Delay

CONSTRUCTION CLAIMS and DISPUTES – (Part 8)

January 27, 2014 By George T McLaughlin PMP CCM

Scope of Work – Impacts

This McLaughlin and McLaughlin (M&M) Project Professionals post is the eighth in a Subject Series Construction Claims and Disputes.

Recent posts (Parts 6, 7) address scope of work within the overall subject of Construction Claims and Disputes. Claims and disputes regarding scope of work are a widespread problem and represent the most common issue. Perhaps 75 to 90% of all engineering and construction claims and disputes involve contract scope of work. However, this is not confined to engineering and construction.

Direct compensation for a scope of work change may merely be the proverbial “tip of the iceberg.” What about the rest of the story? Is the contractor missing many other costs or schedule impacts? Often, this is the case. This issue may be broader that an added piece of equipment, redesign to avoid a conflict or similar events.

Scope of work disputes are building blocks to other claim elements in the dispute.

Delay – Changes can add work to the project critical path. If so, this would cause the forecasted project completion date to be extended (potentially later than planned).
Progress – Changed work adds to the overall project work content, thereby changing the progress measurement and reporting (Earned Value).
Disruption / Productivity – Changed work impacts field labor productivity, a major risk to contractors.
Overheads / Indirects – Changed work may add requirements for additional construction support, supervision, insurance and other indirects.
Terms and Conditions – The cost of bonding, insurance, warranties, guarantees, and many others can be impacted by changed work.
Profit / Fee – proper compensation in this area can be challenging.

The majority of the discussion will address entitlement to recovery (rather than pricing or quantum). For pricing (or quantum), please see McLaughlin & McLaughlin’s Project Professionals Construction Claims and Disputes Part 4 and Part 5. [Read more…]

Filed Under: Claims, Featured, General, Productivity, Project Planning, Projects Tagged With: Change Orders, Construction claims and disputes, construction claims damages, Construction Claims Management, Construction Claims Management Plan, construction claims pricing, Construction Claims Quantum, Delay, Disruption, Disruption/Productivity Impacts, Field work orders, George T. McLaughlin PMP, McLaughlin & McLaughlin, Plans and Specifications, Scope of Work Claims, Time Impacts, www.mclaughlinandmclaughlin.com

MANAGING RISK OF DELAY – Managing Contractor Schedules (Part 13)

September 28, 2013 By George T McLaughlin PMP CCM

This McLaughlin & McLaughlin post is the thirteenth (13^th) in a series of discussions regarding various aspects of time management as it relates to the risk of delay. This post addresses managerial considerations for dealing with schedules prepared by contractors and submitted to owners or their agents (construction managers, managing contractors, advisors, etc.).

Recently, Mr. Chris Carson authored an excellent article titled “Dealing with Contractors Schedules That Cannot be Approved.” This fine article was published in COST Engineering(September/October 2013).

This article contains excellent advice for project teams regarding schedule management.

Mr. Carson’s article is, in reality two articles in one. While Mr. Carson’s article presents a methodology for problematic situations (which he calls DSAB), the preamble and initial discussion for this article is highly useful and applicable to project management teams as they address the frontend of project planning and execution. This post summarizes the sage advice provided by Mr. Carson regarding frontend project management challenges as they relate to scheduling and time management. [Read more…]

Filed Under: Claims, Featured, Projects, Uncategorized Tagged With: AACE International, Best Practice, Best Practices, Construction Contract Claim, Construction Contract Planning, Construction Contract Planning and Scheduling, Contractor Schedules, Delay, Earned Value Management, George T. McLaughlin PMP, Managing risk of delay, Productivity Management, Progress Reporting, Project Execution Plan, Project Execution Planning, Risk of Delay, Schedule Update, Time Management, Time Management Strategy, www.mclaughlinandmclaughlin.com

CONSTRUCTION CLAIMS and DISPUTES – (Part 3)

March 4, 2013 By George T McLaughlin PMP CCM

Current Project Professionals Posts

McLaughlin & McLaughlin’s Project Professionals post is the third in a Subject Series. Construction Claims and Disputes which are (will be) discussions regarding managerial challenges in potential and actual construction claims situations. In this series, we focus on the managerial aspects of construction claims and disputes management. This summary discussion addresses the many posts that have been presented in the past and are at the Subject Series tab of Project Professionals.

