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COURSE 850

EXTENSION OF TIME REQUESTS


Course ID 2412-PMP927

© 2010 CMCS FZCO 99


COURSE AGENDA

 Technical Session 08:30 ‐ 10:00 am


 Break 10:00 ‐ 10:15 am
 Technical Session 10:15 ‐ 12:00 noon
 Break 12:00 ‐ 12:15 pm
 Technical Session 12:15 ‐ 02:30 pm
 Lunch 02:30 ‐ 03:45 pm

© 2010 CMCS FZCO 99


Welcome…

 Ground rules
 We should all be on time
 The mobile telephones should be switched off
 The class room is non-smoking area
 Attendance sheet must be signed daily
 Session relative questions can be
asked at any time
 Time: 8:30 am until 4:45 pm
 Toilets
 Fire exits
WHO IS WHO?

 Who are you?


 Your designation?
 Your firm?
 What are your roles and responsibilities?
 Why you are attending this course?
 What do you expect to learn?

© 2010 CMCS FZCO 99


 IN THIS COURSE CONTRACTUAL ASPECTS WILL BE ACCORDING TO FIDIC
(INTERNATIONAL FEDERATION OF CONSULTING ENGINEERS) – CONDITIONS
OF CONTRACT FOR CONSTRUCTION- 1999

 Delay Analysis Techniques are based on Best Practices and AACE International’s
Best Practices Guide

 Cost of Delays and Disruption Section is base on AACE International’s


Professional Practice Guide

© 2010 CMCS FZCO 99


 Delay Analysis Techniques are based on Best Practices and AACE International’s
Best Practices Guide

© 2010 CMCS FZCO 99


 Cost of Delays and Disruption Section is base on AACE International’s
Professional Practice Guide

© 2010 CMCS FZCO 99


DEFINING TIME

 Baseline Schedule is:


 The schedule that represents the Contractor’s Original Plan for completing the work
described by the Contract documents within the time frame specified therein
 Includes planned activities, durations and relationships, planned resources and any
dates imposed by the Contract
 Submitted for the Engineer’s approval, as a Contract requirement obliged by clause 8.3
of the Conditions of Contract
 Part of the Planning Process
 Represents the basis for measuring the Contractor’s progress during execution of the
Works

© 2010 CMCS FZCO 99


Clause 8.3 Programme

The Contractor shall submit a detailed time program to the Engineer within 28 days after
receiving the notice under Sub-Clause 8.1 [Commencement of Works]. The Contractor shall also
submit a revised program whenever the previous program is inconsistent with actual progress
or with the Contractor’s obligations.
Each program shall include:
(a) the order in which the Contractor intends to carry out the Works, including the anticipated
timing of each stage of design (if any), Contractor’s Documents, procurement, manufacture of
Plant, delivery to Site, construction, erection and testing,
(b) each of these stages for work by each nominated Subcontractor (as defined in Clause 5
[Nominated Subcontractors]
(c) the sequence and timing of inspections and tests specified in the Contract, and
(d) a supporting report which includes:
(i) a general description of the methods which the Contractor intends to adopt, and of
the major stages, in the execution of the Works, and
(ii) details showing the Contractor’s reasonable estimate of the number of each class
of Contractor’s Personnel and of each type of Contractor’s Equipment, required on the Site for
each major stage.

© 2010 CMCS FZCO 99


Clause 8.3 Programme

Unless the Engineer, within 21 days after receiving a programme, gives notice to the
Contractor stating the extent to which it does not comply with the Contract, the Contractor
shall proceed in accordance with the programme, subject to his other obligations under the
Contract. The Employer’s Personnel shall be entitled to rely upon the programme when
planning their activities.
The Contractor shall promptly give notice to the Engineer of specific probable future events or
circumstances which may adversely affect the work, increase the Contract Price or delay the
execution of the Works. The Engineer may require the Contractor to submit an estimate of the
anticipated effect of the future event or circumstances, and/or a proposal under Sub-Clause
13.3 [Variation Procedure].
If, at any time, the Engineer gives notice to the Contractor that a programme fails (to the extent
stated) to comply with the Contract or to be consistent with actual progress and the
Contractor’s stated intentions, the Contractor shall submit a revised programme to the
Engineer in accordance with this Sub-Clause.

© 2010 CMCS FZCO 99


Sample Specifications For Project Schedules

© 2010 CMCS FZCO 99


A Complete Baseline Schedule

 Covers the full scope of the project. Use WBS for defining the project scope.
 Covers all phases of the project.
 Resource loaded: Manpower, Material and Equipment
 Cost loaded
 Milestones constraints
 Submittal and Procurement schedule
 Mobilization and Demobilization
 Testing and Commissioning
 Calendars: Weekends and Holidays
 Includes subcontractors, own and nominated, activities
 Includes Owner and other stakeholders activities

© 2010 CMCS FZCO 99


The Complete As-Plan Schedule

Project

General
Construction
Requirements

Mobilization/ Submittal & Project


Demobilization Procurement Management

© 2010 CMCS FZCO 99


© 2010 CMCS FZCO 99
© 2010 CMCS FZCO 99
A Complete Baseline Schedule

What About Real Life?


 Some contractors prepare schedules only because it is
a contract requirement.
 On far too many projects a schedule is created at the
beginning of the project and never reviewed or revised
until a problem develops
 Schedule is burden on Contractors’ Shoulders
 Few projects take schedule seriously

© 2010 CMCS FZCO 99


Common issues in baseline schedule

 Use of additional NOT REQUIRED relations


For example:
 Electrical first fix shop drawing linked with plaster Work
 Link the activity with the predecessor of another related activity predecessor:
Such as: lag
14
Slab work Block Work
Plaster Work
This will increase number of relations
Common issues in baseline schedule

 WBS LEVEL to be consistent as much as possible.


Common issues in baseline schedule

 To minimize the efforts of resource loadings, the similar activity


should have the same text and WBS

 Use of Constraints. Why? What effect? How many?


Constraints

 Constraints are imposed restrictions used to reflect project requirements that


cannot be built into the logic.
 Use constraints to build a schedule that more accurately reflects the real-world
aspects of the project, provide added control to the project, and impose a
restriction on the entire project or an individual activity
 Constraints are user-imposed.
 Two constraints can be assigned to an activity.
 After applying a constraint, the project must be rescheduled to calculate the
new dates.

142
Commonly Used Constraints (cont.)

Must Finish By
 Used when an overall project deadline must be met.
 Forces all activities in the project to finish by the date (and time) specified.
 By default, the time associated to the Must Finish By date is set to
12:00 am. This means that if the project must finish by the end of day
on 1-Nov, assign a Must Finish By of 02-Nov.
 Affects the total float of the entire project.
 Must be applied in the Dates tab in Project Details.
 The current Early Finish of Building Addition project is 17-Nov-10. You will apply a
Must Finish By constraint of 02-Nov-10.
 The next step is to reschedule the project to see the effect of the imposed
deadline on the late dates and Total Float in the project plan.

143
Start On or After

 Used to set the earliest date an activity can begin.


 Forces the activity to start no earlier than the constraint date
 Pushes the early start to the constraint date
 Affects the early dates of its successors

LS LF LS LF

A B
ES
ES * EF ES EF
145
Start On or After

 Used to set the earliest date an activity can begin.


 Forces the activity to start no earlier than the constraint date
 Pushes the early start to the constraint date
 Affects the early dates of its successors

LS LF LS LF

A A B B
ES ESEF
* EF ES ESEF EF
145
Commonly Used Constraints (cont.)

Adding Notebook Topic


 When a constraint is assigned to an activity, it is recommended that you add a
note to document why the constraint was assigned. You can use the Notebook
tab in the Activities window to document these reasons.

147
Finish On or Before

 Used to set intermediate completion points


 Forces the activity to finish no later than the constraint date
 Pulls the late finish date to the constraint date
 Affects the late dates of its predecessors

LS LF LS LF *

A B
ES EF ES EF 148
Finish On or Before

 Used to set intermediate completion points


 Forces the activity to finish no later than the constraint date
 Pulls the late finish date to the constraint date
 Affects the late dates of its predecessors

LS LSLF LF LS LS
LF * LF

A A B B
ES EF ES EF 148
Commonly Used Constraints (cont.)

Start On
 Forces the activity to start on the constraint date.
 Shifts both Early and Late Start dates.
 Delays an Early Start or accelerates a Late Start.
 Used to specify dates submitted by contractors or vendors.

150
Commonly Used Constraints (cont.)

Start On or Before
 Forces the activity to start no later than the constraint date.
 Shifts the Late Start to the constraint date.
 Affects the late dates of its predecessors.
 Used to place a deadline on the start of the activity.

150
Commonly Used Constraints (cont.)

Finish On
 Forces the activity to finish on the constraint date.
 Shifts both Early and Late Finish dates.
 Delays an Early Finish or accelerates a Late Finish.
 Used to satisfy intermediate project deadlines.

150
Commonly Used Constraints (cont.)

Finish On or After
 Forces the activity to finish no earlier than the constraint date.
 Shifts the Early Finish to the constraint date.
 Affects the early dates of its successors.
 Used to prevent an activity from finishing too early.

150
Commonly Used Constraints (cont.)

As Late As Possible
 Delays an activity as late as possible without delaying its successors.
 Shifts the early dates as late as possible.
 Also called a zero free float constraint.

150
Commonly Used Constraints (cont.)

Mandatory Start and Finish


 Forces early and late dates to be equal to the constraint date.
 Affects late dates of predecessors and early dates of successors.
 May violate network logic.

150
Commonly Used Constraints (cont.)

Key Concepts
 Assign constraints to activities and projects to reflect real-world restrictions.
 A maximum of two constraints can be assigned to an activity.
 The Must Finish By constraint is used when an overall project deadline must
be met.
 Use the Start On or After constraint to set the earliest date an activity can
begin.

151
Common Issues in Baseline SChedule

 Accidental Changes by Tool user


 Improper use of some functions like Global Changes

© 2010 CMCS FZCO 99


Common Issues in Baseline Schedule
The right steps to reset all actual data to convert an
updated schedule to a baseline is as follows, otherwise an
error will appear and not all activities actual data will be
removed:
A.

© 2010 CMCS FZCO


Common Issues in Baseline Schedule

B.

© 2010 CMCS FZCO


Common Issues in Baseline Schedule

C.

© 2010 CMCS FZCO


Common Issues in Baseline Schedule

D.

© 2010 CMCS FZCO


Common Issues in Baseline Schedule

Effective date for resource must match with the project and
activities effective dates.

13.Currencies for resources ,Project ,Cost , Expenses must match.

© 2010 CMCS FZCO


Common Issues in Baseline Schedule
Before importing a project with Cost and Resources loaded we must check if we need the cost to be calculated from
the units
or not cause if the project didn’t match with the resource that will cause an error and inaccurate output .
The calendar as well, the resource calendar must match the assigned activities .

