourself 

 Know your CWBS assignments

 Be familiar with scope, schedule, budget 

 Have an objective. What do you expect to gain from the 

discussion?

 What questions will you ask to achieve the objective?

 Prepare a tentative list of questions to serve as a framework for 

the discussion.

 Become familiar with the documentation. 

 The multi-functional Team (Cost, Schedule, Technical) is an 

opportunity to transfer knowledge and experience

34

What Documents Will Be Reviewed?

Work authorization documents

Control (cost) account plans

Schedules

Cost reports

Project Work Breakdown Structure (PWBS) 

and Dictionary
102

35

During the Discussion

Keep In Mind...

 Introduce yourself and identify the organization you represent. 

 Ask the CAM to walk through his/her notebook.

 Be friendly and non-confrontational. If there appears to be 

confusion, restate your question. Clarify any misunderstandings.

 Take notes during the discussion. Notes will be used to 

complete the Discussion Assessment Form and Concern Area 

Reports (CARs) after the interview.

 If necessary documentation is not readily available, get a 

commitment of where and when the documents will be available. 

Fill out Documentation Request Forms when necessary.

 Watch the time, but do not leave until you are satisfied the 

discussion is complete.

 If disagreements arise, do not argue with the Project Team. 

Write a CAR to the Team Leader, and let the Team Leader 

handle any continuing discussion with the Project Team.

36

Technical Assessment:

• What are the high risk areas

• Conditions of measurement

• What are the technical requirements

Work Authorization:

• Schedules

• Budget Authorization

• Control Account Plans

Schedule Assessment:

• Underdeveloped logic

• Illogical/Forced Sequencing

• Lack of Experience

• Consideration of Technical Risks

Budget Assessment:

• Budget Validity/Risk

• Distribution Logic

• Management Reserve

• Undistributed Budget

Work Assessment:

• Which Tasks may be Overstated?

• Which Tasks may be Understated?

• What Tasks have been left out

* Control Account Manager (CAM)

IBR - CAM* Discussions
103

37

The Discussion -- Work Scope

What is your scope of work?

How did you plan your work into control (cost) 

accounts?

How were resources obtained?

Please describe the resource development 

process.

What is your experience on EVMS 

projects?

Is all of your work authorized?

38

The Discussion -- Schedule

Can you discuss

 Identification and management of schedule impacts?

 Who owes you things and how do you track them

 How your work relates to project milestones

Please describe known risks in your plan.

What assumptions are built into your 

schedule?
104

39

ID Task Name Duration

1 Task 1 10d

2 Task 2 15d

3 Task 3 20d

4 Task 4 16d

5 Task 5 18d

6 Task 6 12d

7

8

9

10

11

12

13

14

6/1 6/8 6/15 6/22 6/29 7/6 7/13 7/20 7/27 8/3 8/10 8/17

June July August

ID Task Name Duration

1 Task 1 10d

2 Task 2 15d

3 Task 3 20d

4 Task 4 16d

5 Task 5 18d

6 Task 6 12d

7

8

9

10

11

12

13

14

15

16

17

6/8 6/15 6/22 6/29 7/6 7/13 7/20 7/27 8/3 8/10

June July Aug

Task2

2 15d

6/25/97 7/15/97

Task4

4 16d

7/16/97 8/6/97

Task6

6 12d

8/18/97 9/2/97

Task1

1 10d

6/11/97 6/24/97

Task3

3 20d

6/25/97 7/22/97

Task5

5 18d

7/23/97 8/15/97

Common Schedule Presentations

 Commonly used “schedule presentations” have strengths... and 

weaknesses

 Gantt Charts

 Milestone Charts

 Network Schedules

40

Resourcing the Schedule- A Reality Check

Categories of labor - do they support the 

task?

Labor availability - are labor resources 

available during the period of performance?

Over/Under Allocation of Resources
105

41

The Discussion -- Budget

How was the budget for your work developed?

Is your budget adequate?

If your budget is inadequate, what are your 

options?

Please explain the time-phasing of your 

budget.

How do you develop estimates to complete?

Please explain the particular earned value 

method(s) and why they were selected.

42

Measuring Performance

Work Progress quantified through an objective 

measure

Performance must be computed using the 

same labor, overhead, and other rates as 

scheduled

Provides a measure of work accomplishment 

against the plan
106

43

Refer to System Description and Accounting 

Disclosure Statement

Discuss with DCMA/DCCA recent 

labor/overhead Rate Trends

Cost Accounting Standards Compliance 

issues?

What are the pools?

How are indirect monitored?

 Actuals

 EAC

RATES

Identify Labor/Overhead Rate Impacts

44

After the Discussion

 Complete the Discussion Assessment Form after each interview.

 Complete Concern Area Report(s), Documentation Request 

Forms, and General Assessment Form(s) if applicable.

 Submit all forms to the Sub-team leader.

 Be sure to follow up. Do not leave any loose ends hanging.
107

45

Sample Findings

Technical

 Scope unaccountable

 Non-integration of cost and technical performance

 Subcontractor requirements flow down

 Lack of work around plans for high risk areas

 Project Team plans not supporting critical milestones

 Tooling not being produced quickly enough

 Software concerns (type of language, productivity factors, 

and amount of software being written)

 Specification issues

46

Sample Findings (cont.)

Project Management

 Schedules not linking

 Delayed subcontract awards

 Communication problems

 Inadequate time scheduled

Cost

 Inadequate budgets

 Time phasing of budgets

 Unreasonable productivity factors

 Lack of rework budgets

 Manager knowledge

 Unreported future cost impacts

 Performance measurement issues

 Management reserve
108

47

Lessons Learned -Before Review

Subteams should be no larger than 5-6 

members

Knowledge of critical path essential in 

identifying risk areas

A large portion of the work is done prior to 

going 

on-site

A well trained team is essential

Selection of sub-team leader is very 

important

Risk areas should be identified early to allow 

preparation time

48

Lessons Learned - During Review

Coordinate the IBR with other project reviews, 

when practicable

Stay focused on the current contract

Document manager discussions immediately 

after interviews/discussions

Do not turn the review into a design review 

(review is to identify resource/planning 

problems not solve them)

Conduct an on-site IBR Team meeting

Conduct a maximum of 4 discussions per day
109

APPENDIX H IBR IN-BRIEF TEMPLATE

Integrated Baseline Review

<Project Logo>

<Contract # or Subproject Name> IBR In-brief

<Project Name> Project IBR Team

<Date>

<Location>

Integrated Baseline Review

In-brief Agenda

IBR Purpose

IBR Objectives

IBR Approach & Methodologies

IBR Team Members

Discussion Agenda

IBR Scope 

Discussion Schedule

Questions & Answers
110

Integrated Baseline Review

Purpose of the Review

We ARE conducting the IBR to evaluate the adequacy of the PMB 

and identifying concerns.

We ARE NOT looking for problems to solve.

We jointly need to be able to answer this basic question...

Can we execute the technical work scope of this contract given 

the available schedule, budget and other relevant resources?

In other words, do we have a plan and is it feasible?

Integrated Baseline Review

The Objectives of This IBR

Validate and understand the PMB

 Is the entire technical scope of work represented?

 Can the SOW be accomplished?

 work is scheduled to meet the program objectives?

 Are the proper amount and mix of resources have been assigned to 

accomplish all requirements? 

