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Partial approval of baseline program

11 replies [Last post]
Mon, 2010-08-16 03:48
Sudharma C.
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hi all

is it a good practice to issue a partial approval for a baseline program submission ???

For example lets say the contractor submits a baseline program for the construction of a road bridge.

the program is acceptable up to the launching of the beams for the bridge as it is coordinated with the other contractor who is building the piers and it meets the employers requirement as to when the launching of beams should complete.

however the contractor takes too long to do the finishing works, ie parapet wall, asphalt layer, NJB, etc. and this results on the full completion of the bridge later than when the employer wants it completed.

Hence would it be acceptable to approve the baseline program upto the launching of the beams (ie partial approval), and caveat the finishing works as it does not meet the overall completion???

what are the implications if we were to go down this road???

any advise or insights is appreciated.

thanks
sudharma
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Replies

Sat, 2010-11-27 17:52
#1
ashraf alawady
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the prgram is oe of the most important documents in any project .

the approval of the program is very important also

the partial approval of the program is not a normal partice and it is not advisable to be followed sice all claims for EOT will be based o the consented program.

the prgram has to be completly submitted ,completly reviewed and approved/commented.

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Wed, 2010-08-18 01:10
#2
Scarllet Pimpernel
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Hello Sudharma,

"one of the issues with the contractor at the moment is his contention that he will not and has not been providing the client with an updated/statused project program since the contract was awarded. his arguement is his baseline is not approved hence he cannot update his program."

You are really in a very thight situation.

This needs for more brainstorming from other member of PP.

We can only hope Andrew will join the fray and share us his wisdom ... because

I’m also in the same situation.

I also agree with you that partial approval is not the norm maybe before since I started to encounter lots of contractor going in this path: A baseline program devoid of planning fundamentals, full of unrealistic logic, total floats, not in compliance with the contract, etc. etc. Sometimes I wonder if planning keyboard jockeys are now the pads in PCS.

My only consolacion was the statement from the higher management to accept the situation as it is considering that some of these so called planning engineers maybe were farmers, fishermen, labourers etc. before but was able to get hold of some planning certification.

GB, PTL, TY
Scarlett
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Tue, 2010-08-17 13:27
#3
Satish Kumar
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Hi Sudharma,

It is not advisable to approve like that, better you ask him to revise and resubmit. he may claim for an EOT at a later date based on partial program approved by you. further, he may claim for acceleration.


Did he not give any program during the tender stage regarding the schedule, material, manpower, equipment deployment, and s curve? based on that you can question the excess time claimed. Bang him on mobilization.


Regards,
K
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Tue, 2010-08-17 10:50
#4
Jason Lightley
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Hi Sudharma,

If there is a Clause in the Contract Documents that approval of contractor’s program is required and it is only partially approved then there must be an aspect of his program that doe not comply with the contract. If this is the case the entire program should have been returned to the contractor as "Not Approved" with comments on how it does not comply with the contract and the contractor will have to resubmit his program again, making the changes required so it complies with the contract in it’s entirety. However the contractor cannot delay any of the works, due to approval reasons, and should continue in accordance with his original program until such time as instructed otherwise.

Cheers, Jason
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Tue, 2010-08-17 07:53
#5
forat faris
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Dear Sudharma
You said "the program does not need to be approved in order for the contractor to provide a update/status program."
I don’t think so…
Would you please explain your overview?
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Mon, 2010-08-16 21:17
#6
Sudharma C.
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Hi Shahul
the term partial approval was coined up by the my employer a couple of days back in order to break the impasse on this subject of approval of the baseline program.

as for me i had not done a partial approval of a baseline program. it had always been approved, approved with comments, or rejected.

i do see the possiblity of the contractor submitting claims if a partial approval is given on the baseline program.

rgds
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Mon, 2010-08-16 21:09
#7
Sudharma C.
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Hello Scarlett
appreciate the feedback

on this project contract documents, there is a clause for the approval for the baseline program, and it must be done in 21 days or else it is deemed approved.

it also does have the status of the approval as mentioned in one of your earlier threads.

one of the issues with the contractor at the moment is his contention that he will not and has not been providing the client with an updated/statused project program since the contract was awarded. his arguement is his baseline is not approved hence he cannot update his program.

to me that is a load of horse shit.

the program does not need to be apprvoved in order for the contractor to provide a update/status program.

contractor is using this as an oppourtunity to hide and cover up his own delays.

that is why the employer is looking into the possiblity to give partial approval on the baseline program to break this impasse and a way to move forward.

rgds
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Mon, 2010-08-16 16:20
#8
Scarllet Pimpernel
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Hello Sudharma,

After reviewing what your contract says,

the next steps is to know your project approval process.

The approval of contract deliverables usually the following status, depending on project case to case basis:

Status A: Approved
Status B: Approved with comments
Status C: Revise and Re-submit
Status D: Rejected

this is the way my present project is handling the status of contratual deliverables. It maybe different from your project, however,

what is clear is that there is indeed a provision to approve a baseline program with comments.

Going back to your question regarding the norms in approving baseline contract, generally, it all depends on your project management team, their maturity, their experience, leadership, etc. There is no right or wrong for as long as there is no violation of contract clause and the status of approval caters to those actions.

GB, PTL, TY
Scarlett

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Mon, 2010-08-16 12:13
#9
Shah. HB
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Hi Sudharma

What is mean by Partial Approval?.Have you got any transmittal to substantiate the partial approval ? If yes, please share you thoughts
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Mon, 2010-08-16 04:07
#10
Scarllet Pimpernel
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I think another important point is:

"the finishing works as it does not meet the overall completion???"

Please always remember that approval by the Engineer does not relieve the Contractor of his contract obligation.

so the approval by the Engineer does not relieve the Contractor of his contractual obligation to complete as per contract.

Also remember that the approval by the Engineer shall not change the contract since the Engineer is only an agent of the owner. It is the owner that will issue any changes in the contract.

GB, PTL, TY,
Scarlett
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Mon, 2010-08-16 04:01
#11
Scarllet Pimpernel
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Hi Sudharma C.,

It depends on what your contract says.

In the latest FIDIC, there is a clause stating the Engineer can approved a portion of the whole package, while commenting on the others. The Contractor will only have to rectify the portion that was not approved.

Please check your contract since different countries have different interpretation and implementation of FIDIC.

In Philippines, FIDIC is generally used however, there is an IRR (implementing rules and regulation) that localize its applicability. There are also special conditions that you need to refer.

GB, PTL, TY,
Scarlett
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