Integration of Schedule, Cost, Traffic, and Risk into the Determination of Construction Contract Times
Publication: Journal of Management in Engineering
Volume 38, Issue 6
Abstract
Balancing schedule, cost, mobility, and livability when planning urban highway projects built under accelerated contract provisions is a daunting task. Despite the wealth of research analyzing the effects of highway construction alternatives, holistic studies systemically integrating the scheduling, cost, and traffic risk-related aspects of accelerated highway projects to determine the most economical plans and contract times are rare. To fill this gap, this study developed a novel seven-step approach to choosing the most cost-effective construction alternatives and contract times through balanced tradeoffs that reduce disruption to the traveling public while minimizing construction time and road user cost. This study blends existing schedule and mobility impact assessment techniques with a risk analysis under accelerated construction conditions for the integration of schedule, cost, traffic, and risk into the determination of the most economical construction contract times. A best use case based on an actual project was also developed according to these seven steps, validating the practicality of the proposed systematic approach. This study will help state transportation agencies by providing a systematic integrative approach to decision-making, thus allowing for well-informed and optimally efficient choices among all available options.
Get full access to this article
View all available purchase options and get full access to this article.
Data Availability Statement
Some or all data, models, or code that support the findings of this study are available from the corresponding author upon reasonable request.
Acknowledgments
This study was partially supported by the National Cooperative Highway Research Program 08-114: Systematic Approach for Construction Contract Time Determination. The opinions expressed in this paper are those of the authors and do not necessarily reflect the view of the US agency.
References
Abdel-Raheem, M., and J. Reyes. 2020. “Investigation of the contract time determination systems used for highway projects in the USA.” Transp. Res. Rec. 2674 (10): 715–728. https://doi.org/10.1177/0361198120939098.
Abdel-Raheem, M., C. Torres Cantu, and X. Wang. 2020. “Dynamic contract time determination system for highway projects.” Transp. Res. Rec. 2674 (5): 381–392. https://doi.org/10.1177/0361198120915896.
Chen, L., Q. Lu, S. Li, W. He, and J. Yang. 2021. “Bayesian Monte Carlo simulation—Driven approach for construction schedule risk inference.” J. Manage. Eng. 37 (2): 04020115. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000884.
Chen, L., Q. Lu, and X. Zhao. 2020. “Rethinking the construction schedule risk of infrastructure projects based on dialectical systems and network theory.” J. Manage. Eng. 36 (5): 04020066. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000829.
Choi, K., J. Bae, and Y. H. Kwak. 2021a. “OPTID: Optimal incentives and disincentives.” J. Manage. Eng. 37 (5): 04021054. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000946.
Choi, K., J. Bae, Y. Yin, and H. W. Lee. 2021b. “ACT2: Time–cost tradeoffs from alternative contracting methods.” J. Manage. Eng. 37 (1): 04020091. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000855.
Choi, K., and Y. H. Kwak. 2012. “Decision support model for incentives/disincentives time–cost tradeoff.” Autom. Constr. 21 (Jan): 219–228. https://doi.org/10.1016/j.autcon.2011.06.006.
Choi, K., Y. H. Kwak, J.-H. Pyeon, and K. Son. 2012. “Schedule effectiveness of alternative contracting strategies for transportation infrastructure improvement projects.” J. Constr. Eng. Manage. 138 (3): 323–330. https://doi.org/10.1061/(ASCE)CO.1943-7862.0000431.
Choi, K., Y. H. Kwak, and B. Yu. 2010. “Quantitative model for determining incentive/disincentive amounts through schedule simulations.” In Proc., 2010 Winter Simulation Conf. (WSC), 3295–3306. New York: IEEE.
Choi, K., H. W. Lee, J. Bae, and D. Bilbo. 2016. “Time-cost performance effect of change orders from accelerated contract provisions.” J. Constr. Eng. Manage. 142 (3): 04015085. https://doi.org/10.1061/(ASCE)CO.1943-7862.0001071.