Identify risks to the PMB

 Technical

 Cost

 Schedule

 Resources

 Management processes

Perform corrective actions now
111

Integrated Baseline Review

IBR Approach and Methods

Control Account Managers discussions

Technical or IPT Managers summary discussions

IBR Team discussions & evaluations

System and Baseline Documentation Reviews

Data traces (sampling only)

Process reviews –

 Scheduling and Risk/EAC

 Change Control

 etc.

It is important to recognize that the IBR is an event, however the 

purpose and objectives should be viewed as a continuing process to 

ensure mutual understanding of the PMB and associated risk. 

5 Integrated Baseline Review

X Pre-Mitigation Risk

Y Risk w/mitigation

Current Status 

Method for Risk Analysis

Integrated Baseline Reviews 6

X

Y

Likelihood

Consequence

Likelihood

What is the likelihood the risk will happen?

Level Planned Approach and Processes

1 Not Likely Will effectively avoid or mitigate this risk 

based on standard practices

2 Low Likelihood Have usually mitigated this type of risk with 

minimal oversight in similar cases

3 Likely May mitigate this risk, but work arounds will 

be required

4 Highly Likely Cannot mitigate this risk, but a different 

approach might

5 Near Certainty Cannot mitigate this type of risk, no known 

processes or workarounds are available

Consequence

Given the risk is realized, what would be the magnitude of the impact?

Level Technical Schedule Cost

1 Minimal or no impact Minimal or no impact Minimal or no impact

2

Minimal performance 

shortfall, same approach 

retained

Additional activities 

required, able to meet 

key dates

Budget increase or unit 

production cost 

increase <1%

3

Moderate performance 

shortfall, but work arounds

available

Minor schedule slip, will 

miss key dates

Budget increase or unit 

production cost 

increase <5%

4

Unacceptable, but 

workarounds available

Program critical path 

affected

Budget increase or unit 

production cost 

increase <10%

5

Unacceptable, no alternatives 

exist

Cannot achieve key 

program milestone

Budget increase or unit 

production cost 

increase >10%
112

Integrated Baseline Review

Risk Type Definition

Technical: ability of the project’s technical plan to achieve the 

objectives of the scope of work 

Schedule: adequacy of the time allocated for performing the 

defined tasks to successfully achieve the project schedule 

objectives 

Cost: ability of the PMB to successfully execute the project and 

attain cost objectives, recognizing the relationship between 

budget, resources, funding, schedule, and scope of work 

Resource: availability of personnel, facilities, and equipment, 

when required 

Management Processes: degree to which the management 

processes provide effective and integrated 

technical/schedule/cost planning and baseline change control 

Integrated Baseline Review

IBR Team Members – <Project Name>

8

Role Team Member

Project Manager

IBR Team Leader (Deputy PM)

IBR Coordinator

IBR Facilitator

EVM/Schedule Management

Cost/Budget Analyst

Sub-team Lead <Technical Area>

Sub-team Lead <Technical Area>

Sub-team Lead <Technical Area>

Sub-team Lead <Technical Area>

Sub-team Lead <Technical Area>

COTR
113

Integrated Baseline Review

Agenda

<Tuesday, Month Day, Year > 

8:00-9:00 IBR In-briefing, Administrative Details 

9:00-10:15 New Documentation Review

10:30-12:00 Discussion Sessions 1 

12:30-1:30 Lunch

1:30-300 Discussion Sessions 2

3:00-5:00 Government Team Review

<Wednesday, Month Day, Year >

8:00-9:30 Discussion Sessions 3

10:00-11:30 Discussions Sessions 4

12:00-1:00 Lunch

1:00-2:30 Discussion Sessions 5

2:45-5:00 Government Team Review

<Thursday, Month Day, Year >

8:00-12:00 Government Team Review - Exit Outbrief Preparation

12:00-1:00 Lunch

1:00-1:30 Supplier Manager Debrief

1:30-2:30 IBR Exit Outbrief

Integrated Baseline Review

Scope of IBR

<#of> Discussions and Baseline documentation from 

Sampling from <#of> Control Accounts:

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

 <CAM - Control Account # - Control Account Title> 

10
114

Integrated Baseline Review

Discussion Schedule

CAM Sub-Team Lead Location

Session 1

Tuesday - 10:30a

Session 2

<Date & Time>

Session 3

<Date & Time>

Session 4

<Date & Time>

Session 5

<Date & Time>

Integrated Baseline Review

Discussion Schedule

CAM Sub-Team Lead Location

Session 1

Tuesday - 10:30a

Session 2

<Date & Time>

Session 3

<Date & Time>

Session 4

<Date & Time>

Session 5

<Date & Time>
115

APPENDIX I DOCUMENTATION AND DATA TRACE EVALUATION

TEMPLATE

Documentation & Data Trace Evaluation

Date:

Documentation Inventory:

______________________________________________________________________________________

______________________________________________________________________________________

______________________________________________________________________________________

Organization Yes No

Does the WBS and related documentation detail the Control Account Work scope?

Do the Org charts correctly reflect the CAM Organization?

Control Account Plans

Is the CAM and relevant WBS/OBS elements adequately referenced?

Are there any discrepancies between the WBS/OBS and CA/CAP references?

Does the CAM Name match that shown on the OBS Chart?

Do the hour and dollar values at the Control Account Level on the RAM/CA

Statement of Work and Budget Allocation documents match those in the CAP?

Do the breakdowns for ODC, materials and sub contractor costs etc match those approved at 

the summary level in the CAP?

Do all the Open CAs/WPs have Cost Collection Numbers?

Do any of the PPs have CCNs?

Do any PPs have an ‘Open’ Status?

Do all the WP and PP’s have SoWs?

Do all the WP and PPs have Budgets?

Are the WBS roll up’s accurate?

Are there duplicate WBS numbers?

Are WPs/PPs defined at an appropriate level in each project area? (Check for duplicate 

packages (titles / sows))?

Do the start and Finish dates on the schedule match those in the CAP?

Do the schedule/project titles/activity names etc, correspond to the WBS?

Was the planning process appropriate and in line with planning guidelines (project 

instructions)?

RAM Yes No

Does the RAM detail the same WBS as the WBS and OBS charts?

Do the Dollars, Items and Hours match the CAP front sheet?

Schedule

Do the Control Account Schedules tie to the IMS?

Are all tasks within the CA and Contract Period of Performance?
116

Additional Comments:

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________

The Documentation and Data Review has been carried out by: 

Name:_______________Role:_______________

Name:_______________Role:_______________

Name:_______________Role:_______________

Name:_______________Role:_______________

Name:_______________Role:_______________
117

APPENDIX J IBR LOGS

CAR # CAM / Manager WBS/CA Brief Description Action Description

Responsible Team 

Member

Target Close

CAM / 

Manager

Responsible Area Discussion Eval # Risk Eval # Document Request #'s CAR #'s Sub-team 

Lead

Action Item Log

CAM Discussion Log
118

APPENDIX K OUTBRIEF SAMPLES

1

Integrated Baseline Review

Sample Out-Brief

Project Name

2

IBR Objectives

 Validate and understand the PMB

 Can the SOW be accomplished?

 Are adequate resources, schedules and budgets assigned? 

 Identify risks

 Technical

 Cost

 Schedule

 Resources

 Management processes

 Develop mitigation plans

 Give Project Managers early options
119

3

IPT Technical Schedule Cost Resources

Mgmt 

Processes

Aeronautical & 

Spacecraft Systems M M L M M

Systems I&T L L L L M

Payloads L L M L M 

Mission Ops M M M M M

Launch 

Vehicle/Services M L L M M

Low Risk: Little potential to disrupt schedule, increase costs, or degrade performance...no significant 

issues, the plan is executable. Management processes are adequate, understood and effectively used. 

