As we begin to dig deeper into the troubled project and work breakdown structure has been established, we begin to interview the stakeholders of the project. One of the general questions one asks, is what do you believe are the issues, what went wrong? Human nature as it is, these stakeholders tend to be cautions and careful with their contributions. Rarely do I hear one volunteer or is his or her organization the source for the incongruities. A cautious approach continues as the interview process progresses further. [Read more…]
MANAGING RISK OF DELAY – Subject Series Summary
- General – Mr. Pickavance (Part 1)
- Time Management Strategy (Part 2)
- As-Planned Schedule / Accepted Programme (Part 3)
- Schedule Preparation and Maintenance (Part 4)
- Earned Value Management (Part 5)
- Critical Path and Earned Value Management (Part 6)
- Earned Value and Schedule Performance Indicators (Part 7 )
The Context and Challenge (Part 1)
This post addresses the general topic of time management and the relationship to managing the risk of delay.
Keith Pickavance is a prominent leader, speaker, expert and author in the construction industry. His authoritative reference book, Delay and Disruption in Construction Contracts, is noted in our Resource Center.
Mr. Pickavance is President of CIOB. Speaking in this capacity, he delivered an excellent talk entitled: ” Managing the risk of delayed completion in the 21st Century.”
The link to this streaming video is http://www.multichanneltv.com/ciob/cio004/ and is excellent. The discussion by Mr. Pickavance provides an excellent basis for development of this topic. [Read more…]
WORKER PRODUCTIVITY – Watch How the People Work
This is the eight posting regarding labor productivity and disruption. This contribution provides some practical suggestions for the manager in the field. The Subject Series can be viewed here.
Isn’t it always the obvious that gets us in trouble? It doesn’t seem to make much difference what area of life you talk about, the aspects that are obvious are most often those that we assume will take care of themselves and we skip over as we develop our plans. Considering the area of worker productivity, everyone knows how the work gets done. Right? Well, it is quite obvious. You just pick up the material and put it in place. After all, how can there be anything different about doing the work? Get the material to the job site, hire craft workers, provide drawings and the project will miraculously get built.
When thinking about various construction sites, even in the US, several differences in the manner in which the exact same work is accomplished in various locations are revealed. In order to properly plan and organize construction activities, the way people work in the specific location under consideration must be understood and incorporated. For example, is it better for productivity for each pipefitter welder to have an assigned stand-alone welding machine? Or possibly, the welder should use a welding machine located in an eight-pack of welders. That question could be strictly a planning matter, or it could be related to the site location and area practice. If one approach is better than the other for the project, area practice may need to be addressed and modified in some way for improved productivity to be realized. [Read more…]
SCHEDULE VALIDATIONS AND AUDITS – Timing, Methodology and Conclusions – (Part 3 )
WHEN SHOULD VALIDATION AND AUDITS BE DONE?
Validation occurs when the initial or revised baseline schedule is submitted prior to the start of any construction field-site work, with the possible exception of mobilization, site preparation, ordering of long-lead time equipment or materials, permits, excavation, and installation of in-ground site utilities.
Validation is an extensive process and can be time consuming both initially and after each re-submittal of the proposed baseline ‘planned’ construction schedule until a valid baseline schedule is accepted by all significant stakeholders: Owner, Contractor, Subcontractors, Suppliers, Financing entities, and Permitting agencies.
Before a complete Validation process is performed an Appraisal is done to determine if the requirements for Validation are in place. [Read more…]
MANAGING RISK OF DELAY – Earned Value and Schedule Performance Indicators (Part 7)
This post is the seventh in a series of discussions regarding various aspects of time management as it relates to the risk of delay. More specifically, we have titled the series MANAGING RISK OF DELAY [Subject Series], since we focus heavily on the managerial aspects of program / project management. This post addresses some managerial tools relative to the integrated nature of time management using critical path and earned value management.