© 2010 CMCS FZCO


Common Issues in Baseline Schedule

10.When maintaining baseline if we click ok on the message below the selected project will disappear

© 2010 CMCS FZCO


Common Issues in Baseline Schedule

The solution is restoring the project

© 2010 CMCS FZCO


Updated Schedule

 Updated Schedule is:


 Schedule prepared during the course of executing the project at predetermined
intervals “periodic basis”.
 Periodic basis (Monthly/weekly/bi-weekly) depends on the size and duration of the
project
 Percent completion of activities, actual dates tracked during the preparation period,
actual resources and any other data related to progress shall be included.
 Used to generate progress reports
 It is NOT a revised schedule
 Part of the monitoring and controlling processes

© 2010 CMCS FZCO 99


Data Date

J F M A M J J A S
Schedule

Plan
Data
Actual
Date line
Resource

Resource Time
Quantity
(person -
days)

Time
Cost

Time

© 2010 CMCS FZCO 99


The Importance Of the Updated Schedule

Status
Progress "Yesterday" Forecast "Tomorrow"
"Today"

• Actual activities start and finish • Ahead or behind schedule • Expected project completion date
dates, % complete, suspend and • Under of over budget • Expected budget at completion
resume dates • Resource Efficiency • Project critical path
• Actual resources consumed • Variance analysis • Project cash flow
• Actual funds spent • Issues and Problems • Recommendations for recovery
• Changes to the scope • Trends and KPI • Lessons learned
• Deliverables completed • Impact of changes
• Earned Performance

© 2010 CMCS FZCO 99


As-Planned, Updated and As-Built

Updated: What We
As-Built: What Has
As-Planned: How Have Achieved To
Actually Happened
We Plan To Date and How
During the Project
Execute Project? Would It Affect
Execution?
Completion Date>

© 2010 CMCS FZCO 99


A Complete Updated Schedule

 Records actual start and finish dates for completed activities


 Records actual start and remaining duration for activities in progress
 Records suspend and resume dates when needed
 Records actual resources used and remaining quantities
 Records Earned Value and Actual Cost
 Records notes of important progress and events
 Documents reasons of delays, should any occur

© 2010 CMCS FZCO 99


DEFINING TIME

 To Create Updated Schedule:


 Provide start and finish dates for all activities started and/or finished during the report
period.
 Provide the current status for all activities reported as being in progress in the last
update report. If they were completed during the current period, the date of actual
completion should be recorded. For those remained in progress, provide remaining
duration.
 Report on activities that need to be re-sequenced, added, deleted, or modified to add
clarification, to reflect a change in plan or operation, or to maintain required schedule
detail for proper monitoring and control.
 The fragment that has to be incorporated into the schedule to reflect delays and/or
change conditions that influence the schedule and progress of the project.

© 2010 CMCS FZCO 99


Common Issues in Updates

1.When to use the suspend and resume key.

© 2010 CMCS FZCO


Common Issues in Updates

2.When to use the Duration as % Completion Type & when to use


the Physical %.

© 2010 CMCS FZCO


Common Issues in Updates

3.% completion when to use (units, duration ,duration of original,


cost, schedule)%.

© 2010 CMCS FZCO


Common Issues in Updates

The actual date after the data date


Common Issues in Updates

Ctrl+Z can undo modifying activities relations, start and finish dates, editing text, but deleting activities or WBS,
projects cannot be undone.

© 2010 CMCS FZCO


Common Issues in Updates
7.The dissolve option. It erases the activity but keeps the links and relations between the dissolved activity’s
successor and predecessor and that will prevent the open ends to take place.

© 2010 CMCS FZCO


Common Issues in Updates

8.Fill down is a very useful option and it can save time and effort if we needed to copy data from a project to project with
no need to select the dates every single activity for example .

© 2010 CMCS FZCO


Common Issues in Updates

9.When can I set the activity as finished ? At the time of Inspection request or the actual start and finish?

© 2010 CMCS FZCO


Common Issues in Updates

11.When updating activities we should check the status and select started before changing the start or finish
date cause if we don’t that will change the original duration of the activity.

© 2010 CMCS FZCO


Common Issues in Updates

12.Progress override and retained logic in


scheduling options.

© 2010 CMCS FZCO


Common Issues in Updates

13.Copying activities from a project to another, we must open the two projects together then select the activities
and copy it. The same happens with the WBS.

14. Updating an activity before updating its successor with cause a big total float. For example starting the block
work after the shop drawing submittal but before the approval.
15. Lack of use of Thresholds and issues
16. Lack of use of Claim Digger options
17. Changing the relations and lags

© 2010 CMCS FZCO


Duration Types Overview

 Duration Type is a setting which allows you to control how the duration,
resource units, and resource units/time are synchronized for activities so that
the following equation is always true:

152
Duration Types Overview (cont.)

Non-Progressed Activity
 For a non-progressed activity, the basic equation remains the same but the
names of the values are:

Original Duration x Budgeted Units/Time = Budgeted Units

152
Duration Types Overview (cont.)

Progressed Activity
 For a progressed activity:

Remaining Duration x Remaining Units/Time = Remaining Units


 The following is also true:

Actual Units + Remaining Units = At Completion Units

Budgeted Units - At Completion Units = Variance (in Units)

152
Balancing the Equation

 The following table lists the value that changes to balance the equation Duration x
Units/Time = Units whenever one of the variables is changed.

153
Balancing the Equation (cont.)

 Use the following information as a reference when selecting Duration


Types.
 If the duration is fixed, Primavera will never recalculate the duration.
 If the duration is not fixed, Primavera will always recalculate the
duration.

If you do not want Primavera to ... then use


recalculate ...
Budget or work effort Fixed units

Daily resource allocation Fixed units/time

153
Balancing the Equation (cont.)

If you do not want Primavera to ... then use


recalculate the schedule and ...

Budget or work effort Fixed duration and units

Daily resource allocation Fixed duration and


units/time

153
Duration Type: Fixed Units/Time

Fixed Units/Time indicates that the activity's resource availability is limited.


 Choose Fixed Units/Time if you are planning the activity according to the
resources assigned to the activity and need to focus on:
 Resource availability
 Resource overallocation or under-utilization.

153
Duration Type: Fixed Duration and Units/Time

Fixed Duration and Units/Time indicates that the activity's duration and units/time are
not subject to change, regardless of the number of resources assigned to the
activity.
 Choose Fixed Duration and Units/Time if:
 You are planning the activity in terms of the calendar or schedule dates.
 The activity has a "drop dead date."
 You are entering an original duration value for this activity rather than
budgeted labor units.

154
Duration Type: Fixed Units

 Fixed Units indicates that the number of labor/nonlabor units assigned to the
activity (the work effort) is not subject to change. Since cost is directly correlated
with units, it is also not subject to change.
 Choose Fixed Units if:
 You are planning this activity in terms of its work effort, i.e., number of
resource hours that you think will be required to complete the activity.
 You need to work within a set budget.
 You are entering budgeted labor/nonlabor units for this activity, rather than
the original duration.

155
Duration Type: Fixed Duration & Units

Fixed Duration & Units indicates that the units/time should be recalculated if
either duration or units are changed.
 Choose Fixed Duration & Units if:
 You are planning the activity in terms of schedule dates and its work effort.
 You have a "drop dead date" and know the total effort needed to complete
the activity.

156
Assigning a Duration Type

 The default Duration Type assigned to all new activities is set at the project level.
 You can modify the Duration Type for each individual activity.

158
Modifying Activity with Fixed Units/Time Duration Type

 In the following exercise, Paul Kim's availability is fixed. He will work 8 hours per
day unless you type a new duration or units/time. Type in a new Budgeted Units,
Original Duration, Budgeted Units/Time and add a new resource on the activity.

160
Modifying Activity with Fixed Units/Time Duration Type (cont.)

Background
 Modify Paul Kim's Budgeted Units, Original Duration, Budgeted Units/Time, and
add a new resource on an activity. Record the new values based on the Duration
Type used.

163
Percent Complete Types

 The Activity Percent Complete is used to identify the amount of work completed
on an activity. The user controls the calculation of Activity Percent Complete by
assigning one of the three percent complete types to the activity: Duration
Percent Complete, Units Percent Complete, or Physical Percent Complete.
 The default percent complete type is assigned at the project level but may be
changed at the activity level.
 Duration Percent Complete
 Units Percent Complete
 Physical Percent Complete

170
Assigning a Percent Complete Type

 The default Percent Complete Type assigned to all new activities is set at the
project level. This will not affect existing activities in the project. When a new
project is created, the percent complete type defaults to Duration Percent
Complete.
 You can modify the Percent Complete type for each activity.

171
Updating Activities Based on Physical Percent Complete

 Physical Percent Complete reflects the actual progress made on the activity's
work product so far. To update an activity, type the following:
 A value into the Physical Percent field.
 A remaining duration.
 Each resource's actual units.
 When using a Physical Percent Complete type, the Remaining Duration and
Actual Units must also be updated manually.

173
Updating Activities Based on Physical Percent Complete (cont.)

 The Duration and Units Percent Complete columns are calculated according to
the following equations:

174
Updating Activities Based on Duration Percent Complete

 Select Duration Percent Complete type when progress can most easily be
reported in terms of actual days of work remaining.
 Duration Percent Comp = [(Orig Dur - Rem Dur) / Orig Dur] x 100
 To progress an activity, the following information must be updated:
 When using a Duration Percent Complete type, Actual Units must be
manually updated.
 The Units Percent Complete column is calculated according to the following
equation: Units Percent Comp = (Actual Units / At Completion Units) x 100

175
Updating Activities Based on Units Percent Complete

 Use Units Percent Complete to specify that the activity's percent complete be
calculated from the Actual Units and At Completion units.
 Units Percent Complete = Actual Units / At Completion Units * 100
 To progress an activity, each resource's actual and remaining units must be
updated manually.
 Remaining Duration is updated based on the Remaining Units according to
the equation: Remaining Duration = Remaining Units / Units per Time
 Duration Percent Complete is modified based on the equation: Duration
Percent Comp = [(Orig Dur / Rem Dur) / Orig Dur] * 100.

177
© 2010 CMCS FZCO 99
Note: Common Errors During Updating Schedule

© 2010 CMCS FZCO


Up Dated Schedule – Common Errors

© 2010 CMCS FZCO 99


Up Dated Schedule – Common Errors

Previous screen shoot shows that the activity


BA2010 suspended ant no note book assign to
show the reason

© 2010 CMCS FZCO 99


Up Dated Schedule – Common Errors

Not updating the expenses

© 2010 CMCS FZCO 99


Up Dated Schedule – Common Errors

Neglecting the effect of update on


resources

© 2010 CMCS FZCO 99


DEFINING TIME

 As-Built Schedule:
 Represents the actual sequence of works as occurred during the execution of the
project
 Dates represent the actual start and actual finish dates of activities
 Includes change orders executed on the project. May also include activity disruptions
 Resources represent the actual resources exhausted to execute the Works
 Part of the closing processes of the project

© 2010 CMCS FZCO 99


© 2010 CMCS FZCO 99
A network logic diagram is commonly used to represent all
activities in a project and their dependency relationships.

© 2010 CMCS FZCO 99


DEFINING TIME

 Types of Relations used while sequencing the schedule:


 Compulsory Relation
This is enforced by technical requirement or work methodology. This type of relations
cannot be changed during acceleration or recovery.

