The customer of a three-year program does not want to receive any intermediate details on the program. The program appears to be in trouble and the customer is concerned about a new system's cost. The program manager has provided monthly performance reports throughout the program's life cycle.
Which of the following would the customer be interested in reviewing?
The customer is concerned about the new system's overall cost and does not want intermediate details. Therefore, the most relevant information for them would be the Estimate at Completion (EAC). EAC provides a projected total cost of the program at its completion, which takes into account the actual costs incurred to date and the estimated costs required to complete the remaining work. This detailed forecast addresses the customer's primary concern about the total expenditure by the end of the program.
EAC=AC+ETC, AC means detail, so choose ETC
A is the reight answer.
B the right answer
I choose B, Due to the customer of a three-year program does not want to receive any intermediate details on the program so B is the best answer.
I would go with A though B covers A. It is understood program is underway and customers raised concern about cost at this stage about costs and having ETC will help them make informed decision about the program's future.
In a scenario where the customer of a three-year program is concerned about the new system's cost but does not want intermediate details, and the program appears to be in trouble, the information the customer would most likely be interested in reviewing is: B. Estimate at Completion (EAC). The Estimate at Completion provides the projected total cost of the program at its completion. It takes into account the actual costs incurred to date and an updated estimate of the costs required to complete the remaining work. This figure is especially relevant in this context as it directly addresses the customer's concern about the overall cost of the system, providing them with a comprehensive view of the expected total expenditure by the end of the program. This information is crucial for a customer focused on the end cost and not on the granular details of the program's progress.
B. Estimate at Completion Given the customer's concern about the new system's cost and their lack of interest in intermediate details, the Estimate at Completion (EAC) would be the most relevant metric for them to review. EAC provides an estimated total cost of the program at its completion, based on performance to date. This metric will give the customer a clear picture of what the final cost is expected to be, which is particularly important in light of their concerns about the program's financial health. EAC is a forward-looking projection, helping the customer understand potential cost overruns or savings by the end of the program.