Choi, K., Y. Yin, D. Goehl, and H. D. Jeong. 2021c. “Alternative contracting methods: Modeling and assessing the effects of contract type on time-cost-change performance.” J. Manage. Eng. 37 (1): 04020096. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000863.
Collura, J., K. P. Heaslip, K. Moriarty, F. Wu, R. Khanta, and A. Berthaume. 2010. “Simulation models for assessment of the impacts of strategies for highway work zones: Eight case studies along interstate highways and state routes in New England.” Transp. Res. Rec. 2169 (1): 62–69. https://doi.org/10.3141/2169-07.
Datta, T., P. Savolainen, D. McAvoy, T. J. Gates, J. Kay, N. Nicita, and S. Parajuli. 2016. A guide to urban work zone temporary traffic control. Detroit, MI: Wayne State Univ.— Transportation Research Group.
Federal Highway Administration. 2002. “FHWA guide for construction contract time determination procedures.” Accessed May 22, 2022. https://www.fhwa.dot.gov/construction/contracts/t508015.cfm.
Federal Highway Administration. 2019. “Special experimental projects no. 14—Alternative contracting (formerly Innovative Contracting).” Accessed June 6, 2019. https://www.fhwa.dot.gov/programadmin/contracts/sep_a.cfm#s1.
Federal Highway Administration. 2020. “Work zone management program—night work/off peak work.” Accessed June 22, 2021. https://ops.fhwa.dot.gov/wz/construction/night_offpeak_wrk.htm.
Federal Highway Administration. 2021. “Chart TC-201—Highway statistics 2020.” Highway Statistics Series. Accessed February 2, 2022. https://www.fhwa.dot.gov/policyinformation/statistics/2020/tc201c.cfm.
Florez, L., J. Irizarry, D. Castro-Lacouture, S. Abdollahipour, and H. Jeong. 2012. “Feasibility of implementing a computer-assisted pavement rehabilitation decision support system.” Int. J. Constr. Educ. Res. Higher Educ. 8 (4): 281–300. https://doi.org/10.1080/15578771.2012.658960.
France-Mensah, J., and W. J. O’Brien. 2018. “Budget allocation models for pavement maintenance and rehabilitation: Comparative case study.” J. Manage. Eng. 34 (2): 05018002. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000599.
Hancher, D. E., W. McFarland, and R. T. Alabay. 1992. Construction contract time determination. College Station, TX: Texas Transportation Institute.
Hyari, K. H., M. S. El-Mashaleh, and S. M. Rababeh. 2015. “Framework for managing the traffic impacts of building construction projects.” J. Constr. Dev. Countries 20 (2): 97.
Jeong, D., and H. Alikhani. 2021. Artificial intelligence (AI) based tool to estimate contract time. Helena: Montana Dept. of Transportation.
Jeong, H. S., S. Atreya, G. D. Oberlender, and B. Chung. 2009. “Automated contract time determination system for highway projects.” Autom. Constr. 18 (7): 957–965. https://doi.org/10.1016/j.autcon.2009.04.004.
Jeong, H. S., G. D. Oberlender, S. Atreya, and V. Akella. 2008. Development of an improved system for contract time determination (phases I & II). Oklahoma: Dept. of Transportation.
Jiang, Y. 2003. “The effects of traffic flow rates at freeway work zones on asphalt pavement construction productivity.” Proc. J. Transp. Res. Forum 42 (3): 83–103.
Jiang, Y., and H. Wu. 2004. Determination of INDOT highway construction production rates and estimation of contract times. West Lafayette, IN: Purdue Univ.
Jiang, Y., and H. Wu. 2007. “Production rates of highway construction activities.” Int. J. Constr. Educ. Res. 3 (2): 81–98. https://doi.org/10.1080/15578770701429431.