In the engineering and construction industry, claims and disputes take many forms and focus on many topics. For simplicity of discussion, we will use the follow the following categories:

Scope of Work, Changed Work or Variations
Delay and Acceleration, Time-Related
Disruption / Productivity (usually labor/labour)
Terms and Conditions (and other subjects).

McLaughlin & McLaughlin’s Project Professionals has posted (or published) greater than 60 posts regarding one or more aspects of Construction Claims and Disputes.

The balance of this post identifies the Subject Series and posts that are at Project Professionals and are relevant to construction claims and disputes. [Read more…]

Filed Under: Claims, Featured, General, Projects Tagged With: Best Practice, Best Practices, Construction claims and disputes, Construction Claims Management, Construction Claims Management Plan, Construction Contract Claims, Construction Project Management, Delay, Disruption/productivity, EPC Project Management, Free Issue Equipment, Free Issue Materials, George T. McLaughlin PMP, McLaughlin & McLaughlin, Project Execution Plan, Project Execution Planning, Project Management, Project Planning, www.mclaughlinandmclaughlin.com

CONSTRUCTION CLAIMS and DISPUTES – (Part 2)

February 6, 2013 By George T McLaughlin PMP CCM

Construction Claims Management Planning

This post is the second in a Subject Series Construction Claims and Disputes which are (will be) discussions regarding managerial challenges in potential and actual construction claims situations. In this series, we focus on the managerial aspects of construction claims and disputes management. This post addresses the planning, a key managerial requirement in all project work. First plan it, and then do (execute) the work. The notion is consistent with the old adage “An ounce of prevention [in this case management] is worth a pound of cure.” In that regard, litigation on a large and complex project can cost millions USD in expenses to pursue and may have tens of millions USD at issue.

Yes, construction claims and disputes can and should be managed. This is particularly true of large and complex projects.

Prospective Construction Claims Management refers to the managerial approach and planning for managing the risks (and options, opportunities, etc.) during project execution through project close-out related to claims.

Retrospective Construction Claims Management (development, presentation and defending) will be addressed in another post.

Claims Avoidance – There is a myth that construction claims can be avoided. Experience shows that this is just a myth, since it relies on controlling the activities of others. These others may be in an adversarial posture or position. Hence, control cannot be readily achieved. [Read more…]

Filed Under: Claims, Featured, Productivity, Projects Tagged With: Best Practice, Best Practices, Construction claims and disputes, Construction Claims Management, Construction Claims Management Plan, Construction Contract Claims, Construction Project Management, Delay, Disruption, EPC Project Management, Free Issue Equipment, Free Issue Materials, Free Issue Scaffolding, George T. McLaughlin PMP, GSA Construction Claims, McLaughlin & McLaughlin, Project Execution Planning, Project Management, Project Planning, Temporary Power, www.mclaughlinandmclaughlin.com

WAYS OF WORKING – Subject Series Summary

November 20, 2011 By George T McLaughlin PMP CCM

This is McLaughlin and McLaughlin’s Project Professional’s first Subject Series Summary regarding Ways of Working. Ways of Working aggregates a collection of topics that may be helpful to program and project managers. This summary update provides an overview of prior posts and provides a baseline for future posts that will follow on a timely basis.

The topics include:

This summary is very brief and simply serves as an index for readers to follow. Of course, detailed descriptions are contained in the individual posts. The Subject Series page may also be helpful. It contains links to several popular series that consist of multiple posts that build upon earlier discussions.

