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BizTrends 2018

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Redefining the impact of project delays on cost

When it comes to delays and the assessment of delay claims, there is limited guidance available. In fact, there is no clear path in terms of managing the issue, establishing process or determining who is ultimately responsible. The result is that many unexpected delays end in disputes which can potentially impact on relationships and the success of a project. There has long been a need for the industry to have access to a simple, standardised process which walks all parties through the claim and finds equally simple answers to the problems.
Dr Hendrik Prinsloo, course facilitator, ASAQS

Decision Support Framework

This need inspired the development of the Decision Support Framework, a tool designed to assist in the assessment of claims from the start, eliminating indecision and uncertainty and providing users with a clear route to resolution. The framework was crafted over a number of years, and was designed to be easy to understand and capable of managing claims across industry and incident. The Decision Support Framework is currently being integrated as part of the Association of South African Quantity Surveyors’ (ASAQS) member toolkit via continuous professional development (CPD) training courses which are being offered around the country. The intended outcome is to assist quantity surveyors in making accurate assessments, determining root causes and, ultimately, saving customers money.

Alongside supporting the more accurate and efficient assessment of delay claims, the tool adds a sense of fair play – the standardisation of process and procedure allowing all parties equal say. Often, there is no small measure of uncertainty when it comes to claim assessments, so if all parties are using the same resource, it ensures that both client and contractor have the same input, see the same results and have their concerns acknowledged. This can also have a positive impact on time spent with claims, reducing disputes and saving on costs.

The goal is to complete the project, not become embroiled in lengthy debate or lose money as the days tick by and the build remains dormant.

Time is money

In any industry, time is money. More so in the construction industry where time delayed decisions can result in a cost per day impact. Likewise, a delay in the delivery of materials to site can impact costs. By identifying delays and ensuring swift resolution, the Decision Support Framework can have immediate and long-term cost savings. The quantity surveyor can assist in determining the delay far more efficiently and this can significantly lower the financial implications which normally come hand in hand with any delay claim.

The Decision Support Framework sidesteps the usual problems by taking the user through four primary decision-making processes. Each of these has been carefully researched to fit alongside the extension of time claims, and each one uses a process to allow for deliberation and careful resolution. The tool helps to arrive at the easiest conclusion as users follow the steps to a solution and find a mutually beneficial agreement.

ASAQS EduTech Division

For those who are cost conscious and who always keep a keen eye on the bottom line, this Decision Support Framework methodology will add another metaphorical arrow to the professional quantity surveyors quiver. By virtue of the work that quantity surveying professionals undertake, they regularly find themselves at the centre of cost-related misunderstandings, while being ever mindful of bringing the project home within budget.

The ASAQS’s EduTech Division has identified the need to bring clarity to both the construction industry and to the associations QS professionals, by offering bespoke training that provides the participant with a broad understanding of the principles and best practice around this sensitive issue.

About the author

Dr Hendrik Prinsloo is course facilitator at the Association of South African Quantity Surveyors (ASAQS).