 Preferable Relations
This is used as decision of team member, planner or project manager where he/she
prefers to do the work using this sequence. This can be changed during acceleration or
recover

 External Relation
This is relation introduced by external party like authorities for example. Changing this
relation depends on the approval of the party enforcing such relation

© 2010 CMCS FZCO 99


DEFINING TIME

 Types of Relations used while sequencing the schedule:


 Record of types of relations used must be kept and documented
 This record will be used at later stages
 Record is preferably created in coordination with all related team members and
approved by project manager

© 2010 CMCS FZCO 99


Precedence Diagramming Method

A B C

Start Finish

D E F

© 2010 CMCS FZCO 99


Precedence Relationships Finish to Start (FS)

The “from” activity Task A must finish before


the “to” activity Task B can start

Task A Task B

© 2010 CMCS FZCO 99


Precedence Relationships Start to Start (SS)

Tasks A and B may start at the same time, but


Task A the successor (B) cannot start until the
predecessor (A) begins.

Task B
The direction of the arrow defines
which task is the predecessor and
which is the successor.

© 2010 CMCS FZCO 99


Precedence Relationships Finish to Finish (FF)

Task A

Tasks A and B may end at the same time, but


the successor (B) cannot finish until the Task B
predecessor (A) finishes

© 2010 CMCS FZCO 99


Precedence Relationships Start to Finish (SF)

Task A

Task A must start before Task B can finish


(seldom used). Task B

© 2010 CMCS FZCO 99


Lag

 A modification of a logical relationship that directs a delay in the successor


activity. For example, in a finish-to-start dependency with a ten-day lag, the
successor activity cannot start until ten days after the predecessor activity has
finished.

© 2010 CMCS FZCO 99


Lead

 A modification of a logical relationship that allows an acceleration of the


successor activity. For example, in a finish-to-start dependency with a ten-day
lead, the successor activity can start ten days before the predecessor activity has
finished.

 A negative lead is equivalent to a positive lag.

© 2010 CMCS FZCO 99


Lags

© 2010 CMCS FZCO 99


DEFINING TIME

 Forward Pass
 The forward pass calculates an activity's early dates.
 Early dates are the earliest times an activity can start and finish once its
predecessors have been completed.
 The calculation begins with the activities without predecessors.
 Early Start (ES) + Duration - 1 = Early Finish (EF)

© 2010 CMCS FZCO 99


DEFINING TIME

A
5
E S 1 E F 5

C
15
E S 11 E F 25

B
10

E S E F
10
1

F o rw ard p ass

© 2010 CMCS FZCO 99


DEFINING TIME

 Backward Pass
 The backward pass calculates an activity's late dates.
 Late dates are the latest times an activity can start and finish without delaying the
end date of the project.
 The calculation begins with the activities without successors.
 Late Finish - Duration + 1 = Late Start

© 2010 CMCS FZCO 99


DEFINING TIME

Backward pass

LS 6 LF 10

A
5
ES 1 EF 5 LS 11 LF 25

C
15
LS 1 LF 10 ES 11 EF 25

B
10
ES 1 EF 10

© 2010 CMCS FZCO 99


DEFINING TIME

 Total Float
 The amount of time an activity can slip from its early start without delaying the
project.
 The difference between an activity's late dates and early dates.
 Activities with zero Total Float are critical.
 Late date - Early date = Total Float (TF)
 An activity's Total Float is automatically calculated each time you schedule the
project. You cannot edit an activity's float values direct

© 2010 CMCS FZCO 99


DEFINING TIME

Backward pass

LS 6 LF 10

A
5
ES 1 EF 5 LS 11 LF 25
TF =
C
15
LS 1 LF 10 ES 11 EF 25
TF =
B 0
10
ES 1 EF 10
TF =
0
Forward pass

© 2010 CMCS FZCO 99


DEFINING TIME

 Total Float Indicator


 Positive Float: Project/Activity in good situation
 Zero Float: Project/ Activity is critical
 Negative Float: Project/ Activity is extremely critical

© 2010 CMCS FZCO 99


Total Float

LS LF

P o sitiv e flo a t
ES EF

P ositive float
LS LF
Z ero flo a t
(critica l)
ES EF

LS LF

N e g a tive Flo a t
(e xtre m e ly
critica l) ES EF

N egative float

© 2010 CMCS FZCO 99


DEFINING TIME

 Who Owns Float?


 Debatable Issue: Case Law does not provide consensus
 Best practices: 50% owned by the Contractor and 50% owned by the Client/Employer

© 2010 CMCS FZCO 99


DEFINING TIME

 Critical Activities
 If your project schedule falls behind, focus on critical activities causing delay.
Critical activities are usually defined as those with zero or negative float.
 How to define critical activities :
 If you are focusing on specific activities, define critical activities as those
whose Total Float is less than or equal to a specific value.
 f you want to focus on the overall end date of the project, define critical
activities as those on the longest path.

© 2010 CMCS FZCO 99


DEFINING TIME

 TIP
 When creating your project plan, avoid open ends: Other than at the beginning
and end of the project, and circular relationships, all activities should have a
predecessor and successor activities to avoid inaccurate results when calculating
the network.

© 2010 CMCS FZCO 99


DEFINING TIME

 Free Float
 Free float is the time the activity can be delayed with out delaying the successor
activity/activities
 It is very important to monitor in packages/multi contractor environment

© 2010 CMCS FZCO 99


Exercise

 Calculate “Early Schedule”

 Calculate “Late Schedule”

 Calculate Total Float

 Calculate Critical Path

© 2010 CMCS FZCO 99


Project Plan

© 2010 CMCS FZCO 99


The Project Schedule

Activity DU ES EF LS LF TF

A 10 1

B 5

C 15

D 5

E 20

F 15

G 10

H 5

I 10

J 5

© 2010 CMCS FZCO 99


DELAYS

 What is Delay?

 Why to Care About Delay?

 How Do Delays Arise?

 Types of delays

 Related FIDIC Clauses

© 2010 CMCS FZCO 99


WHAT IS DELAY?

 DELAY is an act or event that extends the time required to perform tasks or
activities under a Contract . It is usually reflected as additional days of work or as
delayed start of activities.

 DELAY May or may not include change(s) in the scope of work of activity(s) or
the Contract.

 DELAY May or may not shift the over all completion date of the contract or the
entire scope completion date.

 DELAY May or may not be on the critical path

© 2010 CMCS FZCO 99


CONCERNS REGARDING DELAYS

 EMPLOYERS
 Delayed completion date results in loss of income and penalties imposed by end users
 Assessment of causes of delays allocate entitlement of Liquidated Damages and or
required additional Contractor’s compensation payment(s)
 Delays usually affect the Project’s budget

 CONTRACTORS
 Delayed completion date results in additional overheads and costs
 Assessment of causes of delays allocates entitlement of Liquidated Damages or
compensation payment(s)

© 2010 CMCS FZCO 99


CONCERNS REGARDING DELAYS

 CONSULTANTS AND/OR CONSTRUCTION MANAGERS


 Affects their projects’ control capacities
 Responsibility of assessment of delays

 BONDING COMPANIES AND SURETIES


 They have to indemnify the Contractor’s Performance

© 2010 CMCS FZCO 99


HOW DO DELAYS ARRISE

 DELAYS ORIGINATE FROM ONE OF TWO SOURCES:


 Within the Performing Organization’s control; or
 Factors beyond the Performing Organization’s control.

© 2010 CMCS FZCO 99


HOW DO DELAYS ARRISE - EXAMPLE

 Examples of delays originating from Within the Performing Organization’s control


 Contractor’s delay in ordering material “after approval is granted”
 Contractor’s delay in executing critical activity after all related requests are released

 Examples of factors beyond the Performing Organization’s control.


 Adverse weather conditions
 Labor strikes
 Changes in legislation
 Force Majeure

© 2010 CMCS FZCO 99


Customer Caused Delay

 Failure to provide the Performing Organization access:


 Late Notice To Proceed
 Failure to provide entry to the project

 Failing to provide necessary right-of-way

 Failing to provide necessary materials or facilities

 Suspending the work

© 2010 CMCS FZCO 99


Customer Caused Delay

 Changing the design or implementation requirements


 Change Orders
 Ordered Changes
 Constructive Changes
 Changed Conditions
 Subsurface
 Access

 Failing to make timely decisions

© 2010 CMCS FZCO 99


Customer Caused Delay

 Interfacing or obstructing the Performing Organization’s performance.


 Direct Interference
 Early Occupancy

 Requiring the work to be done out of the normal and customary work sequence.

 Failing to coordinate separate Performing Organizations.

© 2010 CMCS FZCO 99


Customer Caused Delay

 Defective plans and specifications:


 Errors and Omissions
 Lack of coordination
 Ambiguity

 Failure to provide drawings on schedule

 Unreasonable delay in review of shop drawings or approval of material.

© 2010 CMCS FZCO 99


Customer Caused Delay

 Improper or delayed change orders.

 Stop work orders.

 Inadequate supervision/observation/ inspection.

 Failure to accept completed work in a timely manner.

© 2010 CMCS FZCO 99


Customer Caused Delay

 Unreasonable or delayed interpretation of contract requirements.

 Unreasonable delay in issuing orders to proceed.

© 2010 CMCS FZCO 99


Performing Organization
Caused Delay

 Slow mobilization.

 Failure to properly man the project.

 Poor workmanship.

 Failure to coordinate or manage:


 Poor productivity
 Inadequate supervision
 Poor planning
 Failure to schedule
 Subcontractors

© 2010 CMCS FZCO 99


Performing Organization
Caused Delay

 Cash flow limitations


 Slow to pay subcontractors and suppliers
 Inadequate financing

 Late Material Delivery

 Late submission or resubmission of shop drawings.

 Failure to make reasonable site investigations.

 Default, failure or abandonment.

© 2010 CMCS FZCO 99


Delays Not Caused
By A Party To The Project

 Acts of God.

 Acts of the Government.

 Strikes.

 Acts of the Public Enemy.

© 2010 CMCS FZCO 99


Delay Causes
Delay Causes
Delay Causes
Delay Causes
Delay Causes
EVENTS AND DELAYS

 Events giving rise to delays and/or claim must be clearly defined through out the project
life cycle.

 Events must be classified (type of delay).

 Contractual analysis must be carried out for each event giving rise to delay. Entitlement
is accordingly determined.

 “What if” analysis/scenarios can be utilized using CPM and Network to pre-determine
the effect of the event on the project.

 Defining Events giving rise to claim instantaneously gives space for pro-active actions.

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 Generally Delays are Classified in three main categories:


 Independent Delays
 Serial Delays, and
 Concurrent Delays

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 Independent Delays
 Those are isolated delays and do not result from previous delay. Effect of independent
delays on the project’s completion date can be easily calculated.
 Independent delays may cause serial Delays

 Serial Delays
 Occur exclusively from previous un-related delay to predecessor activity.
 They are a sequence of consecutive non-overlapping delays in a particular network.
 Determining the timing of Delay with respect to other delays is the primary issue.
 Individual delays in a series of delay do not conflict and the determination of the over
all effect on the project’s completion date is relatively easy.

