Performance Evaluation Study of Cost and Time Benchmarks on Construction Projects Using the Earned Value Management Method: Road Duplication Paving Project in Zliten, Libya- Case study

Abstract

One of the most significant challenges facing engineering project management, including research and development, construction, and other projects, is completing projects according to schedules and budgets. These challenges often stem from shortcomings in the application of technical, time-related, and financial planning and monitoring mechanisms. Earned Value Management (EVM) is a powerful and effective tool for addressing these shortcomings by linking actual progress of completed work to time taken and cost incurred, and comparing it to the project's planned baseline. This paper aims to highlight the vital importance of adopting the EVM methodology in monitoring the implementation of construction projects and its use as a benchmark for evaluating cost and time performance. The paper provides a comprehensive overview of key EVM concepts and indicators, including Values of Planned, Earned, and Actual, Cost Variance, Schedule Variance, as well as Performance Indicators (CPI, SPI) which reached 0.76 and 0.90 respectively, and forecasting indicator (EAC) which is 6.44 M Libyan dinar, the project appears to have experienced a financial overrun of approximately 31.8% and a schedule delay of approximately 10% from what was originally planned. The paper also analyzes the implications of these indicators in different project performance scenarios, emphasizing the role of EVM in identifying deviations early, and guiding decisions for corrections that lead to the successful completion of projects. The contribution of this study the significance of this work is in importing sensitivity testing as a rare case study within the frameworks of infrastructure projects in Libya.