GM593 Unit 4 Variance Analysis Memo Example

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This GM593 Unit 4 variance analysis memo traces a university lab relocation's $171,000 schedule variance to 212 hours of mover time logged as awaiting EHS. Purdue Global GM 593, Project Execution With Monitoring and Control, asks MS in Management students to find the causes behind earned value variances. Three candidate causes are tested for the item stream. Crews produce 1.9 equivalent units per active hour against 1.8 planned, and items moved so far average about 1.0 unit against 1.4 for the whole inventory, so slow packing and difficult items are set aside. Environmental Health and Safety sign-off capacity fell from about 1,050 units a week to 670, and the queue grew from 1,280 to 2,050. The fit-out's $101,000 overrun splits into fan rework and overtime.

CourseGM593 Project Execution With Monitoring and Control
UnitUnit 4
Paper typeVariance analysis memo
LengthAbout 820 words, 5 pages double-spaced
FormatAPA 7 student paper
SchoolPurdue University Global
ProgramMS in Management
UpdatedOctober 2026

Free sample paper for GM593 Unit 4

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Two Hundred Twelve Hours Awaiting EHS: A Unit 4 Variance Analysis Memo on a Lab Relocation

[Student Name]

Purdue University Global

GM593: Project Execution With Monitoring and Control

Unit 4 Variance Analysis Memo

[Instructor Name]

[Date]

The university, its relocation project, its staff and every figure are composite and illustrative; the methods cited are real.

What this part is doingStarting from a timesheet code shows the memo will find the cause in records, not in opinion.
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Memo

To: Chair, Department of Biology, and the Relocation Steering Group From: Research Facilities Coordinator Date: End of month five Subject: Causes of the schedule and cost variances

Findings

The item stream's schedule variance of minus $171,000 is caused mainly by reduced capacity at Environmental Health and Safety to sign hazardous materials manifests, not by slow packing or by a harder mix of items. The fit-out's cost variance of minus $101,000 comes from two sources: rework on the exhaust fans serving the fume hoods, about $62,000, and overtime for the casework installers, about $39,000.

Exhibit A: Three Candidate Causes for the Item Stream

Slow packing crews. If crews were slow, output per active hour would be below plan. The movers' timesheets and the scan log show 1.9 equivalent units per active crew hour against 1.8 planned. Crews are slightly faster than planned when they are working. Set aside.

A difficult mix of items. If the items packed so far were harder than average, each would take longer and the stream would fall behind even at planned speed. The items scanned to date average about 1.0 equivalent unit each, against 1.4 for the whole inventory, because labs moved first are those with mostly instruments and few freezers or hazardous chemicals. The mix so far has been easier, not harder. Set aside.

Reduced EHS sign-off capacity. If sign-off capacity fell, packed items would pile up waiting for manifests, and crews would log waiting time. All three signals are present. EHS lost a third of its signing staff when one officer was reassigned since month two to help prepare the medical center for an accreditation survey. Weekly sign-off capacity has fallen from about 1,050 equivalent units to about 670. Items packed but awaiting a manifest signature grew from 1,280 at the end of month three to 2,050 at the end of month five. And movers logged 212 hours in month five under the code for awaiting EHS. Supported.

The crews are faster than planned when they work, the items have been easier than average, and the queue at EHS has grown every week, so the delay starts at the signature, not at the packing table.

What this part is doingThe highlighted sentence summarizes how the three tests point to one cause.
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Eliyahu Goldratt's theory of constraints argues that one step, the bottleneck, sets the pace for everything that flows through a system, so speeding up other steps cannot raise total output (Goldratt & Cox, 2004). Every item must pass EHS sign-off before it can be scanned, transported and received, so a drop in sign-off capacity limits the whole stream. The low SPI of 0.613 in the inventory and hazard documentation account, upstream of the others, fits that pattern. The Project Management Institute's earned value standard recommends analyzing variances at the control account level for exactly this reason, since a cause visible in one account can be lost in the project total (Project Management Institute, 2019).

Exhibit B: The Fit-Out Overrun

Exhaust fan rework, about $62,000. Two exhaust fans serving the third-floor fume hoods were installed with motors sized for the original design. When the design changed to add four hoods, the motors were not changed. The fans failed their first airflow test and were refitted. The cost falls under the construction contract's change provisions and is being reviewed for recovery from the design firm.

Casework installer overtime, about $39,000. The installers worked weekends to finish casework a week early, because the construction manager wanted to hand over floors sooner. The early finish is real, which is why the fit-out's SPI is 1.172, but it bought nothing for the move, because the item stream could not use the floors any sooner.

In Fleming and Koppelman's account, a useful variance analysis identifies a cause precise enough to act on, and that a variance explained only as performance was lower than planned tells the project nothing (Fleming & Koppelman, 2010).

A Warning About the Mix

The easier mix so far means the item stream's position is worse than its SPI suggests. The labs still to move hold most of the ultra-low freezers and hazardous chemicals, which carry more equivalent units and need longer EHS review per item. If sign-off capacity stays at about 670 units a week, the queue will grow faster in the coming months than it has so far.

