Join the thinkers - think outside the box and Outsource

Joel Phillips • December 17, 2020

Join the thinkers - think outside the box and Outsource

Managing Disruption and Delays in Construction During the Covid-19 Pandemic

Managing Disruption and Delays in Construction During the Covid-19 Pandemic

In my earlier blog on  Claims  I have highlighted the necessity to prepare your documentation in REAL Time whilst this is tedious and labor intensive it is much easier than the alternative both in time and cost.

Last Minute efforts at the project completion to substantiate any claim you hope to pursue is definitely not good but even worse to find the right type of detailed records are not even on file and your Claim most likely to fail or not attain your full entitlements.

Now is the time for each project team to start reviewing its contractual rights and obligations.

Production of tools, equipment, and material will likely be in short supply, as factories worldwide are already shutting down production and halting shipping operations. This will lead to both delays in acquiring the necessary items and increased costs as demand outpaces supply.

While the terms and conditions of each contract vary, the legal ramifications of this outbreak will ultimately be left to the courts. In the meantime, there are basic steps you can take right now.

Review the contract, specifically the force majeure clauses as well as the sections on giving notice. Do not assume “everyone knows” the effects. Put everything in writing.

Document everything. Daily reports have always been key to managing a project but are even more so today. Daily reports must include specific information such as the number of Skilled workers, helpers and staff on site as well as the number unable to work; why those affected cannot work; specific tasks affected; all owner or GC directives; etc.

While Job Site work is slow, take advantage of the time to update the project’s work plans and to review the schedule. Once projects ramp up work again, every project will start chasing the same materials. Get ahead of this curve by assuming all items now have a long lead time and place orders as soon as possible.

Positive actions for mitigation of disruption and delay must be well documented, recorded and the Real Time records updated daily

Communicate with ALL parties your efforts including OUTSOURCING to attain specialist support in these challenging times

Construction claims for delays and cost overruns will increase in the Industry so if you do not have the skilled in -house staff Join the Thinkers and Think outside the Box and Outsource


Smaller companies and Sole traders may not have the inhouse staff or skillsets to manage the Preparation of a claim however a specialist can put you in the right direction or even do the work as part of your support team.

Claim Heads that Smaller companies and Sole traders should consider are:

Unabsorbed Home Office Overhead

Home office overhead costs are not associated with a particular project or incurred at a project job site but are necessary to support construction operations. These costs include but are not limited to executive and administrative salaries, legal fees, accounting fees, home office rent and operating expenses, advertising, recruiting costs, general insurance, utilities and taxes. The home office is typically required to support the project longer than originally anticipated when there is an extension to the as-planned period of performance.

There are several calculation methods used to quantify unabsorbed home office overhead costs associated with a particular project, but the Eichleay formula continues to be the preferred and most accepted method.


Extended Job Site Overhead

Jobsite office overhead costs, also known as general conditions, are incurred at the project job site and cannot be identified with a specific construction activity but support overall project construction operations.

These costs include but are not limited to supervision, timekeeping and clerical work, engineering, Job Site office rent and operating expenses, utility costs, material handling and cleanup. Job Site office overhead costs are typically time-related and can increase when there is an extension to the Project.


Idle Labor and Equipment

During a work stoppage delay, the contractor may incur idle labor and/or equipment costs. These costs are typically quantified by the actual costs incurred during the work stoppage period. When determining the cost incurred for idle labor and equipment, the following questions should be considered:

When was the labor and/or equipment idle?

How long was it idle?

What was the actual cost incurred for the idle time?

When claiming idle equipment costs, the contractor can only claim rental costs or ownership costs (e.g., depreciation, cost of facilities capital, insurance, taxes, etc.). The contractor cannot claim operating costs such as fuel, filters, oil, grease, and minor repairs.

It is important that the contractor provides documentation (such as daily reports) showing that the labor and equipment were not able to perform work during the work stoppage period.


De-Mobilization and Re-Mobilization

The contractor may incur de-mobilization and re-mobilization costs resulting from work stoppages. These costs are typically quantified by the actual costs incurred for de-mobilization and re-mobilization, which typically include the transportation of material, labor, and equipment to/from the project job site among other costs.


Labor and Material Cost Escalation

Delays can push the performance of a contract into a period of higher labor wages and material costs. Typically, the contractor bears the risk of increased labor wages and material costs during the original period of contract performance but can claim increased costs if required due to delays.

