Complexity is Often the Culprit in Cost Overruns, Delays
Our long history and experience is that the failure rate for projects in general has remained high. Why haven’t the advances in project management science, computers technology and communications been effectively brought to bear on the engineering and construction business? What about the advertised beneficial impact of 3-D computer-aided design, computerized critical path methods schedules and building information modeling? Are today’s engineers not as good as those who built the mega project of yesteryear like the Panama Canal, Empire State Building or Hoover Dam?
The Standard of Care in a Design Build World
Design-Build Delivery can create new responsibilities for designers where they would not exist in traditional Design-Bid-Builddelivery situations and require new awareness on the part of contractors to the iterative and uncertain world of conceptual design. These new responsibilities require a paradigm shift for both Designers and Contractors as the realities of working together challenge the leadership of the organizations.
For designers the change requires them to abandon their traditionally “client only” focused advice and consent role and adopt a new paradigm of working for, or with, the contractor to deliver an acceptable and profitable product. For the contractor working with and supporting the designer changes the very nature of their previous working relationship. The contractor is now working with and for the people they are all too often at odds with concerning project delivery.
The Surety’s Completion Alternatives for Defaulted Contracts
When faced with a default on their projects, many owners have unrealistic expectations concerning the surety’s obligations under the performance bond. Owners feel frustrated when the surety does not aggressively step in to complete the work. However, under most performance bonds, if the contractor/principal is in default, the surety may discharge its obligations by any one of the following alternatives: (1) finance the contractor/principal to complete the work; (2) obtain a new contractor to complete the work under a direct contract with the owner/obligee; (3) complete the work with a new contractor under a contract with the surety; (4) permit or require the owner/obligee to obtain a new contractor; and…
Project Risk Reduction
Using Project Management Modeling Tools to Quantify, Analyze and Reduce Exposure to Risk
Some project histories are very complex and traditional schedule and damage analysis methods are not able to quantify the impacts of events that have occurred over the life of the project. In these situations MDC&Reg has relied upon more sophisticated mathematical and system based models to attribute impacts to particular events. The usual methods of determining and reducing risk on construction projects include schedule forecast, cost forecasts and change review analysis performed by the project team. However, sometimes these techniques do not allow for an overview that properly adds the effects of many individual events. On these occasions the project team needs more powerful and sophisticated tools that can include multiple project factors including resource availability, site conditions, environmental factors and productivity levels for both planned and actual conditions on the project to date, all factors that cannot be completely comprehended by the project manager without the aid of analysis.
Fukushima Dai-Ichi – Black Swan Event or Engineering Design Error?
By Robert C. McCue, PE MDCSystems® Consulting Engineer Tsunami triggers destruction of nuclear reactors, Japan On the afternoon of March 11, 2011 a magnitude 9.0 earthquake struck the coast of Japan triggering a massive tsunami that ravaged the country's northern...
Risky Business: The Economic Risks of Climate Change to the United States
The U.S. faces significant and diverse economic risks from climate change. The signature effects of human-induced climate change—rising seas, increased damage from storm surge, more frequent bouts of extreme heat—all have specific, measurable impacts on our nation’s current assets and ongoing economic activity.
Design Professional’s Role in Minimizing Claims
Design professionals can play an important role in properly setting the course for the construction project, especially in minimizing the likelihood of claims and disputes. For example, not only can the architect serve as the master builder, but also as the master of dispute prevention and resolution.
The Dreaded Change Order
We have never met an Owner who was happy to hear, “We need a change order.” What we’ve learned over the years is that even though change orders are facts of life in construction, there are strategies to help you avoid them.changeorders-graphic
Change orders (CO) fall into two categories – owner driven and non-owner driven. Both can be mitigated.
Owner driven change orders happen when Owners change their minds, adding a window here or changing the carpet there. We’ve even seen buildings moved and floors added mid-project, which leads us to the first CO avoidance strategy.
Project Documentation: Win the Paper Battle
The primary goal in construction recordkeeping is to manage crucial information to facilitate decision-making. A secondary goal is to document key aspects of the project to provide an audit trail or comply with legal or regulatory documentation requirements. Frequently project participants lose sight of these two important goals; and resort to “wall-papering” the project office with reams of useless documents.
What can BIG DATA Collection and Analysis Do For Your Process Plant Profitability?
By Robert C. McCue, PE and Donald Keer, PE MDC Systems® Consulting Engineers
Process Plant profitability depends in large part on operational continuity or up-time. MDC Systems® has recently become aware of a developing technology to detect and then prevent unplanned shutdowns due to up-set operating parameters in process plants. This capability results from the real time collection and analysis of all reportable operating data…“BIG DATA.”
Process Plants typically produce more data than can be efficiently collected and reviewed by the operators. A plant with 320 tags (equipment items with associated data collection points such as pressure, temperature, flow etc), recording at 5 second intervals, will produce 5 million data readings per day. That is a billion data points over six months. Buried in this cascade of information are subtle leading indicators of up-set operating conditions.