Checking of Construction Schedule

Practical Checking of Schedule of Works (Baseline and Updates)

Jihad Daniel

18th January 2006

Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates)

Table of Contents A- PRELIMINARY

B- INTRODUCTION C- CHARACTERISTICS OF A GOOD SCHEDULE

D- BASELINE SCHEDULE REVIEW GUIDELINES

D1 - Global Review D2 - Scheduling Mechanics Review D3 - Schedule Analysis and Review E- UPDATED SCHEDULE REVIEW GUIDELINES

E1 - Introduction E2 - Updated Schedules’ Mechanics Review E3 - Usage of specialty Primavera Software “Claim Digger” F- CHECKLISTS IN P3 AND P3c/e G- CONCLUSIONS

Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates)

A- PRELIMINARY Construction scheduling courses concentrate on teaching the basics of schedule development and the particulars of scheduling mechanics. However, a Planning Engineer, in addition to developing the project schedule, will also be required to review the baseline schedule submitted by a prime contractor. Most contracts specify that the successful contractor submit the baseline schedule within a specified time period (e.g. two weeks from the notice of award) for review by the Engineer/Owner’s representatives. After the review and approval process, the contractor revises and resubmits the schedule as the baseline schedule for the project. An attempt is made in this document to provide a check list of items which a Planning Engineer can use in the review of contractor-submitted baseline schedules. Ron Winter Consulting has detailed the technical part of checking a baseline schedule and briefly stated in “Other Checks” that “other items are to be checked that are not so quantifiable” and this “expert” other part as prescribed by Ron Winter will be detailed in this document. B- INTRODUCTION The philosophy and the level of detail used in the development of a schedule depend very much on whether it is a pre-construction schedule prepared by the Consultant for bid purposes or whether it is a post-award schedule prepared by the contractor to meet a contract-stipulated project duration. The schedule developed by the Planning Engineer in the pre-bid stage is generally geared to establishing a reasonable project duration for inclusion in the bid documents. In such a schedule, deliveries of long lead equipment, regulatory agency review/approval times, owner imposed constraints, weather constraints, and availability of resources play a key role rather than any resource constraints that may be specific to a contractor. On the other hand, the contractor developed schedules are geared to minimizing the negative cash flow and optimizing the deployment of available resources (for self-performed and subcontractor work) to complete the job within the time constraints specified in the contract. The incentive/disincentive clauses stipulated in the contract also play a significant role in the contractor-developed schedule. Most contracts specify that the successful contractor submit the baseline schedule within a given time period (generally 14 days from the notice of award) for review by the Engineer/Owner. After the review and consent process, the contractor revises and resubmits the schedule as the baseline schedule for the project. The baseline schedule is an important project document in that it: ▪ reflects the contractor’s strategy and timetable in the implementation of the project within the specified contract duration, ▪ is used for all progress updates and to establish all schedule variances, Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) ▪ is used to develop a recovery schedule to recuperate any lost time and to bring the

project back on schedule, and ▪ provides a basis for analysis and resolution of delay claims. Following is a suggested checklist for use in the review of contractor-generated baseline schedules. In developing this check list it is assumed that the contractor has also furnished a back-up copy of the schedule data on a diskette (using Primavera or similar software) in addition to the hard copies of schedule reports and graphics, together with a detailed narrative report (Areas of Work, Directory Schemes, Sequence of Works, Assumptions, Constraints, etc.) C- CHARACTERISTICS OF A GOOD SCHEDULE Some project participants care more about their schedules than others. 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. The best approach is for all project participants to join in the scheduling process and develop a meaningful schedule, and then use it throughout the duration of the project. This is most likely to happen when the schedule is realistic, useable, and understood by all of the project participants. What are characteristics of a good schedule? Here are a few: The Plan All good schedules start with a well thought out planned work sequence. The plan should consider factors that could impact the timing of the work such as site access, access to work areas, long lead time equipment and materials, labor availability, and which areas of the work will take the longest. Once this plan has been established, it should be clearly communicated to all project participants. It is important to make sure that those not working on site, such as the engineer reviewing shop drawings or material fabricators, understand the priorities and planned work sequence. Subcontractor Input Generally, construction managers and general contractors are capable of putting together a schedule without subcontractor input. However, it is the subcontractors who are in the best position to know their durations and plan their work sequences. For this reason, I have found that a detailed schedule planning meeting with the major or early subcontractors is one of the best ways to ensure the schedule has appropriate work activity durations and sequencing.

Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) Subcontractor input will also confirm durations for shop drawing submittals and material deliveries. How long will shop drawings take? What time has the manufacturer indicated for fabrication of materials? The initial schedule will include these activities, but the subcontractor can help "tune up" the schedule with more accurate information. Subcontractors can also assist in the schedule updating process, since they are closest to the actual work. Often they can suggest "work-around" or alternate sequences to mitigate delays or other field problems. Schedule Card One method for coordinating the schedule input of large groups of contractors is a meeting called the "Schedule Card". The contractors prepare their activities and durations in advance of the meeting on different colored 3 x 5 cards. Several large calendar sheets with weekly time increments are also prepared before the meeting. During the "schedule card" meeting, you "build the building," starting with the earliest work areas. The activities for each work area are sequenced and arranged by placing the cards on the calendar sheets and connecting related activities. In this way, the construction schedule is created in front of the subcontractors. This is a great opportunity to discuss key sequencing and planning issues. For example, which subcontractor goes first inside the building, ductwork, or masonry? Will the finishes go from the bottom floor up or the top floor down? The "Schedule Card Trick" gives all the subcontractors a chance to see the big picture, as well as where and when their work fits in the schedule. There is also the added benefit of "buy in" of the schedule by the subcontractors because they helped put it together. Explicit Activity Names Work activities in the schedule should have names that are clear and specific. Explicit work activity names make it easy to understand what is included (and not included) in the work activity and when they start and finish. In order to properly track work progress, the schedule needs separate activities for each trade contractor even if the activities are scheduled to occur at the same time. "MEP rough-in" is a good example. The plan may be for them to start and finish together, but you will never be able to identify the contractor responsible for delaying the activity if they are combined in a single activity in the schedule. Similarly, it is good practice to separate activities that a certain trade contractor may do in different time periods or with different crews, such as "framing walls" and "drywall and tape."

Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) The Right Level of Detail When construction is just getting started on a project, it is not unusual to find the project team focused on the earlier parts of the work. As a result, they may not want to take the time to develop a detailed schedule for work that is a year or more in the future. On many projects, a detailed schedule will be developed for the site work, structure and enclosure, and a single long duration activity will be allocated for "interior finish work." This will work, as long as enough time is allocated in the schedule for the later work and a future schedule details this work. A schedule may not be used if it is cluttered with too much detail. Generally, activity durations should range between one and four weeks. How much to "break down" individual work activities also depends on how large the work areas are and if a set of activities will always be done in sequence. It may be all right to combine "form/reinforce/place footing - east side" if the duration is one or two weeks. One day activities or milestones signifying the completing of key project activities (i.e. permanent power available, roof tight, completion of a work stage) are also useful. Even a large, detailed schedule may not provide all the specific activities needed in the field or may be too cumbersome to use on a daily basis. For these reasons, field staff often develop short-term, hand drawn schedules to coordinate day to day activities among subcontractors. This is an acceptable practice if the durations and sequencing in these short-term schedules are consistent with the "official" project schedule. Significant differences between the two schedules are indications that there may be a problem with the overall schedule because it is not accurately reflecting the work being performed in the field. Well Organized Activity Groupings The typical construction schedule on a large project will include hundreds or even thousands of activities. To make the schedule useable, it should be structured so these activities can be sorted and grouped, making it easy to find desired schedule information. Generally, activities can be separated by phases, such as bid/award, shop drawing/fabrication, new construction and renovation. It is helpful if the activities can be sorted by bid package or specification section within these categories. It works best if the groupings of activities correspond to the planned work areas and sequences (i.e. how you are planning to "build the project"). For example, if the interior work on the floor of a building will be completed all at once or in two phases, or by specific functional areas (Administration Area, Classrooms, Library, etc.), it is important to create schedule activities for each work area. Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) Breaking work into smaller pieces in the schedule also allows better tracking (for starts and finishes) and better logic (the following activity will probably start sooner). Areas on bridge and road projects are often sub-divided by survey stations or work phases. Proper Consideration of Weather Once a detailed schedule has been developed and the expected start date for the work is known, the project team should review the activities in relation to the time of year in which they are scheduled. In cold weather climates, activities which fall in the winter months may need to be shifted, or it may be necessary to plan for temporary enclosure and heating. Similarly, the schedule may need to allow more time for certain activities or show them being done on a limited basis because of weather considerations. Similar issues may arise in extremely warm areas or areas which have a rainy season. If a revised project start date or other delays shift the work by several months, the schedule should be updated and the activities that have shifted into bad or difficult weather periods should be looked at closely and adjusted as needed to reflect the effect of weather. This is one of the most often ignored aspects of preparing and updating project schedules; when not considered and planned for, seasonal effects can significantly impact the project cost and schedule. Finally, to use the schedule. Hang a large plot on the wall at the jobsite. Write on it, noting actual starts and finishes, and make notes about changes and new issues. Put the new updates on top of older versions (which are very likely to be referred to by those who are really watching the schedule). Refer to it daily with the subcontractors. Formally review current activities at all regular subcontractor meetings. Awareness of the schedule and delays will allow for better planning and a smoother job. Throughout the project, be "schedule conscious." The schedule itself may experience delays, but time will move on. D- BASELINE SCHEDULE REVIEW GUIDELINES D1. Global Review This is a quick check to establish whether the schedule submitted by the Contractor conforms with the overall time requirements specified in the contract: 1. Notice to proceed (N.T.P.) date 2. Project start date

