Project Rundown Control a Purpose

As construction approaches mechanical completion, an efficient rundown can be difficult to achieve. Complicating efficient completion at this time are design changes, start-up, punchlists and rework.

On large projects, this situation can be especially serious and lead to increased costs. Moreover, the weight of accumulated performance now obscures incremental performance. Therefore, work can get completed in a haphazard and unplanned manner. It is difficult, as punchlists and completion lists are generated, to ascribe a factual scope of work to a multitude of different items, many having top priority for completion. A technique for reducing these problems is shown in Figure 7-15. This involves identification of the remaining scope, with work/punchlists and then individually controlling it to completion. This example shows a rundown for direct labor on a reimbursable project.

In addition to field labor, there are other costs to consider.

Figure 7-15. Labor Rundown Control.

Figure 7-15. Labor Rundown Control.

b) Material

At this stage, field-purchased material usually reaches a peak due mainly to design changes and rework. It is suggested that an estimate of these expenditures be made. Planned dollar expenditure curves could be drawn for major categories and actual expenditures plotted.

C) Subcontracts

At this point, direct-hire forces could be replaced and the remaining work completed by subcontracts. Often these subcontracts are awarded on a time and material basis, making dollar expenditure curves the only way to retain proper control. There is also the need for closing out the regular construction subcontracts, many of which may require settlement of claims and extras. Resolution of these items requires time and attention, and the subcontract group should not be cut back too quickly at this time.

d) Design Changes and Start-Up Problems

A field change log could help identify the scope of this work, and designation of the initiator could assist in a proper allocation of costs.

On reimbursable-type contracts, the scope of work may not include commissioning activities. However, the contractor generally has responsibility for a plant meeting its design performance and so is often asked to assist with commissioning and start-up. Owners believe that design changes required for start-up are the contractor's responsibility as many of these design changes are required for safe plant operation. Thus, on large projects, it is vital that manpower, manhours and costs be tightly controlled through the rundown stage. This same "Rundown Control System" can also be effectively used to close out engineering.

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Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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