Surety Association of New Jersey Delay Analysis & Construction Scheduling March 25, 2010...

Surety Association of New Jersey

Delay Analysis & Construction Scheduling

March 25, 2010Presented by:

William M. Wolf, Jr., P.E.Capital Project Management, Inc.

wwolf@cpmiteam.com

2

Credentials - William M. Wolf, Jr., PE

Over 35 Years of Engineering and Construction Experience

Design On-Site Project Representative Estimating Services Surety Consultant Dispute Resolution Services

Preparation and Defense of Construction Contract Claims

Testimony CPM Scheduling Services

3

Introduction Involved in a variety of default situations

during my career Issue always asked by parties involved in

default situation: “Who is responsible for the delay and how

do we prove it?” Delay Analysis Based on the Construction

Schedule

4

What is a Construction Schedule and How is it Used?

Schedule and coordinate the work Monitor and control progress Evaluate and document changes Prove or defend delay claims

5

Common Types of Schedules

The “Gantt” Chart – Bar Chart

Network Analysis System - CPM

Bar Chart ScheduleMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Excavate

Foundations

Structural Steel

Roof

CurtainwallProcure Steel

Coordination Drawings

Fab. & Deliver

MEP Rough-In

MEP Finishes

Interior Finishes

Punchlist

2

3

2

3

3

4

4

1

4

1

3

3

7

Network Schedule

Representation of a project plan by a network that depicts the duration, sequence and interrelation of the work activities

Critical Path Method – “CPM”

Network ScheduleMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Excavate

2 Foundations

3 Structural Steel

4

Roof

1

Curtainwall

4Procure Steel

3

Coordination Drawings

3Fab. & Deliver

2

MEP Rough-In

3 MEP Finishes

3

Interior Finishes

4 P.L.

1

Critical Activity

Logic Relationship

Foundations

Curtainwall

Duration in Months3

9

Definitions

Critical Path - longest path (or sequence) of activities through the network

Float - the amount of time an activity can slip without impacting project completion (contingency time)

Network ScheduleMonths1 2 3 4 5 6 7 8 9

Excavate

2Foundations

3Structural Steel

4

Procure Steel

3Float

2 months

Critical Activity

11

Schedule Updates Status progress of work

Determine remaining duration of activities Record actual dates (as-built) Make necessary logic revisions Incorporate change orders Reschedule remaining work

Schedule is dynamic

Progress as of Month 3Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Excavate

2 Foundations

3 Structural Steel

4

Roof

1

Curtainwall

4Procure Steel

3

Coordination Drawings

3Fab. & Deliver

2

MEP Rough-In

3 MEP Finishes

3

Interior Finishes

4 P.L.

1

Foundations

Curtainwall

0

1

2

100%

60%

30%

0%

Schedule Update as of Month 3Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Excavate

Foundations

2 Structural Steel

Roof

1

Procure Steel

3

Coordination Drawings

1Fab. & Deliver

2

MEP Rough-In

3 MEP Finishes3

Interior Finishes

4 P.L.

1

Curtainwall

Foundations

Completion slips 1 mo.

3/11/6

1/9

3/5

14

Using CPM Schedule for Delay Analysis

Establish reasonable Baseline schedule Evaluate schedule updates and planning

changes Evaluate delays chronologically using

current project schedule Reflect as-built information Thoroughly base analysis on the project

records

15

Definitions

Baseline Schedule – the contractor’s plan and intention of performing the scope of work in conformance with the contract requirements (“As-Planned” Schedule)

As–Planned Schedule - Office BuildingMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

Fab/Deliver MEP Rough In MEP Finishes

NTP

4

4

1

3

33

4

4

3

1

17

Definitions

As-Built Schedule A schedule depicting the actual historical

record of events, activities and progress that happened during execution of the given project

