Written by Lyle Charles
Construction projects will often come across a variety of delays. These delays can have a severe financial impact on the project. Delays can affect some parties and therefore delay claims may occur. There are many types of delay analysis methods used by construction claim analysis experts.
Construction delay claim analysis will require an examination of project documents. Here are the basic concepts in a construction delay analysis.
Critical, non-critical delays and float – Projects will comprise of critical and non-critical activities. Each activity will also have some float days, which are the days an activity is allowed extra days, without affecting the entire project.
Excusable and non-excusable delays – Excusable delays mean that they occur at no fault to the contractor. However, non-excusable delays are delays that are due to the contractor’s fault.
Compensable and non-compensable delays – Compensable delays are delays where the party who caused the delay, will need to pay for the delay caused. Non-compensable delays are those where no compensation is needed but a time extension is owed.
Concurrent delays – Some analysts calculate the total number of delay days and then cost the entire number of delay days. This method is easier, but will not provide an accurate picture about what areas caused the delay and how they can be corrected in the future. For example, if you needed a structural steel expert to advise you on your project, but he/she was unreliable, you will then not know that he/she should not be a part of your next project.
Lyle Charles Consulting provides construction & turnaround services that can help cut costs and provide a fair resolution to disputes that commonly arise.