About the SCL’s Delay and Disruption Protocol, episode 3
Delay, Disruption and Acceleration Concepts
This episode brings about some contents of SCL's Delay & Disruption
Protocol Guidance Part A - Delay, Disruption and Acceleration Concepts which are
interesting and may not be familiar or overlooked by some practitioners.
Delay
Delay means the event that the work actually takes more time than planned. If the
delay impacts Critical Path, it is a “critical delay” that drives the
completion of all the work in the path beyond the contract completion date.
From the fact that "time is money", when the delay occurs, the
contractor who believes it is eligible to reserve its right to claim for an
extension of time and additional compensation from the delay will notify its
claim from 3 entitlement as follows:-
1) to refrain from paying liquidated damages of delay (LDs) to the employer.
2) to get reimbursement for expenses or any time-related costs that increase over delay
3) to get compensation of increased costs on acceleration to mitigate delay.
The prolongation claim involves an analysis of delay that the contractor must detail the document with supporting evidences showing cause and effect of the delay that affects critical path to substantiate its claim.
1) to refrain from paying liquidated damages of delay (LDs) to the employer.
2) to get reimbursement for expenses or any time-related costs that increase over delay
3) to get compensation of increased costs on acceleration to mitigate delay.
The prolongation claim involves an analysis of delay that the contractor must detail the document with supporting evidences showing cause and effect of the delay that affects critical path to substantiate its claim.
Disruption
Disruption means the presence of obstacles that interrupts or interferes with
the contractor’s work to suspend or slow down or to change method from its
plan. Disruption makes the contractor’s work less productive and usually
requires more direct resources to accelerate the work to be back on track.
Disruption Claims are related to the analysis of productivity of work
activities, regardless of the criticality of the activities’ path. However, if the
activities on Critical Path are disrupted, it may also cause a claim for
extension of time with additional compensation due to the Critical Delay.
Acceleration
The Protocol mentions for both “Mitigation” and “Acceleration”, and explains that acceleration is a subset of mitigation. Even if the contractor is responsible to mitigate delay by accelerating to gain the time lost back from delay, if the delay is due to the Employer Risk Event, the contractor is not obliged to bear the additional costs such mitigation. When the contractor has tried its best to accelerate the work among any disruptive events until achieving the contract completion date, the contractor may request for Acceleration Claim. In case the Acceleration Claim has been approved (with the on-time project completion), it is understood that the right on Prolongation Claim does not exist.
The Protocol mentions for both “Mitigation” and “Acceleration”, and explains that acceleration is a subset of mitigation. Even if the contractor is responsible to mitigate delay by accelerating to gain the time lost back from delay, if the delay is due to the Employer Risk Event, the contractor is not obliged to bear the additional costs such mitigation. When the contractor has tried its best to accelerate the work among any disruptive events until achieving the contract completion date, the contractor may request for Acceleration Claim. In case the Acceleration Claim has been approved (with the on-time project completion), it is understood that the right on Prolongation Claim does not exist.
Next episode will
continue to brief you of some contents on SCL's D & D Protocol Guidance
Part B - Guidance on Core Principles, where are interesting and may not be
familiar by us, or we may overlook on their importance. If interested ...
please follow ......
References and Credits:
No comments:
Post a Comment