Managing Risk of Delay in Construction Projects Erfan & Basharat.pptx

Construction management

1. Ministry of Higher Education Kabul Polytechnic University Construction Faculty Construction Management Department Managing Risk of Delay in Construction Projects Instructor: Professor Dr Amanullah Faqeri Prepared by: Erfanullah Alkozai and Sayed Basharat Year: 2024

2. Table of Content Executive summary Introduction Types of Delay Causes of Projects Delays and How to Manage Them Causes of Project Delays Identifying Project Delays Managing Project Delays Conclusion Reference

3. Executive summary The construction sector is considered the most important sector, as it contributes to raising the country’s economy. Therefore, it is necessary to search for the obstacles. One of these obstacles is the delay, as the project is rarely completed within the planned period. Among the most prominent reasons for this delay are change orders, financial problems for the owner, and slow decision-making on the part of stakeholders.

4. Introduction Delays in construction projects are caused by several variables. According to Desai and Bhatt, a construction delay is a time overrun in which the project’s completion date is later than the date stipulated in the contract or takes longer to finish than the date on which the parties originally agreed to deliver the project. Delays in construction projects are now becoming a frequent problem in most projects due to various reasons that vary from one project to another. Therefore, the project manager is crucial in ensuring that the projects are finished within the budgeted time and cost, as stipulated in the contract because delays in construction projects create stress and worry for all the parties under the terms of the contract.

5. Types of Delay There are various types of delays in construction projects, which are based on the source or the affected parties for this delay. For example, construction delays can be categorized into critical delays, non-critical delays, causable delays, non-causable delays, and concurrent delays according to Thorat et al.

6. Excusable delay It is the kind of delay that happens as a result of an unforeseen circumstance that neither the contractor nor the subcontractor can control. Excusable delays are caused by the following occurrences: floods, fires, acts of God, general labor strikes, typically harsh weather, etc. There are two types of excused delays: compensable and non-compensable. Owner or owner’s agents are to blame for compensable delays. Non-compensable delays, however, are brought on by events or persons outside the control of the contractor, the owner, or both. These delays are frequently referred to as “acts of God” because no one is to blame for them

7. … Non-excusable delay he foreseeable incident that is within the contractor’s control constitutes a non-excusable delay. Examples of this type of delay include late material deliveries from suppliers, late work completion by subcontractors, incorrect work execution by the contractor or subcontractor, a shortage of labor and equipment, and strikes by workers because the contractor intends to stop paying them on time.

8. … Concurrent delays Concurrent delays are more difficult and common in building projects. This circumstance occurs when multiple factors cause the project to be delayed simultaneously or over a period of time

9. Causes of Projects Delays and How to Manage Them A project delay refers to an unforeseen circumstance that causes a setback in the planned schedule of a project. This could mean tasks and milestones are not completed within the established deadlines, leading to an overall extension of the project's timeline beyond what was originally forecasted Identifying these delays early is crucial for several reasons Minimize Cost Overruns Maintain Reputation Efficient Resource Allocation Risk Management Stakeholder Communication

10. Causes of Project Delays Poor Planning This occurs when a project's objectives, resources, and timelines are not clearly defined or realistic. Projects can easily veer off course without proper planning, leading to delays and cost overruns.

11. … Scope Creep Scoop creep refers to uncontrolled changes or continuous growth in a project's scope. This can happen when the project is poorly defined, documented, or controlled. It often leads to extended deadlines as more tasks are added to the project.

12. … Resource Constraints This includes limitations on personnel, equipment, or materials. If adequate resources are unavailable when needed, the project's progress can slow down

13. … Poor Communication Inadequate communication among team members can lead to misunderstandings, confusion, and mistakes, resulting in project delays.

14. … Risk Management Issues If potential risks aren't identified and planned for in advance, they can cause significant disruptions when they occur.

15. … Task Dependencies Task Dependencies are tasks that rely on each other to be completed. If one task is delayed, it can delay all other dependent tasks, causing a chain reaction of delays throughout the project. Project management tools such as Active Collab have finish-to-start task dependencies, where a parent task must end before the child task can begin.