Involves time-consuming research of project records

B&C

2001

2001

2002

2002 2003

2003

J JJ JJJ A AS SO N D F M A M O N D F M

Site Work

Precast

Cast In Place

Masonry

Roofing

Interior Finishes / Flooring

Security System

Mechanical

Electrical

Beams

Total project delay 332 days

Grade Beams

CMU Walls and Columns

Brick Work

Place and Grout Planking

Set Cells

Roof Tile Installation

Roof/Ceiling Framing

Drywall

Paint

Substantial Completion

Cell Doors & Windows

Relocate/Install Communes

& Temp Power R/I Bsmt R/I Basement & Cell Area For A, B & C

Pull Wire Trim Out Punch List

Mechanical Fixtures Trim Out

Drains

Chiller Piping

R/I Basement & Cell Area For A, B & CSet Drains

Misc PLM Repairs

Utilities Removal

Relocate/Install

Gasline/Water/

Storms & Sanitary

Install Piping

HVAC HangersC&A Area

Grills/Ductwork to ACU

SetEquip

Insulate, Adjust &

& Balance

Start up Equip Punch List

Adjust & Install Cameras

Set CNTLS

Adjust Doors/Instl Window Sensors

Paint

Ceilings/Hallways

Frame RoofHips & Dormers A&B

Frame Roof C Frame CLG A

A&B Area C Area

Crane on Site

Set SteelFraming

A&B Area A&C Area

Brick Work A & B Coping Stone

A-wing

Face BrickExercise YD

CMU Exercise YD

CMU Walls & ColumnsB Area & Basement/C&A Walls/C2 Area

Begin GroutBsmt

StripExcavate

BsmtBsmt/Misc Site Work

Backfill Bsmt

Fence

Set Cells A&B Grout & Repair Rub Cell

WallsOver Bsmt

MechRm

C Wing 2nd Flr

C Wing 2nd Flr

ClgDelv Rebar

Pipes Drill & PourPiers & Pier Pads

Bsmt Form & Pour Walls Slabs A,B,&C A/Seg Unit

Pour Floor Topping A,B

LT WT Conc 2C

Ramps/Walks At Entrance

Ramp & Ret Wall

West Wall

BM Sides Bsmt Area

Cantil Wkwy

EL BMS C Area

Clg BMS

2C

Fire Lane Punch List &

Corrective WorkRepair & Replace Brick Work

Coping Stone

Grade Beams/Walls/Mech Pads/SlabsPiers

Mech Pads

Elev Bms

Grade Beams Bsmt A,B&C Area

Contract Completion

J JJ JJJ A AS SO N D F M A M O N D F M

Structural Steel

As-Built Schedule

19

Result of Delay Analysis

Critical Delay – Delay affecting an activity on the critical path of a project — impacts project completion

Non-Critical Delay – Delay which absorbs float — does not impact project completion

Network Schedule

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Excavate

2 Foundations

3

3

Coordination Drawings

3Fab. & Deliver

2

MEP Rough-In

3Critical Activity

Logic Relationship

Procure Steel

FloatNon-Critical

Delay

2

Critical Delay

2 4

4

3

Roof

1

MEP Finishes

Structural Steel

Interior Finishes

1

Curtainwall

4 P.L.

2 mos.

Network Schedule

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Excavate

2 Foundations

3

Coordination Drawings

3Fab. & Deliver

2

MEP Rough-In

3Critical Activity

Logic Relationship

4

Structural Steel

Roof

1

MEP Finishes

3

Interior Finishes

1

Curtainwall

4

4 P.L.

Float

Procure Steel

3

Non-Critical

Delay

Critical Delay

Float

2 mos.

22

Categories of Critical Delay

Excusable Delay – Delay that excuses late performance Compensable –Contractor reimbursed

for time-related costs Non-compensable –Contractor is

precluded from reimbursement for time-related costs

Non-Excusable Delay – Delay within the control of the Contractor

23

Concurrent Delay

Two or more delays occurring in the same time frame on separate critical paths with both affecting the overall completion of the project

Concurrent delays prevent either party from recovering damages

Foundations

Coord. Dwgs.

NTP

4

3

SteelDelay

2

MEP Changes

21

Concurrent Delay

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

2 Months

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

MEP Rough In MEP Finishes

NTP

4

4

1

3

3

4

4

3

1Fab/Deliver

3

3 33

Fab/Delv.

Structural SteelRoof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

4

4

1

ExcusableNon-compensable

25

Delay Analysis Techniques

Contemporaneous Method Establishes the status of work at the time a

delay occurred to measure delay (i.e. Time Impact Analysis)

Foresight Method Uses as-planned schedule as baseline to

measure delay (i.e. Impacted As-Planned) Hindsight Method

Uses as-built schedule or actual history to measure delay (i.e. Collapsed As-Built)

Contemporaneous Method:

Time Impact Analysis

27

Time Impact Analysis

Chronological and Cumulative Approach Utilizes a series of chronological “time

slices” to explain the major schedule variations that occurred during the course of the project.

Technique relies upon: As-planned schedule Contemporaneous schedule updates Development of an as-built schedule

Foundations

Coord. Dwgs.

Fab/Deliver

NTP

4

3

3

SteelDelay

2

Time Impact Month 6 – Steel Delay

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

2 MonthsStructural Steel

Roof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

3

4

4

3

1

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

MEP Rough In MEP Finishes

NTP

4

4

1

3

3

4

4

3

1Fab/Deliver

3

Foundations

Coord. Dwgs.

Fab/Deliver

NTP

4

3

3

SteelDelay

2

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

2 MonthsStructural Steel

Roof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

3

4

4

3

1

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

MEP Rough In MEP Finishes

NTP

4

4

1

3

3

4

4

3

1Fab/Deliver

3

Time Impact Month 6 – Steel Delay

Foundations

Coord. Dwgs.

