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Synopsis: Changes to the execution of the project impact time... and as the adage goes time is money.



1. Introduction: Time Impact Analysis (TIA)


To support a value engineering proposal, variance request/ change order, claim or request for equitable adjustment a formal, analytical quantitative (as opposed to qualitative) Time Impact Analysis method needs to be prepared by the party stating a time impact to the schedule (usually this would be the Contractor).


The analysis must be self-standing and self-evident by which we mean that any reader (not necessarily familiar with the finer details of the project) should be able to easily read, understand and in principle agree to the statements and conclusions of the time analysis. Further all supporting documentation such as memos, emails, letters, technical clarifications, incident reports, daily progress reports, weekly progress reports, etc. as pertinent should be included as an appendix and/ or highlighted in the main body of the time impact analysis.



2. Process: When to submit a Time Impact Analysis


The Contractor will need to submit a Time Impact Analysis (TIA) illustrating the influence of each change or delay on the Contract Completion Date or milestones. Unless the Client requests an interim update to the schedule, the current updated progressed schedule as accepted by the Client will normally be used to display the impacts of the change.


Each TIA needs to include a Fragmentary Network (fragnet) demonstrating how the Contractor proposes to incorporate the impact into the project schedule. A fragnet is defined as the sequence of new activities and/ or activity revisions, logic relationships and resource changes that are proposed to be added to the existing schedule to demonstrate the influence of impacts to the schedule. The fragnet needs to identify the predecessors to the new activities and demonstrate the impacts to successor activities. The Contractor will run the schedule calculations and submit the impacted schedule with the proposal, claim, etc. and include a narrative report describing the effects of new activities and relationships to interim and contract completion dates, with each TIA. The official time extension requests will then include the Time Impact Analysis showing the fragnet, impacted schedule (with fragnet loaded), Total Float Report, Narrative Report, Log Report and any other relevant documentation.


If the TIA is accepted by the Client, then all changes in the fragnet used to determine impacts, will need to be incorporated into the schedule.


Note: It is important for the Contractor or incumbent party to prepare the Time Impact Analysis as soon as possible, preferably the moment the event impacting the schedule is potentially identified or takes place.



3. Analysis: Present Progressed Schedule vs. Subsequent Progressed Schedule


The TIA including the fragnet analysis must take place using the present progressed schedule. It is incorrect to attempt to analyze a past event (especially if this has taken place some substantial amount of time back) with a "subsequent" schedule (meaning a progressed schedule much beyond the date of the event that impacted the schedule e.g. using the final progressed schedule to analyze an event that took place half way through the project).


Below 3 fragnets illustrate the point. The first is the original fragnet based on the approved baseline schedule. Let's assume that later the "free-issued" equipment was supposed to have been delivered and available at the construction site on the start of the 20th day. However subsequently on day 01 the Client notifies a delay in the delivery of 5 days. Hence the Contractor on day 01 could then claim 5 days schedule impact. However if the Contractor was to put the claim at the end of the Construction period, and let's assume that the Contractor suffered delays while pouring concrete extending the duration from 5 days to 8 days, then he could claim only 2 days vs. 5 days in the earlier case.


















Of course in the latter case for example the Contractor could claim that the delay was intentional due to the activity for concrete pouring having additional float. However reality is considerably more complex than this basic example, and often there exist a myriad of variables and interdependencies. The point is as illustrated in this example is that the TIA should be performed as soon as possible and using the progressed schedule at the time that the event having an impact on the schedule is identified.



4. Keep your copies of the Progressed Schedules - As Native Files!


Important note! In my experience - unfortunately - I have found many Contractors that do not keep native copies of their progressed schedules, instead rely on pdf copies, and continue to recycle the same native file for all their progressed schedules. The end result is a baseline schedule and the schedule at the project completion - without any intermediary schedules in a native format. This is a very poor practice and makes subsequent "forensic" schedule analysis very difficult.


To substantiate a time claim it's imperative to have extremely clear records including copies of all progressed schedules as native files. Otherwise your chances to have the claim accepted are compromised.


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