 

Productivity Loss

Productivity loss is experienced when work is not accomplished as originally anticipated and can be a result of work stoppages, out of sequence work, restricted site access, unavailability of manpower and other disruptions.

The measured mile analysis is a widely recognized and preferable productivity loss quantification method in construction. This analysis estimates costs resulting from lost productivity by comparing scope production during the disrupted period of performance against scope production during a period of unaffected performance. The unaffected performance period represents the “measured mile”, which serves as a basis for comparing impacted labor productivity and determining lost man-hours and equipment-hours for the impacted scope of work.

A pre-COVID-19 vs. COVID-19 scope production comparison could be made to determine any productivity loss. It is imperative that proper documentation is maintained to substantiate actual production and items such as work stoppages and unavailability of manpower.

The information provided above is general in nature, has been prepared for informational purposes only and does not constitute legal advice. All parties need to evaluate their specific project conditions, contract, local codes and ordinances and contact their attorney or consultant to understand and apply these and other general principles for their project. The information is intended but not guaranteed to be correct, complete, and up-to-date. No representations or warranties are made, express or implied, that this information is correct, complete, or up-to-date.

Author

COLIN ANTHONY ADDLEY MCIOB, MAIB, MSAIB

Colin is a highly experienced Professional Quantity Surveyor and Project Manager with over three decades in the International construction and Marine Industry.

He is a specialist in the fit out sector having executed many prestigious, Luxury high quality and Technically Complex Projects.

He is also a creative writer having penned many industry related articles.