 Concurrent delays

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 In Construction Industry, Delays are known to be classified as:


 Excusable Delays
 In-Excusable Delays
 Non-Compensable Delays
 Compensable Delays
 Concurrent delays
 Pacing Delays

© 2010 CMCS FZCO 99


DELAYS LIABILITY DIAGRAM

Delay

Excusable In-Excusable Pacing Delay

Compensable Non-compensable

Concurrent Delay Non-Concurrent Delay


TYPES OF DELAYS

 In-Excusable Delays (N/N)


 Delays caused by the actions or inactions of the Contractor or one of his Sub-
Contractors, Suppliers or any other party whose in contractual relation with the
Contractor.
 The Contractor will not be entitled for an Extension of Time

 Excusable Delays
 Delays that are not caused by the Contractor’s action or inactions, but occur as a result
of events beyond the Contractor’s control
 Such delays entitle the Contractor to an extension of time (if the contractual completion
date of the project is affected as a result of occurrence of the excusable delay event)
 Might be compensable or non-compensable delays

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 Excusable Non Compensable Delays (E/N)


 Excusable delays that are caused by neither of parties (Contractor and Employer) or
(both parties in case of concurrent delays).
 Both parties have been affected by the delay
 Only extension of time is warranted (without compensation) to eliminate the
Contractor’s liability for Liquidated Damages
 Generally both parties are precluded from the recovery of the delay damages.
 Each party bears his costs incurred as a result of non-compensable delays
 Examples may include labor strikes, acts of nature, adverse weather conditions…etc.

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 Excusable Compensable Delays (E/C)


 Excusable delays generated as a result of event(s)) that are within the control of the
Employer, one of his employees or agents (Engineer/CM/Designer/ another Contractor
at site …etc)
 Most of the times, it entitles the Contractor for an extension of time as well as
prolongation costs that may include all his head office support, site management
expenses, disruptions, …etc.
 Examples may include delay in material submittal review, change orders, other
contractors delays, suspension of works to the convenience of the client …etc.

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 Concurrent Delays
 Two or more delay events share the same time and fall in parallel critical paths.
 If any of the delays occurred, the project’s completion date would be affected
 Delays might, or might not be related
 Delay on the critical path is not considered concurrent with other delays off of the
critical path arising in an overlapping period.
 If concurrent delays arise from two different parties (Contractor and Employer) it may
result in issuance of excusable non-compensable extension of time, where Employer
furnishes time and gives up liquidated damages.
 However, compensation is highly dependant on the situation, claim analyst must be
aware of each case independently.

© 2010 CMCS FZCO 99


Concurrent Delays

In-Excusable Delay In-Excusable


Delay concurrent
with Excusable
Delay yields a net
Excusable Non
Excusable Delay Compensable
Delay
ONLY Time
Extension is
Excusable Non Compensable Delay Granted
Concurrent Delays

Excusable Compensable Delay Excusable


Compensable
Delay concurrent
with Excusable
Non
Excusable non Compensable Delay Compensable
yields a net
Excusable Non
Compensable
Delay
Excusable Non Compensable Delay
ONLY Time
Extension is
Granted
Concurrent Delays

Excusable Compensable Delay Excusable Delay


concurrent with
Excusable Delay
yields a net
Excusable
Excusable Compensable Delay Compensable
Delay
Contractor might
be entitled for
Excusable Compensable Delay Time Extension
and Delay
Damages.
Concurrent Delays

Excusable Delay
Excusable Delay
concurrent with
Suspension of
work yields a net
Excusable Delay
Suspension of work
Contractor might
be entitled for
Time Extension
and Delay
Excusable Delay Damages.
Concurrent Delays

Excusable Delay
Excusable Delay
concurrent with
Change order(s)
yields a net
Change order(s) Compensable
Delay
Contractor might
be entitled for
Time Extension
Compensable Delay
and Delay
Damages.
NOTE

 ONLY THE OVERLAPPING DURATION IS CONSIDERED CONCURRENT AND


ANALYZED ACCORDING TO THE CONCURRENT DELAYS CRITERIA. THE NON
OVERLAPPING PORTIONS OF EACH DELAY ARE TO BE TREATED AS
INDIVIDULAE DELAY AND ANALYZED ACCORDIGNLY.

© 2010 CMCS FZCO 99


TYPES OF DELAYS

 Pacing Delays
 This is a new type of delays in construction claims. It is addressed as legitimate
business decision rather than being contractual, where the Contractor’s management
takes a decision to de-accelerate non critical areas, due to the Employer’s delays or
Employer’s expected delays in critical areas, for the purpose of keeping pace with
Employer’s delays
 It is usually disputed issue as no contractual cover for such decision
 Contractors in England and USA has won some cases related to pacing delays in
courts.

© 2010 CMCS FZCO 99


EXERCISE

 Is the Delays in the following case concurrent? If Yes, is the Contractor entitled
for Time Extension and Claim Damages or Time Extension Only

 Exercise 1:
 Activity A is in the critical path of the Contractor’s schedule. Employer decided to
implement some changes in the design which will cause activity A that was planned to
start in week 15 of the project to be hindered for 20 days. Activity B has a total float of
20 days and was delayed by the contractor due to delay in material delivery. Activity B
was supposed to start in week 15 of the Project.

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 1 - Answer:
 Those are not concurrent delays. Activity B is not a critical activity

© 2010 CMCS FZCO 99


EXERCISE

 Is the Delays in each of the following case concurrent?


 If Yes, is the Contractor entitled for Time Extension and Claim Damages or Time
Extension Only?

 Exercise 2:
 Adverse weather condition has occurred that causes delay in the start of foundations
works for 20 days. Foundation activity is very critical and was supposed to start on day
number 8 of the project. It was the Employer responsibility to provide the pipes for the
main drainage line for this project on day number 11 of the project and Contractor to
start laying the pipes in day number 20. Pipe laying is another critical activity in the
Project The employer did not deliver the pipes on time causing the start of laying the
pipes to start in day number 31.

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 2 - Answer:
 Those are concurrent delays
 This case represents excusable non-compensable delays with excusable compensable
delay.
 The result is excusable non compensable delay. The contractor will be entitled for Time
extension but not claim damages

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 3:
 A Project is composed of four buildings. All buildings must be completed at the same
completion date .i.e. there is no partial handing over
 All design drawings must be completed on the fifth week, this is critical activity. Due to
technical reasons all foundations for the four buildings must be completed before
proceeding further with the remaining activities.
 It is the Eighth week Employer is still changing the designs of building number 4. Final
for construction drawings was not released to the contractor
 According to the delay in building 4. Contractor decided to pull out some resources
working in buildings 2 and 3. Accordingly foundation completion date for these two
buildings was not completed as scheduled. Completing foundations for buildings 2 and
3 is another critical activity in the project.

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 3 - Answer:
 This is Pacing Delay.

© 2010 CMCS FZCO 99


EXERCISE

 Is the Delays in each of the following case concurrent?


 If Yes, is the Contractor entitled for Time Extension and Claim Damages or Time
Extension Only?
 If the Contractor is entitled for time extension, what is the concurrent delay
duration that will be considered in this case?

 Exercise 4:
 A project of 200 days duration, in day 180 of the project Contractor received formal
instruction for executing additional floor in the 50 story tower project. It was agreed with
the Engineer that Contractor needs additional 30 days to complete this additional floor.
The execution will start according to schedule in day 200 of the project.
 This project schedule contains 3 critical paths. One of them lies through the external
works which was also delayed by 30 days due to the Contractor’s delay in delivering
very important materials. The external works were planned to be completed in the day
200 of the project.

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 4 - Answer:
 This is excusable compensable delay concurrent with in- excusable delay
 Contractor will be entitled for time extension only with out delay damages costs for 30
days

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 5:
 Project A has strict Engineering milestones where delay damages are imposed on
these milestones. Review duration is 20 days. Engineer delayed first milestone which
was planned to be completed on day 80 of the project for 20 days. Parallel to this and
on another critical path of the project, Contractor was delayed due to delay in issuance
of required authorities approval (Employer’s responsibility) for 55 days . Authorities
Approvals were planned to be released on the day 80.

© 2010 CMCS FZCO 99


EXERCISE

 Exercise 5 - Answer:
This is not Concurrent Delay. Delays are caused by the same party

© 2010 CMCS FZCO 99


TYPES OF DELAYS - RELATED CONTRACT CLAUSES
 Clause 2.1: Right of Access to the Site
 Clause 2.5: Employer’s Claim
 Clause 4.2: Performance Security
 Clause 4.7: Setting Out
 Clause 4-12: Unforeseeable Physical Conditions
 Clause 4-24: Fossils
 Clause 7.4: Testing
 Clause 8.4: Extension of Time for Completion
 Clause 8.5: Delays caused by Authorities
 Clause 11.3: Extension of Defects Notification Period
 Clause 11.4: Failure to Remedy Defects
 Clause 13.3: Variation Procedure
 Clause 13.7: Adjustments for Changes in legislations
 Clause 16.1: Contractor’s Entitlement to Suspend the Works
 Clause 16.2: Termination by the Contractor
 Clause 17.4: Consequences of Employer’s Risks
 Clause 19: Force Majeure
 Clause 20.1: Contractor’s Claims

© 2010 CMCS FZCO 99


Clause 2.1: Right of Access to the Site

The Employer shall give the Contractor right of access to, and possession of, all parts of the Site within the
time (or times) stated in the Contract Data. The right and possession may not be exclusive to the Contractor.
If, under the Contract, the Employer is required to give (to the Contractor) possession of any foundation,
structure, plant or means of access, the Employer shall do so in the time and manner stated in the
Specification. However, the Employer may withhold any such right or possession until the Performance
Security has been received. If no such time is stated in the Contract Data, the Employer shall give the
Contractor right of access to, and possession of, the Site within such times as may be required to enable the
Contractor to proceed in accordance with the program submitted under Sub-Clause 8.3 [Programme].
If the Contractor suffers delay and/or incurs Cost as a result of a failure by the Employer to give any such
right or possession within such time, the Contractor shall give notice to the Engineer and shall be entitled
subject to Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4
[Extension of Time for Completion], and
(b) payment of any such Cost plus profit, which shall be included in the Contract Price.
After receiving this notice, the Engineer shall proceed in accordance with Sub-Clause 3.5 [Determinations] to
agree or determine these matters.
However, if and to the extent that the Employer’s failure was caused by any error or delay by the Contractor,
including an error in, or delay in the submission of, any of the Contractor’s Documents, the Contractor shall
not be entitled to such extension of time, Cost or profit.

© 2010 CMCS FZCO 99


Clause 2.5: Employer’s Claim

If the Employer considers himself to be entitled to any payment under any Clause of these Conditions or
otherwise in connection with the Contract, and/or to any extension of the Defects Notification Period, the
Employer or the Engineer shall give notice and particulars to the Contractor. However, notice is not required
for payments due under Sub-Clause 4.19 [Electricity, Water and Gas], under Sub-Clause 4.20 [Employer’s
Equipment and Free-Issue Material ], or for other services requested by the Contractor.
The notice shall be given as soon as practicable after the Employer became aware, or should have become
aware, of the event or circumstances giving rise to the claim. A notice relating to any extension of the
Defects Notification Period shall be given before the expiry of such period.
The particulars shall specify the Clause or other basis of the claim, and shall include substantiation of the
amount and/or extension to which the Employer considers himself to be entitled in connection with the
Contract. The Engineer shall then proceed in accordance with Sub-Clause 3.5 [Determinations] to agree or
determine (i) the amount (if any) which the Employer is entitled to be paid by the Contractor, and/or (ii) the
extension (if any) of the Defects Notification Period in accordance with Sub-Clause 11.3 [ Extension of
Defects Notification Period].
This amount may be included as a deduction in the Contract Price and Payment Certificates. The Employer
shall only be entitled to set off against or make any deduction from an amount certified in a Payment
Certificate, or to otherwise claim against the Contractor, in accordance with this Sub-Clause.