Normal government monitoring may overcome difficulties.

Medium Risk: Can potentially disrupt schedules, increase costs, degrade performance...some 

significant issues but the plan remains executable. Management processes are generally adequate, 

understood and effectively used. Special contractor emphasis and close government monitoring can 

overcome difficulties.

High Risk: Likely to significantly disrupt schedules, increase costs, degrade performance...significant 

issues impacting plan execution. Management processes are not adequate, understood or effectively 

used. Risk is unacceptable even with emphasis and close government monitoring. 

Project Risk Summary

4

 Technical: Historical instability issues specific to the SW infrastructure may be 

exacerbated in Build 2.4 due to functional complexity. (Reference Risk 02-026)

 Schedule: Risk mitigation steps established to reduce Build 2.4 schedule risk have 

not been fully realized due to late delivery and inability to take early looks at weapons 

functions. (Reference Risk 02-026)

 Cost: Cost performance is within budget and adequate budget is available to manage 

contingencies.

 Resources: Lab assets are strained. 

 Management Processes: Baseline planning and earned value method used are not 

consistent with expected workload/complexity. The CPR is not providing enough 

insight into developing cost/schedule problems. This impacts management’s ability to 

effectively use data. Have seen improvements in other processes such as estimating 

and metrics. 

Aeronautical & Spacecraft 

Systems Technical Schedule Cost Resources Mgmt Process
120

5

 Technical: No significant concerns noted.

 Schedule: No significant concerns noted.

 Cost: $1.8M of additional personnel may be off set by reduction of test 

points. 

 Resources: All resources to execute the test program have been identified 

and planned.

 Management Processes: Management processes with the exception of 

change control are robust and provide early indications of problems. 

Approximately $1.8M of MR was issued to work already in progress. 

Management team seems to have a good grasp of requirements. 

Systems Integration & Test Technical Schedule Cost Resources Mgmt Process

6

 Technical: No new unforeseen performance risks identified. Existing watch items of 

note: 02-023, 00-201A.

 Schedule: No new schedule drivers identified. Moderate risk reflects current state of 

risks already in the database.

 Cost: No new cost drivers identified. Moderate risk reflects current state of risks 

already in the database.

 Resources: No new issues identified. Potential still exists for test asset shortfalls.

 Management Processes: EVM credit methodology is not sufficiently objective. 

Payloads Technical Schedule Cost Resources Mgmt Process
121

7

 Technical: No significant concerns noted

 Schedule: No significant concerns noted

 Cost: There are potential additional costs to program if invoices are larger than 

current budget

 Resources: No significant concerns noted

 Management Processes: Noted problems with material time phasing and EVM 

methodology. Invoice problems with subcontractor need to be resolved.

Mission Operations Technical Schedule Cost Resources Mgmt Process

8

 Technical: Moderate risk (16) reflects current state of risks already in the database. 

 Schedule: No significant concerns noted.

 Cost: Adequately budgeted.

 Resources: Overtime required to meet accelerated schedule. 

 Management Processes: No objective or documented quantifiable backup data for 

EVM methodology. Horizontal integration needs to occur at the work package level.

Launch Vehicle/Services Technical Schedule Cost Resources Mgmt Process
122

9

 Technical: There is no documented traceability from SOW to product 

and task descriptions. 

 Schedule: Government team planning to review Basis of Estimate to 

ensure realistic planned durations. 

 Cost: No concerns noted.

 Resources: Current resources are not accomplishing tasks in a timely 

manner.

 Management Processes: EVM methodology is a good model for 

objective determination and supporting documentation.

Safety & Mission Assurance Technical Schedule Cost Resources Mgmt Process

10

Total Program

 Technical: There is a good understanding of technical risks and mitigation plans are in 

place.

 Management Processes: The review noted several systemic issues related to EV 

Management: 

– EVM methodology

– Reprogramming adjustments

– CAM responsibility – LRE process, material budget

– Variance Analysis process

Technical Schedule Cost Resources Mgmt Process
123

11

New Risks

 Aeronautical & Spacecraft Systems

 Insufficient time to correct late-breaking priority fixes during test.

 Current system architecture limits future growth capability as well as existing R&M.

 Need to provide requirements definitions to subcontractor. 

There is no budget identified for S/W support during test to include correction of 

showstoppers.

 The Lab schedule does not exist in enough detail to ensure maximum use of 

resources. 

 Systems Integration & Test

 Testing procedures at lower levels have not yet been defined.

12

New Risks 

 Payload

Current weight estimates above allowable weight.

Payload may require special support equipment for placement on the vehicle.

Mission Operations

 Additional Ground Support Equipment may be required.

 Unanticipated modifications to existing facilities to support processing. 
124

13

Documents Needed

 Basis of estimate for Supportability 

 Time Phased BCWS in $’s by element of cost

 Risk Management Plan

 Control Account Plans

14

General Observations

 Total Concern Area Reports (CARs) generated: 34

 New Risks Identified: 10

 Management Process Systemic Issues

– Noted improvements but EVM issues still need to be resolved

– Schedules not resource-loaded

 Commitment from both Teams:

– Strong Government/Contractor team relationships

– Concerted effort to understand PMB

– Tools, processes in place to help managers

• PMM, 

• Cost/Schedule Comparison; new system on the way

• Schedule metrics
125

15

Outstanding Actions

 NASA IBR Team : 

– Assess risks; update existing risks and/or add new risks to Risk 

Management Plan (Due 28 OCT 05)

– Formal IBR Letter to contractor/in-house organization with copies of 

Concern Area Reports (Due 31 OCT 05)

 Contractor/In-House Organization: 

– Provide requested documentation (18 OCT 05)

– Written response to Concern Area Reports (30 NOV 05)

 IBR Team Leader & Review Facilitator: 

– Evaluate responses to CARs and conduct follow-ups if required. (15 DEC 

05)

16

<Project Name>

Integrated Baseline Review

<IBR Date>

Integrated Baseline Review

Sample Out-Brief
126

17

IBR Goals

 Achieve a mutual understanding of the baseline 

plan and its relationship to the underlying Earned 

Value Management System (EVMS)

 Assess the adequacy of the performance 

measurement baseline (scope, schedule, budget, 

resources, and management processes)

18

SCOPE of IBR

Evaluate the current baseline and 

the associated risks
127

19

AREAS ASSESSED

 Program Management

 Aeronautical & Spacecraft Systems

 Safety & Mission Assurance

 Payloads

 System Integration & Test

 Launch Vehicle/Services

 Science/Technology

 Mission Operations

20

Program Management

Risk Evaluation Remarks

Technical Low

Schedule Low

Cost Low

Resources Excellent

Management 

Processes

Excellent

 Concerns:

– None
128

21

Aeronautical & Spacecraft Systems

Risk Evaluation Remarks

Technical Moderate

Schedule Moderate

Cost Moderate

Resources Excellent

Management 

Processes

High

 Concerns:

– Software growth due to unexpected software problems

– Baseline planning and earned value method used are not consistent with 

expected workload/complexity.