Le, C., M. Wai Yaw, H. David Jeong, and K. Choi. 2021. “Comprehensive evaluation of influential factors on public roadway project contract time.” J. Manage. Eng. 37 (5): 04021044. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000932.
Leandro, R., J. T. O’Connor, and N. Khwaja. 2018. “Development and application of a production-rate resource for contract time determination.” J. Constr. Eng. 144 (12): 06018005. https://doi.org/10.1061/(ASCE)CO.1943-7862.0001572.
Lee, E., J. Harvey, and M. Samadian. 2004. “CA4PRS software generates pavement rehabilitation strategies.” TR News, July 13, 2022.
Lee, E.-B., and K. Choi. 2006. “Fast-track construction for concrete pavement rehabilitation: California urban highway network.” Transp. Res. Rec. 1949 (1): 2–10. https://doi.org/10.1177/0361198106194900101.
Lee, E.-B., K. Choi, and J. T. Harvey. 2005. Pre-and postconstruction analysis of the interstate 15 (Devore) concrete pavement reconstruction project. Berkeley: Univ. of California.
Lee, E.-B., K. Choi, and S. Lim. 2008. “Streamlined strategies for faster, less traffic-disruptive highway rehabilitation in urban networks.” Transp. Res. Rec. 2081 (1): 38–45. https://doi.org/10.3141/2081-04.
Lee, E.-B., H. Lee, and J. T. Harvey. 2006. “Fast-track urban freeway rehabilitation with 55-H weekend closures: I-710 Long Beach case study.” J. Constr. Eng. Manage. 132 (5): 465–472. https://doi.org/10.1061/(ASCE)0733-9364(2006)132:5(465).
Lee, E.-B., and N. Sivaneswaran. 2011. “CA4PRS: A design-traffic-construction integrating analysis tool highway renewal projects.” In Proc., 24th World Road Congress World Road Association (PIARC). Paris, France: World Road Association (AIPCR/PIARC).
Lee, E.-B., and D. K. Thomas. 2007. “State-of-practice technologies on accelerated urban highway rehabilitation: I-15 California experience.” J. Constr. Eng. Manage. 133 (2): 105–113. https://doi.org/10.1061/(ASCE)0733-9364(2007)133:2(105).
Lee, E.-B., D. K. Thomas, and D. Alleman. 2018. “Incorporating road user costs into integrated life-cycle cost analyses for infrastructure sustainability: A case study on Sr-91 corridor improvement project (CA).” Sustainability 10 (1): 179. https://doi.org/10.3390/su10010179.
Massachusetts Department of Transportation. 2018. “Construction contract time determination (CTD) guidelines for designers/planners.” Accessed February 2, 2022. https://www.mass.gov/files/documents/2018/07/31/CTDguidelines.pdf.
Michigan Department of Transportation. 2022. “Michigan Department of Transportation (MDOT) guide for contract time determination (CTD) procedures.” Accessed February 2, 2022. https://www.michigan.gov/documents/mdot/MDOT_Guide_for_Contract_Time_Determination_Procedures_711748_7.pdf.
Minnesota Department of Transportation. 2010. “State DOT experiences with primavera P6 project management software.” Accessed March 13, 2015. http://www.dot.state.mn.us/research/TRS/2010/TRS1005.pdf.
Missouri Department of Transportation. 2004. “Contract time determination.” Accessed May 22, 2022. https://epg.modot.org/files/a/a3/237.8_Contract_Time_Determination.pdf.
New York State Department of Transportation. 2012. “NYSDOT estimator guidelines.” Accessed May 22, 2022. https://www.dot.ny.gov/divisions/engineering/design/dqab/dqab-repository/NYSDOTESTGUIDE%20082712.pdf.
Okere, G. 2019. “An evaluation of a predictive conceptual method for contract time determination on highway projects based on project types.” Int. J. Civ. Eng. 17 (7): 1057–1073. https://doi.org/10.1007/s40999-018-0357-1.