© 2010 CMCS FZCO 99


Clause 4.2: Performance Security

The Contractor shall obtain (at his cost) a Performance Security for proper performance, in the form, amount
and currencies stated in the Contract Data. If an amount is not stated in the Contract Data, this Sub-Clause
shall not apply.
The Contractor shall deliver the Performance Security to the Employer within 28 days after receiving the
Letter of Acceptance, and shall send a copy to the Engineer. The Performance Security shall be issued by an
entity and from within a country (or other jurisdiction) approved by the Employer, and shall be in the form
annexed to the Particular Conditions or in another form approved by the Employer.
The Contractor shall ensure that the Performance Security is valid and enforceable until the Contractor has
executed and completed the Works and remedied any defects. If the terms of the Performance Security
specify its expiry date, and the Contractor has not become entitled to receive the Performance Certificate by
the date 28 days prior to the expiry date, the Contractor shall extend the validity of the Performance Security
until the Works have been completed and any defects have been remedied.
The Employer shall not make a claim under the Performance Security, except for amounts to which the
Employer is entitled under the Contract.

© 2010 CMCS FZCO 99


Clause 4.2: Performance Security

The Employer shall indemnify and hold the Contractor harmless against and from all damages, losses and
expenses (including legal fees and expenses) resulting from a claim under the Performance Security to the
extent to which the Employer was not entitled to make the claim. The Employer shall return the Performance
Security to the Contractor within 21 days after receiving a copy of the Performance Certificate.
Without limitation to the provisions of the rest of this Sub-Clause, whenever the Engineer determines an
addition or a reduction to the Contract Price as a result of a change in cost and/or legislation or as a result of
a Variation amounting to more than 25 percent of the portion of the Contract Price payable in a specific
currency, the Contractor shall at the Engineer’s request promptly increase, or may decrease, as the case may
be, the value of the Performance Security in that currency by an equal percentage.

© 2010 CMCS FZCO 99


Clause 4.7: Setting Out

The Contractor shall set out the Works in relation to original points, lines and levels of reference specified in
the Contract or notified by the Engineer. The Contractor shall be responsible for the correct positioning of all
parts of the Works, and shall rectify any error in the positions, levels, dimensions or alignment of the Works.
The Employer shall be responsible for any errors in these specified or notified items of reference, but the
Contractor shall use reasonable efforts to verify their accuracy before they are used.
If the Contractor suffers delay and/or incurs Cost from executing work which was necessitated by an error in
these items of reference, and an experienced contractor could not reasonably have discovered such error
and avoided this delay and/or Cost, the Contractor shall give notice to the Engineer and shall be entitled
subject to Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4
[Extension of Time for Completion], and
(b) payment of any such Cost plus profit, which shall be included in the Contract Price.
After receiving this notice, the Engineer shall proceed in accordance with Sub-Clause 3.5 [Determinations] to
agree or determine (i) whether and (if so) to what extent the error could not reasonably have been
discovered, and (ii) the matters described in sub-paragraphs (a) and (b) above related to this extent.

© 2010 CMCS FZCO 99


Clause 4-12: Unforeseeable Physical Conditions

In this Sub-Clause, “physical conditions” means natural physical conditions and manmade and other
physical obstructions and pollutants, which the Contractor encounters at the Site when executing the Works,
including sub-surface and hydrological conditions but excluding climatic conditions. If the Contractor
encounters adverse physical conditions which he considers to have been Unforeseeable, the Contractor
shall give notice to the Engineer as soon as practicable.
This notice shall describe the physical conditions, so that they can be inspected by the Engineer, and shall
set out the reasons why the Contractor considers them to be
4.10 Site Data
4.11 Sufficiency of the Accepted Contract Amount
4.12 Unforeseeable Physical Conditions
Unforeseeable. The Contractor shall continue executing the Works, using such proper and reasonable
measures as are appropriate for the physical conditions, and shall comply with any instructions which the
Engineer may give. If an instruction constitutes a Variation, Clause 13 [Variations and Adjustments] shall
apply.
If and to the extent that the Contractor encounters physical conditions which are Unforeseeable, gives such a
notice, and suffers delay and/or incurs Cost due to these conditions, the Contractor shall be entitled subject
to Sub-Clause 20.1 [Contractor’s Claims] to:

© 2010 CMCS FZCO 99


Clause 4-12: Unforeseeable Physical Conditions

(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4
[Extension of Time for Completion], and
(b) payment of any such Cost, which shall be included in the Contract Price. After receiving such notice and
inspecting and/or investigating these physical conditions, the Engineer shall proceed in accordance with
Sub-Clause 3.5 [Determinations] to agree or determine (i) whether and (if so) to what extent these
physical conditions were Unforeseeable, and (ii) the matters described in subparagraphs
(a) and (b) above related to this extent. However, before additional Cost is finally agreed or determined under
sub-paragraph (ii), the Engineer may also review whether other physical conditions in similar parts of the
Works (if any) were more favourable than could reasonably have been foreseen when the Contractor
submitted the Tender. If and to the extent that these more favourable conditions were encountered, the
Engineer may proceed in accordance with Sub-Clause 3.5 [Determinations] to agree or determine the
reductions in Cost which were due to these conditions, which may be included (as deductions) in the
Contract Price and Payment Certificates. However, the net effect of all adjustments under sub-paragraph (b)
and all these reductions, for all the physical conditions encountered in similar parts of the Works, shall not
result in a net reduction in the Contract Price.
The Engineer may take account of any evidence of the physical conditions foreseen by the Contractor when
submitting the Tender, which may be made available by the Contractor, but shall not be bound by any such
evidence.

© 2010 CMCS FZCO 99


Clause 4-24: Fossils

All fossils, coins, articles of value or antiquity, and structures and other remains or items of geological or
archaeological interest found on the Site shall be placed under the care and authority of the Employer. The
Contractor shall take reasonable precautions to prevent Contractor’s Personnel or other persons from
removing or damaging any of these findings.
The Contractor shall, upon discovery of any such finding, promptly give notice to the Engineer, who shall
issue instructions for dealing with it. If the Contractor suffers delay and/or incurs Cost from complying with
the instructions, the Contractor shall give a further notice to the Engineer and shall be entitled subject to
Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4 [
Extension of Time for Completion], and
(b) payment of any such Cost, which shall be included in the Contract Price.
After receiving this further notice, the Engineer shall proceed in accordance with Sub-Clause 3.5
[Determinations] to agree or determine these matters.

© 2010 CMCS FZCO 99


Clause 7.4: Testing

This Sub-Clause shall apply to all tests specified in the Contract, other than the Tests after Completion (if
any).
The Contractor shall provide all apparatus, assistance, documents and other information, electricity,
equipment, fuel, consumables, instruments, labour, materials, and suitably qualified and experienced staff,
as are necessary to carry out the specified tests efficiently. The Contractor shall agree, with the Engineer, the
time and place for the specified testing of any Plant, Materials and other parts of the Works.
7.1 Manner of Execution
7.2 Samples
7.3 Inspection
7.4 Testing Plant, Materials and Workmanship
The Engineer may, under Clause 13 [Variations and Adjustments], vary the location or details of specified
tests, or instruct the Contractor to carry out additional tests. If these varied or additional tests show that the
tested Plant, Materials or workmanship is not in accordance with the Contract, the cost of carrying out this
Variation shall be borne by the Contractor, notwithstanding other provisions of the Contract.
The Engineer shall give the Contractor not less than 24 hours’ notice of the Engineer’s intention to attend the
tests. If the Engineer does not attend at the time and place agreed, the Contractor may proceed with the
tests, unless otherwise instructed by the Engineer, and the tests shall then be deemed to have been made in
the Engineer’s presence.

© 2010 CMCS FZCO 99


Clause 7.4: Testing

If the Contractor suffers delay and/or incurs Cost from complying with these instructions or as a result of a
delay for which the Employer is responsible, the Contractor shall give notice to the Engineer and shall be
entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4
[Extension of Time for Completion], and
(b) payment of any such Cost plus profit, which shall be included in the Contract Price.
After receiving this notice, the Engineer shall proceed in accordance with Sub-Clause 3.5 [Determinations] to
agree or determine these matters.
The Contractor shall promptly forward to the Engineer duly certified reports of the tests. When the specified
tests have been passed, the Engineer shall endorse the Contractor’s test certificate, or issue a certificate to
him, to that effect. If the Engineer has not attended the tests, he shall be deemed to have accepted the
readings as accurate.

© 2010 CMCS FZCO 99


Clause 8.4: Extension of Time for Completion

The Contractor shall be entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to an extension of the Time
for Completion if and to the extent that completion for the purposes of Sub-Clause 10.1 [Taking-Over of the
Works and Sections] is or will be delayed by any of the following causes:
(a) a Variation (unless an adjustment to the Time for Completion has been agreed under Sub-Clause 13.3
[Variation Procedure]) or other substantial change in the quantity of an item of work included in the Contract,
(b) a cause of delay giving an entitlement to extension of time under a Sub-Clause of these Conditions,
(c) exceptionally adverse climatic conditions,
(d) Unforeseeable shortages in the availability of personnel or Goods caused by epidemic or governmental
actions, or
(e) any delay, impediment or prevention caused by or attributable to the Employer, the Employer’s Personnel,
or the Employer’s other contractors.
If the Contractor considers himself to be entitled to an extension of the Time for Completion, the Contractor
shall give notice to the Engineer in accordance with Sub-Clause 20.1 [Contractor’s Claims]. When
determining each extension of time under Sub-Clause 20.1, the Engineer shall review previous
determinations and may increase, but shall not decrease, the total extension of time.

© 2010 CMCS FZCO 99


Clause 8.5: Delays caused by Authorities

If the following conditions apply, namely:


(a) the Contractor has diligently followed the procedures laid down by the relevant legally constituted public
authorities in the Country,
(b) these authorities delay or disrupt the Contractor’s work, and
(c) the delay or disruption was Unforeseeable,
then this delay or disruption will be considered as a cause of delay under subparagraph (b) of Sub-Clause 8.4
[Extension of Time for Completion].

© 2010 CMCS FZCO 99


Clause 11.3: Extension of Defects Notification Period

The Employer shall be entitled subject to Sub-Clause 2.5 [Employer’s Claims] to an extension of the Defects
Notification Period for the Works or a Section if and to the extent that the Works, Section or a major item of
Plant (as the case may be, and after taking over) cannot be used for the purposes for which they are intended
by reason of a defect or damage. However, a Defects Notification Period shall not be extended by more than
two years.
If delivery and/or erection of Plant and/or Materials was suspended under Sub-Clause 8.8 [Suspension of
Work] or Sub-Clause 16.1 [ Contractor’s Entitlement to Suspend Work], the Contractor’s obligations under
this Clause shall not apply to any defects or damage occurring more than two years after the Defects
Notification Period for the Plant and/or Materials would otherwise have expired.

