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(CDR-1003) Proving the Hidden Costs of Acceleration

Primary Author: Mr Robert A Dieterle CCE Hill International Inc
Co-author(s): Mr Thomas A Gaines CCC Hill International Inc

Audience Focus: Intermediate
Application Type: Experience-Based
Venue: 2012 AACE International Annual Meeting, San Antonio, TX, USA

Abstract: The most critical milestone of any project, with few exceptions, is the final completion date. Failing to achieve this target can mean lost revenues for the owner and liquidated damages for the contractor, among other undesirable effects. In the face of project delays, a contractor may make the decision to accelerate. At times, the contractor will be compelled by the owner to accelerate its performance in order to meet certain milestones in accordance with the original schedule or a revised plan for completing the project. This paper will discuss the costs of different types of acceleration programs, along with the inherent risks and benefits associated with each approach. What does a contractor need to understand and communicate in order to know or prove its full impact? The discussion will focus on the often unforeseen costs of acceleration and will attempt to prompt decision-makers to ask the question: Is the benefit of accelerating the work going to outweigh the ultimate cost?