– Cost/Schedule growth due to increase in software effort

 Action:

– Establish more rigorous management processes for baseline maintenance

– Establish EV methods more appropriate to work accomplishment

– Update EAC to reflect SW growth. 22

Safety & Mission Assurance

Risk Evaluation Remarks

Technical Low

Schedule Low

Cost Low

Resources Moderate

Management 

Processes

Excellent

 Concerns:

– Current resources are not accomplishing tasks in a 

timely manner.

 Recommendation:

– Assign proper staffing mix to S&MA tasks
129

23

Payloads

Risk Evaluation Remarks

Technical Moderate

Schedule Low

Cost Low

Resources Excellent

Management 

Processes

Excellent

 Concerns:

– Current weight estimates above allowable weight.

– Payload may require special support equipment for placement on 

the vehicle.

 Recommendations:

– Research methods for weight reduction

– Utilize COTS for support equipment.

24

Systems Integration & Test

Risk Evaluation Remarks

Technical Low

Schedule Low

Cost Moderate

Resources Moderate

Management 

Processes

Excellent

 Concerns:

• Budget for system level testing not identified.

• Potential loss of staff and staff conflicts with testing 

 Action:

• Identify budget for system Level testing.

• Increase resources to meet test plan.
130

25

Launch Vehicle/Services

Risk Evaluation Remarks

Technical Low

Schedule Low

Cost Low

Resources Excellent

Management 

Processes

Moderate

 Concerns:

– No objective or documented quantifiable backup data 

for EVM methodology. None

 Actions:

– Identify and assign objective EV methods.

26

Science/Technology

Risk Evaluation Remarks

Technical Low

Schedule Low

Cost Low

Resources Excellent

Management 

Processes

Excellent

 Concerns:

– None
131

27

Mission Operations

Risk Evaluation Remarks

Technical Low

Schedule Low

Cost Moderate

Resources Moderate

Management 

Processes

Excellent

 Concerns:

– Additional Ground Support Equipment may be required.

– Unanticipated modifications to existing facilities to support processing. 

 Recommendations:

– Ensure good configuration management planning for tracking design 

changes that may impact operations.

– Identify additional costs in the EAC. 28

Program Level Risks

Risks

– Shared Resources with multiple programs

– Software Slip 

– Software Maturity

– Software Maintenance

– Compressed Schedule
132

29

Actions/Recommendation

Govt EVM analyst to monitor MR usage for 

remainder of contract

Govt to send Contractor a request for an 

impact proposal 

– Impact of program schedule slips to software 

baseline

– Schedule Review after contract modification to 

address the change to the Baseline

30

IBR Assessment

 Strengths

• CAM’s knowledge

• Cost, Schedule and Performance

• EVMS

• IBR preparation/baseline documentation

 Weaknesses

• No significant weaknesses identified

OVERALL ASSESSMENT

GREEN
133

APPENDIX L IBR LETTER OF FINDINGS TEMPLATE

<Project Name>

Integrated Baseline Review - Letter of Findings

Supplier: < Supplier Name>

Contract Number: <Contract #XXXXXXX>

Date: <Month Day, Year>
134

To: <Supplier Contract Officer Name, Organization>

SUBJECT: Notification of Integrated Baseline Review (IBR) Findings for <Subproject Name or Contract #>.

The <Project Name> IBR Team conducted an Integrated Baseline Review (IBR) of contract <Contract #>

at your facility in <Supplier Address> during <Date of IBR>. The team identified areas of concern, 

requests for documents and provided risk assessment as contained in attachment (1), Concern Area 

Reports.

Status on action Items and documentation requested should be directed to <IBR Coordinator Name> at 

<Phone Number & Email>. Action Items and Documentation requests should be completed by <Date>, 

unless other arrangements are made with <Review Team Lead Name> at <Phone Number & Email>.

Any contractual questions should be directed to <Project COTR Name> at <Phone Number & Email> and 

earned value management question should be directed to <Review Team Lead Name> at <Phone 

Number & Email>.

____________________

<PM NAME>

Project Manager

<Project Name> Project

Attachment 1: Concern Area Reports

Cc:

Government COTR

Review Team Lead

Review Team Members
135

APPENDIX M IBR REPORT

Sample Review Report

1. Introduction. Identify the contract purpose, type, duration, amounts (total, ceiling price, 

target costs, etc.), the project being supported, and the cognizant government component. 

Also, identify the specific contract requirement for an earned value management system.

2. Purpose. Identify the purpose of the review. 

3. Scope. Identify the specific contractual entity that is the subject of this review; for 

example, division, company, plant, and the functional organizations, such as engineering, 

manufacturing, quality assurance, or individual process teams. Discuss whether the review is 

related to development, production, or construction contract. Identify CWBS areas covered, 

the methodology used in conducting the review, indicating such items as range of CAM 

discussions, depth of review, documents examined, and traces conducted. Team members 

and their associated responsibilities should be identified in this section.

4. Findings. Identify areas of concern including a complete discussion of condition, cause 

and effect. If the concerns are not resolved by the time the report is written, a schedule for 

their resolution should be attached. 

During the course of the review, if concerns surfaced relative to the EVM System and its 

processes, these should be communicated to the appropriate personnel for proper resolution.

5. Conclusions and Recommendations. This portion of the report contains any conclusions 

and recommendations based on review findings. This should include any action items and, if 

applicable, specific areas needing further review. 
136

APPENDIX N IBR CLOSURE NOTIFICATION LETTER TEMPLATE

<Project Name>

Integrated Baseline Review – Closure Notification

Supplier: < Supplier Name>

Contract Number: <Contract #XXXXXXX>

Date: <Month Day, Year>
137

To: <Supplier Contract Officer Name, Organization>

SUBJECT: Notification of Integrated Baseline Review (IBR) closure.

The <Project Name> IBR Team conducted an Integrated Baseline Review (IBR) of contract <Subproject 

Name or Contract #> at your facility in <Address> during <IBR Dates>.

All actions resulting from Concern Area Reports from this review are closed.

Any contractual questions should be directed to <COTR Name> at <Phone Number & Email> and earned 

value management question should be directed to <IBR Team Lead Name> at <IBR Team Lead Name, 

Phone, Email>. 

____________________

<PM Name>

Project Manager

<Project Name> Project
138

APPENDIX O GLOSSARY

GLOSSARY OF TERMS

Actual Cost of Work Performed (ACWP) (or Actual Cost). The costs actually incurred and 

recorded in accomplishing the work performed within a given time period. Actual costs include 

the direct cost plus the related indirect cost such as overhead, G&A, etc. allocated to the 

activity. 

Administrative Contracting Officer (ACO). The individual within the Defense Contract 

Management Agency (DCMA) Contract Management Office (CMO) responsible for ensuring that 

the functions described in DFARS 242.302 are completed by the contractor in accordance with 

the terms and conditions of the contract.

Applied Direct Costs. The actual direct costs recognized in the time period associated with 

the consumption of labor, material, and other direct resources, without regard to the date of 

commitment or the date of payment. These amounts are to be charged to work in-process 

when any of the following takes place:

 When labor, material and other direct resources are actually consumed.

 When material resources are withdrawn from inventory for use.

 When material resources are received that are uniquely identified to the

contract and scheduled for use within sixty days.

 When major components or assemblies that are specifically and uniquely identified 

to a single, serially numbered end-item are received on a line-flow basis.

Apportioned Effort. Effort which by itself is not readily divisible into short-span work packages 

but which is related in direct proportion to some other measured effort.

