: Performance measurement is crucial for emerging knowledge-based companies because they are strictly in risk of time and cost overruns. Despite of the fact that several qualitative and quantitative studies have been directed toward the project performance measurement, only a few have analysed the effects of the learning on performance under risk situations. In addition, the effect of organization’s learning curves on the performance during the project’s life cycle has not been analysed extensively. This study adopts an integrated performance measurement and prediction model based on a combination of earned value management approach and the learning curve theory under risk condition. The present research to be presented has two main parts: One that concerns the project performance measurement and a second that focuses on forecasting performance indicators in terms of time and cost of the project subject to the errors and risks. The contributions of the present study are threefold. First, this study extends to the traditional performance measurement models, which focuses only on forecasting time at completion, by extending the performance measurement domain to analyse both time and cost. Second, the learning curve models are explicitly used as a basis to assess the nonlinear effect of learning on the performance. Novel risk performance metrics are proposed and adopted for knowledge-based companies. Third, compared with ltr"
