Impacts and their resulting delays are specific, singular events of conditions that result in the project completion, contract milestones or one or more work actively starting or completing later than originally planned. Disruptions include the effects of individual or multiple delays, as well as interruptions to the planned method, manner, sequence, and duration of work activities directly and/or indirectly associated with the impacting event. Disruptions usually affect labor productivity and can cause significant cost overrun variances in labor and equipment budgets. Disruptions are often contributing causes to a project delay when the delay-related impacts ripple throughout the project to both the work activities directly changed and the unchanged work not directly affected.
Some possible resulting costs from delays and disruption-caused efficiency loss:
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Extended project management support | ||
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Extended engineering staff | ||
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Extended administrative support | ||
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Extended project and home office overhead, and general conditions costs | ||
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Idle tools and equipment | ||
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Direct costs of the change work directly affected by the delay | ||
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Efficiency decreased due to re-sequencing work or additional work activities in progress at a given time | ||
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Performance extended into a period of adverse weather | ||
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Dilution of supervision due to additional work activities to be manages | ||
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Overcrowding of trades | ||
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Acceleration– premium time/increases in manpower | ||
Some Elements to consider and explore:
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Was timely notice of impacts given? | ||
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Did any of the impacts occur before or after the noticed period? | ||
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Were an accord & satisfaction given on any of the disruptions included? | ||
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Did claimant support its position using only one methodology? | ||
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Was baseline productivity realistic and achievable based on other similar work? | ||
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Did claimant actually compare identical or very similar work? | ||
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Does adequate contemporaneous documentation exist and is it useful? | ||
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Did claimant objectively assess the contemporaneous project data? | ||
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Did the claimant cherry-pick from the best productivity of a "measured mile" analysis? | ||
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Did claimant offer unwarranted extrapolations in its cost estimate? Did claimant misuse any industry studies? | ||
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Is it a total cost claim, and if so, did claimant satisfy the four-part test? | ![]() |
The impracticality of proving the cost of the "extra work" by other means |
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The reasonableness of the contract price | ||
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The reasonableness of the actual costs | ||
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The lack of responsibility for the increased cost of performance | ||
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Were there any underbid items? | ||
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Did the contemporaneous project cost data comport with claimed cost data? | ||
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