Authorized Unpriced Work. Any effort for which contractually definitized costs have not 

agreed upon, but for which written authorization has been received.

Authorized Work. Effort which has been definitized and is on contract, plus that effort for which 

definitized contract costs have not been agreed to but for which written authorization has been 

received.

Baseline. See “Performance Measurement Baseline.”

Bill Of Material (BOM). A listing of material items required to complete the production of a 

single unit. When actual or expected prices are applied, it becomes the Priced Bill of Material 

(PBOM).

Bottoms–Up Cost Estimate. An estimate derived by summing detailed cost estimates of the 

individual work packages and adding estimated level of effort plus appropriate indirect cost 
139

estimates. Frequently accomplished as an independent analysis by Industrial Engineering, 

Price Analysis and Cost Accounting.

Budget. A plan of operations for a fiscal period in terms of estimated costs or hours.

Budget At Completion (BAC). The sum of all budgets (BCWS) allocated to the project or a 

given Control Account. It is synonymous with the term Performance Measurement Baseline 

(PMB).

Budgeted Cost For Work Performed (BCWP) (or Earned Value). The sum of the budgets for 

completed work packages and partially completed work packages, plus the appropriate portion 

of the budgets for level of effort and apportioned effort work packages. 

Budgeted Cost For Work Scheduled (BCWS) (or Planned Value) The sum of the budgets for 

all work packages, planning packages, etc., scheduled to be accomplished (including in-process 

work packages), plus the amount of level of effort and apportioned effort scheduled to be 

accomplished within a given time period. This is the value of planned work.

Budgeting. The process of translating approved resource requirements into a time-phased 

plan for accomplishing work.

Burden. See “Indirect Expense” and “Overhead.”

Burdened Cost. The sum of direct cost plus all applicable indirect cost.

Contract Budget Base (CBB). The sum of the negotiated contract cost plus the estimated cost 

of authorized but unpriced work. IT includes the PMB and MR. Customer approval is generally 

required to change it. 

Contract Change Order. A formal revision or change to a contract that may impact the scope 

of work, schedule, cost, price, and/or other contractual requirements.

Contract Data Requirements List (CDRL). A compilation of all data requirements (DD Form 

1423) that the contractor is obligated to submit to the government.

Contract Line Item Number (CLIN). The number used within a contract to identify a specific 

deliverable item.

Contract Master Schedule (CMS). The highest summary level schedule for a contract, 

depicting overall contract phasing and all major interfaces, contractual milestones, and contract 

elements (sometimes called Integrated Master Schedule).

Contract Performance Report (CPR). A contractually required recurring report designed to 

provide information on contract cost performance status, problems, and corrective actions (DIMGMT-81466).

Contract Schedules. Schedules that are initiated at the direction of the customer or 

management to reflect program plans for development or production of deliverable items. The 
140

highest level schedule is the Contract Master Schedule supported by Intermediate Level 

Schedules and by lowest level detail schedules.

Contract Work Breakdown Structure (CWBS). A work breakdown structure (WBS) of the 

products or services to be furnished under contract. It is comprised of selected Project WBS 

elements specified in the contractual document and the contractor’s lower level extensions of 

those elements. 

Control Account (CA). A management control point at which budgets (resource plans) and 

actual costs are accumulated and compared to the earned value for management control 

purposes. A control account is a natural measurement point for planning and control since it 

represents the work assigned to one responsible organizational element (or integrated product 

team) for a single WBS element.

Control Account Manager (CAM). A manager responsible for task performance of a Control 

Account and for planning and managing the resources authorized to accomplish such task.

Control Account Plan (CAP). A format upon which a control account plan is displayed. A CAP 

typically displays the control account scope and budget in time-phased work packages and 

planning packages, cost element visibility, earned value techniques for each work package, 

responsible performing organizations and at least one charge number.

Cost-At-Completion (CAC). Actual direct costs, plus indirect costs allocable to the contract, 

plus the estimate of costs (direct and indirect) for authorized work remaining. The CAC is 

sometimes referred to as Estimate-at-Completion (EAC) or Latest Revised Estimate (LRE).

Cost Element. Typical elements of cost are: direct labor, direct material, other direct costs, and 

indirect cost (overhead).

Cost Incurred. A cost identified through the use of the accrual method of accounting and 

reporting or otherwise actually paid. Cost of direct labor, direct materials, and direct services 

identified to and necessary for the performance of a contract, and all properly allocated and 

allowable indirect costs as shown by the contractor’s books of record. (See Actual Direct Cost 

and Applied Direct Cost.)

Cost Performance Index (CPI). A measure of cost efficiency. It compares BCWP to the actual 

cost to perform that work (CPI=BCWP/ACWP). An index of 1.0 means that we are spending 

exactly what we planned to spend to accomplish the work performed. CPI > 1.0 means we are 

under running costs. CPI < 1.0 means that we are over running costs. 

Cost Plus Award Fee/Fixed Fee/Incentive Fee. Cost reimbursement contract types where the 

fee is based upon: (a) the accomplishment of pre-negotiated goals (Award Fee); (b) a 

negotiated fixed fee amount (Fixed Fee); or (c) a risk sharing ratio within a pre-determined 
141

range based upon the contractor’s ability to meet technical, cost, and/or schedule targets 

(Incentive Fee).

Cost Reimbursement Contracts. A category of contracts whose use is based upon payment 

by the government to a contractor of allowable cost as prescribed by the contract. Normally 

only the “best efforts” of the contractor are required. The basis for payment negotiated may be: 

(a) cost (no fee); (b) cost sharing; (c) cost-plus-fixed fee; (d) cost plus award fee, and/or (e) 

cost-plus incentive fee.

Cost-To-Complete (CTC) Forecast. A contractor’s estimate of the cost to complete the 

remaining tasks on a contract. Synonymous with Estimate to Complete.

Cost Variance (CV). A metric for the cost performance derived from earned value data. It is 

the algebraic difference between the earned value (BCWP) and the actual cost incurred 

(ACWP). A positive value indicates a favorable condition and a negative value indicates an 

unfavorable condition.

Critical Path. A sequential path of activities that are tied together network logic that have the 

longest overall duration from time now until project completion. 

Critical Subcontractor. A contractor performing a large or complex portion of a contract that 

requires a flow-down of earned value management and reporting (e.g., CPR) requirements, and 

the integration, reviews, acceptance and control of subcontractor system and reporting by the 

prime contractor. Critical subcontractors are designated as a result of customer negotiation or 

by management or by government direction.

Defense Contract Management Agency (DCMA). The Department of Defense (DoD) 

component that works directly with Defense suppliers to help ensure that DoD, Federal, 

and allied government supplies and services are delivered on time, at projected cost, 

and meet all performance requirements. As the DoD Executive Agent for EVMS, DCMA 

is responsible for ensuring the integrity and application effectiveness of contractor 

EVMS. The NASA Program/Project contracting officer will normally delegate the 

responsibility for verifying a supplier’s initial and continuing compliance with ANSI/EIA -

748 guidelines to the designated DCMA Administrating Contracting Officer (ACO) 

assigned to a DCMA Contract Management Office (CMO). 

Defense Contract Audit Agency (DCAA). The DoD organization tasked with monitoring a 

contractor’s design and implementation of an acceptable accounting system.
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Definitized. A contract, contract amendment, or contract supplemental agreement is 

considered definitized when the final contractual documents are unconditionally executed by 

both parties to the agreement.