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Practical Checking of Schedule of Works (Baseline and Updates) 3. Project duration in terms of completion date or number of calendar days specified from the N.T.P. date 4. Schedule to show an EPC form (Engineering, Procurement and Construction) program of work or not. It depends on type of Project undertaken by the Contractor: EPC turnkey, DBO (Design, Build and Operate), etc. 5. Intermediate milestone completion dates, interface milestone dates and/or beneficial occupancy dates 6. Owner-imposed date constraints, e.g. access to job site, shutdown periods for maintenance, restricted work periods due to other contractor’s activities, holiday and winter work constraints 7. Scheduling method to be used, e.g. Arrow Diagram Method (ADM), Precedence Diagram Method (PDM) 8. Schedule documents submittal, e.g. schedule reports sorted by Early Start, Total Float, 60-day Look-Ahead, Activity ID, Area, and schedule graphics such as Bar Charts, Pure Logic Diagrams, Time Scale Networks 9. Cost and Resources’ loading of activities (not all contracts specify cost-loaded schedules) e.g. if schedule is loaded with man-hours, to compare first the summary of total man-hour with man-hour at completion and remaining man-hour (same can be done with cost load, cost at completion and remaining cost to complete) if error occurs in the figure, to check each loaded activity. D2. Scheduling Mechanics Review Primavera scheduling programs can generate a diagnostic report which can be very useful. In addition to providing scheduling statistics this report also includes: 1. Number of activities started and completed. Because the schedule data date should be the same as the project start date, baseline schedules should not show any progress or actual start dates. 2. Scheduled start and completion dates. These dates can be verified against the project start and completion dates specified in the contract. 3. Listing of open ends. This is a list of all activities not having predecessors and successors. Ideally, in a properly developed network only the starting activity has no predecessor and the ending activity has no successor. Networks with many open ends will result in an erroneous critical path and unrealistically high float values. 4. Listing of date constraints. This is a list of all activities with imposed date constraints. While date constraints can be imposed on specific activities (e.g. procurement items, interface work), excessive usage of date constraints in lieu of network ties may lead to inaccurate schedule computations.

Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) 5. Listing of milestones. This is a list of activities identified in the schedule as start or finish milestones. This list can be used to check conformance with the milestones specified in the contract. 6. Number of relationships: usually this number should be double of the total number of activities. D3. Schedule Analysis and Review 1. Activity durations. Check the reasonableness of the activity durations with regard to the quantities of work involved. Planning Engineer needs to calculate ratio of quantities per day for a certain traded activity and compare it with similar one (Justification to be made by the Contractor’s Planner if ratio varies for the same trade: additional resources, etc.) 2. Schedule logic. Check whether all the activities are networked using the diagnostic check. In addition, examine the validity of the relationships in terms of normal construction practices. For example, too many activities with a number of start to start relationships with time lags (i.e. excessive number of concurrent activities) can create "stacking" of trades. This can lead to problems associated with resources, construction safety and jurisdictional issues. 3. Nomination of Subcontractor: In the case of provisional sum allocated in the contract, the Contractor needs to indicate the dates in which in his opinion nomination shall become due by the Engineer in order to have enough time to review documents, arrange for drawings and enter into Sub-Contract agreement with the nominated Company. These nomination dates need to appear on the schedule and linked to the preparation of S/C documents & agreement then to preparation and issuance of submittals. 4. Conformity to Specifications and Construction Method Statement: Check whether construction activities are complying to project specifications (i.e. if according to civil Specifications, suspended slab’s scaffold cannot be removed before 21 days in order to start masonry work in the underneath floor, this needs to be reflected on the schedule with a lag of 21 days between these two activities or an added activity of scaffold’s removal). Also check the conformity to normal construction method statement (i.e. if according to Waterproofing Method Statement of Tanks, no work is allowed to proceed directly after water tank’s insulation, before executing a water test for 2 days. This activity of water test needs to be reflected on the schedule according to the related construction method statement). 5. Project calendar. Check the correctness of the project calendar in terms of the work day/work-week calendar (5-day, 6-day, 7-day/week) along with non-work periods (weekends and holidays) and shutdown periods (i.e. project calendar depends on each Country’s calendar (start of the week and non work days) and Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) Project’s Phases (i.e. in industrial Oil & Gas projects, in a shut down period, work can be limited to certain days per week or few hours per day with special permit to work in these shut downed areas). Attention should also be paid to schedules with multiple calendars where different activity durations are expressed in work days and calendar days. 6. Critical path. The initial critical path should always be reviewed carefully to see if it makes sense. Having a correct critical path will help the project team prioritize shop drawings and field work. If delays occur, it will identify what work to focus on in order to reduce further slippage or make up lost time. Without an accurate critical path, Contractors can make good progress on noncritical activities, while the forecast end date is actually slipping, undetected. A good rule of thumb on public projects is that no more than 10-15% of the schedule activities should be critical or near critical. Utilizing this practice allows for the normal minor slippage and delays in some areas that occur on any construction project. Resources, particularly manpower, are often the real limiting factor and dictate the timing of work activities and the critical path, rather than the activity sequencing. Most schedules are not resource-loaded, so the impact of limited resources is sometimes difficult to see and address. A narrative of planned manpower and crew sizes at different phases of a project can help an Owner evaluate whether the schedule provided is realistic or not. The critical path in the Contractor's schedule can be manipulated by the Contractor to a certain degree and may not reflect the actual critical path of the project. The Contractor may link work areas in the schedule that are not really dependent on each other, add mandatory start dates, or otherwise use the scheduling software to make the critical path include work activities to support a future delay claim. Schedules with multiple critical paths and/or too many critical activities indicate a very tight schedule. Such a schedule needs a careful examination for possible manipulation of the critical path that could set a stage for future delay claims. In addition, it is necessary to examine activity paths which are near critical and sub-critical. These activities have very little float (usually, in the range of 1 to 10 days) and could become critical even when minor changes in the field conditions occur. The Planning Engineer should also examine specifically the activities for which the owner and/or his representatives are responsible and ensure that adequate time is allowed for accomplishing these activities. Activities which fall under this category are: construction permits, shop drawing review and approval procedures, material review and approval procedures, change order processing, traffic rerouting plan approvals and utility relocation work. It is obvious that any delays caused in the completion of these activities will come under owner-caused delays and result in costly time extensions. 7. Is the Contractor's Schedule a "Steep Staircase" Schedule? Does the Contractor's schedule show a large number of work activities scheduled to be Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) done at the same time? In particular, look out for "stacking" during the last half or third of the project time frame. This may indicate an unbalanced schedule with too much time provided for the structure and building shell and not enough time for interior finish work and completion activities, such as start-up and commissioning. A steep staircase schedule may also result from inadequate consideration of manpower when work activities slip on projects with delays. This is sometimes referred to as "schedule compression." On most projects, a well planned schedule, whether it is a baseline schedule or a schedule update, will have an even distribution of activity bars in time rather than a steep staircase of work activities. Too many activities shown going on at the same time is usually not realistic and schedules like these are often not achievable. To assess this situation, think about the manpower or number of crews that would be required to start and finish 25 or 30 activities (or more) in a month, and think about the manpower likely to be provided by the subcontractors. Will there be adequate manpower? 8. Does the Contractor's Schedule Allow Enough Time for Completion of Activities? The Contractor may not worry about all the things an Owner needs to do after construction is substantially complete to make the project fully useable by the Owner. Typical completion activities include preparing and completing the punch list and clean-up, validation or start-up and testing of special systems (fire alarm, smoke evacuation, telephone and data, CCTV), move-in and installation of Owner furnishings and equipment, and contractor closeout (as-builts, O&M manuals, warranties). It is important to include these activities in the schedule, so that all parties have a clear understanding of what will occur at the end of the project and the Owner's true occupancy date. 9. Are You Late Before You Start? You may be surprised to hear this, but in my experience this happens a lot. Significant time lost at the project's front end is made up simply by compressing the construction schedule, thus creating a "spring-loaded" schedule. Unless significant resources are added, the schedule will most likely "spring back" to a more realistic duration. The effect of work shifted into different weather periods can also have cost or schedule impacts. When there is slippage of more than one month up front for a construction schedule of twelve months or longer, Owners should resist the temptation to shorten the construction duration and adjust their overall project schedule instead. 10. Float analysis. It is also important to identify activities with excessive total floats. These activities are generally associated with open ends, date constraints and inaccurate logic. It is necessary to correct the logic and bring the float times to realistic levels so that the available resources can be more effectively used. 11. Long-lead procurement activities. Most procurement items (such as structural steel, process equipment) will have to go through the shop drawing review and approval cycle before fabrication can begin. The shop drawing submittal and Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) review turnaround times shown in the schedule should be consistent with the contract documents. Check for schedule conflicts in the coordination of the interface shop drawing review process between two vendors on early delivery items. For example, anchor bolt pattern details and delivery of embedment may be required early for an equipment support foundation even though the equipment itself is not installed until a later stage. The delivery schedules shown for any owner-furnished equipment should also be consistent with the schedule data furnished in the contract documents. In situations where equipment installation contractors and vendors are separate, it is important to check the equipment delivery schedules against the timely availability of unloading equipment/crews, and covered/secured storage areas on the job site. The Planning Engineer should be aware of materials’ scope’s split between the Contractor and the Owner and should differentiate on the schedule between the free issued Owner’s materials, the Contractor’s permanent materials and materials procured by Contractor on behalf of the Owner . 12. Readiness Checklist of E/M systems: Check if all E/M systems and items have activities called readiness to perform testing. After completing the installation of any E/M system or equipment, the Contractor together with the Engineer’s supervisor needs to check if system is completely ready to perform the required testing. This should be shown on the program of works before proceeding with testing & commissioning schedule of works. 13. Other Assigned Contractors’ Works: Check if all activities on the schedule are in the scope of the Contractor’s work as per the Contract. Check also if works are related or need to be coordinated with other Contractors on site. Coordinated Schedule between different Contractors on site is the responsibility of the Planning Engineer unless otherwise instructed by the Owner. Each Contractor has to reflect his own schedule of work irrelevant to the other Contractor working on site, unless it is specifically mentioned these constraint dates in the Contract. In all cases, the Contractor has to indicate that his work belongs to other parties and its own succeeding work depends on the completion of the other parties’ work. 14. Weather Conditions. Examine the nature of work performed (e.g. concrete, earthwork) and productivity levels achieved during winter months and/or periods of adverse weather. Check for curtained period indicating harsh winter season or forecasted very hot weather where only particular works can be performed during these periods.

