Kaezelene V.

Rosales
Saturday 8:00-1:00pm

HOW TO REHABILITATE “SICK” PROJECTS THROUGH PROPER MANAGEMENT SYSTEMS.

“Rehabilitation”

 Necessary improvements to be done in an existing project that is in bad shape. A “sick” project
is one that is afflicted with numerous technical, management and financial problems.

3 Types of “Sick” projects

1. Projects that are affected by the economic and financial crises.

2. Projects that are operationally stopped upon the issuance of the court’s temporary restraining
orders (TRO) and the subsequent court litigation

3. Projects that the contractor have to abandon due to financial losses

3 General root causes of “sick” projects

1. Incomplete Plans and Specifications and their Manifold Revisions

2. Unreasonable Project Cost Award

3. Practice of Undercutting on Professional Fee

How the Construction Management consultants can undertake a process of rehabilitating sick projects.

1. Secure all the necessary documents and information;

2. Re-estimate each project component, item by item;

3. Compute the total accomplishment as of the time the work was stopped against the budget;

4. Determine the cost to complete the remaining works;

5. Determine the total days of delays;

6. Require all project participants to submit their revised schedules;

7. Develop Bar Charts and S-Curve, Manpower Schedule, Equipment Schedule and

8. Construction methods;

9. Prepare final costing for change orders and additional works based on the newly revised plans
and specifications;

10. Identify the funding problem and operational constraints;

11. Recommended for the upgrading of the wages of the workers to at least the minimum wage
level;

12. Ensure that payment of weekly wages is done on a timely manner;

13. Install the input organizational structure;

14. Develop a more productive project team;

15. Ensure proper direction and control mechanisms of the project are implemented;

16. Formulate a projected Cash flow

17. Organize coordination meetings among project participants. Present the difficult problems to be
overcome and the pragmatic solutions to turn around the project.

Standard Construction Forms

 There are several standard construction forms that should be developed to ensure seamless
flow of construction, maintain proper records of transactions, and also to serve as reference
after construction.