ConstructionPro Week, Volume: 3 - Issue: 46 - 11/14/2014

The Role of CPM Schedules in Construction Claims

CPM schedules are essential for determining project impact arising from time-related problems, such as delays, suspensions, or accelerations. Changes that add or delete work and differing site conditions may also have a time impact on the contract that can be demonstrated by CPMs. To best analyze the effect of such situations, the CPM is the most often used tool to measure the relative impact of different time factors on project completion. The use of CPMs has long been accepted by the boards and courts, so long as:

  • The baseline and update schedules have been established as reasonable and accurate.
     
  • The schedule has been updated and maintained during construction in accordance with the specifications.
     
  • The analysis is employed in an accurate and consistent manner in accordance with acceptable forensic scheduling theory, including adjustments for contractor-caused and concurrent delays.
     
  • A cause-and-effect relationship between actual events and delays to the job is shown. 

CPM schedules provide a powerful tool that can illustrate the results of events and delays on the project. This illustration is often in the form of a graphically depicted bar chart that permits all parties to observe the sequence of events to date, and the projected effects of those past events. While the bar chart is supported by detailed data contained within the CPM schedule, the graphic illustration is useful in understanding and calculating the cost and time impacts resulting from a change order, suspension, delay, or disruption. In some cases, the submission of CPM schedule updates can serve to fulfill contractual notice requirements. However, parties are advised to follow the contractual requirements closely in providing a required notice.

 

The basic intent of CPM Forensic Schedule Analysis (FSA) is to show the impact of delay by comparing actual performance (as-built) to planned performance (as-planned). Such analysis must consider many elements of the CPM schedule, including float, multiple critical paths, concurrent delay, acceleration, and early completion. To learn more about the use of CPM schedules to support and analyze time impact claims, join in on the interactive webinar presented by construction expert John Livengood to be held November 19, 2014. Click here for details or to register.

 

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