The document discusses the impact of construction delays on project profitability for both employers and contractors, emphasizing the need for effective delay management through standard contract clauses. It outlines various delay analysis techniques, including both non-CPM and CPM methods, and highlights the importance of detailed schedule analysis to resolve disputes. The paper aims to improve the application of delay analysis techniques and reduce conflicts in the construction industry.
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Delay Analysis
The document discusses the impact of construction delays on project profitability for both employers and contractors, emphasizing the need for effective delay management through standard contract clauses. It outlines various delay analysis techniques, including both non-CPM and CPM methods, and highlights the importance of detailed schedule analysis to resolve disputes. The paper aims to improve the application of delay analysis techniques and reduce conflicts in the construction industry.
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INTRODUCTION
‘The time it takes to complete a construction contract directly affects the profitability of the
project for all involved parties.
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For project Employers, delays mean lost revenue because they cannot use the project as planned.
For contractors, delays often mean additional costs due to extended site presence.
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To manage delays, standard construction contracts usually include clauses that define how to
handle delays caused by the contractor, the owner, or external events beyond their control.
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In some cases, contractors are entitled to time extensions or compensation for delays they did not
cause. On the other hand, if the contractor is responsible for the delay, the owner may claim
liquidated damages.
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Liquidated damages are usually calculated 3
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fixed amount for each day or week of delay.
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In both scenarios, a detailed schedule analysis is needed to understand what caused the delay and
who is responsible
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many cases, dit vieading to ‘egal or financial disputes.
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Delay claims are now one of the main sources of conflict in the construction industry and are
often difficult to resolve.
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3Despite these efforts, many delay analyses still fail to address key scheduling issues, which
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This paper aims to highlight common DATs, discuss common issues overlooked in practice, and
suggest ways to improve their application
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The broader goal is to develop a framework that helps reduce disputes and improve claim
resolution
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A hypothetical case study is used to demonstrate how each technique works and its strengths and
weaknesses . . . oe
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DELAY ANALYSIS TECHNIQUES
In general, delay analysis techniques fall under two categories:
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1. Techniques not based on the Critical Path Method (non-CPM)
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2. Techniques based on the Critical Path Method (CPM)
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Each category includes multiple methods. The most commonly used ones in contract and claims
analysis are
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1. As-Planned vs. As-Built: compares the original baseline schedule with the actual
executed timeline
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Impacted As-Planned: adds delay events to the planned schedule to assess their impact
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3. As-Planned But-For: shows what would have happened if the delaying events didn’t
occur
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4. Collapsed As-Built: removes delays from the actual executed schedule to see how it
would have progressed without them
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5. Window Analysis: breaks the project into time segments and analyzes delays within
each window6. Time Impact Analysis (TIA): simulates the effect of delays by adding them to a live or
baseline schedule
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Each method has strengths and limitations. Choosing the right technique depends on several
factors such as the nature of the delay, availability of data, and contractual terms
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1-AS-PLANNED YS. &S-BUILT
Figure 1. As-planned schedule.
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Table | presents the different types of delays that occurred in the simulated project case
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The actual construction duration ended up being 51 days, based on the as-built schedule which
includes all rec
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The critical path—the sequence of tasks that determined the project duration—ran through the
drive-in activities, as shown later in Figure 3 |
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* EC delays (caused by the employer/client) appear as dark horizontal bars
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* NN delays (neutral or non-attributable delays) are shown as dark diagonal stripes
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In addition to delays, there were also changes to the sequence of activities when compared to
the original schedule
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For example, in the garage section, the first two activities were carried out with a start-start
logic and a lag of 2 days, instead of the initially planned finish-start sequence
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Similarly, in the drive-in section, the first two activities followed a start—start logic but with a
lag of 3 days
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These modifications in activity relationships, combined with the delay events, played a key role
in shaping the final project timeline
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Figure 2. As-built schedule.
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AS-PLANNED VS. AS-BUILT TECHNIQUE
This technique compares the originally planned schedule with what actually happened during
construction (the as-built schedule)
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All types of delays—whether caused by the owner (EC), the contractor (NN), or external
factors—are added to the as-built schedule
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The total delay is calculated as the difference in completion dates between the planned and actual
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This technique identifies the critical path twice: once in the planned schedule, and again in the
as-built one
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It gives an overview of the net effect of all delays without breaking them down individually
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