Construction industries are facing challenges day by day .the industry contributes to the growth of our company to a large extent.one of the main problem that the industry faces is project delay. this can be caused due to various reasons like a deviation from the initial plan, scarcity of resources, poor planning, poor execution, etc. This causes the project to go over the expected budget and fails to complete within the scheduled time. The construction itself becomes costlier Amidst all these challenges it is very crucial to improve the performance of a project with respect to Schedule and Cost. Earned Value Analysis is an important tool in analyzing the performance of any construction project. It measures the project progress and helps in identifying the critical activities thereby bringing the project on schedule. The Earned Value Analysis (EVA) is a very effective tool in measuring the progress of contractors in external projects. Computation of earned value can be part of audit activity, or it can be integrated into the progress monitoring system.