Technical Program Abstracts

(CSC) Cost and Schedule Control

(CSC-2815) Using Document Management Workflow  for  Measuring Performance of Project Engineering

Author(s)/Presenter(s): Definia Richardson; Dr. Mohamed E. El-Mehalawi
Time/Location: Wednesday, June 27 from 9:15am to 10:15am / Coronado E (4th Floor)

Abstract:

[Level: Basic] Document management tools and software contain a wealth of data that can be used at various phases of a project to support the measurements of engineering progress and performance. Data fields in the tools which specifically store actual dates, revision status, type of deliverables, etc. can be used to validate reporting metrics defined for engineering. Utilizing this information creates the knowledge base to make informative decisions for engineering interface with procurement, construction, and commissioning. It also improves project forecasting and substantiates collection points needed to meet critical milestones.

This paper demonstrates the concepts of data collection through document workflow and how to convert that into progress metrics that supplement traditional performance metrics. For example a progress metric such as the average time needed to move a document from status “A” to status “B” may validate the progress value calculated using rules of credit. The authors will present multiple metrics and trends to make use of data contained within document management tools to improve the reliability of traditional progress and performance metrics. These trends will support project forecast related to engineering deliverables.

(CSC-2823) Detection Tool for Unbalanced Bids

Author(s)/Presenter(s): Babak Nikpour; Pat Kelly
Time/Location: Tuesday, June 26 from 5:15pm to 6:15pm / Coronado E (4th Floor)

Abstract:

[Level: Basic] Cash flow is of principal concern to the operation and profitability of a contractor and may incentivize a contractor to submit unbalanced bids to enhance profitability and cash flow on a project. Unbalanced bids create additional risk to an owner and may ultimately lead to excessive claims and the delay or failure of a project. Despite the practice of unbalanced bidding being illegal in public sector projects and widely regarded as unethical in private sector projects, there have been few tools developed to identify or mitigate the practice of unbalanced bidding.

This paper will introduce the Bid Markup Distribution Index (BMDI) as an innovative tool to visualize markup patterns on unit price contracts. BMDI will display markup patterns across activities in a project over a project’s duration and creates objective visual comparisons of bid markups among bidders. Using Monte Carlo simulation, BMDI will utilize risk levels to simulate cash flow outcomes and capture potential bid risk to a project owner.  BMDI will be used in two pragmatic examples to further explain the mechanics of the tool.

(CSC-2826) The Ten Commandments of Risk-Based Project Controls

Author(s)/Presenter(s): Richard C. Plumery, EVP
Time/Location: Tuesday, June 26 from 10:15am to 11:15am / Coronado E (4th Floor)

Abstract:

[Level: Intermediate] A key to successfully managing projects is to implement effective and efficient project controls by being risk aware and focused. The variability with project controls resources, systems and processes can make a significant the difference in project outcomes. This paper lays out the requisite fundamentals for project controls staff, systems and processes via a "thou shalt" style. A problem with current performance measurement systems are that they only focus on cost efficiency and schedule progress but not on effectiveness (risk awareness). The focus here is on bringing effectiveness into the equation through a risk-based, objective and engaging approach to bring the best value to all project stakeholders. Adopting these ten fundamental approaches offers project controls staff and other project stake-holders better odds for success.

(CSC-2831) Schedule and Cost Management of Subcontracts

Author(s)/Presenter(s): A. Hagire Emrani; Syd Daneshyar, P.Eng. CCP
Time/Location: Wednesday, June 27 from 10:30am to 11:30am / Coronado E (4th Floor)

Abstract:

[Level: Intermediate] Sub-contractors play a crucial role towards achieving project objectives. The Project Management team needs to ensure that sub-contractors will finish their work on time and on budget with minimal changes. To achieve these goals a project-wide Code of Accounts (COA) needs to be put in place which also applies to sub-contractors. Sub-contracts should also be set up such that their schedule of prices and schedule structure are aligned with project’s COA. This will result in better sub-contract management, and more accurate progress reporting, cost control and schedule forecasting. RFP documents should prescribe the required milestones, schedule template, schedule of prices and set clear progress reporting requirements.  In this paper, the process of subcontract management is examined from the pre-award (RFP) stage to post-award subcontract administration, from the perspective of project controls.  The concept of Governing Quantities for cost and Construction Work Packages for the schedule will be introduced.

