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What are the various techniques to analyze the time extension claims?

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Question added by ZULFIQAR ALI , Planning/ Project Control Manager , King Abdullah University Of Science And Technology
Date Posted: 2017/06/05
rahul shukla
by rahul shukla , Deputy Manager Contracts , Punj lloyd ltd.

Prepare Time cycle and accordig to that identify extra time required to complete the particular activity.

Andrzej Wybranowski MCIOB
by Andrzej Wybranowski MCIOB , Contracts Manager/Construction Lawyer , Thales Polska

There are many methods, some of them could be called as standards (time impact analisys, impacted as planned, windows analisys, collapsed as built, as planned vs as built etc.) and some are modifications or mix of different methods or rules regarding delay analisys. It also have to be noted that some analisys have different names (for example AACE recomendation for forensic delay analisys provides separates naming for the methods).

One of critical rule is that each technique applied to the same situattion will most probably results in different outcome.

Some guidance what technique is to be applied is in SCL delay and disruption protocol (2nd edition), for example TIA is recommended for analisys when it is carried out immediately after the delay event. However, when considering which method to apply the analyst must first take into account law of the country and provisions of the contract. After that next circumstances may be considered such as budget to be spent for method performance or records available.

 

ayaz ahmad
by ayaz ahmad , Contracts Manager , ABB

There are many techniques to analyze EOT Claims. In broad term, they can be categorised into one of the four

1. Impacted As Planned

2. CollapseddAs Built

3. As Planned vs As Built

4. Time Impact Analysis (TIA)

 

Each one of the above can either be performed either prospectively or retrospectively. The most accepted of all is TIA prospectively, but it depends on many factors such as Contract terms and conditions, legal jurisdiction etc.

Apart from the techniques it is important to check if contract condition such as time barring clause is respected or not, does the contract defines float ownership or consequences of concurrent delay, whether the delay analysis performed is based on cause and effect relationship or it is a global claim. Also, all claim should have minimum:

1. Cause

2. Effect

3. Entitlement

4. Substantiation.

 

In any case, it does not have one perfect answer which is the best technique to analyse time extension claim.

You can refer AACE RP29 and SCL Delay and Disruption Protocol for detail.

 

Frederick Edward Stacey Stacey
by Frederick Edward Stacey Stacey , Contracts/ Commercial Manager , D.G.Jones & Partners

Thaa

t is dependant on the type of contract and the conditions that apply.

the question is very vague

 

Time and cosy im[lcations why dont

 you read the books.from simple logic to phorensic analysis

 

 

 

o whether you require siplie logiic or develoep detailed phorensic planning anaiysis

KRISHNAN VASUDEVAN
by KRISHNAN VASUDEVAN , CEO and Director , VEEGUARD INSURANCE MARKETING AND FINANCIAL SERVICES PVT LTD ( An upstart company)

As an Insurance claims handler this topic gain predominace when the underwriters grant ALOP( Advance loss of profit) and Marine DSU concurrently,invariably covering the principals and lenders interest .

Many also cover the interest of the  contractors, sub contractors of various tiers and all parties associated with contract works which enable the insurers to pay for accidental physical damage claim inclusive of any anticipated GP loss( covered against insured perils provided it breaches the time excess).

The policy must provide scope for regular activity( PERT) chart and compare with the standarised flow of activitities as declared to insurers at the  commenece,ent of the  contract works.

Dedicated loss adjuster to keep track/monitor erection progress and brief all stake holders if any avoidablle deviation take place.

Should any insured loss intervene,special care to determine time line to rectify the covered loss vs the uncovered loss  is required to be taken and obtain concurrence at the relevant time to prevent dispute whilst arriving at the ALOP calculations finally when done.

Extreme care on critical machineries arrival ,safe transportation, safe storage and looking out to alternate replacement/spares in the  local and international  market is key to contain erection,testing and commisioning delays.A team comprising all stake holders must periodically meet and document the findings and adhere to the  time line in case of rectifcation of loss or damage  is needed to arrest time wastage.

There are two major techniques of TIA's, it's either Prospective TIA nor Retrospective TIA.

Under each of those techniques, there are different routes of analyzing the EoT, however, you may need to start reading your contract conditions and/or general specifications and to keep your eyes opened on the clause which says: "The Project Owns the Float"! all before your start your CPM analysis in line with the suitable route you have selected to claim your EoT after taken into consideration your concurrent delays. 

Regards, 

SHAELENDRA SAXENA
by SHAELENDRA SAXENA , AVP – Contracts Management & Legal , MonteCarlo Ltd

Proper Documentation of all correspondence with client.

Timely Correspondence with client.

Delay Register signing with client on daily basis.

Revised schedule submission to client with letter covering all delays and impacts.

Incorporating delays and its impacts in all MOMs etc.

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