Direct Cost. Any costs that may be identified specifically with a particular cost objective. That 

is, the portion of labor, material or other cost incurred or expended to meet contractual 

specifications for an end product, tool or other related service specifically identifiable to the 

contractually authorized task. It consists of those costs that can be reasonably and consistently 

related directly and finally to the contract, without distribution through an overhead unit or 

account.

Direct Labor. That portion of labor expended in the actual design, tooling, testing and the 

physical application of labor (including proofing) to material altering its shape, form, nature, or 

fulfilling a contractual requirement for service.

Discrete Effort. Tasks which have a specific end product or end result, and which through 

planning: (1) can be specifically defined and assigned a budget for accomplishment; (2) can be 

scheduled with clearly definable start and completion dates; and (3) contain criteria against 

which performance can be measured.

Discrete Milestone. A milestone which has a definite, scheduled occurrence in time signaling 

the finish of an activity, such as “release drawing,” “pipe inspection complete,” and/or signaling 

the start of a new activity. A type of “objective indicator.”

Earned Hours. The time in standard or budgeted hours credited to a worker or group of 

workers as a result of their completion of a given task or group of tasks.

Earned Value (EV). The budgeted value for work accomplished. The value of completed work 

expressed in terms of the budget assigned to that work. It is the sum of budgets for completed 

work packages and completed portions of open work packages, plus the appropriate portion of 

the budgets for level of effort and apportioned effort. Also known as Budgeted Cost for Work 

Performed (BCWP).

Earned Value Management (EVM). A tool for measuring and assessing project performance 

through the integration of technical scope with schedule and cost objectives during the 

execution of the project. EVM provides quantification of technical progress, enabling 

management to gain insight into project status and project completion costs and schedules. Two 

essential characteristics of successful EVM are EVM system data integrity and carefully 

targeted monthly EVM data analyses (i.e., risky WBS elements). 
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Earned Value Management System (EVMS). The integrated set of policies, processes, 

systems and practices that meet an organization’s implementation of ANSI/EIA-748. An 

integrated management system and its related subsystems that allow for planning all work 

scope to completion; assignment of authority and responsibility at the work performance level; 

integration of the cost, schedule, and technical aspects of the work into a detailed baseline plan; 

objective measurement of progress (earned value) at the work performance level; accumulation 

and assignment of actual costs; analysis of variances from plans; summarization and reporting 

of performance data to higher levels of management for action; forecast of achievement of 

milestones and completion of events; forecast of final costs; and disciplined baseline 

maintenance and incorporation of baseline revisions in a timely manner. 

Engineering Change Proposal (ECP). A proposed change, addition, or deletion to the basic 

contract, initiated by the contractor or customer.

Engineering Release. A procedure or method for the formal issuance of initial or updated 

engineering data, instructions and drawings of detail parts, assemblies and components of a 

new or modified product.

Estimate At Completion (EAC). A value (expressed in dollars and/or hours) developed to 

represent a realistic projection of the final cost of a task (or group of tasks) when completed. 

EAC is the sum of direct and indirect costs to date, plus the estimate of all authorized remaining 

work. EAC=Inception to date ACWP+ETC

Estimate To Complete (ETC). A value (expressed in dollars and /or hours) developed to 

represent a realistic projection of the “to go” cost of the unaccomplished work to complete a 

task.

Expenditure. A charge against available funds. It is evidenced by a voucher, claim, or other 

document approved by competent authority. Expenditure represents the actual payment of 

funds.

Fiscal Year. For the United States government, it is the 12 month period: 1 October through 

30 September. For industry, it may be any formally selected annual accounting period including 

a calendar year.

Fixed Price Contracts. A category of contracts based on the establishment of a price to 

accomplish the required work. Types are: (a) firm fixed price; (b) fixed price with escalation; (c) 

fixed price redeterminable, and (d) fixed price with incentive provisions.

Front Loading. An action by a contractor to provide adequate or generous budget in the nearterm budget baseline at the expense of the far-term effort. This practice delays 

acknowledgment of potential overrun conditions, frequently in the expectation that the contractor 
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can recover through subsequent changes in the contract statement of work. Front loading often 

results from an inadequate or unrealistic negotiated contract target cost and/or unrealistically 

optimistic planning of far-term effort.

Functional Organization. An organization or group of organizations with a common 

operational orientation such as Engineering, Manufacturing, (Fabrication, Assembly), Tooling, 

Quality Control, Material, Finance, Contracts, etc. See Organization Breakdown Structure 

(OBS).

Functional Manager. A line manager or supervisor of a functional organization.

Funding Profile. A display of program funding requirements normally presented on a 

cumulative basis by months or quarters. Plotting of the requirements is displayed as a “stair 

step” chart.

Gantt Chart. A horizontal bar chart. A graphic representation used as an aid to effective 

scheduling and control, showing graphically on a time scale when certain events are to take 

place or where deadlines occur. Status is displayed by either filling the bar or adding a filled-in 

status bar below it.

General & Administrative Expense (G&A). Expense incurred in the overall Corporate and 

Division offices, i.e., their cost of staff services such as, finance, legal, contract administration, 

sales, marketing and independent research and development (IR&D) effort. These expenses 

are allocated to organizational elements on the basis of total direct and indirect cost.

Indirect Budget. The target value established for costs to be incurred by persons and/or 

organizational elements for tasks or expenses that do not have a direct relationship to the 

design, testing and/or production of the end product or contractually specified task.

Indirect Cost. Costs that, because of their incurrence for common or joint objectives, are not 

readily subject to treatment as direct costs. This term is further defined in FAR.

Indirect Cost Pools. A grouping of indirect costs identified with two or more cost objectives but 

not separately identified with any final cost objective. Such separate pools are normally 

established for indirect costs associated with Engineering, Manufacturing, Procurement, and/or 

Material, etc.

Integrated Baseline Review (IBR). A risk-based review conducted by the Program/Project 

Management to ensure a mutual understanding between the customer and supplier of the risks 

inherent in the supplier’s PMB and to ensure the PMB is realistic for accomplishing all the 

authorized work within the authorized schedule and budget. 

Integrated Surveillance Team (IST). Collectively the representatives of those organizations 

working together on the acquisition and administration of a contract or contracts. This could 
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include the PMO, DCMC, DCAA, the procuring activity integrated support components and the 

contractor.

Inter Divisional Work Authorization (IDWA). The document or procedure for “subcontracting” 

work between divisions of a company. Cost for authorized work by the performing division is 

transferred to the prime contracting division without G&A overhead and fee to preclude double 

charging on the prime contract. It is sometimes referred to as an Inter Group Work 

Authorization (IGWA) or as Inter Organizational Transfer (IOT).

Interim Budget. Furnished to departments on an interim basis for contractually authorized

tasks for which a firm bid or estimate may not yet have been completed and negotiated. It is 

also used for task transfers between departments or elements of cost pending formal budget 

transfer. Interim budget is discontinued after budget values are formalized.

Internal Replanning. Replanning actions performed by the contractor for remaining effort 

within the recognized total allocated budget.

Joint Surveillance. Project surveillance conducted jointly by the supplier and customer (e.g., 

for contractor’s this is typically performed by the contractor’s EVMS organization, the cognizant 

DCMA and the customer).

Level Of Effort (LOE). Effort of a general or supportive nature that does not produce definite 

end products. Examples include supervision, program administration and contract 

administration.