Implications

Adding packing crews would not help, because crews are already waiting. The corrective action plan should act on EHS sign-off capacity. On the fit-out, the overtime should stop, since early floors add cost without moving the deadline, and the steering group should pursue recovery of the fan rework cost.

What this part is doingEnding with implications for the corrective action plan shows how the analysis leads to the next decision.
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References

Fleming, Q. W., & Koppelman, J. M. (2010). Earned value project management (4th ed.). Project Management Institute.

Goldratt, E. M., & Cox, J. (2004). The goal: A process of ongoing improvement (3rd rev. ed.). North River Press.

Project Management Institute. (2019). The standard for earned value management.

What the GM593 Unit 4 assignment asks for

GM593 Unit 4 asks you to write a memo explaining the causes of a project's variances. State the findings and their size in dollars in the opening paragraph. For the largest variance, test several candidate causes against evidence, such as timesheets, scan logs or queue counts, and say why each is supported or set aside. Where one step limits the whole flow, constraint theory explains why, and the memo can say so. Analyze any second variance separately, splitting it into its sources. Treat favorable variances seriously too, since they can hide costs or deferred work. Warn about anything that will make the variance worse. Close with implications for corrective action without writing the full plan. Three memo pages with two exhibits is a common length, citing earned value sources and research in APA 7.

How this GM593 Unit 4 example is built

The memo from the facilities coordinator to the chair and steering group states both findings first. Exhibit A tests slow crews against timesheets and the scan log, a difficult mix against equivalent units per item, and EHS capacity against an officer's reassignment, falling weekly sign-offs, a growing queue and 212 waiting hours, and the highlighted sentence summarizes the tests. Goldratt and Cox explain why one step limits the flow, and the PMI standard supports analysis by account. Exhibit B splits the fit-out overrun into about $62,000 of exhaust fan rework, caused by motors not resized when four hoods were added, and about $39,000 of casework overtime that bought early floors the move could not use. A warning notes the remaining labs hold most freezers and chemicals. Implications cite Fleming and Koppelman and point to EHS capacity, not more crews.

GM593 Unit 4 rubric: what earns full points

GM593 rubric points for this memo go to causes tested against evidence and stated precisely enough to act on. Instructors look for findings and amounts in the opening. Testing several candidate causes, with evidence for and against each, earns more than naming one cause and defending it. Explaining with constraint theory why one step can hold back the entire stream shows understanding. Splitting a second variance into its sources, and examining a favorable variance for hidden cost, shows thoroughness. A warning about how the variance could grow helps the sponsor plan. Implications should point to the next decision without writing the whole plan. References in APA 7 cover Goldratt and Cox on constraints, Fleming and Koppelman on variance analysis and PMI on control accounts.

GM593 Unit 4 help: mistakes that cost points

Many GM593 Unit 4 memos restate the variance in words, such as work is behind plan, without identifying a cause. Others choose the most familiar explanation, such as slow crews, without checking it. A frequent gap is the favorable variance: an account running early may be buying time the project cannot use, at a cost. Some memos jump to a full remedy before the cause is established. State findings and amounts first, test each candidate cause against records, explain the constraint, split other variances into sources, examine favorable figures, warn about what lies ahead and state what the findings imply.

Get a GM593 Unit 4 example written to your instructions

Variance memos depend on the evidence a case offers, so include whatever sits behind your numbers: timesheets, logs, meeting notes, a narrative from the prompt. Add the Unit 4 instructions, the rubric and the variance figures themselves. Candidate causes get tested against that evidence rather than assumed. First custom sample free, with delivery inside 24-48h. The paper above is an original model document written by our desk, not a submitted student paper and not an official Purdue University Global document.

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GM593 Unit 4 questions, answered

What if my case lacks the evidence to confirm a cause?

Then the memo says so and ranks the candidates by how well the available evidence fits, naming the check that would settle it: a timesheet review, a log extract, a conversation with the vendor. A probable cause stated with its confidence is more useful to a sponsor, and usually graded higher, than a certain one with nothing underneath it.

Should the memo recommend the fix?

It should state what each finding implies, such as restoring capacity at a named step, and stop short of a full plan unless the prompt asks for one. Many sections assign the corrective action separately. A memo that jumps to a remedy before the cause is established tends to lose credit on the analysis and the recommendation alike.

How should the memo treat a favorable variance?

Just as seriously as an unfavorable one. In the sample, the fit-out's favorable schedule variance turns out to have been bought with overtime on work that had float, which makes it part of the cost problem. A favorable figure can also mean work was deferred or measured generously, so its cause deserves a line of its own.

Where can I find a free GM593 Unit 4 sample paper?

This page carries a full GM593 Unit 4 variance analysis memo for a university lab relocation, testing three causes of a schedule variance and splitting a fit-out overrun, with APA 7 references.

Why were slow packing crews ruled out?

Timesheets and the scan log show crews producing 1.9 equivalent units per active hour against 1.8 planned. They are slightly faster than planned when working; the problem is the time they spend waiting for signed manifests.