(CSC-2850) Scope Changes Impact on Construction Labor Performance Index

Author(s)/Presenter(s): Hani S. H. Alzraiee; Dr. Osama El Sayed Moselhi, P.Eng.
Time/Location: Wednesday, June 27 from 8:00am to 9:00am / Coronado E (4th Floor)

Abstract:

[Level: Intermediate] This paper introduces a method to capture labor performance loss due to project scope changes. It addresses the impact of scope change on the direct labor performance during the construction phase of projects. Generally, such indirect effect of changes is difficult to capture when estimating the cost of the added scope and poses challenges to the project management team in convincing project owners of the legitimacy of such added cost. Therefore, contractors end up absorbing this cost or filing claims to recover financial losses.  The procedures for calculating the performance factor loss due to changes involves integrating baseline schedule, earned value management system, measured mile analysis, and project actual data. The developed method was applied to a construction project in northern Alberta. The site data pertinent to electrical trades was collected over a period of nine months to calculate the difference between labor performance indices of original scope and changes. The calculations were performed cumulatively to account for the ripple effect of the introduced scope changes. Analysis of the results generated reveals a negative correlation between the intensity of changes and labor performance. Changes that are not properly documented and managed can severely affect the project schedule and its total cost. Therefore, the authors recommend proactive management procedure to limit the adverse primary and secondary effects of project scope changes.

(CSC-2855) Integrated Cost and Schedule Model for Shipbuilding Projects

Author(s)/Presenter(s): Ahmad Emam, CCP
Time/Location: Tuesday, June 26 from 2:15pm to 3:15pm / Coronado E (4th Floor)

Abstract:

[Level: Basic] Most shipyards around the world handle shipbuilding projects using approaches that differ from those used on other construction projects. Unlike construction projects, shipbuilding tends to be production oriented, as opposed to project oriented. Hence, schedules are developed based on a projectized structure; however, the costs are controlled at the facility level (yard level). The basis for this methodology is that yard workshops are resources shared across different projects. In many cases, this methodology drives the project planning phase to be a part of the production planning process. Although production planning offers several benefits to shipyards, many of the advantages typical of project scheduling are missed. This paper challenges current production planning and controls practices in the shipbuilding industry vis-a-vis those of typical construction projects. This paper also proposes a fit-for-purpose solution for shipyards through an integrated cost and schedule model including EVMS application, work package planning, and BIM.

(CSC-2879) Construction Labor Productivity Loss in Cleanroom Conditions: A Case Study

Author(s)/Presenter(s): John D. Borcherding; Dr. James T. O'Connor; Jeyoung Woo
Time/Location: Tuesday, June 26 from 11:30am to 12:30pm / Coronado E (4th Floor)

Abstract:

[Level: Intermediate] Labor productivity impacts the overall cost and schedule performance. Thus, an accurate prediction of labor productivity is required to estimate project costs and schedule. Many researchers have measured labor productivity and identified factors affecting labor productivity losses, but only a few have explored labor productivity losses in cleanroom conditions. This paper presents the impact of cleanroom conditions on construction labor productivity by comparing two data sets that were derived from work on a semiconductor fabrication facility (FAB) construction project. Both data sets involved the same crew working on the same FAB construction project. The results indicate that, in cleanroom conditions, construction labor productivity fell by 28.85% compared to general conditions. Additionally, interviews with project managers revealed that the difference was affected by additional factors, including access to tools, rework, and overcrowded work areas. The factors cause significant inefficiency under the cleanroom conditions; even though the factors affect both general and cleanroom conditions. Factoring in the labor productivity decrease when budgeting or scheduling allows cleanroom project stakeholders to estimate project duration or cost more accurately. The primary contributions of this paper are the identification of the labor productivity difference and the factors that cause the difference when working in cleanroom conditions.

(CSC-2910) Trending and Forecasting Using Available Construction Data

Author(s)/Presenter(s): Jake Ortego, PE CCP; Antonio Fratangelo, CCP
Time/Location: Tuesday, June 26 from 4:00pm to 5:00pm / Coronado E (4th Floor)

Abstract:

[Level: Intermediate] Despite the numerous tools on the market, trending and forecasting construction performance against the budget and schedule has remained an underutilized aspect of project controls. The possible reasons include:

•             Not understanding the techniques

•             The lack of appropriate project controls personnel and procedures

•             Not realizing the benefits of the results or the need to collect key data 

Many industry standards for trending and forecasting techniques use approaches such as Earned Value (EV), resource loaded schedules and trend and change management processes. These approaches however are less often used on projects that have fewer staff resources.

This paper will explore practical trending techniques and forecasting approaches that utilize data available on a typical construction project. The goal is to provide an analysis framework that can be applied to a range of industries, user abilities and across projects of various size.

Meetings & Events