Overrun Avoidance
Keeping the Construction Schedule On Track
Construction projects are often vulnerable to delays and budget overruns due to a variety of factors. These can range from design issues and changes in the owner's plans, to poor planning and management by the contractor. Every project faces its own unique challenges.
Regardless of the cause, delays almost always result in additional costs. For income-generating properties, a delay in the construction schedule can significantly impact revenue. For instance, a property owner may face penalties for breaking lease agreements with tenants, or a pharmaceutical facility could lose millions in daily sales due to postponed operations.
To avoid these costly setbacks and potential legal disputes, it’s essential to implement effective processes and maintain tight control over the construction schedule.
Preventing Delay and Overrun During the Tender Phase
Maintaining your construction schedule and avoiding cost overruns starts with thorough due diligence during the contractor selection process.
Through our Contractor Recommendation process, we collaborate with Owners, Designers, and Project Managers to develop a comprehensive evaluation framework. This includes both financial and non-financial criteria such as:
- Relevant project experience
- Proposed project team
- References
- Project schedule
- Safety policies
We use a weighted scoring model to assess each short-listed bid based on its relative strengths. Each bid receives a total score, and the one with the highest score is identified as offering the best overall value.
By selecting a contractor based on best value, not just the lowest price, you help ensure the right team is in place to deliver quality work at the right cost.
Avoiding Delays and Overruns When It’s Time for Construction
Once construction begins, any changes made after the contract is signed require careful consideration, especially when it comes to determining who bears the associated costs. It’s essential to handle these situations fairly and transparently.
At A.W. Hooker Associates Ltd., we offer a Change Order Review process that provides both the owner and contractor with a clear, credible method for resolving changes. As Quantity Surveyors, our expertise in contracts and construction costs positions us to deliver impartial assessments of how changes may impact the project budget.
If a contractor submits a claim for additional payment beyond the original contract after work is completed, we can also conduct a Claims Review. This involves a detailed evaluation of the claim by a Quantity Surveyor, resulting in an unbiased recommendation regarding the cost implications. Unresolved claims can escalate into construction liens, so it’s critical to address them early—before they become larger legal or financial issues.
Minimizing Litigation Risk
While a well-drafted contract aims to address every possible scenario, the reality is that some situations remain open to interpretation. Technical or contractual documents can be read differently by different parties, leading to disputes.
At A.W. Hooker Associates Ltd., we help identify and resolve potential issues before they escalate into claims. Our Quantity Surveyors play a key role in promoting clear, consistent, and credible communication throughout the project which minimizes the risk of misunderstandings and disputes.
Effectively managing project issues, especially those affecting cost or schedule, in a fair and transparent manner is essential to preventing most claims. However, when claims do arise, our Quantity Surveyors respond promptly and impartially. If necessary, we also provide Expert Witness Services to support our clients through litigation.