How to Get a Job For Project Managers

Learn how to write resume and interview

Leadership for Project Managers

Learn how to lead and drive project success.

Project Management with AI

From a beginner to project management professional.

Agile Project Management and SCRUM with AI

Learn to run Scrum and Agile with AI.

Variance Analysis

A method used to identify why results differ from the baseline and to measure how large those differences are.

Key Points

  • Compares actual results to baseline plans for cost, schedule, and other performance areas.
  • Quantifies the size of the deviation and investigates root causes.
  • Supports corrective and preventive actions and informs forecasts (for example, EAC in EVM).
  • Performed during monitoring and controlling, often alongside trend and earned value analysis.

Example

At the end of month 3, the project planned value is USD 300,000, earned value is USD 250,000, and actual cost is USD 280,000. Variance analysis shows SV = -50,000 and CV = -30,000. The team traces the cause to a vendor delay and overtime costs, then updates the schedule and cost forecasts and implements corrective actions.

PMP Example Question

During Control Costs, the project manager sees that actual costs are higher than planned. Which technique should be used to determine why the deviation occurred and how large it is compared to the baseline?

  1. Trend analysis
  2. Variance analysis
  3. What-if scenario analysis
  4. Reserve analysis

Correct Answer: B — analyzing differences from the plan and their causes

Explanation: Variance analysis compares actuals to the baseline to quantify the gap and identify root causes, enabling targeted corrective action.

Advanced Lean Six Sigma — Data-Driven Excellence

Solve complex problems, reduce variation, and improve performance with confidence. This course is designed for professionals who already know the basics and want to apply advanced Lean Six Sigma tools to real business challenges.

This is not abstract statistics or theory-heavy training. You’ll use Excel to perform real analysis, interpret results correctly, and apply tools like DMAIC, SIPOC, MSA, hypothesis testing, and regression without memorizing formulas or relying on expensive software.

You’ll learn how to measure baseline performance, analyze process capability, use control charts to maintain stability, and validate improvements using statistical evidence. Templates, worked examples, and structured walkthroughs help you apply each concept immediately.

Learn through a complete, real-world Lean Six Sigma project and develop the skills to lead data-driven improvements with credibility. If you’re ready to move beyond basics and make decisions backed by data, enroll now and take your Lean Six Sigma expertise to the next level.



Become an AI-First Agile Leader!

HK School of Management empowers you to master AI as your most powerful co-pilot—without the complexity. Transform your agile leadership with practical, prompt-based workflows and proven strategies designed for real-world scrum challenges. For the price of lunch, you get the tools to automate mundane tasks, refine backlogs with precision, and drive unprecedented efficiency in your team. Backed by our 30-day money-back guarantee—zero risk, real impact.

Learn More