Coronavirus update #3: Capture the loss of productivity

ARE YOU FACING LOSS OF PRODUCTIVITY ON YOUR SITES DUE TO THE COVID-19 SITUATION?

If the answer is yes, please use the advice provided below to capture the loss of productivity. There are two recommended methods to carry out loss of productivity (disruption) analysis: productivity based and / or cost based[1].

The best strategy in our opinion for calculating this loss is to work out the planned productivity rates required to achieve the project completion date for major trades. Once, this is established for key trades, the planned productivity can be compared to the actual manpower available each day based on site diary records. From the planner’s perspective, the loss of productivity leading to delay can be shown on the programme by increasing the duration of the impacted trades in proportion with the loss of productivity. Using the example below, we explain this concept.

  • Based on a 5-day working week calendar, we had a planned productivity of 5 days. Due to the social distancing recommendation by the Department of Health, there is an evident 20% reduction (at least) in productivity of the formwork trade.
  • Therefore, we must increase the planned duration of formwork by 20% to account for the loss of productivity.
  • This mean formwork increases from 5 days to 6 days. (5 x 1.2 = 6)
  • This will ensure that an accurate programme is in place for the substantiation of delay(s) related to loss of resources.

Our construction sites are practicing social distancing and adhering with the rules set by the government and for the welfare of the people involved. In effect, the certainty of loss in production is very evident. We believe that what-if scenarios are a part of construction projects. In the coming months, how our sites will perform is uncertain. We must act quickly as we can to assess the current situation and the knock-on effects, if the current productivity continues as it is.

If you need further guidance on this matter, please get in touch with our Senior Planning Consultant, Mark Felix (markf@solidsupport.com.au).


[1] Society of Construction Law Disruption and Delay Protocol