February 6, 2023
Use of Predictive Models for Labor-Productivity Loss in Settling Disputes
Ottesen, Jeffrey L., & Migliaccio, Giovanni (2023). Use of Predictive Models for Labor-Productivity Loss in Settling Disputes. Journal of Legal Affairs and Dispute Resolution in Engineering and Construction, 15(1).
Abstract
Given inherent difficulties in construction, optimizing labor efficiencies is paramount to project success. Research described in this article conducted demonstrates that an analysis of planned activities in a critical path methodology (CPM) schedule may be used to forecast future productivity inefficiencies. Specifically, this study relies on the concept of CPM schedule’s density, which is defined as the number of overlapping like-trade activities on any given workday. This metric is directly related to the required labor resources required to complete that work within the activities’ planned durations. Schedule density increases where more planned activities overlap with each other; for instance, occurrence of such increases is common when the schedule is accelerated. Regression models were derived using metrics drawn from CPM schedule updates’ activities and durations and compared to actual labor productivity experienced. Strong correlation findings support development of predictive models that quantify potential labor inefficiencies before they occur. However, the question remains as to the strength and applicability of predictive models in formal litigation. This paper presents findings of this research and discusses how such findings may be used to facilitate settlement in dispute resolution procedures.
