delay analisis

7/30/2019 delay analisis

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Delay AnalysisBy Bruce Stephan

Page 1

I. Introduction

A. Most construction disputes involve delay

B. Each critical delay event should be analyzed

C. Proving cause and effect is essential

D. A convincing presentation is required

II. Delay Claims

A. Generally involves gray area

B. Usually involves elements difficult to prove

1. Suspended/Disruption of activities

2. Out-of-sequence performance of work

3. Acceleration directed or constructive

4. Productivity losses

5. Compensable extended duration of project

C. CONTRACT DELAYS

CONTRACTOR

DELAYS

OWNER DELAYS THIRD PARTY

DELAYS (GR 8.10)

Lack of proper resources Differing Site

Conditions

Acts of God

Lack of proper planning Design Changes Weather

Underestimation of

duration

Suspension Labor Strikes

Material delivery delays Other Prime

Contractor delays

Utilities

Subcontractor delays Late site access Acts of the Government

Failure to follow schedule Later permits Acts of the State

Acts of others beyond

parties control


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1. ** Note that the Owner may be due a credit for overhead or other time-related costs when an event occurs which shortens the Contract Time.

Type Of Delay Cause Of Delay Time

Extension

Kor

Delay

Costs

Owner

Delay

Costs

INEXCUSABLE

DELAYS

Due solely to contractor No No Yes

EXCUSABLE

DELAYS

Outside control of Contractor See below

Non-compensable Concurrent delays, 3d Party

& Force Majeure

Yes No No

Compensable Due solely to Owner Yes Yes No

III.Schedule Analysis Methods

A. Total Time approach

B. But-For approach (Collapsed As-Built)

C. Impacted As-Planned

D. Should-Have-Been approach (Acceleration)

E. Window Analysis


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IV.Requests For Time

V. Windows Method - Recognized Standard For Delay Analysis

A. The impact of each change, or delay, on the previously charted sequences must befitted into the network. . . . Activities that were not critical prior to the new event may

be rendered critical; and conversely, formerly critical activities may develop float.Whether the change or delay affects the critical path must be determined on the basis

of conditions existing immediately prior to its occurrence. Norair Engineering Corp.,

ENG BCA Nos. 3804, et al., 90-1 BCA P 22,327 at p. 112,205

VI.Delay Analysis Windows Methodology

A. Research Delay

1. Read Contractors Claim

2. Compare Baseline to As-Built Schedule

3. Talk to Field Personnel, Designer, Owner, Contractor

4. Analyze schedule reports to determine timing of delay

5. Review field reports, correspondence, meeting minutes

6. Using the information gained:

ORIGINAL SCHEDULE

as-built schedule

Contract Finish

Actual

Finish

schedule in effect at time of delay

Requested TimeExtension

Impacting events

WINDOWS ANALYSIS

TOTAL TIME APPROACH


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7. Determine start and end dates of delay or extra work

8. Determine affected activities

9. Create a chart summarizing your findings

10.Baseline/As Built

B. Determine start date for delay & select schedule

1. Determining proper schedule to use for analysis

a) Use schedule in effect at start of delay

b) Determining delay Start is subject to negotiation

c) Consumed float automatically accounted for

d) Time Extension measured from current delay

(1)Presumes any delay to that was caused by other party

e) May have to create schedule if not updated

2. Methodology for Creating Schedule Updates (if needed)


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C. Verify schedule update and modify as needed

1. Schedule updates may need to be revised if:

a) Does not reflect how work was planned

b) Baseline logic improperly revised

c) Constraints affect schedule calculation

d) Actual starts and finishes are incorrect

e) Prior impacts analyzed in earlier period

(1)Adjust Milestones to reflect prior time adjustments

(2)Include subnets for all delays previously analyzed

2. How to determine if revision needed

a) Compare baseline and latest schedule update

b) Check impacted result against as-built

c) Talk to field personnel familiar with work

3. Sample Schedule Needing Revision

Baseline

Revised

Baseline

As Built

Revise logic

Remove Constraints

Move data dateInput Actual Starts& Finishes(based on daily

reports)

Unimpacted

Update 1

Automatically transfer

actual starts & finishes

for select periods

Unimpacted

Update 2

Unimpacted

Update 3

Impacted

Update 3

Copy

Unimpacted

Schedule and

add delay

activity

Create Updates by copying

revised baseline and moving

data date to desired period


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The longest path goes through

kitchen work. This path was

driven by a constrained start

and a 10-day lag

The schedule did not contain

a contractually-required logic

tie showing the B Wing work

done by the end of summer

recess. However, if the tie

were made the schedule

would have incorrectly shown

a very late finish

In the original schedule, all the

B-Wing activities were lumped

together. However, only the

work east of the corridor had

to be done by the end of

Summer Recess


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4. Thorough Document Revisions

The longest

path goes

through kitchenwork. This path

was driven by a

constrained

start and a 10-

day lag

A report of all

changes is

included as

Attachment A


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D. Add delay activities to show impact to schedule

E. Determine successor and tie in to new activity

F. Calculate and measure impact to project completion

Steel Supplier submitted its steel shop drawings on 4/17, and expected approval 4/24. Design changes and a lack

of dimensions delayed approval until 6/25. This caused a 41-day slippage to Project Completion (11/16/01-

12/27/01)

Yellow bars = Un-impacted schedule

Pink bars =Impacted schedule

Black bars = As-built schedule

LEGEND:


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G. Concurrent Delay Analysis

1. Repeat the analysis for other sides delays

a) Limit to critical delays

2. Hard to determine if one delay tracking to other3. Does not have to be during same time period

H. Verify dates against as-built & analyze mitigation

I. Consider other options

1. No cost logic changes (preferential logic)

2. Low cost mitigation (2nd crew, equipment, etc.)

3. Acceleration (overtime, etc.)

4. Re-define Interim Milestone (defer scope)

5. Transfer scope to follow-on Contractor

Obviously, these are only useful if work is ongoing

VII. Dispute Resolution

Calculated

time is laterthan actual

Completion

date


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A. Negotiation Strategies

1. Inform client/management of 3 possible dollar amounts

a) Starting Position (white only)

b) Realistic settlement offer (middle of grey)

c) Final offer (all gray and white- no black)

2. Get Independent evaluation of position

3. Be prepared to give something away

VIII. Summary

A. Run comparisons and challenge client

B. Use Windows Analysis

C. Schedule Update just prior to delay

D. Show Causation

E. Consider Concurrency

F. Compare results to As-Built

G. Consider Alternatives to extending time

CLEAR

ENTITLEMENT

DEBATABLE ENTITLEMENT NO

ENTITLEMENT

CHANGE ORDER/CLAIM ENTITLEMENT GRADIENT

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