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Choi, K, Lee, H W, Bae, J and Bilbo, D (2016) Time-Cost Performance Effect of Change Orders from Accelerated Contract Provisions. Journal of Construction Engineering and Management, 142(03).

  • Type: Journal Article
  • Keywords: Change order; Contracts; Highway rehabilitation; Decision modeling; Regression; Validation; Contracting;
  • ISBN/ISSN: 0733-9364
  • URL: https://doi.org/10.1061/(ASCE)CO.1943-7862.0001071
  • Abstract:
    Accelerated contract provisions (ACPs) such as cost-plus-time (A+B) and incentives/disincentives (I/D) are increasingly common, yet very little is known about their pure time-cost performance effects on change orders. To fill this large knowledge gap, a two-stage research methodology drawing on 1,372 highway improvement projects completed in California was adopted for this study. The Stage I study investigated the marginal change-order impacts of two ACPs, pure A+B and I/D combined with A+B. How ACP change orders affect projects’ time-cost performance was numerically modeled and successfully validated over the Stage II study. The results clearly showed that both ACPs led to more schedule-change and cost-change orders than conventionally contracted projects, whereas I/D combined with A+B performed significantly better than pure A+B in terms of the magnitude of schedule-change orders. This conveys an important recommendation to state transportation agencies (STAs) that A+B be used with an I/D provision. The results and numerical models of this study would help STAs better assess and justify the impact of change orders on the duration and cost of projects, enabling them to more effectively use contingency amounts. Use of the models can also benefit contractors requesting a change order because the models can provide them with advanced knowledge of the probable time-cost growth rates specifically for the pursued ACP.

Farnsworth, C B, Warr, R O, Weidman, J E and Mark Hutchings, D (2016) Effects of CM/GC Project Delivery on Managing Process Risk in Transportation Construction. Journal of Construction Engineering and Management, 142(03).

Klanšek, U (2016) Mixed-Integer Nonlinear Programming Model for Nonlinear Discrete Optimization of Project Schedules under Restricted Costs. Journal of Construction Engineering and Management, 142(03).

Lee, K, Han, S H, Park, H and David Jeong, H (2016) Empirical Analysis of Host-Country Effects in the International Construction Market: An Industry-Level Approach. Journal of Construction Engineering and Management, 142(03).

Lee, S and Yu, J (2016) Comparative Study of BIM Acceptance between Korea and the United States. Journal of Construction Engineering and Management, 142(03).

Li, T H Y, Thomas Ng, S and Skitmore, M (2016) Modeling Multi-Stakeholder Multi-Objective Decisions during Public Participation in Major Infrastructure and Construction Projects: A Decision Rule Approach. Journal of Construction Engineering and Management, 142(03).

Moon, S, Choi, E and Hong, S (2016) Creation of Robust Design Alternatives for Temporary Construction in Value Engineering. Journal of Construction Engineering and Management, 142(03).

Pawan, P and Lorterapong, P (2016) A Fuzzy-Based Integrated Framework for Assessing Time Contingency in Construction Projects. Journal of Construction Engineering and Management, 142(03).

Sonmez, R, Iranagh, M A and Uysal, F (2016) Critical Sequence Crashing Heuristic for Resource-Constrained Discrete Time–Cost Trade-Off Problem. Journal of Construction Engineering and Management, 142(03).

Zhang, L and El-Gohary, N M (2016) Epistemology-Based Context-Aware Semantic Model for Sustainable Construction Practices. Journal of Construction Engineering and Management, 142(03).

Zhang, L, Cheng, J and Fan, W (2016) Party Selection for Integrated Project Delivery Based on Interorganizational Transactive Memory System. Journal of Construction Engineering and Management, 142(03).