July 2006 - The Green Zone
posted by
Larry J Smith
Submitted by J. Barry Morley, P.E.
Introduction
Timely completion of construction contracts requires a team effort by both the Contractor and Owner/Construction Manager. Several articles of the month and forum topics have stressed the renewed emphasis on timely completion by examining and evaluating contract milestones and completion milestones during the "Red Zone." Many of our contracts just don’t seem to get off the ground following contact award and notice to proceed. Customers and Resident Engineers seem puzzled why months go by without progress. Time and time again delays occur as the contractor struggles with the early contract requirements that must be accomplished prior to commencing work.
The Green Zone
"The Green Zone" much like the Red Zone is a team effort needed to eliminate delays in accomplishing contract requirements. The Red Zone concept uses a relation to the difficulty of scoring points on the football field when reaching the opponents 20 yard line (last 10% of the contract period). Applying a similar relationship the Green Zone is also akin to a football game:
Kick Off - Notice to Proceed
Kick Return - Early Preparation (Green Zone)
1st Downs - Keeping on Schedule
Touchdown - Completion on time & in budget
In another perspective the Green Zone is the time between the notice to proceed and commencement of work (first 10% of the contract period). The team consists of:
The Contractor
Contracting
Project Management
Construction Branch
Resident Engineer
Why Do We Need It
Most contracts include specific actions the contractor must take immediately after NTP and prior to commencement of work:”
Obtaining the Award CD and reproducing documents
Downloading contract data from RMS
First 120 day NAS schedule
Post Award, or Pre-Construction Conference
QA/QC Mutual Understanding Conference
QC Plan
Accident Prevention Plan
Submittal Register
And....many “Division 1 Submittals”
History tells us that the motivation for timely contract completion for some contractors appears to be directly related to the motivation for timely completion demonstrated by the government representatives (Project Delivery Team Members performing proactive contract management). If the Government team does not take all the necessary actions at the earliest time possible to ensure contract compliance “we potentially aid contractors’ claims of Government delay.”
History further tells us if a contractor fails to act promptly to those early contract requirements then he tends to remain behind, making it difficult if not impossible to catch up.
If we do not take prompt action and set the proper tone immediately by getting contractors to comply with all early contract requirements, then contractors do not feel compelled to comply with any other requirements.
How many customers have been asking why our contracts take so long for work to commence and for us to demonstrate progress? Let’s not wait for our customers to demand adoption of “The Green Zone.” Let’s start practicing it on all our projects without further delay or implementation of policy.
Implementing “The Green Zone”
A simple method for implementing “The Green Zone” is to modify your Resident Office and District Office Quality Assurance Plans (QAP’s) stating your goal to get contracts started correctly and in a timely manner including:
A Green Zone Team
All contracts include requirements for a schedule or NAS
All contracts must include contractors’ use of QCS
All Resident Office must use RMS
Identification of key personnel (funded in P2) well before the NTP
Making It Work
The simplest method for making “The Green Zone” work is to focus team efforts on ensuring contract compliance by all parties to the contract. QA team members must review and communicate these requirements within their team and to the contractor from your first meeting to the final acceptance of the contract.
If the contractor fails to promptly comply with the specified early submittal requirements do not process progress payments. Review your contract. We are not contractually required to make payments unless all contract requirements are met.
I invite your comments below to this article or on the "Contract Startup and Closeout Forum."
The Disk of Knowledge you provided and continually maintained was great. Just got back from a QA visit from one of our Mobile's field office and asks about of how they can access into DOK ?
Thanks.
Sil
Silverio R. Caranto
Construction Engineer
Business Technical Div
SAD
Ph 404 562 5129
comment posted by Elton Cobb on 07/07/06
Robert Smith
Thanks for the insight from a contractor point of view -
I completely concur with your observation pertaining to the consistency of the Government for all requirements- I do not understand why there are requirements and instructions being provided to the contactor in meetings (where misunderstandings and miscommunications generally occur)
The mutual understanding meeting for QC and safety should result in a complete understanding of how the contractor will implement his final plans- The contract requirements for contents of the plans fjor preparation of the plans, is clearly specified and DOK includes extensive checklists to be utilized by the Government and contractor to avoid resubmittal of the plans
The requirement for all aspects of the contract requirements and how all contract admin items should be performed -are clearly stated in the contract specifications or in DOK guidance.
The Government contract administration personnel lacking consistency is an issue resulting from - lack of specific and uniform guidance from within the agency management- however it has been stated that strick conformance to policy and process -diminshes the creativity of the employees and therefore is not generally supported
The # of submittals required by the Government is large and are not likely to change due to the nature of contracts (funded with Federal funds) and the Government must be held accoutable to the federal tax payer.
The Green Zone issues that you noted are important -but may not be justification for no schedule submittal for first 3 months - no submittal register, lack of mobilization and start work at the jobsite within the time frame specified, and the lack of proper resourcing at the jobsite to meet the first critical milestone for foundations and follow on critical milestones.
comment posted by Elton Cobb on 07/05/06
This is a great concept = Green Zone
Green Zone = 0% - 10% duration (timely start with a reasonable initial schedule)
Amber Zone = from 10% duration to 90% duration (implement the schedule and take timely action when the contractor does not meet milestones)
Red Zone = 90% duration to 100% duration (timely completion of mechanical/electrical testing, prefinal, final (completion of punchlist)
Contract close out after final
I still do not understand why is it so difficult for ACO/CA administrator to insist on the contractor submitting a reasonable schedule and implementing this schedule. Could it be a matter of COURAGE?
"The Critical Milestones" for a typical building have not changed since construction of buildings began - they are related to the % of duration and are applicable to all types and functions of buildings.
The contractor's motivation for contract compliance (quality - timeliness - safety) is directly related to the timely and consistent commitment of the ACO/contract administrator and his/her staff (QA). The contractor will perform to the level of the ACO's/Contract administrator expectations.
Much like we found with schedule management timely completion appears directly related to the motivation of the government representatives. If we do not do our part for educating the contractor and enforcing the contract requirements at start up what chance do we have as the contract period moves toward vital milestones and contract closeout? If we do nothing, we'll keep getting the same results - late finishes.
For more information link to "Contract Startup and Closeout".
comment posted by Robert Smith on 07/05/06
One of the important things from the contractor point of view would be to receive a consistent government policy or approach to repetitive issues. For example, we have experienced a 'reversal of policy' on COE projects on such things as how spread costs in the schedule for 'design service' and for 'materials on site, but not in place'. These misteps by the government required the schedule to be re-done - - a costly delay - - all because the government changed their mind from what they said at earlier meetings.
A second point is to use the Mutual Understanding Conferences to resolve minor questions in Safety, QC and other Plans. The COE is all too eager to stamp "revise and resubmit" on contractor Plans for small questions and for minor deficiencies. Recommendation: hold the conference, address the questions, and move on.
A third item is to "be reasonable, avoid duplication". For example: how many different submittals of a site plan can the QA require? Answer: At least 8, as follows: (1) for the design drawings (2) for the Storm Water Permit (3) for the Fugitive Dust Plan (4) for the evnironmental protection plan (5) for the safety plan (6) for temporary utility plan (7) for the demolition plan and (8) fand or the Preparatory Phase on General Conditions. This seems excessive, but count them - - they are on file, as demanded!
The Geen Zone is an important concept and it will work better if both the governmednt and contractor endeavor to move efficiently through this start-up phase. The government needs to take actions that reflect their interest in getting the work started as quickly as possible!