© 2010 CMCS FZCO 99


Clause 11.4: Failure to Remedy Defects

If the Contractor fails to remedy any defect or damage within a reasonable time, a date may be fixed by (or on
behalf of) the Employer, on or by which the defect or damage is to be remedied. The Contractor shall be
given reasonable notice of this date. If the Contractor fails to remedy the defect or damage by this notified
date and this remedial work was to be executed at the cost of the Contractor under Sub-Clause 11.2 [Cost of
Remedying Defects], the Employer may (at his option):
(a) carry out the work himself or by others, in a reasonable manner and at the Contractor’s cost, but the
Contractor shall have no responsibility for this work; and the Contractor shall subject to Sub-Clause 2.5
[Employer’s Claims] pay to the Employer the costs reasonably incurred by the Employer in remedying the
defect or damage;
(b) require the Engineer to agree or determine a reasonable reduction in the Contract Price in accordance
with Sub-Clause 3.5 [Determinations]; or
(c) if the defect or damage deprives the Employer of substantially the whole benefit of the Works or any
major part of the Works, terminate the Contract as a whole, or in respect of such major part which cannot be
put to the intended use. Without prejudice to any other rights, under the Contract or otherwise, the Employer
shall then be entitled to recover all sums paid for the Works or for such part (as the case may be), plus
financing costs and the cost of dismantling the same, clearing the Site and returning Plant and Materials to
the Contractor.

© 2010 CMCS FZCO 99


Clause 13.3: Variation Procedure

If the Engineer requests a proposal, prior to instructing a Variation, the Contractor shall respond in writing as
soon as practicable, either by giving reasons why he cannot comply (if this is the case) or by submitting:
(a) a description of the proposed work to be performed and a programme for its execution,
(b) the Contractor’s proposal for any necessary modifications to the programme according to Sub-Clause 8.3
[Programme] and to the Time for Completion, and
(c) the Contractor’s proposal for evaluation of the Variation.
The Engineer shall, as soon as practicable after receiving such proposal (under Sub-13.2 Value Engineering
or otherwise), respond with approval, disapproval or comments. The Contractor shall not delay any work
whilst awaiting a response.
Each instruction to execute a Variation, with any requirements for the recording of Costs, shall be issued by
the Engineer to the Contractor, who shall acknowledge receipt.
Each Variation shall be evaluated in accordance with Clause 12 [Measurement and Evaluation ], unless the
Engineer instructs or approves otherwise in accordance with this Clause.

© 2010 CMCS FZCO 99


Clause 13.7: Adjustments for Changes in legislations

The Contract Price shall be adjusted to take account of any increase or decrease in Cost resulting from a
change in the Laws of the Country (including the introduction of new Laws and the repeal or modification of
existing Laws) or in the judicial or official governmental interpretation of such Laws, made after the Base
Date, which affect the Contractor in the performance of obligations under the Contract.
If the Contractor suffers (or will suffer) delay and/or incurs (or will incur) additional Cost as a result of these
changes in the Laws or in such interpretations, made after the Base Date, the Contractor shall give notice to
the Engineer and shall be entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4
[Extension of Time for Completion], and
(b) payment of any such Cost, which shall be included in the Contract Price.
After receiving this notice, the Engineer shall proceed in accordance with Sub-Clause 3.5 [Determinations] to
agree or determine these matters.
Notwithstanding the foregoing, the Contractor shall not be entitled to such an extension of time if the same
shall already have been taken into account in determining an extension and such Cost shall not be
separately paid if the same shall already have been taken into account in the indexing of any inputs to the
table of adjustment data in accordance with the provisions of Sub-Clause 13.8.

© 2010 CMCS FZCO 99


Clause 16.1: Contractor’s Entitlement to Suspend the Works

If the Engineer fails to certify in accordance with Sub-Clause 14.6 [ Issue of Interim Payment Certificates ] or
the Employer fails to comply with Sub-Clause 2.4 [ Employer’s Financial Arrangements] or Sub-Clause 14.7
[Payment], the Contractor may, after giving not less than 21 days’ notice to the Employer, suspend work (or
reduce the rate of work) unless and until the Contractor has received the Payment Certificate, reasonable
evidence or payment, as the case may be and as described in the notice.
Notwithstanding the above, if the Bank has suspended disbursements under its loan, which finances in
whole or in part the execution of the Works, and no alternative funds are available as provided for in Sub-
Clause 2.4 [Employer’s Financial Arrangements], the Contractor may by notice suspend work or reduce the
rate of work at any time, but not less than 7 days after the Borrower having received the suspension
notification from the Bank.
The Contractor’s action shall not prejudice his entitlements to financing charges under Sub-Clause 14.8
[Delayed Payment] and to termination under Sub-Clause 16.2 [Termination by Contractor].
If the Contractor subsequently receives such Payment Certificate, evidence or payment (as described in the
relevant Sub-Clause and in the above notice) before giving a notice of termination, the Contractor shall
resume normal working as soon as is reasonably practicable.

© 2010 CMCS FZCO 99


Clause 16.1: Contractor’s Entitlement to Suspend the Works

If the Contractor suffers delay and/or incurs Cost as a result of suspending work (or reducing the rate of
work) in accordance with this Sub-Clause, the Contractor shall give notice to the Engineer and shall be
entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4 [
Extension of Time for Completion], and
(b) payment of any such Cost plus profit, which shall be included in the Contract Price.
After receiving this notice, the Engineer shall proceed in accordance with Sub-Clause
3.5 [Determinations] to agree or determine these matters.

© 2010 CMCS FZCO 99


Clause 16.2: Termination by the Contractor

The Contractor shall be entitled to terminate the Contract if:


(a) the Contractor does not receive the reasonable evidence within 42 days after giving notice under Sub-
Clause 16.1 [Contractor’s Entitlement to Suspend Work] in respect of a failure to comply with Sub-Clause 2.4
[Employer’s Financial Arrangements],
(b) the Engineer fails, within 56 days after receiving a Statement and supporting documents, to issue the
relevant Payment Certificate,
(c) the Contractor does not receive the amount due under an Interim Payment Certificate within 42 days after
the expiry of the time stated in Sub-Clause 14.7 [Payment] within which payment is to be made (except for
deductions in accordance with Sub-Clause 2.5 [Employer’s Claims]),
(d) the Employer substantially fails to perform his obligations under the Contract in such manner as to
materially and adversely affect the ability of the Contractor to perform the Contract,
(e) the Employer fails to comply with Sub-Clause 1.6 [Contract Agreement] or Sub-Clause 1.7 [Assignment],
(f) a prolonged suspension affects the whole of the Works as described in Sub-Clause 8.11 [Prolonged
Suspension], or
(g) the Employer becomes bankrupt or insolvent, goes into liquidation, has a receiving or administration
order made against him, compounds with his creditors, or carries on business under a receiver, trustee or
manager for the benefit of his creditors, or if any act is done or event occurs which (under applicable Laws)
has a similar effect to any of these acts or events.

© 2010 CMCS FZCO 99


Clause 16.2: Termination by the Contractor

(h) In the event the Bank suspends the loan or credit from which part of the payments to the Contractor are
being made, if the Contractor has not received the sums due to him upon expiration of the 14 days referred to
in Sub-Clause 14.7 for payments under Interim Payment certificates, the Contractor may, without prejudice to
the Contractor’s entitlement to financing charges under Sub-Clause 14.8, immediately take one or both of the
following actions, namely (i) suspend work or reduce the rate of work, and (ii) terminate his employment
under the Contract by giving notice to the Employer, with a copy to the Engineer, such termination to take
effect 14 days after the giving of the notice.
In any of these events or circumstances, the Contractor may, upon giving 14 days’ notice to the Employer,
terminate the Contract. However, in the case of subparagraph (f) or (g), the Contractor may by notice
terminate the Contract immediately.
The Contractor’s election to terminate the Contract shall not prejudice any other rights of the Contractor,
under the Contract or otherwise.

© 2010 CMCS FZCO 99


Clause 17.4: Consequences of Employer’s Risks

If and to the extent that any of the risks listed in Sub-Clause 17.3 above results in loss or damage to the
Works, Goods or Contractor’s Documents, the Contractor shall promptly give notice to the Engineer and
shall rectify this loss or damage to the extent required by the Engineer.
If the Contractor suffers delay and/or incurs Cost from rectifying this loss or damage, the Contractor shall
give a further notice to the Engineer and shall be entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to:
(a) an extension of time for any such delay, if completion is or will be delayed, under Sub-Clause 8.4
[Extension of Time for Completion], and
(b) payment of any such Cost, which shall be included in the Contract Price. In the case of sub-paragraphs (f)
and (g) of Sub-Clause 17.3 [Employer’s Risks ], Cos plus profit shall be payable.
After receiving this further notice, the Engineer shall proceed in accordance with Sub-Clause 3.5
[Determinations] to agree or determine these matters.

© 2010 CMCS FZCO 99


Clause 19.1: Force Majeure

In this Clause, “Force Majeure” means an exceptional event or circumstance:


(a) which is beyond a Party’s control,
(b) which such Party could not reasonably have provided against before entering into the Contract,
(c) which, having arisen, such Party could not reasonably have avoided or overcome, and
(d) which is not substantially attributable to the other Party.
Force Majeure may include, but is not limited to, exceptional events or circumstances of the kind listed
below, so long as conditions (a) to (d) above are satisfied:
(i) war, hostilities (whether war be declared or not), invasion, act of foreign enemies,
(ii) rebellion, terrorism, sabotage by persons other than the Contractor’s Personnel, revolution, insurrection,
military or usurped power, or civil war,
(iii) riot, commotion, disorder, strike or lockout by persons other than the
Contractor’s Personnel,
(iv) munitions of war, explosive materials, ionising radiation or contamination by radio-activity, except as
may be attributable to the Contractor’s use of such munitions, explosives, radiation or radio-activity, and
(v) natural catastrophes such as earthquake, hurricane, typhoon or volcanic activity.

© 2010 CMCS FZCO 99


Clause 20.1: Contractor’s Claims

If the Contractor considers himself to be entitled to any extension of the Time for Completion and/or any
additional payment, under any Clause of these Conditions or otherwise in connection with the Contract, the
Contractor shall give notice to the Engineer, describing the event or circumstance giving rise to the claim.
The notice shall be given as soon as practicable, and not later than 28 days after the Contractor became
aware, or should have become aware, of the event or circumstance.
If the Contractor fails to give notice of a claim within such period of 28 days, the Time for Completion shall
not be extended, the Contractor shall not be entitled to additional payment, and the Employer shall be
discharged from all liability in connection with the claim. Otherwise, the following provisions of this Sub-
Clause shall apply.
The Contractor shall also submit any other notices which are required by the Contract, and supporting
particulars for the claim, all as relevant to such event or circumstance. The Contractor shall keep such
contemporary records as may be necessary to substantiate any claim, either on the Site or at another
location acceptable to the Engineer. Without admitting the Employer’s liability, the Engineer may, after
receiving any notice under this Sub-Clause, monitor the record-keeping and/or instruct the Contractor to
keep further contemporary records. The Contractor shall permit the Engineer to inspect all these records,
and shall (if instructed) submit copies to the Engineer.

