The Sage Group uses Critical Path Method (CPM) scheduling assess a construction project end-to-end. Our experienced CPM scheduling and project controls consultants have proven track records in developing and analyzing project schedules. We use CPM scheduling and analysis to meet each client’s specific needs. Our scheduling methods include industry standard software to develop, monitor and report the progress of construction.
Critical Path Method scheduling is the most widely used scheduling tool in the construction industry today. It uses all networked activities of subcontractors, vendors, suppliers and other parties associated with construction of the project to monitor performance and project outcomes by breaking down the work by sequence and duration. Activities are analyzed and connected. Crews and subcontractors are linked to tasks. The critical path is defined as the longest-duration path that runs throughout the network and defines the shortest time in which the project can be completed.
As the project progresses, the critical path method schedule can be updated to alert the project management team of potential delay and provide opportunity to mitigate that delay.
Sometimes it is necessary to incorporate change orders that were not part of the original schedule. The beauty of the CPM update process is its ability to adjust anticipated completion.
The Sage Group’s Critical Path analyses rely on proven scheduling software and industry project controls:
- Project 4D™
- Claim Digger™
- Microsoft Project™
- Finest Hour™
Sage’s Critical Path Methodology utilizes the following processes as appropriate:
- Collapsed As-built
- Critical Path Method (CPM) Scheduling
- Linear Schedule Analysis
- Planned and As-Built Analysis Schedules
- Resource and Cost Loaded Schedules
- Schedule Delay Analysis and Quantification
- Time Impact Analysis
- Total Float Management
- “What if” Scenarios
- Window Analysis.
Please contact us at (303) 571-0237 or submit an online inquiry firstname.lastname@example.org for additional information on our Critical Path services or consultants.
Claim Preparation Analysis
The first step to recovery of additional funds is analysis and preparation of a claim. Sage’s expertise in cost and schedule analysis make it well qualified to find the reasons for cost overruns and analyze whether those causes give rise to claims for recovery. Sage can perform the analysis of both the entitlement issues and the damages that flow from those entitlement issues, utilizing the client’s documentation to develop and verify its analysis. Sage can also prepare detailed and supportable claim documents, which clearly delineate the basis for the claim and the damages that are recoverable. If the claim cannot be resolved at this level, the damages analysis and schedule analysis underlying the claim preparation will provide the basis for the expert report and expert testimony required during litigation.
Cost Overruns and Disruption Delays
The completed costs of construction projects are frequently higher than originally budgeted. There are many reasons for these increases, such as scope changes, user requirements that change or arise during construction, errors in design, differing site conditions, estimating errors, subcontractor or vendor failures and wage or material escalation and changes. Analyzing the reasons for these increases is often a predicate for determining if a claim has merit and should be pursued. We analyze the actual project cost data, which often includes job cost reports, budgets, estimates, takeoff sheets, change orders, payment applications, field directives and invoices, among many other documents. Sage’s expertise is invaluable in performing these cost analyses.
Most construction claims give short shrift to damages and focus on entitlement, despite the fact that the ultimate goal of any construction claim is recovering monetary damages. Our approach is different. When we prepare or defend damages claims, we utilize actual cost data whenever possible. While we utilize academic studies of labor productivity and similar empirical studies, we use these to validate actual costs rather than as a primary method of damage calculation. We focus on cost and cost reports, labor reports, variances from the anticipated or budgeted amounts and the reasons for those variances. As a result, we are able to accurately determine direct and indirect damages, including damages for productivity loss, increased duration, extended overhead and various other reasons. Focusing on the costs helps focus our analysis on the issues that matter. Because the number of documents produced in construction cases can be staggering, this approach reduces what is often a tedious, drawn-out process. By focusing our analysis from the start, we don’t waste time or our client’s money sifting through useless and irrelevant documents.
Bill Schwartzkopf, CEO of The Sage Group, is the author of Calculating Construction Damages and Calculating Lost Labor Productivity in Construction Claims, two leading treatises in the industry intended for use by lawyers, contractors, consultants and other people who are involved in construction claims.
Allocation of Damages
The rise of multi-party litigation, particularly in the construction defects area, has created the need for damage allocations. While the owner of a project knows only that it has been damaged in some amount by defective construction, it is incumbent on the developers and general contractor to allocate that damage among the various parties against which claims are being made. In delay, disruption and acceleration litigation, a party can only recover those damages that are properly attributable to the other party.
Sage’s expertise in cost and schedule analyses makes it well qualified to allocate the damages among the various parties in a construction dispute.
Construction defects result from many factors, such as inadequate consideration of soils, failure to properly design or implement drainage, and incorrect installation standards of building envelope components. All of these can result in structural, functional and/or cosmetic damage to a structure. Our consultants analyze causes and suggest solutions once defects are discovered or alleged. We are called upon at varying stages of the process and in varying capacities to assist in analyzing the problem and to determine if defective and deficient work actually exists. If it does, we can assist in determining the extent of the damages caused by the defective and deficient work and the cost of repairing or correcting that work.
