Cost & Time Impact of Rework on Construction Projects

Rework is frequent and well known in the construction industry, while draining construction productivity, profitability, and the timeliness of project delivery for both Contractors and Owners.  Additionally, the need for rework can have spinoff or downstream impacts for all project stakeholders.   The causes of rework are, likewise, well known: design and construction changes; errors and omissions; project enhancements; operability changes; fabrication changes and errors, etc.  While rework is common, the impact has not been thoroughly assessed, studied, or discussed.

Here we will assess and identify the typical cost of rework on a wide range of project types.  We will show how the cost of rework is frequently understated, then provide an estimate of the true “average cost” of rework. We will also identify the average impact of rework on project duration, in terms of time, as well as unrecoverable extended overheads and cost of liquidated damages. Finally, we will identify several practical methods for Owners and Contractors to substantially reduce both the cost and time impact of rework.

Participants will:

• Learn the typical causes of rework.
• Gain an understanding of the cost and time impacts of rework on construction projects.
• Be provided with a model for predicting rework on new or future projects.
• Gain information on a number of practical ways to reduce the amount of rework on future projects.

Instructor: James G. Zack, Jr. is Principal of James Zack Consulting, LLC, a construction claims consultancy dedicated to helping Owners and Contractors complete projects in the field, not arbitration or court. He is a recognized, published expert in mitigation, analysis, and resolution or defense of construction claims and disputes. In his 49-year career, he has been involved in public and private projects throughout the U.S. and 39 countries, working with Owners and Contractors on 5,000+ claims.

Register a team of 3 or more from your organization and save $15 each!

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