16. … Task Complexity The more complex a task, the more time it typically takes to complete. If the complexity of certain tasks is underestimated, it can lead to delays.

17. … Lack of Skills or Training If team members lack the necessary skills or training to complete their tasks efficiently and effectively, it can slow down the project's progress.

18. … Changes in the Project Team Changes in the project team, such as key team members leaving or new members joining, can disrupt the workflow and cause delays.

19. … External Factors These are events outside the project's control, such as market changes, changes in laws, or economic shifts. These factors can influence a project's timeline and cause unexpected delays.

20. Identifying Project Delays Identifying project delays early is crucial for effective project management. Strategies and tools aid in this process. Use project tracking and reporting features, monitor your KPIs, set notifications and reminders, and regularly communicate with your team.

21. … Project Tracking This involves regularly monitoring the project's progress against its  planned schedule . Tracking can reveal if tasks take longer than expected, signaling a potential delay.

22. … Reporting Features Active Collab , like many project management tools, offers reporting features that can generate detailed reports on project progress, resource allocation, and more. These reports can highlight areas of concern that may lead to delays. Monitoring KPIs (Key Performance Indicators) K PIs help measure the efficiency of project execution. By monitoring KPIs such as task completion rate, time to task completion, and resource utilization, you can identify any deviations from the plan that could result in delays.

23. … Notifications and Reminders Most project management tools have built-in notification systems that alert team members about upcoming deadlines. If a deadline is approaching and the task is not close to completion, it can serve as an early warning sign of a potential delay. Regular Team Meetings/Check-ins Regular communication with your team can help identify any challenges or roadblocks they might face, providing an opportunity to address these issues before they cause significant delays.

24. Managing Project Delays When a project delay is identified, managing it effectively to minimize its impact is crucial. Here are some steps to take to get a delayed project back on track:

25. … Acknowledge the Delay The first step is acknowledging the delay and understanding its cause. This involves identifying which tasks are delayed and why. Reassess Project Timeline and Schedule Once a delay has been identified, reassess the project timeline and schedule. Determine how the delay will affect the overall project timeline and whether any adjustments or modifications need to be made to the schedule.

26. Develop a Recovery Plan This could involve reallocating resources, reprioritizing tasks, or outsourcing certain activities. The goal is to devise a plan to help you catch up and get back on track. Use Project Management Software to Communicate Delays Communication is key when managing project delays. Use your project management software to inform all stakeholders about the delay and the revised plans. Transparency helps manage expectations and keeps everyone on the same page.

27. Implement Changes and Monitor Progress After developing a recovery plan, implement the changes and closely monitor progress. Use your project management software to track whether the new measures are helping to reduce the delay. Learn from the Experience U se every project delay as a learning opportunity. Analyze what went wrong and how it was handled to improve your project management processes in the future.

28. Conclusion The delay in completing the project within the agreed period is one of the most prominent problems that many construction projects in various countries around the world suffer from. Therefore, the current study focused on identifying the risks of delay. Where the results of the research showed that the effect of delay is not only limited to the project itself but also affects all parties associated with the project, whether directly or indirectly. One of the most prominent risks of delay is the cost overrun resulting from the requirements of this delay, as any additional time requires additional expenses associated with additional labor and materials.

29. … It was found that the reasons for the delay were related to the owner, as he was responsible for the early stages of the project. Therefore, more attention must be paid to the planning stage and the preparation of project documents, since most of the reasons were the result of a lack of planning and preparation of project documents.

30. Refrences A.M. Faten   Albtoush Jadara University, Irbid, Jordan(Research Paper) [22] Zhu G, Bard JF, Yu G. Disruption management for resource-constrained project scheduling. Journal of the Operational Research Society. 2005;56(4):365-381 [23] Chileshel N, Berko PD. Causes of project cost overruns within. In: Proceedings 51 Built Environment Conference. Vol. 18. 2010. p. 20

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