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Labor/Labour Productivity – Cumulative Impact (Part 14)

February 25, 2012 By

This is McLaughlin and McLaughlin’s Project Professional’s fourteenth posting regarding labor/labour productivity and disruption.  This contribution provides an overview of process alternatives that are extremely helpful and valuable for all stakeholders concerned with labor productivity and management.

The Subject Series regarding Labor/Labour Productivity and Disruption can be viewed here.

It is widely recognized that changed work (sometimes called change orders – assuming that the contract is changed as a result) may have a negative impact on field labor productivity (lower productivity).  The impact of multiple changes may be recognized or sensed.  The challenges are both timely recognition and demonstration of cause and effect.  The publications listed below are some of the more useful and valuable references related to this cause and effect dynamic.

An article and related study published recently in Construction Lawyer has some valuable information and analytical process guidance that is very useful when considering potential impact to labor productivity resulting from changed work. [Read more…]

Filed Under: Claims, Featured, General, Productivity, Projects Tagged With: , , , , , , , , , , , , ,

Labor/Labour Productivity –MCAA Publication (Part 13)

February 12, 2012 By

Changed Work, Productivity and Overtime

This is McLaughlin and McLaughlin’s Project Professional’s thirteenth posting regarding labor/labour productivity and disruption.  This contribution provides an overview of a construction industry publication that is extremely helpful and valuable for all stakeholders concerned with labor productivity and management.

The Subject Series regarding Labor/Labour Productivity and Disruption can be viewed here.

This publication is Change Orders, Productivity, Overtime, Mechanical Contractors Association of America (MCAA).

[Read more…]

Filed Under: Claims, Featured, General, Productivity, Projects Tagged With: , , , , , , , , , , , , , , , , ,

Labor/Labour Productivity – Overtime Impacts (Part 12)

October 29, 2011 By

EVALUATING IMPACT

This is the twelfth posting regarding labor/labour productivity and disruption.  This contribution provides thoughts on the evaluation of impact of overtime on labor productivity.  The Subject Series can be viewed here.

Overtime or Extended Working Hours represent one of the widely recognized causes of loss in labor/labour efficiency or productivity.  A key issue for project planners and managers is the notion of how to evaluate this impact.  The evaluation challenge is present whether the analysis is prospective (contemporaneous) or retrospective.  Retrospective analyses can be used or required during project execution or part of forensic analyses.

Regarding the evaluation techniques, K Pickavance (please see below for citation) organizes the methods as follows:

  1. “Planned (undisrupted) versus actual (disrupted)”
  2. “Actual  (undisrupted) versus actual (disrupted) – the measured mile approach”
  3. “Historic (undisrupted – on other projects) versus actual (disrupted)”
  4. “Industry productivity norms (undisrupted) versus actual (disrupted)”
  5. “Time and motion study (undisrupted) versus actual (disrupted).”

As previously posted, project planning is one of the major challenges for program and project management teams.  Past posts have discussed many aspects of project planning.  The series regarding Project Management Challenges is here.  Part 5 of this series is particularly relevant or germane to the discussion regarding the impact of overtime on labor productivity in this post.

The impact of overtime on labor productivity is a relevant and serious consideration in many aspects of program and project management.  In the case of impact assessment, the anticipation of a particular analytical methodology is a planning consideration.  Said differently, the project planning should consider the data needed and the collection techniques to be used relative to the assessment of overtime impact on productivity.

Again, the impact on the schedule duration must consider the planned and forecasted progress using the proper productivity.  As overtime is introduced, progress may well be impacted.  The time impact of more work hours per week is mitigated or offset by the lowered productivity. [Read more…]

Filed Under: Claims, Featured, General, Productivity, Projects Tagged With: , , , , , , , , , , , , ,

Labor/Labour Productivity – Overtime Impacts (Part 10)

October 16, 2011 By

MANAGERIAL CONSIDERATIONS

This is the tenth posting regarding labor/labour productivity and disruption.  This contribution provides managerial considerations or issues regarding the impact of overtime on labor productivity.  The Subject Series can be viewed here.

The impact of overtime on labor productivity is a relevant and serious consideration in many aspects of program and project management.  In general, some of the points of concern include:

  • “Project Management Plan – basis for the plan and related resource requirements”
  • “Changed Work – both prospective and retrospective planning and pricing”
  • “Delay Mitigation – planning and analyzing the options and related viability”
  • “Schedule Recovery – methods, options and viability”
  • “Forensic Analysis – claims for delay, acceleration and related impacts.”

Understanding the impact on labor/labour productivity and cost due to overtime is an essential skill related to both planning and forensic analyses.  Remember, the impact on productivity applies to all hours worked, not just the hours associated with premium time costs.  Hence, often the productivity impact is more costly than the premium time compensation component of the payroll costs.

The impact of overtime on labor/labour productivity is not limited to construction field labor.  It presents in engineering, programming, consulting and other professional man-hours. [Read more…]

Filed Under: Claims, Featured, General, Productivity, Projects Tagged With: , , , , , , , , , , , , ,

Labor/Labour Productivity – Overtime Impacts (Part 9)

October 12, 2011 By

INDUSTRY STANDARDS

This is the ninth posting regarding labor/labour productivity and disruption. This contribution provides industry sources and references on the impact of overtime on labor productivity.  The Subject Series can be viewed here.

Understanding the impact on labor/labour productivity and cost due to overtime is an essential skill related to both planning and forensic analyses.  Remember, the impact on productivity applies to all hours worked, not just the hours associated with premium time costs.  Hence, often the productivity impact is more costly than the premium time compensation component of the payroll costs.

The impact of overtime on labor/labour productivity is not limited to construction field labor.  It presents in engineering, programming, consulting and other professional man-hours.

For this post, we will use United States definitions and standards as a baseline.  Many of the authoritative studies and analyses are done relative to US practices, if not US Gulf Coast (a common estimating standard or baseline).

However, these standards are relevant to the world open market. [Read more…]

Filed Under: Claims, Featured, General, Productivity, Projects Tagged With: , , , , , , , , , , , ,