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Practical Checking of Schedule of Works (Baseline and Updates) E- UPDATED SCHEDULE REVIEW GUIDELINES E1. Introduction In reference to Ron Winter “119 schedule update checks”, once the difficult part of checking a baseline schedule is consented upon, it is easy for the Contractor’s Planner to make the updates based on site inputs. In the narrative report submitted together with the updated schedule, the Contractor’s Planner needs to state all changes and modifications that he made to the schedule and the reasons to do so. Consultant to check the inputs made to the schedule based on realistic site information and figures, also to review thoroughly the changes made and assess their outputs to the best interest of the Project and the Client. In addition to Ron Winter checklist, we list herewith the other items: E2. Updated Schedules’ Mechanics Review The scheduling statistics that Primavera provides for both baseline and update will be compared together and following report will result: 1. Constraint listing: to check and compare to see if any constraint or milestone was added or deleted. 2. Open end listing: it is not permitted in an updated schedule to have a successor started or completed and his FS predecessor not started or finished yet. Also, to check if all activities have predecessors and successors (except for the 2 activities of start and finish Project). 3. Schedule statistics showing schedule & float calculation modes, number of activities, relationships, etc. A brief comparison will give an idea about the changes made to the schedule and the latest calculated finish date. 4. It is advisable to run the program in two schedule calculation modes: retained logic and contiguous activities and compare both statistics report in order to check the variance of delayed days (if any) and the calculated finish date, also to identify number of activities in longest path and out of sequenced ones. E3. Usage of specialty Primavera Software “Claim Digger”: Usage of special software like Claim Digger or Schedule Analyzer allows us to have a report of all the changes made to an updated schedule. Also to back track changes happened between several schedule updates before we could begin our delay analysis. Primavera Claim Digger v3.0 is the market leading schedule analysis solution enabling to compare P3 project schedules, perform impact analysis, and document delays to the schedule.