Management Reserve (MR). An amount of the total allocated budget withheld for management 

control purposes rather than designated for the accomplishment of a specific task or set of 

tasks. It is not a part of the Performance Measurement Baseline.

Master Planning Schedule (MPS). The highest summary level schedule for a contract 

depicting overall contract phasing and all major interfaces, contractual milestones, and program 

elements. (See Contract Master Schedule.)

Material. Property which may be incorporated into or attached to an end item to be delivered 

under a contract, or which may be consumed or expended in the performance of a contract. It 

includes, but is not limited to, raw and processed material, parts, components, assemblies, fuels 

and lubricants, and small tools and supplies.

Milestones. Events of particular significance. Finitely defined events that constitute the start or 

completion of a task or occurrence of an objective criterion for accomplishment. Milestones 

should be discretely identifiable; the passage of time alone is not sufficient to constitute a 

milestone. However, milestones should be associated with schedule data to document when 

the milestone is to occur. (See Objective Indicator.)
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Negotiated Contract Cost (NCC). The estimated cost negotiated in a cost-plus-fixed-fee 

contract or the negotiated contract target cost in either a fixed-price incentive contract or a costplus-incentive-fee (or award fee) contract.

Network Schedule. A schedule format in which the activities and milestones are represented 

along with the interdependencies between activities. It expresses the logic as to how the 

program will be accomplished. Network schedules are the basis for critical path analysis, a 

method for identification and assessment of schedule priorities and impacts.

Non-Recurring Cost. Expenditures for specific tasks that are expected to occur only once, or 

very infrequently, on a given program. Examples are such costs as those for preliminary design 

effort, qualification testing, initial tooling, testing, planning, etc.

Objective Indicator. A finite event or accomplishment that can be used to definitively establish 

the degree of completion of a specific task.

Organizational Breakdown Structure (OBS). The project hierarchy of line and functional 

organizations as applied to the specific project. 

Other Direct Cost (ODC). A group of accounting elements, other than direct labor and 

material, which can be isolated to specific tasks. ODC includes such items as travel, computer 

time, aviation fuel, etc.

Overhead. (See Indirect Costs.)

Overrun. Costs incurred in excess of the allocated budget for a task, group of tasks, or a 

contract. For work in process, the overrun is the cost incurred in excess of earned value.

Over Target Baseline (OTB). Replanning actions involving establishment of cost and/or 

schedule objectives that exceed the desired or contractual objectives on the program. An OTB 

is a new baseline for management when the original objectives cannot be met and new goals 

are needed for management purposes. 

Performance Measurement Baseline (PMB). The time-phased budget plan against which 

contract performance is measured. It is formed by the budgets assigned to scheduled control 

account and the applicable indirect budgets. For future effort, not planned to the control 

account level, the performance measurement baseline also includes budgets assigned to higher 

level WBS elements and undistributed budgets. It equals the total allocated budget less 

management reserve.

Performing Organization. A defined unit within the contractor’s organization structure, which 

applies resources to perform the work.

Planned Value. Same as Budgeted Cost for Work Scheduled.
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Planning Package (PP). A logical aggregate of far-term effort within a control account that can 

be identified and budgeted, but not yet defined into discrete Work Packages.

Post Acceptance Review. A government review performed on a specific element or elements 

of a contractor’s EVMS system that display(s) a lack of discipline or no longer meet(s) the intent 

of the EVMS Criteria.

Priced Bill-Of-Material System. An automated requirement generation system for material 

and parts, which lists all items, quantities, sources, descriptions and prices in an indentured 

listing, which relates a part of component to a higher or using assembly. Such a system may be 

used for pricing material costs for proposals.

Price Variance (PV). The portion of a material cost variance due to price change. The 

difference between the planned unit cost of materials and the actual unit cost of material. PV is 

derived by subtracting the planned unit price times the quantity used from the actual unit price 

times the quantity used.

Problem Analysis Report (PAR). A report made by the responsible manager to explain a 

significant cost or schedule variance, its probable impact on the program, and the corrective 

action(s) taken or required to resolve the problem (Same as Variance Analysis Report).

Procuring Activity. The subordinate command in which the Procuring Contracting Office 

(PCO) is located. It may include the Program Office and other related functional support 

activities.

Program (or Project or Product) Manager (PM). The person assigned the prime 

responsibility for overall management of a program (or project, or product).

Program Master Schedule. The highest summary level schedule for a major program 

depicting overall program phasing and interfaces, contractual milestones, and major events that 

support specific program objectives.

Program Work Breakdown Structure (PWBS). See part (a) of Work Breakdown Structure 

definition.

Progress Payments. Payments made to a contractor or subcontractor during the life of a fixed 

price type (firm fixed price and fixed price incentive) contract on the basis of a percentage of 

total incurred cost.

Purchase Order. An order issued by a functional organization (usually material or purchasing) 

to purchase parts, supplies or services from an outside source.

Purchase Request (PR). A contractor’s authorizing procurement document that results in the 

issuance of a Purchase Order. Also referred to as a Purchase Order Request (POR).
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Purchased Labor. A type of labor used on a contract basis to relieve an engineering or shop 

overload and/or to take advantage of special processing or technical skills or of special facilities 

possessed by a supplier.

Purchased Parts. Detail parts or small subassemblies that are purchased from or 

subcontracted to an outside source. Such parts or subassemblies are purchased to relieve a 

shop overload or because they are not within the prime contractor’s normal capability to make.

Quantity Variance (QV). (See Usage Variance).

Risk Analysis. The system that provides a continuous analysis of identified risks with respect 

to their impact on program cost, schedule, and technical performance.

Realization Factor. The ratio of actual performance time to standard performance time, usually 

expressed as a decimal number.

Recurring Costs. Expenditures against specific tasks that occur on a repetitive basis. 

Examples are costs of sustaining engineering support, repeated fabrication or assembly of parts 

or products, tool maintenance, etc.

Replanning. The process by which a program or project updates or modifies its plans. This 

applies to a change in the original authorized PBB or CBB planning for accomplishing formally 

authorized requirements, typically involving the redistribution of budget for remaining work. In 

accordance with the ANSI/EIA-748, traceability is required to previous baselines, and funding 

requirements need to be considered in any replanning effort. There are two types of replanning:

 Internal Replanning. Replanning actions performed by the supplier for remaining effort within 

the recognized Project Budget Base or CBB. It is caused by a supplier’s need to 

accommodate cost, schedule, or technical problems that may have made the original plan 

unrealistic. Internal replanning is restricted to remaining effort and if significant, the customer 

must be advised of the action.

 Authorized Change (or External) Replanning. A change necessitated by government/ 

customer direction which may be in the form of either a definitized or a no cost contract 

change order for contracts or formal change to the Project Plan for in-house Projects that 

calls for a change in the original plan. It most often results from a change in the authorized 

requirement affecting cost, schedule, technical parameter or a combination thereof.

Reprogramming (or Formal Reprogramming). A comprehensive replanning of the remaining 

PMB that result in an Over-Target Baseline (OTB), an Over-Target Schedule (OTS) or both. 

This type of replan is for performance measurement purposes only and requires prior 

coordination and approval of the Customer.
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Responsible Organization. A defined unit within the contractor’s organization structure that is 

assigned responsibility for accomplishing specific tasks. (See Performing Organization for 

comparison.)

Responsibility Assignment Matrix (RAM). A chart showing the relationship between the 

CWBS elements and the organizations assigned responsibility for ensuring their 

accomplishment. The RAM normally depicts the assignment of each control account to a single 

manager, along with the assigned budget.

