Guild of Project Controls: Compendium | Roles | Assessment | Certifications | Membership

Tips on using this forum..

(1) Explain your problem, don't simply post "This isn't working". What were you doing when you faced the problem? What have you tried to resolve - did you look for a solution using "Search" ? Has it happened just once or several times?

(2) It's also good to get feedback when a solution is found, return to the original post to explain how it was resolved so that more people can also use the results.

Time Impact Analysis on as-planned programme

10 replies [Last post]
Kannan CP
User offline. Last seen 1 day 2 hours ago. Offline
Joined: 12 Jun 2008
Posts: 280
Groups: None

Hi all,

Recently I received a programme, which is scheduled to complete before the contractual completion, say 30 days before, and a buffer activity(30 days) is inserted to meet the contract completion date.

I would like to have your views in case of a delay event in the beginning stage of the project. For eg as follows,

1. Client didn't allot the site to the Contractor as per baseline(say 15 days delay).

2. Contractor notified the Client about the delay event and submitted the detailed claim with supporting documents just after the completion of the event.

 

By evaluating the claim, can the client determine that the delay happened can be adjusted in the buffer activity and therefore the claim is rejected. Is these types of schedules with buffer activities are normal practice? Can the client reject the programme because of this buffer activity?

 

Regards

Kannan

Replies

Mike Testro
User offline. Last seen 20 weeks 2 days ago. Offline
Joined: 14 Dec 2005
Posts: 4407

Hi Satish

Normally the contractor cannot claim for loss of opportunity for an early completion.

It sounds unfair but if the employer set the completion date then that is when the work is required to be finished.

If there is a built in bonus for early completion and the employer prevents it then the contractor should be able to claim the aborted acceleration costs.

If the contractor has put in his programme a time risk contingency buffer then that is retained for contractor delays only.

Best regards

Mike Testro

Kannan CP
User offline. Last seen 1 day 2 hours ago. Offline
Joined: 12 Jun 2008
Posts: 280
Groups: None

Hi Satish,

Thanks for the reply.

I understand your core statement as follows;

1. The Contractor can ask for EOT only if he cannot mitigate the Employer delay (without cost impact to Contractor) utilizing the buffer duration of 30 days.

2. The float belongs to the Project and will be on a first come first service. The Emploey needs it first, so he can ask the Contractor to mitigate the Employer delay using the available float (buffer duration).

 

Regards

Kannan

Satish Kumar
User offline. Last seen 4 years 9 weeks ago. Offline
Joined: 8 Feb 2010
Posts: 56

kannan, your question provoked a thousand questions in me.:))

If the contractor had given the program for the total duration, the claim would have its immediate effect. (what was his claim ? EOT or Overheads?). As per his program, i believe, the one month buffer should be consumed, only then the delay is attributable to Employer, EOT can be granted. The rational behind the one month buffer should also be questioned, i feel, is he mobilizing extra machinery to gain that one month advantage. If the work at hand actually takes only 29 months, what is wrong with the Employer delaying the land handover by one month? and in such case, how can the contractor claim the ownership for that one month? Even, i wonder, if the contractor completed his work 15 days before the scheduled date will be eligible for Overhead claim for that 15 days of Employer delay??, as the scheduled duration is for 30 months (i don't think so)

 

Mike,

suppose, instead the contractor has planned to complete the project 180 days before targetting a bonus from the Employer, and took 180 day buffer all of which is consumed by the Employer. However, the contractor could finish the work by the scheduled completion date. Can the contractor go for a bonus claim and overhead claim of 6 months? Will not the Employer press on the 30 month completion schedule as per contract instead of the 24 month work program.

 

regards

satish

Rafael Davila
User offline. Last seen 16 hours 39 min ago. Offline
Joined: 1 Mar 2004
Posts: 5011

Deleted by Rafael Davila as to avoid annoying requests to revive this discussion as it is older tha 3 years.

Mike Testro
User offline. Last seen 20 weeks 2 days ago. Offline
Joined: 14 Dec 2005
Posts: 4407

Hi Rafael

What has "feeding buffers" got to do with this discussion?

Best regards

Mike Testro

Rafael Davila
User offline. Last seen 16 hours 39 min ago. Offline
Joined: 1 Mar 2004
Posts: 5011

Deleted by Rafael Davila as to avoid annoying requests to revive this discussion as it is older tha 3 years.

Mike Testro
User offline. Last seen 20 weeks 2 days ago. Offline
Joined: 14 Dec 2005
Posts: 4407

Hi Hamid

Under normal circumstances the contractor would be entitled to 15 days EoT for the employers delay.

Best regards

Mike Testro

Hamid Rana
User offline. Last seen 6 years 8 weeks ago. Offline
Joined: 28 Jan 2015
Posts: 6
Groups: None

Hi Mike

 

Can the Contarctor still claim for EOT even if he does not use his buffer period, i mean if there is no delay from Contractor and the project still is completed on time ? I understand that in case if Contarctor consumes all its buffer/contingency period and thereafter the project is delayed, say for 15 days, due to Client's initial delay of 15 days only then Contarctor can ask for the EOT. Kindly clarify.

 

regards

Hamid

Kannan CP
User offline. Last seen 1 day 2 hours ago. Offline
Joined: 12 Jun 2008
Posts: 280
Groups: None

Thanks Mike...

Mike Testro
User offline. Last seen 20 weeks 2 days ago. Offline
Joined: 14 Dec 2005
Posts: 4407

Hi Kanan

The contrcator has promised to start work on dat one and finish on an agreed period thereafter.

How he accomplishes that is entirely up to him.

In this case the contractor has built in a time contingency buffer to cover his own delays.

This is good planning practice and is reccomended in the SCL Protocol 2002.

It is also a requirement of the NEC forms of contract.

The buffer task belongs to the contractor and must be retained after any employer delay event.

Best regards

Mike Testro