Ideally this Subject Series provides a starting point to investigate best practice on many topics of interest or features of project management. If you have a suggested topic, please feel free to contact us and let us know. [Read more…]

Filed Under: Claims, Featured, General, Projects Tagged With: Best Practice, Construction Contract Claims, Construction Contract Planning and Scheduling, Delay, E-Mails, Earned Value Management, Forecasting, Free Issue Material, George T. McLaughlin PMP, McLaughlin & McLaughlin, Notice of Recognition, Owner Furnished Equipment, Owner Supplied Equipment, Productivity Management, Progress, Progress Assessment, Project Communications, Project Documentation, Project Execution Plan, Project Execution Planning, Recognition, Schedule Specification, Schedule validations and audits, Time Management, Time Management Strategy, webcams, www.mclaughlinandmclaughlin.com

MANAGING RISK OF DELAY – Subject Series Summary Update

November 10, 2011 By George T McLaughlin PMP CCM

This summary update provides readers with an overview of prior posts and provides a baseline for future posts that will follow on a timely basis. The last summary was posted on June 12, 2011

This summary is very brief and simply serves as an index for readers to follow. More robust summaries are provided in the June summary. Of course, detailed descriptions are contained in the individual posts.

Ideally this summary provides a starting point to investigate best practice on many delay-related features of project management.

The Context and Challenge (Part 1) – Talk/Speech by Mr. Keith Pickavance

Time-Management Strategy (Part 2) – Strategy according to CIOB Guide

As-Planned Schedule / Accepted Programme (Part 3) – Establishing the Time Management Baseline

Schedule Preparation and Maintenance (Part 4) – Managing the Time Baseline

Earned Value Management (Part 5) – Importance and Management of the Time Baseline Tool

Critical Path and Earned Value Management (Part 6) – Managing with Critical Path, Earned Value Management and Productivity Tools

Earned Value and Schedule Performance Indicators (Part 7) – Time Management Tools

Schedule Specification Sources and Implementation (Part 8) – Managerial Tools with sources

Recognition and Notice (Part 9) – Managerial Alerting and Action Tools

Going forward, we will post other features of MANAGING THE RISK OF DELAY. [Read more…]

Filed Under: Claims, Featured, General, Productivity, Projects Tagged With: Best Practice, Construction Contract Claims, Construction Contract Planning and Scheduling, Delay, Earned Value Management, George T. McLaughlin PMP, Managing risk of delay, McLaughlin & McLaughlin, Productivity Management, Project, Project Execution Planning, Risk of Delay, Schedule Specification, Time Management, Time Management Strategy, www.mclaughlinandmclaughlin.com

MANAGING RISK OF DELAY – Progress Assessment (Part 11)

September 24, 2011 By George T McLaughlin PMP CCM

This post is the eleventh in a series of discussions regarding various aspects of time management as it relates to the risk of delay. This post addresses planning for and implementing progress assessment.

Planning for and implementing progress assessment is, perhaps, one of the most important aspects of Time Management and, consequently, Managing Risk of Delay. Timely (early) detection of trends (positive and negative) allows timely managerial action. Timeliness of action is a heavy influence over the effectiveness of Time Management. In project work, it is imperative that one finds problems quickly and fixes these problems rapidly. In order to implement timely action, professional progress assessment is required.

The challenge associated with managing time is intensified in the case of larger and more complex projects as well as fast-track and high technology projects. [Read more…]

Filed Under: Claims, Featured, General, Projects Tagged With: Best Practices, Construction Claims, Construction Contract Planning and Scheduling, Delay, Earned Value Management, George T. McLaughlin PMP, Managing risk of delay, McLaughlin & McLaughlin, Productivity Management, Progress Reporting, Project Execution Plan, Project Execution Planning, Risk of Delay, Schedule Update, Time Management, Time Management Strategy

MANAGING RISK OF DELAY – Schedule Updates and Progress Considerations (Part 10)

September 19, 2011 By George T McLaughlin PMP CCM

This post is the tenth in a series of discussions regarding various aspects of time management as it relates to the risk of delay. This post addresses planning for and implementing progress measurement and schedule updates.

The challenge associated with managing time is intensified in the case of larger and more complex projects as well as fast-track and high technology projects.

