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{"id":1065,"date":"2011-10-22T16:39:07","date_gmt":"2011-10-22T21:39:07","guid":{"rendered":"http:\/\/projectprofessionals.org\/?p=1065"},"modified":"2011-10-22T16:39:07","modified_gmt":"2011-10-22T21:39:07","slug":"laborlabour-productivity-%e2%80%93-overtime-impacts-part-11","status":"publish","type":"post","link":"http:\/\/projectprofessionals.org\/2011\/10\/22\/laborlabour-productivity-%e2%80%93-overtime-impacts-part-11\/","title":{"rendered":"Labor\/Labour Productivity \u2013 Overtime Impacts (Part 11)"},"content":{"rendered":"

PLANNING CONSIDERATIONS<\/strong><\/p>\n

This is the eleventh posting regarding labor\/labour productivity<\/strong> and disruption.\u00a0 This contribution provides managerial considerations or issues regarding the impact of overtime on labor productivity<\/strong>.\u00a0 The Subject Series<\/a><\/strong> can be viewed here.<\/p>\n

Two key points:<\/p>\n

    \n
  1. \u201cThe project plan is needed as a baseline to calculate the expected cost and time performance (cost estimate or price and the project schedule)\u201d<\/li>\n
  2. \u201cTime and cost forecasts must be evaluated and adjusted if the project plan execution changes and overtime is introduced, increased or reduced.\u201d<\/li>\n<\/ol>\n

    Project planning<\/strong> is one of the major challenges for program and project management teams.\u00a0 Past posts have discussed many aspects of project planning.\u00a0 The series<\/a> regarding Project Management Challenges<\/strong> is here.\u00a0 Part 5 of this series is particularly relevant or germane to the discussion regarding the impact of overtime on labor productivity<\/strong> in this post.<\/p>\n

    The impact of overtime on labor productivity<\/strong> is a relevant and serious consideration in many aspects of program and project management.\u00a0 Understanding the impact on labor\/labour productivity and cost due to overtime is an essential skill related to both planning and forensic analyses.\u00a0 Remember, the impact on productivity applies to all hours worked, not just the hours associated with premium time costs.\u00a0 Hence, often the productivity impact<\/strong> is more costly than the premium time compensation component of the payroll costs.<\/p>\n

    Perhaps more importantly the impact on the schedule duration must consider the planned and forecasted progress using the proper productivity.\u00a0 As overtime is introduced, progress may well be impacted.\u00a0 The time impact of more work hours per week is mitigated or offset by the lowered productivity.<\/p>\n

    The impact of overtime on labor\/labour productivity<\/strong> is not limited to construction field labor.\u00a0 It presents in engineering, construction management, programming, consulting and other professional man-hours.<\/p>\n

    The following key references are provided and most are linked in the Reference Center<\/a>.<\/p>\n