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Time and Cost Performance
Time and Cost Performance
PROJECTS:
COST AND TIME
P R E S E N T E D B Y:
AP19390 - HIMANSHU NEGI
A P 1 9 3 9 1 - A N U T. B A B U
A P 1 9 3 9 2 – P R U D H V I P. R A J U
AP19393 - ROHAN JAIN
A P 1 9 3 9 4 - PA R A S TA N D O N
SCOTTISH PARLIAMENT,
EDINBURGH, SCOTLAND
Key Project Team
• Client : Scottish Parliament Corporate Body (SPCB)
• Project Architects : EMBT & RMJM
• Structural Engineers (Consulting Engineers) : Ove
Arup & Partners
• Planning Supervisor & Project Managers : Turner &
Townsend
• Quantity Surveyors & Cost Consultants : Davis
Langdon & Everest (DLE)
• Construction Manager : Bovis Lend Lease
• Service Engineers : EMJM
Key Dates
• Commencement Date : June 1999
• Date for Completion : March 2001 (Original
Duration 21 months)
• Completion Date : August 2004 (42 months delay)
% Increased cost: 730%
SOURCES:
http://news.bbc.co.uk/2/hi/uk_news/scotland/6382177.stm
http://www.globalconstructionreview.com/perspectives/centurys-most-troublesome-construction-pr8oje8ct8s/
https://www.academia.edu/4136491/PROJECT_MANAGEMENT_STRATEGIC_ISSUES_THE_SCOTTISH_PARLIAMENT_BUILDING_PROJECT_FAILURE
COST PERFORMANCE TIME PERFORMANCE
SOURCES:
https://www.academia.edu/5580203/PROJECT_MANAGEMENT_SCOTTISH_PARLIAMENT_
Project Project Reasons for delay and cost overrun :
Date Cost in Date Cost in
million million • Delays in completing the detailed design required for this
Euros Euros challenging project that needed to be delivered against a
Jul 1997 40 - 50 Mar 2002 266 unrealistic target dates.
• Lack communication between the key players such as
Apr 1998 50 Oct 2002 294
Project Architects EMBT and RMRJ.
Jun 1999 109 Jan 2003 323 • Political intervention on the project.
Apr 2000 195 Jun 2003 375 • Final cost greatly exceeds the original cost plan allowance
Aug 2000 209 Sep 2003 401 due to uncompetitive procurement of trade contracts with
scope uncertainty.
Nov 2001 241 Aug 2004 414
• Lack of monitoring and controlling of the complete
construction process.
Lessons learnt:
• Procurement Route: The selected procurement route must be able to allow those who can manage the risks involved.
• Communication and Leadership: Single point of leadership will benefit the lack of leadership role and help control
the project flow.
• Budget: It is so important first to make the scope defined and do the costs estimate. And design to costing should be
adopted.
• Project planning: It is very important that at the beginning of the project, a realistic planning is prepared particularly
in projects where there is significant complexity or technical risk, or when there is a tight schedule for completion.
SOURCES:
http://news.bbc.co.uk/2/hi/uk_news/scotland/6382177.stm
http://www.globalconstructionreview.com/perspectives/centurys-most-troublesome-construction-pr8oje8ct8s/
https://www.academia.edu/4136491/PROJECT_MANAGEMENT_STRATEGIC_ISSUES_THE_SCOTTISH_PARLIAMENT_BUILDING_PROJECT_FAILURE
DELHI- GURAGON EXPRESSWAY
Contractor Jaypee Industries, DS Construction ltd. and M/s Rites ltd.
Client NHAI, Delhi Development Authority , Central Road Research Institute and
Haryana Urban Development Authority.
Construction Management Jaypee DSC Ventures ltd.
Commenced on January 2003
Completion year January 2008
Length and width 27.7 km and six to eight lane wide
Contract Basis Build Operate Transfer(for 20 yrs)
Financial Consultant SREI International Finance Ltd.
Time overrun 3 yrs
Estimated cost 710 crore
Actual cost 1175 crore
Cost overrun 465 crore
SOURCES:
https://www.pppinindia.gov.in/toolkit/ports/module3-rocs-dge8.phpp?links=dge8
https://www.roadtraffic-technology.com/projects/delhi-gurgaon/
Reasons for delay and cost overruns
1. Land acquisition problem
2. Issues over approvals
3. Change in scope of work.
4. Court cases, removal of trees, shifting
of religious structures that had to be
shifted.
Lessons learnt
• Land acquisition related problem- It would have been better if uncontrollable concerns such as land acquisition
were addressed before the project procurement stage because for project of this magnitude, it is important for the
government agency to garner the adequate public support to ensure smooth implementation through the continuous
dialogue with the affected individuals.
• Governemnt agencies interference- There were various government agencies demanded for change in project
alignment and design which result in cost and time overrun. These such issues should be resolved during the project
preparation stage.
• Issues over approvals- More than 15 government bodies were affected by the development of this highway, and had
to grant various approvals. The government could provide single window clearance for a project of this magnitude.
SOURCES:
https://www.pppinindia.gov.in/toolkit/ports/module3-rocs-dge8.phpp?links=dge8
https://www.roadtraffic-technology.com/projects/delhi-gurgaon/
DELHI METRO – PHASE 1
• SOURCES:
https://www.water-technology.net/projects/sardar-sarovar-dam-gujarat/
http://sardarsarovardam.org/project.aspx
EXPANSION AND MODERNIZATION OF NSCBI
Project Details
• Location : Kolkata
• Client : Airport Authority of India
• Contractors : Italian Thai Development
Public Company Limited and ITD
Cementation India Ltd. (ITD-ITDCEM JV )
• Capacity expansion From 9.6 million
passengers to 20 million passengers annually.
Time and Cost Overrun
Originally Revised Overrun
Planned
Project August October 14
Completion Date 2011 2012 Months
Project Cost 1942.5 2025 20% Picture Source : Google
(INR Crore)
Reasons of Delay Measures Taken
• ‘Work-to-rule’ agitation.
SOURCES:
https://www.pmi.org.in/pdfs/white_paper/PMI_WhitePaper__301120171237_study-on-project-schedule-and-cost.pdf
https://en.wikipedia.org/wiki/Netaji_Subhas_Chandra_Bose_International_Airport
THANK YOU!