In order to professionally manage time (and, therefore, risk of delay) the manager must have a time baseline [typically a Critical Path Method schedule and a Performance Measurement Baseline – please see earlier posts on these topics] and a method to recognize variations from the baseline. In order to detect variances, the managerial team must have an effective process to measure progress data and update the schedule (or time model). [Read more…]

Filed Under: Claims, Featured, General, Projects Tagged With: Best Practice, Chartered Institute of Building (CIOB), Construction Contract Claims, Construction Contract Planning and Scheduling, Delay, Earned Value Management, Frederic L. Plotnick, George T. McLaughlin PMP, James O'Brian, Managing risk of delay, McLaughlin & McLaughlin, PMI, Productivity Management, Progress Reporting, Project Execution Plan, Project Execution Planning, Risk of Delay, Schedule Update, Time Management, Time Management Strategy

MANAGING RISK OF DELAY – Subject Series Summary Update

September 15, 2011 By George T McLaughlin PMP CCM

This summary update provides readers with an overview of prior posts and provides a baseline for future posts that will follow on a timely basis. The last summary was posted on June 12, 2011.

Ideally this summary provides a starting point to investigate best practice on many delay-related features of project management.

The Context and Challenge (Part 1) – Talk/Speech by Mr. Keith Pickavance

Time-Management Strategy (Part 2) – Strategy according to CIOB Guide

As-Planned Schedule / Accepted Programme (Part 3) – Establishing the Time Management Baseline

Schedule Preparation and Maintenance (Part 4) – Managing the Time Baseline

Earned Value Management (Part 5) – Importance and Management of the Time Baseline Tool

Critical Path and Earned Value Management (Part 6) – Managing with Critical Path, Earned Value Management and Productivity Tools

Earned Value and Schedule Performance Indicators (Part 7) – Time Management Tools

Schedule Specification Sources and Implementation (Part 8) – Managerial Tools with sources

Recognition and Notice (Part 9) – Managerial Alerting and Action Tools

Going forward, we will post other features of MANAGING THE RISK OF DELAY. [Read more…]

Filed Under: Featured, General, Projects, Uncategorized Tagged With: Best Practices, Construction Contract Claims, Construction Contract Delay, Construction Contract Planning and Scheduling, Delay, Earned Value Management, George T. McLaughlin PMP, Managing the Risk of Delay, McLaughlin & McLaughlin, Productivity Management, Project Execution Plan, Project Execution Planning, Risk of Delay, Schedule Specifications, Time Management, Time Management Strategy

TIME MANAGEMENT – Schedule Specification Implementation (Part 6)

August 24, 2011 By George T McLaughlin PMP CCM

This Subject Series addresses the sources and implementation of a contract schedule specification. The Subject Series structure is presented in multiple parts and the series is a logical extension of the series titled MANAGING RISK OF DELAY. The intention is to capture sources of best practice in Time Management as it relates to implementing a professional schedule specification.

The overview of this series is:

Managing Risk of Delay – Schedule Preparation and Maintenance (Part 4)
Managing Risk of Delay – Schedule Specification Sources and Implementation (Part 8)
Schedule Specification Implementation Overview (Part 2)
Schedule Specification Implementation Specific Issues (Part 3)
Schedule Specification Implementation Weather Delays and Approved Schedule (Part 4)
Schedule Specification Implementation Claims Avoidance and Schedule Updates (Part 5)
Schedule Specification Implementation Recovery Plans and Conclusion (Part 6).

The balance of this post is from the paper. In general, this informative work compares two approaches to schedule specification implementation.

This extract from the paper covers:

RECOVERY PLANS
CONCLUSIONS [Read more…]

Filed Under: Claims, Featured, General, Projects Tagged With: Approved Schedule, Best Practices, Construction Contract Planning and Scheduling, construction time management, Corps of Engineers, CPM scheduling, Delay, George T. McLaughlin PMP, Managing risk of delay, McLaughlin & McLaughlin, Risk of Delay, Schedule Approval, Schedule Specification, Time Management, Time Management Strategy, US Army Corps of Engineers (USACE), Weather Delays

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