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Practical Checking of Schedule of Works (Baseline and Updates) The software provides comprehensive schedule comparison capabilities by checking: • • • • • • • • • • • • • • •

Autocost and Schedule logic rule changes Activities that have been added or deleted Changes to original and remaining durations Changes to constraint types, percents complete, total and free floats Changes to activity calendars Changes to descriptions Changes to activity logs Changes to actual starts and finishes Adding or Deleting Resources Changes to resource and cost budgets, actuals and forecasts Changes to resource percents Activities that have jumped on or off the critical path Added, deleted or changed relationships Changes to driving relationships, activity codes and WBS changes Activities that should have started or finished in a reporting period - but did not.

Reports can be printed or viewed in detail. Primavera Claim Digger exports to Word or Excel at the push of a button. In addition, the complete data analysis of all changes is available in a text file for custom reporting. Primavera Claim Digger can handle schedules of any size. The program is fast - a 1000 activities schedule can be compared in a little over a minute. F- CHECKLISTS IN P3 AND P3c/e: Although checklists presented by Ron Winter Consulting LLC are generalized as much as possible for all CPM software, they are much more oriented to Primavera Users and mainly to P3. As we know, the new Primavera version P3c/e is much more performed than P3 and has much more commands/options than the previous version. Migration from P3 to P3c/e cannot be done as soon as we think and we cannot impose immediately the use of this new version by Contractors in recent contracts. Due to the facts that we cannot wait longer for implementing this new version, P3 schedules can be checked by transferring them to P3c/e software. In order to prepare our own check lists relevant to P3c/e we need to be first familiar and acquainted with this new software and its Claim Digger. G- CONCLUSIONS This document developed above, while by no means exhaustive, has been the result of many years of experience in Planning. Schedules are sometimes put together quickly by Author: Jihad Daniel

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Practical Checking of Schedule of Works (Baseline and Updates) people who are also busy with other tasks and errors occur through oversight as much as anything else. And, yes, there are Contractors who think they can gain an advantage by playing games with their schedules. Common sense and an independent review are the best tools to assure a good schedule and maximize our most limited resource - time. Inputs are welcome so that the material presented can be further streamlined.

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