© 2010 CMCS FZCO 99


Clause 20.1: Contractor’s Claims

Within 42 days after the Contractor became aware (or should have become aware) of the event or
circumstance giving rise to the claim, or within such other period as may be proposed by the Contractor and
approved by the Engineer, the Contractor shall send to the Engineer a fully detailed claim which includes full
supporting particulars of the basis of the claim and of the extension of time and/or additional payment
claimed.
If the event or circumstance giving rise to the claim has a continuing effect:
(a) this fully detailed claim shall be considered as interim;
(b) the Contractor shall send further interim claims at monthly intervals, giving the accumulated delay and/or
amount claimed, and such further particulars as the Engineer may reasonably require; and
(c) the Contractor shall send a final claim within 28 days after the end of the effects resulting from the event
or circumstance, or within such other period as may be proposed by the Contractor and approved by the
Engineer.
Within 42 days after receiving a claim or any further particulars supporting a previous claim, or within such
other period as may be proposed by the Engineer and approved by the Contractor, the Engineer shall
respond with approval, or with disapproval and detailed comments. He may also request any necessary
further particulars, but shall nevertheless give his response on the principles of the claim within such time.

© 2010 CMCS FZCO 99


Clause 20.1: Contractor’s Claims

Each Payment Certificate shall include such amounts for any claim as have been reasonably substantiated
as due under the relevant provision of the Contract. Unless and until the particulars supplied are sufficient to
substantiate the whole of the claim, the Contractor shall only be entitled to payment for such part of the claim
as he has been able to substantiate.
The Engineer shall proceed in accordance with Sub-Clause 3.5 [Determinations] to agree or determine (i) the
extension (if any) of the Time for Completion (before or after its expiry) in accordance with Sub-Clause 8.4
[Extension of Time for Completion], and/or (ii) the additional payment (if any) to which the Contractor is
entitled under the Contract.
The requirements of this Sub-Clause are in addition to those of any other Sub-Clause which may apply to a
claim. If the Contractor fails to comply with this or another Sub-Clause in relation to any claim, any extension
of time and/or additional payment shall take account of the extent (if any) to which the failure has prevented
or prejudiced proper investigation of the claim, unless the claim is excluded under the second paragraph of
this Sub-Clause.

© 2010 CMCS FZCO 99


NOTE

 IT IS VERY IMPORTANT TO KNOW THE CONTRACTUAL VALIDITY AND


SUPPORT TO YOUR DELAY, THE TIME FRAME RELATED TO THE ISSUE AND
ANY OTHER CONTRACTUAL ENTITELEMENT(S) THAT MIGHT BE RELATED
BEFORE COMMUNICATING ANY REQUESTS TO ANY OTHER PARTY

© 2010 CMCS FZCO 99


NOTE

 TIPS:
 Always keep records of all Contractual Time Frames in quick, easy and readable
format “this might help”:

© 2010 CMCS FZCO 99


NOTE

 TIPS:
 Always keep records of all Contractual Time Frames in quick, easy and readable
format “this might help”:

© 2010 CMCS FZCO 99


NOTE

 TIPS:
 Always keep records of all Contractual Time Frames in quick, easy and readable
format “this might help”:

© 2010 CMCS FZCO 99


NOTE

 TIPS:

 Document Management and Control:


 Use Reliable Contract Manager and Document Control System
 Define Clear Procedure for Document Control from the beginning of the project
 Small piece of paper might worth millions some day!
 If you are the Contractor, the Employer or the Engineer try to put all other parties with
you in the same boat!

© 2010 CMCS FZCO 99


NOTE

 TIPS:

Tricks commonly used by Contractors:


 Reducing Design/Drawings review time
 Unrealistic as planned schedule
 Artificial logic to hide float or exaggerate known/expected delays
 Playing with data while creating as built schedule
 Incorrect actual dates in progress updates
 Hidden logic/duration changes in updates
 Using incorrect productivity rates
 In proper breakdown of activities
Before using any of these tricks, you have to be aware of current and future effects that
might mess up your case.

© 2010 CMCS FZCO 99


NOTE

 TIPS:

Tricks commonly used by Engineer:


 Not consenting the baseline schedule
 Continuous queries for revising the schedule. Always the type of schedule required
must be classified (baseline, revised baseline, acceleration, recovery, impacted---etc.)
 Releasing variations/changes without approving exact time impact
 Not documenting some facts related to Employer’s delays
 Not updating the milestone schedule in case of multi packages projects

Always push for having the data you believe it is important to your project and case.
Documenting the facts and approving the schedules from your Engineer/client is
extremely vital.

© 2010 CMCS FZCO 99


NOTE

 TIPS:

 Results of Tricks Commonly Used


 Wait and see situations
 Conflicts and disputes

 To avoid such situations


 Use of contractual provisions
 Use of protocol compliant procedure
 Keeping records

© 2010 CMCS FZCO 99


END OF SECTION

© 2010 CMCS FZCO 99


ANALYZING DELAYS

 Why Should we Analyze Delays?


 How to Analyze Delays?
 What is Baseline Schedule?
 What is as-built Schedule?
 What is updated Schedule?
 Different Techniques to Analyze Delays
 Which Technique to use
 Case Study

© 2010 CMCS FZCO 99


WHY DELAYS SHOULD BE ANALYZED?

 The amount of delay experienced on a project is a measurement of time. Just like any
measurement, a standard is needed to measure against. One could determine the
amount of delay by subtracting the contract completion date from the actual completion
date thereby arriving at the time overrun. Unfortunately, this simplistic method does not
establish when the delay occurred during the project, nor does it establish who is
responsible for the delay.

 According to FIDIC 1999 Clause 20.1. Claim submittal shall be substantiated with
proper documentation and supporting documents that proofs the cause and effect.

© 2010 CMCS FZCO 99


HOW TO ANALYZE DELAYS?

 To Analyze Delays you should:


 Clearly define all causes of Delays and/or event giving rise to claim that occurred
during the analyzed period.
 Determine to which type of delays each event is related.
 Include the delay event(s) to the Time Schedule of the Project and determine the
effect of such event(s) on the contractual completion date of your project.

© 2010 CMCS FZCO 99


HOW TO ANALYZE DELAYS?

 TIPS:
 Tip 1: Create Coding for your Delays

© 2010 CMCS FZCO 99


HOW TO ANALYZE DELAYS?

 TIPS:
 Tip 1: Create Coding for your Delays

© 2010 CMCS FZCO 99


HOW TO ANALYZE DELAYS?

 TIPS:
 Tip 1: Create Coding for your Delays

© 2010 CMCS FZCO 99


HOW TO ANALYZE DELAYS?

 TIPS:
 Tip 2: Important Terminologies:

 Early Start (ES)/ Early Finish (EF): The earliest date an activity can
start/finish on.
 Late Start (LS): The latest date an activity can start/finish on without
delaying the project.
 Total Float (TF): It is the excess time along non-critical chain of activities. As
long as the number of total float days is not exceeded, activities containing
float may be delayed either in starting or in finishing without delaying total
project completion.
TF = LS - ES or LF- EF
 Free Float (FF): It is the amount days activity could be delayed with out
delaying the successor activity(s) in the network. This is very important
when having intermediate milestones imposed by the Employer and/or
packaging nature projects.
FF = min. ES of Activity’s successors – EF

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 There are several techniques to analyze delays, but the most commonly used are:
 As planned Vs. As built comparison method (Total Time Approach)
 The impacted as planned method ( What If Approach)
 The collapsed as built method (But For Approach)
 The contemporaneous period analysis method (Windows Approach)

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 1- As planned Vs. As built – How?


 Compares the as planned Vs. As built Schedule.
 It assumes that the party uses the method did not cause any delay and all delays have
been cause by the other party.
 To carry the analysis:
 a- Recover your baseline (as planned) schedule.
 b- Prepare as built schedule.
 c- Add delays to the as built schedule.
 d- Mathematically calculate the difference in the two completion dates.

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 1- As planned Vs. As built – How?


 For Example:
 As planned (Baseline) schedule shows total project duration of 10 months
 As built schedule reflects total project duration of 20 months
 The total delays tracked will be 10 months
 If Types of Delays Needs to be Classified:
 In your as built schedule allocate Employer’s and Contractor’s Delay
 If we assume Contractor’s Delays = 12 Months
 If we assume Employer’s Delays = 14 Months, Therefore:
 Both parties were responsible for at least 12 months delay. Concurrent
Delays=12 Months
 The Employer’s responsible for 2 months extra delays. Employer Caused Delays=
2 months
 Contractor caused delays= Total Delays – Employer Delays = 10-2= 8 months

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 As Planned Vs. As built Technique – Strengths


 Easy to apply
 Simple mathematical difference calculations
 Straight forward

 As Planned Vs. As built Technique – Weaknesses


 Considers only one party delays
 Do not considers time of occurrence of delay event or type of delay
 Assumes the baseline is accurate
 Might be rejected by arbitrators or courts

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 2- The Impacted As Planned Method – How?


 Use the baseline schedule and impact the schedule with delays
 To examine the effect of Contractor’s delays, impact the baseline schedule with
Contractor’s delay events. To examine Employer’s Delays, impact the schedule with
Employer’s Delays
 To conclude the delay period do mathematical sum between the baseline completion
date and impacted as planned schedule completion date
 To conclude the other party delays you may use the as built schedule OR the actual
completion date and do mathematical sum between the as built completion date and
the as planned completion date

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 NC Non Compensable Delays/ Contractor Delays.

 EC Excusable compensable.

 NN Non excusable non compensable.

 LD Liquidated damages.

 CD Claim Damages/ prolonging disruption costs.

© 2010 CMCS FZCO 99


As-Planned
Delayed Events
Schedules

E ((GROSS MEASURE)
Securitize delay events type

EC NC
∑EC ∑NC

Impact the As-planned


Impact the As-Planned schedule
schedule with all NE delayed
with all EC delayed events

AS PLANNED TECHNIQUE
events

LD =The different in project


CD = The different in project completion dates of As-planned
completion dates of As-planned schedule before and after the
schedule impact impact.
Next
Activity

END
© 2010 CMCS FZCO 99
As-Planned
Schedules Delayed events

Determined the critical First


Sort the Delayed event
path on As-Planned Delayed on a time manner
Schedule
event

Impact the As-Planned critical


path with all delayed events
in a time manner

NN Securities delay Events type


EC

LD=The different in project CD=The different in project


completion dates of As-Planned completion dates of As-Planned
Schedule before and after the Schedule before and after the
Next
Impact impact
delayed
event

END

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 2- The Impacted As Planned Method – How?


 EXAMPLE
 If we use the same example, the as planned schedule shows project Duration of 10
months
 As built Project Duration = 20 Months
 After impacting the baseline schedule with Employer’s delays, project duration tends
to be 25 Months

 Therefore,
 Employer Caused Delays = 25 -10= 15 months this is will be compensable delays
 Contractor Caused Delays= 25 -20= 5 months , this will be entitled for liquidated
damages

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 2- The Impacted As Planned Method – How?


