Assessment of Earned Value Management Practices for Forecasting Project Performance: A Case Study of Sellyfak Energy Services Limited, Port Harcourt, Rivers State, Nigeria

The study examined the application of Earned Value Management (EVM) for project performance analysis and forecasting in Sellyfak Energy Services Limited. The study was motivated by recurring project management challenges such as cost overruns, schedule delays, weak forecasting systems, and ineffective project monitoring practices within engineering and energy service organizations. The objectives were to assess the level of awareness and application of EVM, evaluate project cost and schedule performance using EVM indicators, examine the usefulness of EVM in forecasting project outcomes and supporting managerial decision-making, and identify the challenges affecting its adoption within the organization. The study adopted a descriptive survey research design. Primary data were collected through structured questionnaires administered to project personnel involved in planning, scheduling, monitoring, cost control, procurement, and project reporting activities. Using purposive sampling, seven (7) respondents with relevant project management experience were selected for the study. Data were analyzed using descriptive statistics, including frequencies, percentages, mean scores, and tables, while hypotheses were tested using a benchmark mean score of 3.00. The reliability of the research instrument was established using Cronbach’s Alpha, which yielded an overall reliability coefficient of 0.83, indicating a high level of internal consistency. The findings revealed a moderate level of awareness and understanding of Earned Value Management among staff, although formal training opportunities were found to be inadequate. The study further established that EVM is moderately applied in project monitoring and control and significantly improves project cost and schedule performance through the early identification of deviations from project plans. In addition, EVM was found to enhance forecasting accuracy, resource allocation, and managerial decision-making. However, challenges such as inadequate staff training, weak information systems, limited project performance data, and insufficient organizational support were identified as major barriers to effective EVM implementation. The hypotheses tested confirmed significant relationships between EVM application and project cost performance, schedule performance, forecasting effectiveness, and project management practices. The study concluded that Earned Value Management is an effective project performance measurement and forecasting tool capable of improving project control, forecasting accuracy, and decision-making in engineering and energy service organizations. It therefore recommended that Sellyfak Energy Services Limited should institutionalize EVM as a standard project control framework, provide regular staff training, strengthen project documentation and information systems, adopt modern project management software, and enhance management support to maximize the benefits of EVM and improve overall project performance.