Presented To:

Presented by : Dr. Anamaria Popescu, PE, PSP, PMP

March 19, 2015

Recovery Schedules: Practical Considerations in Their Development & Approval AACE International Rocky Mountain Section Denver, CO

Bio: Anamaria Popescu

Senior Director- FTI Consulting, Construction Solutions 19 Years Experience: Project Management Construction Advisory Services Expert Witness Long Time Member of AACE-Forensic Schedule Analysis (Co-Author of 29R-03) Industries: Oil and Gas Production (On-shore and Off-shore) Pipelines Petrochemical and Process Plants University of Texas at Austin Civil Engineering/CEPM Program PhD in Schedule Analysis PM at Enron Youngest Scheduler- Primavera DOS Avid Sailor and Racer Since Age 10

Definition: Recovery Schedule

“A specialized schedule showing special efforts to recover time lost compared to the master schedule…often a contract requirement when the project finish date is no longer projecting contractual completion” - AACE International RP 10S-90

Schedule Evolution

Baseline Schedule

Schedule Updates

Recovery Schedule

Revised Baseline

Schedule Updates

As-Built Schedule

Actual Dates Actual Logic % Complete

Actual Man-hours Delays/Impacts

Change Logic & Lags Change Duration

Delete/Add Activities Change Resources Change Calendars

“Time Now” (Data Date)

Forms Basis for Recovery Schedule

Development

Revising Statusing

Schedule Updates-Two Elements

Contractor’s Response Options

Options

Ignore

“No”

Submit Full Submit

Partial

Submit + $$$

Recovery Plan Continuum Ac

cele

ratio

n Co

st

The Time vs. Cost Tradeoff

EOT / Acceleration

EOT Only

Acceleration Only

$0

0 Days Time Extension (Days) Max Delay

Max Cost

Development Process: Considerations

Identify critical milestones Cost/Time recovery tradeoffs (Acceleration) Identify owner requirements Be realistic Involve ALL the team (e.g. subs): “BUY-IN” Critical Document Assumptions When Done-Monitor Progress Against Recovery Schedule

Recovery Schedule Development: Strategies

Schedule Update: 8 Weeks Behind

Reduce “G”

Reduce “A”

Reduce “J & K”

Reduce “C, F, M”

Reduce “F, L, M”

“That’s All Folks…”

The Price Tag…

Verification Of the Adequacy and Legitimacy

Owner Verification: Considerations

• Correct Schedule Update • Critical and near Critical Paths • Specific Activities identified? • Manpower Allocation • Historical Productivity Rates • Electronic Version (not PDF) • Schedule Diagnostic Report • Schedule changes valid & supportable? • Require a “Recovery Worksheet”

Owner Verification: Next Steps

• Collaborating Meeting • Schedule Review Live • Grouped by Critical Paths • Agree on Activities and $$$ • Monitoring Plan • Output Signed C.O.

Collaborative Review:

Critical Path Verification

Owner Verification:

Recovery Worksheet

Risks in Accepting/Implementing

• Acceleration efforts not always effective: Excusable (and potentially compensable)

delays Responsibility for delays to Recovery

Schedule Cost recovery under directed

acceleration

Conclusions

• Good scheduling: foundational element • Contract provisions • Early identification of impacts • Compliance with notice requirements • Recovery schedule coordination • “Buy In” crucial • Cost/Schedule tradeoffs • Closely monitor progress

Questions?