Don Harrington has more than 20 years of experience with construction defect claims. Typically, Sage is retained to inspect properties, opine on likely/unlikely causes of the defect(s), provide an allocation of damages and/or a cost-of-repair estimate for correction of alleged deficient work, assist in drafting interrogatories and deposition outlines for opposing experts and provide expert testimony. Don has testified in dozens of cases nationwide and is well-respected in the construction and legal communities. Sage provides timely reports, accurate and easy-to-follow demonstratives and exhibits, assistance with the discovery process, expert analyses and we are successful and reliable on the stand.
Cost of Repair Estimate
When construction defects are identified, the next step is determining the cost to repair the defects. Sage prepares cost-of-repair estimates and opines on the reasonableness of estimates submitted by other parties. We first evaluate the scope of work proposed to repair the defects and determine if the work is necessary. Then, using standard industry rates for supplies and labor, we calculate the cost to repair the work based on actual cost data provided. We typically provide our clients with a spreadsheet itemizing the costs and an accompanying report outlining the methods used and basis for the opinions. Types of cases that require cost-of-repair estimates include construction defect, subrogation and property and casualty claims.
The ability to convey complex issues in simple, easy to understand terms can be pivotal in any dispute when it reaches the courtroom. Sage has earned its reputation by providing testimony that is delivered with confidence, clarity and professionalism. Many of our clients retain us with this in mind, knowing that if the dispute escalates to litigation, the last thing they want to worry about is whether their expert can perform on the stand. Sage consultants have extensive experience providing winning expert testimony in state and federal courts as well as in arbitrations and dispute resolution boards. In our experience, visual aids can dramatically help a judge or jury understand the facts of a case or the client’s legal position. In preparing for testimony, we evaluate this need and often prepare exhibits or demonstratives for certain witnesses or even for opening and closing arguments.
When completion of a project is delayed, accelerated, or otherwise disrupted, it goes without saying that the owner, contractor and subcontractors incur additional costs. Ultimately, that added expense can become the basis of a construction dispute. We perform critical path and linear schedule analyses to calculate the amount of delay that occurred on a project and the reasons for the delay(s). We determine the most appropriate approach to measure delay and the cause for delay, utilizing such methods as "the windows", time impact analysis, impacted as-planned and collapsed as-built methods. The schedule analysis can identify concurrent delays and assist in the apportionment of those delays among the parties. Sage consultants play a valuable role in schedule analysis both during the construction of a project and after its completion.
Surety Bond Claims Services
We provide technical services to sureties with respect to performance bond, payment bond, recovery and subrogation matters, specifically including:
- Performance Bond Claims Investigations
- Analysis of Work in Progress
- Analysis of Job Costs
- Preparation of Cost to Complete Estimates
- Inventory of On Site and Off Site Material
- Inventory of On Site and Off Site Equipment Assets
- Evaluation of Subcontractor and Vendor Work Incorporated Into In-Place Work
- Added and Deleted Work Evaluation
- Changed Conditions Impact Evaluation
PERFORMANCE CONTINUATION ADMINISTRATION AND REPROCUREMENT
- Project Reprocurement Bid Package Preparation
- Project Reprocurement Bid Solicitation
- Project Reprocurement Bid Evaluation
- Project Reprocurement Contract Administration
- Set Up and Administration of Financing Trust Accounts
- Tender Agreement Preliminary Administration
- Completion Agreement Administration and Cost Tracking
- Take Over Agreement Administration and Cost Tracking
- Payment Bond Claims Investigations
- Evaluation of Subcontractor and Vendor Payment Claims
- Evaluation of Labor Union Payment Claims
- Evaluation of Subcontractor and Vendor Payment Applications
- Affirmative Claim Preparation
- Asset Inventory
- Documentation Preparation
- Documentation Testimony
Bill Schwartzkopf, CEO of The Sage Group, is the author of Practical Guide to Construction Contract Surety Claims, a leading treatise in the industry intended for use by sureties, lawyers, contractors, consultants and other people who are involved in construction surety claims.
- Lost Revenues
- Expert Witness
- Scope Change
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Our CPM scheduling is proven as a method to manage and assess a construction project end-to-end, networking project progress.
Sage Consulting’s pros prepare cost and schedule analysis that pinpoint cost overruns as they relate to claims for recovery.
Sage experts diagnose what ails a project—from scope creep, changing user requirements, errors in design, and more.
Our approach is different. We utilize actual cost data applying proven methodologies to identify loss efficiently.
Sage experts drill down to identify the various parties that are financial hurt in a construction defect delay.
Our team recommends solutions to construction faults—from soils and drainage to installation standards.
We use refined data to determine cost-of-repair estimates including construction defect, subrogation and property and casualty claims.
Sage earned its reputation over years of providing testimony that is delivered with confidence, clarity and professionalism.
We perform critical path and linear schedule analyses to calculate the amount of delay and resulting costs.
Our Bond Services extend from performance bonds to administration and reprocurement, payment bods, recovery and subrogation.