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2025-11-21T10:11:00-0500 2025-11-21 10:11:??
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topic/estimating
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2025-11-21

2025-11-21 10:11:??

"Hours Burned vs. Hours Earned"

%% A criticism of earned-value-management in construction. %%

[!quote] ELECTRI's Industry Benchmarking Tool - ELECTRI International

Hours Burned vs. Hours Earned

Definition: Comparison between portion of project estimated hours complete compared with the actual hours spent on the task. This is the labor performance factor (needs to reference the labor factor used at bid time for a full comparison).

This is a terribly problematic metric.

If a project went over its material budget despite standard rigorous oversight where would you first look, operations or estimating? In almost all cases the safer bet is estimating. Why should labor be different?

Wherever there is budget variance there is a persistent tendency to blame construction before estimating.

purpose-of-construction-estimating#The Myth of Estimate Accuracy