The challenge associated with managing all (critical and non-critical path) work is common to virtually all projects. This challenge is true for most project management situations. It is intensified in the case of larger and more complex projects. Examples include Lump Sum Turn Key (LSTK), Engineer Procure Construct (EPC) and other similarly executed projects. In addition to the normal issues associated with bulk progress, actions or inactions by the owner can add considerable complexity to this challenge. Over the past seven years, M&M has program/project managed five projects exceeding $100 million (USD) in investment value (total installed cost). Thus, practical/practioner experience is engendered in this discussion/post. [Read more…]
Contract Notice and Recognition (Part 1)
Most major Engineer Procure Construct [EPC], Lump Sum Turnkey [LSTK] and Construction contracts contain requirements or provisions for Notice. Simplistically, notice is the act of informing another party to the contract that an important event has (has not) occurred. These events tend to be related to negative consequences.
In this discussion, I will use two key references:
- Delay and Disruption in Construction Contracts, Keith Pickavance (link)
- Construction Delay Claims, Bramble and Callahan (link)
Bramble introduces the subject as follows (focus is on delay): [Read more…]
Project Management and Technology LinkedIn Group: Contract Risk Management — Construction
Industry Discussion: Technology Advances and Project Management Quality
This recent Discussion was initiated by me, George McLaughlin. I posed the following question:
Have technological advancements in the last 20-50 years materially upgraded the quality of project management?
Over the past four or five decades, there have been many impressive technological advances related to the management of projects. Some advances started (I suppose) with PERT and followed by CPM, mini and micro computers, Primavera, MS Project, Icarus, AutoCAD and so many others. While these tools are highly sophisticated, have they served to upgrade the level of performance in professional project management? Some argue that the tools are more advanced than the abilities of the users. Others see great strides in performance… So, what is your perspective? [Read more…]
Project Documentation – Visual including Webcams LinkedIn Group: Contract Risk Management — Construction Industry
Discussion: Webcams on Projects
Embracing the dynamics of today’s technology, McLaughlin and McLaughlin (M&M) actively participates in select LinkedIn Groups. When one of these groups discusses or addresses a timely, relevant, or vital topic that we feel would be valuable, M&M will offer a blog-discussion with LinkedIn excerpts on that topic. This is not to diminish the LinkedIn group discussion but to further share and stimulate insightful thinking presented in a condensed format.
Although the LinkedIn Contract Risk Management Group is restricted to members, access seems to be easily achieved, and the value of the flow of information by knowledgeable contributors makes membership worthwhile. Commentary is always robust; thus, I recommend reading the complete string of comments within the Discussion at LinkedIn when possible. However, for brevity, I have selected excerpts that are “spot-on” when addressing this topic.
This recent Discussion was initiated by Chris Hawkins. Chris posed the following question: [Read more…]
Project Communications – Letters And E-Mails (Excerpt from Linkedin: Contract Risk Management Group — Construction Industry)
Embracing the dynamics of today’s technology, McLaughlin and McLaughlin (M&M) actively participates in select LinkedIn groups. When one of these groups discusses or addresses a timely, relevant, or vital topic that we feel would be valuable, M&M will offer a blog-discussion with LinkedIn excerpts on that topic. This is not to diminish the LinkedIn group discussion but to further share and stimulate insightful thinking presented in a condensed format.
This is consistent with the goal of this blog: To create a place for Project Professionals to share their knowledge in their area of expertise. Started by McLaughlin & McLaughlin in 2011, the Project Professionals blog intends to achieve a blend of pragmatic, practical and authoritative ideas and perspectives. Our focus is implementation of best practices to achieve desired business management objectives.
Productivity Calculations – Change Order / Variation Impact (Introduction – UK and related venues)
Often, productivity losses are associated with changed work or variations. Dealing with the calculation of proper compensation for this loss can be particularly challenging. Key industry resources or authorities may be helpful as a starting point. Beyond the industry resources, skilled analytical work may be needed. [Read more…]