August 24, 2026
Artificial intelligence has arrived in the built environment without much of an announcement. It is in the modelling software, in the document management platform, in the take-off tool, and in the email client. Most architecture and interior design practices are already using it several times a day, whether anyone has written a policy about it or not. So, the interesting question is no longer whether to use AI. It is what happens to the work once you do. The part of the story that gets left out Read almost anything written about AI and outsourcing this year and you will find the same quiet admission underneath the enthusiasm: none of it runs on its own. Somebody must prepare the information the system learns from. Somebody must look at what comes out the other end and decide whether it is right. The technology is genuinely impressive. It is also unaccountable on its own. That matters more in our sector than in most. A chatbot that answers a customer badly is an irritation. A model that produces a clash-free-looking coordination report on a badly set up federated model, or a take-off that quietly omits a whole material line, is a cost that lands on site months later, when it is expensive to fix and difficult to argue about. AI is very good at producing work that looks finished. Judging whether it is finished is a different skill, and it is not a technical one. It comes from having drawn the detail before, having priced the package before, having been on the receiving end of the RFI when it went wrong. What this looks like on a real project A Revit technician who understands how a model is meant to be structured can use automation to strip hours out of repetitive family creation, sheet setup and annotation, and spend the recovered time on the parts that need thought. A technician who does not understand the model will use the same tools to produce a great deal of tidy-looking rubbish, very quickly. An estimator with fifteen years behind them can run an automated material take-off, scan the output and know within a minute that the ceiling quantities are wrong because the tool has read a plenum as a room. The software will not flag that. Nothing in the output will look unusual. The estimator knows because they have seen a plenum before. The same holds for shop drawings, submittal review, document registers and coordination. In each case, the tool moves faster than a person could. In each case, someone must own the answer. What to actually look for If AI raises the value of judgement rather than lowering it, then the way firms buy resource ought to change with it. A few things are worth asking of anyone providing you with people: Can they scale up and down at the pace your workload genuinely moves, rather than at the pace of a twelve-month commitment? Do you know what you are paying and what you are getting for it, without unpicking a rate card? Do the people they provide work inside your systems, your file structure and your standards, or alongside them? And when something is wrong, is there a named person who is accountable for it? None of those questions mention AI. That is rather the point. The tools will keep changing. What protects the project is the quality of the person using them and the clarity of who answers for the output. Where ADDMORE sits We are not an AI company in the way that phrase is usually meant. We did not build a model and then go looking for somewhere to point it. We started from the work of documenting buildings, pricing packages and keeping projects moving, and everything we have built since has come out of that. What we provide is people, and the technology those people need to do the work properly. That means qualified back office professionals: 3D modellers, Revit and AutoCAD technicians, US estimators and document controllers, working as an extension of your own office, on your systems and to your standards. It also means business technology support: data engineers, analysts, BI specialists and AI engineers who build and maintain the automated parts of the workflow, the take-off routines, the document pipelines, the reporting behind the reporting. Done well, you never have to think about any of it. Done badly, it is the reason a number was wrong three months ago and nobody noticed. We also build software of our own, including PromoreIQ, our AI platform. We would rather tell you what a tool can and cannot do having had to make one work ourselves. Our people use AI in their daily work, and we expect them to. What we are providing, across all of it, is the experience that sits behind the output: the person who knows what the drawing is for, what the client will ask next, and what a plausible-looking result should have said instead. That is also why we have not rushed to relabel what we do. The work has not changed as much as the vocabulary around it has. Buildings still have to be documented properly. Packages still have to be priced accurately. Somebody still has to be answerable when they are not. The short version AI has made the first draft of almost everything affordable. It has not made the judgement inexpensive, and in the built environment, the judgement is where the risk lives. The firms that get the most out of these tools over the next few years will not be the ones with the largest technology budget. They will be the ones with enough experienced people to tell good output from bad, fast enough for it to matter. If you are working out how to add that capacity without adding overhead, we would be glad to talk it through.
August 19, 2026
The Hidden Advantage of Offshore Outsourcing: Why Broader Talent Pools Lead to Better Results When businesses talk about offshore outsourcing, the conversation often starts with two familiar topics: cost savings and time zones. Both are important. But they are not what ultimately determine whether an offshore engagement delivers meaningful value. The bigger question is much more fundamental: Are you accessing the right talent in the first place? A broader talent pool, a fair approach to evaluating capability, and a genuine understanding of local professional markets can have a significant impact on the quality of offshore work. This is especially relevant for industries where technical knowledge, consistency, communication, and attention to detail directly affect project outcomes. For companies exploring offshore outsourcing, the opportunity is not simply to reduce operating costs. It is to access capabilities that can strengthen the way work gets done. Offshore Outsourcing Is About More Than Cost Cost efficiency is one of the most obvious advantages of offshore outsourcing. However, focusing exclusively on cost can lead businesses toward the wrong question. Instead of asking: "How much can we save?" It can be more valuable to ask: "What additional capability can we access?" A lower-cost resource does not automatically create a better business outcome. If the work requires excessive supervision, frequent corrections, or repeated revisions, the initial savings can quickly be offset by lost time and reduced productivity. The strongest offshore models focus on value rather than price alone. That means identifying professionals with the right technical capabilities, evaluating them against the actual requirements of the work, and creating an operating environment where those capabilities can be used effectively. A Broader Talent Pool Creates Better Opportunities One of the major advantages of offshore outsourcing is geographic access to talent. Clients that work with trusted professional and technical AEC support services who have access in regions such as the Philippines, LATAM, and other global talent hubs gain access to a wider pool of professionals with diverse educational backgrounds, varied project experience, strong technical capabilities, and broader perspectives. Organizations that achieve stronger results are not simply moving fast or chasing the lowest cost. They succeed because they tap into a broader talent landscape and use more rigorous, meaningful methods to assess capability. This is particularly important when the work requires specialized knowledge. For example, an AEC company looking for additional support with drafting, BIM production, quantity takeoffs, documentation, or other technical functions may benefit from looking beyond its immediate geographic market. The objective is not to find more people. It is to fin d more of the right capabilities. Why the Quality of Evaluation Matters Expanding the talent pool is only part of the equation. How professionals are evaluated matters just as much. Traditional hiring and sourcing processes can sometimes place too much emphasis on familiar credentials, recognizable companies, conventional career paths, or whether a candidate appears to fit a predetermined profile. These indicators can be useful, but they do not always demonstrate how well someone can actually perform the work. A more effective approach is to focus on demonstrable capability. Depending on the function, that could include evaluating: Technical knowledge Relevant industry experience Problem-solving ability Attention to detail Communication skills Ability to follow established processes Software proficiency Practical application of knowledge Ability to work independently Consistency and quality of output For technical industries, this distinction is particularly important. A professional who can demonstrate the ability to produce accurate work may ultimately provide more value than someone whose profile simply looks impressive on paper. Inclusive Evaluation Can Improve Offshore Outcomes Inclusive evaluation can meaningfully strengthen offshore outcomes. While inclusive hiring is often framed as a cultural initiative, it also carries a practical business advantage. When companies expand their talent search and assess candidates based on demonstrated capability, they open the door to a wider pool of qualified professionals, including individuals whose strengths might otherwise be overlooked. This matters even more in offshore outsourcing, where geographic reach already exposes organizations to diverse professional markets. The opportunity is to make that access count by avoiding narrow assumptions about what a strong candidate should look like. A broader talent map, paired with fair, capability‑focused evaluation, creates a stronger and more reliable foundation for offshore delivery. Local Market Understanding Makes a Difference Offshore outsourcing is not simply a matter of selecting a country and searching for available professionals. Every market has its own professional environment, educational systems, compensation expectations, talent concentrations, and working practices. Understanding those differences matters. The value of working with organizations that understand the local market rather than relying exclusively on databases or generic sourcing methods is not to be overlooked. For businesses, this can mean better alignment between the capabilities they need and their trusted intelligent resourcing anwith knowledge and access to pre-vetted professionals available in a particular location. It can also help create more realistic expectations around communication, workflows, professional development, and the type of work that can be effectively delivered offshore. The AEC Industry Has a Particularly Strong Opportunity For the architecture, engineering, and construction industry, offshore outsourcing can extend far beyond basic administrative support. AEC businesses frequently deal with fluctuating workloads, demanding project schedules, specialized documentation requirements, and resource-intensive production work. Access to a broader pool of technical professionals can provide additional capacity in areas such as: Architectural drafting BIM and Revit production Construction documentation Shop drawings Quantity takeoffs Material schedules Cost management support Rendering and visualization MEP and structural documentation Project administration The value comes from connecting these capabilities with the right workflows and quality standards. This is why the quality of the offshore professional matters just as much as the cost structure. Offshore Capability Should Complement Your Existing Operations A successful offshore model should not feel disconnected from the business it supports. The objective is to create an effective extension of existing workflows. That requires clear processes, defined deliverables, appropriate quality control, effective communication, and a shared understanding of project expectations. For an AEC organization, this might mean having offshore professionals support production documentation while project leadership, design decisions, client relationships, and critical approvals remain within the primary business. The result is not simply outsourced labor. It is additional professional capacity integrated into the way the business already operates. How ADDMORE Approaches Offshore Outsourcing At ADDMORE Services LLC, our focus is on helping AEC organizations access professional offshore capabilities Solutions that can support their technical and operational requirements. Rather than positioning offshore outsourcing purely as a cost-cutting exercise, ADDMORE approaches it as an opportunity to add specialized capability where it can create measurable value. Our offshore professionals support areas including architectural documentation, BIM and Revit production, engineering drawings, quantity takeoffs, cost management, rendering, Sales and Operations and other AEC-related services The objective is straightforward: Give AEC businesses access to capable professionals who can contribute to their existing workflows while helping them manage capacity, productivity, and project demands more effectively. This approach also reflects an important principle from the broader offshore outsourcing conversation: the quality of the result depends heavily on the quality of the people performing the work and the process used to identify and evaluate those capabilities. Rethinking the Offshore Outsourcing Conversation The offshore outsourcing conversation does not need to stop at: "How much can we save?" A more strategic conversation asks: What capabilities do we need? Where can we access those capabilities? How broad is the available talent pool? How are professionals being evaluated? Are we measuring actual ability or simply reviewing credentials? Does the offshore operation understand our industry? Can the work integrate effectively with our existing processes? Will the additional capacity improve our ability to deliver? These questions lead to a different understanding of offshore outsourcing. It becomes less about finding the cheapest option and more about expanding access to capability. The Real Advantage Is Access The hidden advantage of offshore outsourcing is not simply geographic distance or lower operating costs. It is access . Access to a broader professional market. Access to specialized skills. Access to additional production capacity. Access to different perspectives and experiences. And, when the process is designed properly, access to professionals who can contribute meaningful value to the work being delivered. For companies willing to look beyond the traditional boundaries of recruitment and resourcing, a broader talent pool can become a genuine competitive advantage. Looking to Expand Your AEC Capabilities? If your AEC business is dealing with increasing workloads, tight project deadlines, or gaps in technical production capacity, offshore outsourcing may provide a practical way to expand your capabilities without unnecessarily increasing your internal overhead. ADDMORE Services offers professional offshore outsourcing solutions designed specifically for the AEC industry. Contact us for a free consultation to discuss your current requirements and explore where offshore professional support could add value to your operations. Visit ADDMORE Services to learn more about our AEC outsourcing solutions.
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Discover how early BIM coordination and clash detection help AEC teams reduce rework, protect budgets, prevent delays, and improve construction outcomes.