 EXAMPLE
 After Impacting the baseline schedule with Contractor’s delays, project duration tends
to be 23 months.

 Therefore:
 Contractor Caused Delays = 23 -10= 13 months this will be entitled for liquidated
damages.
 Employer Caused Delays= 23 -20= 3 months , this will be compensable delays.

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 2- The Impacted As Planned Method – Strength


 Can be prepared quickly (providing that all required data is available)
 Easy Mathematical calculations to represent net delays

 2- The Impacted As Planned Method – Weaknesses


 It assumes that the as planned schedule is perfect
 It assumes that the Contractor always follows the original plan
 It assumes nobody responsible for delays except the party who is doing the analysis
 As planned logic usually amplifies the effect of delays because of various simple
assumptions the planner may take during planning
 It may ignore what actually happened on the project. That’s why some Engineers and
arbitrators consider this method argumentative rather than analytical technique

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 3- The Collapsed As Built Method – How?


 Have your as built schedule complete
 Include all delay activities
 Analyze and remove all apparent Employer caused delays
 Collapse the Schedule
 The result should be the schedule that the Contractor should have followed during the
course of execution of the project
 Calculate Employer caused delays, Contractor caused delays and concurrent delays.

 Note: The but for schedule results from removing all owner caused delays that
affect the as built critical path. The amount of compensable delays is the
difference in time between the actual completion date shown in the as built
schedule and the completion date shown in the but – for analysis.

© 2010 CMCS FZCO 99


As-Built
Delayed events
Schedules
The Collapsed As Built Method

EC Classify delay events type


NE

∑EC ∑NE

Collapse all EC delayed Collapse all NE delayed


events from As-Built events from As-Built
schedule schedule

CD= ∑ The different in project CD= ∑ The different in project


completion dates of as-built completion dates of as
schedule before and after the planned schedule and as built
collapse. schedule

End
© 2010 CMCS FZCO 99
DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 3- The Collapsed As Built Method – How?


 Example
 If we use the same example, the as planned schedule shows project Duration of 10
months
 As built Project Duration = 20 Months.
 After removing Employer’s Delays from the as built schedule, total project duration
shows 18 months.
 Employers Delays’= the difference between the as built and collapsed schedule= 20 –
18 = 2 months, that is compensable delays.
 Contractor’s Delays = the difference between the collapsed schedule and the as
planned schedule = 18 – 10 = 8 months, this is subject to liquidated damages.

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 3- The Collapsed As Built Method – Strengths


 Reflects cause and effect on the as built schedule that represents the actual sequence
of work.
 Eliminates the use of the base line schedule, which is more theoretical
 Reliable.

 3- The Collapsed As Built Method – Weaknesses


 Considers nobody to be blamed for the delay but the Employer.
 Do not put delays in timely sequence as when they have occurred.
 Can be considered as argumentative rather than analytical.
 Not as easy to prepare as it shows.

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 4-The contemporaneous period analysis method (Windows Approach)


 To carry out this analysis:
 Get your as planned - baseline schedule ready
 Select reliable window periods to analyze
 Enter actual project progress and delay activities to copy of the original baseline
schedule using contemporaneous project documents for the first window period
 Calculate the schedule to analyze delays for the first window period
 Calculate the Employer caused delays, Contractor caused delays and concurrent
delays for the first window period
 Copy the schedule to use as bases for the second window run
 Repeat this procedure for each window period tell the end of the project

© 2010 CMCS FZCO 99


As-Planned Define windows
Delayed events Logic changes
Schedules period

First
Window

4- The contemporaneous period analysis


Adjust the As-Planned schedule with any change of the
logic during the window period

EC NE

method (Windows Approach)


Classify delay event for the window period
∑EC ∑NE

∑EN
Impact the adjusted as-Planned Impact the adjusted as-Planned
Schedule with all EC and EN delayed Schedule with all NE and EN delayed
events up to the beginning of the events up to the beginning of the
window period window period

Impact the adjusted As-Planned


Impact the adjusted as-Planned Schedule with all NE and EN
Schedule with all EC and EN delayed delayed events up to the beginning
events up to the end of the window of the window period and only all
period NE delayed events that were
happened during the window period

CD - ∑ The different of project


Next LD - ∑ The different of project
completion dates between the two
completion dates between the two
impacted schedule. Window impacted schedule
© 2010 CMCS FZCO 99
As-Planned
Delayed events
Schedules First
Window

Update the As-planned with As-Build data up to the

4- The contemporaneous period analysis


beginning of the window period

EC Classify delayed events type NE


∑EC ∑NE

roach)
method (Windows Approa
Collapse all EC delayed events Collapse all NE delayed events
from As-Built schedule from As-Built Schedule.

CD = The different in project LD =The different in project


completion date of As-built completion date of As-built
schedule before and after the schedule before and after the
collapse. collapse.
Next
Window

END
© 2010 CMCS FZCO 99
DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 4- The contemporaneous period analysis method (Windows Approach/CPM)


 NOTES:
 Once the first CPM schedule is prepared and periodically up dated during the
construction period, the first schedule update is compared to the original schedule,
and any delays in the project that occurred during that period are analyzed using a
but for approach. Later on, the first update becomes the new baseline and the
process repeated at the end of the second update period.
 The process can be repeated at the end of each reporting period
 The excusable, compensable, non compensable delays sum to the cumulative
delay on the project. The damages delays are allocated accordingly

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 4- The contemporaneous period analysis method (Windows Approach/CPM)


 Sample Data Out Put

Project Remarks
Schedule
completi Slip Delays
Up Date Date(Mon
on During Non
Number th
(Month Period Excusable Excusable Excusable Non
Number)
No.) Non Compensable Compensable
Compensable
0 0 10 0 0 0 0
1 2 11.5 1.5 0 0 1.5
2 4 14 2.5 0 2.5 0
3 6 14 0 0 0 0
4 8 20 6 6 0 0
5 10 22 2 1 0 1

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 4- The contemporaneous period analysis method (Windows Approach/CPM) –


Strengths:
 Most controversial and analytical method, therefore most claims reviewer consider its
results reliable
 Analyzes all types of delays
 Allows for complying with FIDIC clauses, especial this related to interim claims
 Tends to be very accurate
 Puts all delays in the context of time, place and actual conditions of the project
 Periodical runs allows easier documentation

 4- The contemporaneous period analysis method (Windows Approach/CPM) –


Strengths – Weaknesses:
 Not as easy as it sound s to be utilized
 The most time consuming schedule delay analysis

© 2010 CMCS FZCO 99


DIFFERENT TECHNIQUES TO ANALYZE DELAYS

 There are another techniques to analyze delays:


 As Built Technique
 Time Impact Technique
 Total Float Management Technique

© 2010 CMCS FZCO 99


As-Planned As-built
Delayed events
Schedules Schedule

First
activity

TECHNIQUE
Compare visually activity As-built and As-planned start and
finish dates

TF as-built – TF as-planned-Related delay event on this

AS BUILT TE
No Yes
Is TF as-built <0

EC
Scrutinize delay event type
NE
CD - ∑TF as-
built
LD - ∑ TF as-
planned
Next
Activity

End
© 2010 CMCS FZCO 99
As-Planned As-built
Delayed events
Schedules Schedule

First
delayed
activity

CT TECHNIQUE
Update the As-planned schedule with As-built data before
starting the activity

Impact the updated schedule with the delayed event that


was happened in the analyzed activity

Project Delay= The different of project completion date of


updated schedule before and after the impact

TIME IMPACT
Scrutinize delay event type
EC NE

CD - ∑ Project LD - ∑ Project
Delay Delay

Next
delayed
Activity

End
© 2010 CMCS FZCO 99
As-planned Delayed/Acceleration
Change Order
schedule events

First

TOTAL FLOAT MANAGEMENT TECHNIQUE


delayed
day

Update the As-planned schedule with any planned change


Order or Acceleration

Analyze the Critical Path delay/acceleration on that day

Analyze the Concurrent delay on that day

Analyze the Noncritical Path delay/acceleration on that day

Next
delayed
day

End

© 2010 CMCS FZCO 99


WHICH TECHNIQUE TO USE

 The Choice of technique depends on:


 Type and quality of Data available.
 Type and quality of Documentation available.
 Capacities of the analyst.
 of the project.
 CompleCapacities of the reviewer or who is going to prepare the counter claim.
 Complexity xity of the delays tracked.

© 2010 CMCS FZCO 99


GAME

 Case
 Project A with duration of 180 days. We have one main Contractor, Engineer and Construction
Manager (CM). Project was delayed for 60 days. You have approved Baseline schedule.
Complete as built, although you are not sure (as Contractor) that actual dates included are very
accurate. The following events were tracked during the execution:
 Contractor to complete mobilization and site setup on Day 14. It was completed in
day 30. Engineer work was affected
 Contractor planned to start foundations on day 30. Foundations started on day 40
 On day 70 Employer decided to implement some changes on the design. Works were
hindered at site for 14 days
 Adverse weather conditions occurred on the day 90. Works at site stopped for 7 days
 Engineer stopped the works for 7 days in critical area asking for additional tests. It
finally occurred that Contractor’s works were as specified
 Delivery of equipment for critical area delayed to Contractor’s delay in processing
payment for the supplier. Equipment were planned to be delivered on Day 100. They
were delivered on Day 130.

© 2010 CMCS FZCO 99


GAME

 How?
 We will have Two groups in the Class.

 Mr. Contractor
 You want to submit Claim to the Engineer. What events will you claim for? What
technique will you use? Assume results for the analysis output.

 Mr. Engineer
 Employer asked you to prepare claim as he has lost income estimated as $20,000/day.
What events will you include how you will support your counter claim. Assume outputs
for the analysis outcome

© 2010 CMCS FZCO 99


GAME

 NOW

 Mr. Contractor
 You have the Engineer’s claim you want to negotiate/reply. What will you say

 Mr. Engineer
 You have the Engineer’s claim you want to negotiate/reply. What will you say

© 2010 CMCS FZCO 99


GAME

No. Delay Description Owner Contractor Entitlement


1 Delayed Mobilization
2 Delayed Start Of Foundation
3 Owner Ordered Changes
4 Adverse Weather Conditions
5 Work Stoppage for Additional Tests
6 Delayed Equipment Delivery

© 2010 CMCS FZCO 99


GAME

No. Delay Description Owner Contractor Entitlement


1 Delayed Mobilization Y NE
2 Delayed Start Of Foundation Y NE
3 Owner Ordered Changes Y EC
4 Adverse Weather Conditions N N EN
5 Work Stoppage for Additional Tests Y EC
6 Delayed Equipment Delivery Y NE

© 2010 CMCS FZCO 99


GAME

No. Delay Description Delays Cumulative Entitlement


1 Delayed Mobilization 16 16 NE
2 Delayed Start Of Foundation 10 26 NE
3 Owner Ordered Changes 14 40 EC
4 Adverse Weather Conditions 7 47 EN
5 Work Stoppage for Additional Tests 7 54 EC
6 Delayed Equipment Delivery 30 84 NE
7 Acceleration by Contractor -26 60

© 2010 CMCS FZCO 99

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