Sun, C., P. Edara, and A. Mackley. 2013. “Refocusing on liquidated damages in incentive/disincentive contracts.” J. Leg. Aff. Dispute Resolut. Eng. Constr. 5 (3): 136–141. https://doi.org/10.1061/(ASCE)LA.1943-4170.0000122.
Taylor, T. R., P. M. Goodrum, M. Brockman, B. Bishop, Y. Shan, R. E. Sturgill, and K. Hout. 2013. Updating the Kentucky contract time determination system. Lexington, KY: Kentucky Transportation Center.
Texas Department of Transportation. 2016. “2017 unified transportation program (UTP).” Accessed December 1, 2021. https://ftp.txdot.gov/pub/txdot-info/tpp/utp/2017/utp-2017.pdf.
Texas Department of Transportation. 2018. “Contract time determination guidance.” Accessed February 2, 2022. https://ftp.dot.state.tx.us/pub/txdot-info/tpd/project-portfolio/contract-time-determination-guidance.pdf.
Virginia Department of Transportation. 2007. “Contract time determination guidelines.” Accessed February 2, 2022. https://www.virginiadot.org/business/resources/const/0708_ContractTimeDeterminationGuidelines.pdf.
Werkmeister, R. F., B. L. Luscher, and D. E. Hancher. 2000. “Kentucky contract time determination system.” Transp. Res. Rec. 1712 (1): 185–195. https://doi.org/10.3141/1712-22.
Yaw, M., H. D. Jeong, and K. Choi. 2022. “Effects of flexible notice-to-proceed provisions on the performance of transportation infrastructure projects.” Transp. Res. Rec. 2676 (4): 790–800. https://doi.org/10.1177%2F03611981211065736.
Zhai, D., Y. Shan, R. E. Sturgill, T. R. Taylor, and P. M. Goodrum. 2016. “Using parametric modeling to estimate highway construction contract time.” Transp. Res. Rec. 2573 (1): 1–9. https://doi.org/10.3141/2573-01.
Information & Authors
Information
Published In
Journal of Management in Engineering
Volume 38 • Issue 6 • November 2022
Copyright
© 2022 American Society of Civil Engineers.
History
Received: Dec 17, 2021
Accepted: May 23, 2022
Published online: Aug 3, 2022
Published in print: Nov 1, 2022
Discussion open until: Jan 3, 2023
ASCE Technical Topics:
- Business management
- Construction costs
- Construction engineering
- Construction industry
- Construction management
- Contracts and subcontracts
- Disaster risk management
- Economic factors
- Infrastructure
- Infrastructure construction
- Management methods
- Practice and Profession
- Project management
- Risk management
- Scheduling
- Traffic analysis
- Traffic engineering
- Transportation engineering
Authors
Metrics & Citations
Metrics
Citations
Download citation
If you have the appropriate software installed, you can download article citation data to the citation manager of your choice. Simply select your manager software from the list below and click Download.
Cited by
- Chuanni He, Min Liu, Simon M. Hsiang, Nicholas Pierce, Synthesizing Ontology and Graph Neural Network to Unveil the Implicit Rules for US Bridge Preservation Decisions, Journal of Management in Engineering, 10.1061/JMENEA.MEENG-5803, 40, 3, (2024).
- Yu Qiao, Abdullah Nafakh, Majed Alinizzi, Jon D. Fricker, Samuel Labi, Sensitivity of Cost Overrun Propensity and Severity to Highway Project Bundling, Journal of Management in Engineering, 10.1061/JMENEA.MEENG-5425, 40, 2, (2024).
- Yangtian Yin, Kunhee Choi, Yong-Cheol Lee, H. David Jeong, Xin Liu, Determining the Most Economical Work Zone Lengths for Rural Highway Rehabilitation Projects, Journal of Management in Engineering, 10.1061/JMENEA.MEENG-5153, 39, 2, (2023).