Fab/Deliver

NTP

4

3

3

2

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

2 MonthsStructural Steel

Roof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

3

4

4

3

1

Ironworkers Strike

ExcusableNon-compensable

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

MEP Rough In MEP Finishes

NTP

4

4

1

3

3

4

4

3

1Fab/Deliver

3

Time Impact Month 6 – Steel Delay

Foundations

Coord. Dwgs.

Fab/Deliver

NTP

4

3

3

2

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

2 MonthsStructural Steel

Roof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

3

4

4

3

1

DesignChanges

ExcusableCompensable

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

MEP Rough In MEP Finishes

NTP

4

4

1

3

3

4

4

3

1Fab/Deliver

3

Time Impact Month 6 – Steel Delay

Foundations

Coord. Dwgs.

Fab/Deliver

NTP

4

3

3

2

Months1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

2 MonthsStructural Steel

Roof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

3

4

4

3

1

Fabrication Delays

Non-excusable

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

MEP Rough In MEP Finishes

NTP

4

4

1

3

3

4

4

3

1Fab/Deliver

3

Time Impact Month 6 – Steel Delay

33

Time Impact Analysis

Strengths Preferred methodology Measures schedule impact at inception of

delay Considers float and critical path Truly historical because it considers the

basis for management decisions at the time

Thorough and difficult to attack quickly

34

Time Impact Analysis

Disadvantages Complex to assemble Challenging to complete without

proper project documentation Delay quantum builds on previous

analysis (“time window”)

Foresight Method:

Impacted As-Planned

36

Impacted As-Planned

Process of inserting actual project delays into the as-planned (baseline) schedule without considering the actual progress of the project

Schedule maintains original logic and durations

Does not require the development of a detailed as-built schedule

As–Planned Schedule - Office BuildingMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Foundations

Structural SteelRoof

Curtainwall

Interior Finishes PunchListCoord. Dwgs.

Fab/Deliver MEP Rough In MEP Finishes

NTP

4

4

1

3

33

4

4

3

1

Impacted As–PlannedMonths

Foundations

Coord. Dwgs.

NTP

4

3

SteelDelay

2

MEPChanges

21 3 33

Fab/Delv.

Structural SteelRoof

Curtainwall

Interior Finishes PunchList

MEP Rough In MEP Finishes

4

1

4

4

1

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19

1

1

ContractCompletion

4 Months

ActualCompletion

1 Mo.

DetailConflict

Lateselections

Maintains planned dates from baseline schedule

39

Impacted As-Planned

Weaknesses Project may not have been built

according to the baseline schedule Ignores as-built data Almost always overstates the

delays Not accepted by the courts

Hindsight Method:

Collapsed As-Built

41

Collapsed As-Built

After-the-fact analysis of project schedule (Retrospective)

Detailed analysis using as-built data Removes specific delays from as-

built schedule Results in as-built schedule “but for”

identified delays

Collapsed As–BuiltMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Coordinated Dwgs.

Fabricate/Deliver

NTP

4

6

3

Structural Steel

Foundations

Roof

Curtainwall

PunchList

MEP Rough In

MEP Finishes

6

2

5

5

1

3

4

Interior Finishes

Collapsed As–BuiltMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Fabricate/Deliver

NTP

4

6

3

Foundations

Roof

Curtainwall

PunchList

MEP Rough In

MEP Finishes

7

2

5

5

1

3

4

Interior Finishes

SteelDelay

MEPChanges

DetailConflict Late

selectionsCoordinated Dwgs.

Structural Steel

Collapsed As–BuiltMonths1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Coordinated Dwgs.

NTP

4

3

Foundations

PunchList

1

Fabricate/Deliver

3 MEP Rough In

MEP Finishes3

4

4

Structural Steel

Roof

Curtainwall

5

2

4 Interior Finishes

ContractCompletion

3 Months

45

Collapsed As-Built

Weaknesses Not reconciled with contemporaneous records such as monthly updates

Doesn’t consider float at inception of delay or identify “critical delays”

Unrealistic representation of what happened on project

46

Areas of Potential Conflict

Ownership of Float Right to finish early Reasonableness of baseline

schedule Accuracy of updates/schedule

manipulation Methodology for time extensions

47

In Summary. . .

Schedule delay analysis should consider: Baseline schedule Contemporaneous schedule updates Critical path and available float As-built history of project Chronological & cumulative accounting of delays Progress achieved up to the point in time when the delay

occurred Concurrent delays

Analysis must be thoroughly grounded in the project records

Surety Association of New Jersey

Delay Analysis & Construction Scheduling

March 25, 2010Presented by:

William M. Wolf, Jr., P.E.Capital Project Management, Inc.

wwolf@cpmiteam.com