Rolling Wave Planning. The progressive refinement of work definition as time goes on by 

continuous subdivision of downstream activities into detailed tasks.

Rubber Baselining. Actions by a contractor to advance far-term budgets into the current or 

early periods to mask current cost problems. The action involves moving budget without a 

corresponding amount of task, to cover current cost difficulties. It is an indication of likely 

overrun condition. 

Schedule. A plan that defines when specified work must be started, worked on, and finished, to 

accomplish program objectives on time.

Schedule Performance Index (SPI). A measure of schedule efficiency. It compares the 

BCWP to the work scheduled (SPI = BCWP / BCWS). An index of 1.0 means the work is being 

performed right to the schedule. SPI > 1.0 means that the work is ahead of schedule. SPI < 1.0 

means that the work is behind schedule.

Schedule Variance (SV). A metric for the schedule performance on a program. The algebraic 

difference between the earned value (BCWP) and the budget plan (BCWS). (SV=BCWPBCWS) A positive value is a favorable condition while a negative value is unfavorable. It may 

be expressed for a specific period or cumulative to date.

Significant Variance. Those differences between planned and actual performance that require 

further review, analysis, and/or action. 

Statement Of Work (SOW). The document that defines the work scope requirements on a 

program or contract.

Subcontract. A contract for services, data, parts, components, assemblies, other hardware, or 

software that a company commits to perform for or provide to the prime contractor. A 

subcontract normally involves the design or production of a component by the supplier to the 

prime contractor’s specifications. “See Purchased Parts.”
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Summary Level Planning Package (SLPP). An aggregation of work for far-term efforts, not 

able to be identified at the control account level, but which can be assigned to higher level WBS 

elements (and is therefore not “undistributed budget”).

Surveillance. The continuous process of reviewing the health of the earned value 

management system (EVMS) as applied to one or more projects.

Surveillance Plan. An annual plan that identifies the projects to be included in surveillance

reviews, as well as the frequency and scope of the individual surveillance visits planned for 

each project included in the annual plan.

Task. A piece or portion of discrete, apportioned, or level-of-effort work. Also called an activity, 

something that takes place over a period of time and generally consumes resources.

Task Authorization. A document used in some contractor systems in conjunction with a 

Resource Authorization Document (RAD) to provide detailed work instructions and other 

technical information.

Thresholds. Boundaries or limits (monetary, time, or other values), which, if breached, result in 

some type of management review and action.

To-Complete Performance Index (TCPI). The future cost efficiency needed to accomplish the 

remaining work within a financial goal such as the Budget at Completion (BAC) or the Estimate 

at Completion (EAC). It compares the budget for remaining work with the remaining cost or the 

estimated remaining cost to complete the work. TCPIBAC = (BAC – BCWP cum) / (BAC –

ACWP cum). Or TCPIEAC = (BAC – BCWP cum) / (EAC – ACWP cum). Compare the CPI to 

determine if the BAC or the EAC is realistic or not.

Total Allocated Budget (TAB). The sum of all budgets allocated to a project/contract. Total 

allocated budget consists of the PMB and all MR. The TAB should reconcile directly to the 

project/contract budget base. If the TAB is greater than the project/contract budget base, the 

difference is attributable to an over target baseline and must be documented. 

Touch Labor. Production labor that can be reasonably and consistently related to a unit of 

work being manufactured, processed or tested. Also referred to as “Hands On” labor.

Undistributed Budget (UB). Budget associated with specific work scope or authorized 

changes that have not been assigned to a control account or lower level WBS element. 

Unit Cost. Total labor, material, and overhead cost for one unit of product, i.e., one part, one 

end item etc.

Unpriced Changes. Authorized contract changes that are not yet priced. 

Usage. The number of units or dollar value of material or items used over a period of time.
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Usage Rate. A percentage, based on historical records, applied to the Priced Bill of Material to 

accurately budget for scrap, breakage, lost in shop, rework design, error and surplus material 

consumed on a project or contract.

Usage Variance (UV). The portion of material cost variance due to a change in quantity of 

material used. The difference between planned quantity of materials and the actual quantity 

used, expressed in dollars. UV is derived by subtracting from planned quantity times planned 

unit cost, the actual quantity times planned unit cost. (Same as Quantity Variance.)

Variance Analysis Report (VAR). An internal document, within an earned value management 

system, for the analysis and reporting of variances which breech the established thresholds. It 

requires the reason or cause of the variance; the impact on cost or schedule; and the corrective 

action required, or accomplished, on significant variances.

Variance At Completion (VAC). The difference between the total budget assigned to a 

contract, WBS element, organizational entity or control account and the estimate at completion. 

It represents the amount of expected overrun or underrun. (VAC equals BAC minus EAC, i.e., 

total allocated budget minus the related estimated final cost).

Variance Threshold. Internal and external tolerances (or thresholds), which are established by 

management direction, or negotiation with the customer and which, when exceeded, require 

investigation, analysis, reporting and corrective action.

Work Breakdown Structure (WBS). A product-oriented hierarchical breakdown or division of 

hardware, software, services, and other work tasks that organizes, displays, and defines the 

products to be developed and/or produced and relates the elements of the work to be 

accomplished to each other and the end product(s).

Work Breakdown Structure Dictionary. A document that describes the tasks associated with 

each WBS element, in product-oriented terms, and relates each element to the respective, 

progressively higher levels of the structure as well as to the contract Statement of Work. May or 

may not be a contractual requirement.

Work Breakdown Structure Element. A single discrete portion of a WBS. May be an 

identifiable product, a set of data, or a service.

Work Package (WP). A detail, short duration task or material item identified by the Project 

Control Account manager for accomplishing a Control Account task. A work package has the 

following characteristics: 

 Represents unit of work at the level where work is performed.

 Clearly separate from other Work Packages.

 Assignable to a single organizational element. 
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 Has scheduled start and completion dates, and interim milestones, if required, all of which 

represent physical accomplishment.

 Has budget expressed in terms of dollars or hours/FTEs.

 Its duration is limited to a relatively short span.

 Is integrated with detailed engineering, shop, or other schedules.

 Has a correct Earned Value Technique assigned to it. 

Work Package Budgets. Resources that are formally assigned by the contractor to 

accomplish a work package, expressed in dollars, hours, standards or other definitive units
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APPENDIX P CxP CANDIDATE RISK ASSESSMENT FORM

CxP Candidate Risk Assessment Form

Candidate Risk: The IBR Team member will identify a candidate risk 

based on a combination of the likelihood of an undesired event...and the 

consequences if the event were to occur to the Constellation Program’s goals 

and objectives as related to Technical, Cost, and Schedule.

Condition Statement (a phrase briefly describing current key circumstances, situations, etc. that are causing concern, 

doubt, or anxiety):

IBR Risk Management Officer Signature:______________________________________________

Print Name:_______________________________________________________________________ 

Owning Organization:

IBR Team/Sub-team Lead Signature:_________________________________________________

Print Name:_______________________________________________________________________ 

Consequence Statement (a phrase that describes the key, negative outcome of the current condition):

Context (any additional information to support your identification of this risk):

IBR Team Member Signature:_______________________________________________________

Print Name:_______________________________________________________________________ 

 Technical (Yes or No):

 Cost (Yes or No):

 Schedule (Yes or No):

Date:

Classification: