PhD Final Thesis April 2013.pdf - Anglia Ruskin Research Online

Thesis Keith Gale 2013The percentage variance on agreed finish date is calculated by deducting the‘extension of time or compensation event days’ from the ‘initial completion date’and ‘actual end dates’ and dividing the result by the ‘extension of time orcompensation event days’ plus the ‘agreed initial duration’. Within the context of thisresearch, finishing a project early is not beneficial to the client so therefore thedefault value for finishing early or on time is zero.Formula for calculation of percentage variance on agreed finish date = ((Initialcompletion date – Actual end date) – Extension of time or compensation event days) /(Extension of time or compensation event days + Agreed initial duration)7.11.3 AS2 Value of accuracy of paymentsThis critical success factor for payments does not refer to comparison of ‘out turn’cost against budget allowance but relates to anticipated changes in expenditure aswork progresses in order to comply with monitoring requirements. Accuracy ofpayments places onus upon commercial representatives of a supplier (often aquantity surveyor) and a certifying officer (client’s representative) to meet and agreethe value of interim certificates. The purpose of this is two fold:• To provide an early warning to parties of any known changes in expenditureand allow an agreement process to be initiated and managed.• To prevent a supplier issuing an interim application for payment withoutchecking values with a supervisor prior to issue of contractual certificates.Calculation of values for accuracy of payments together with sources of data is:Accuracy of payments:The defined metric for accuracy of payments is that an application from a supplier iswithin 5% of the certified value made by the supervisor. Sources of evidence used bythis research examine payment certificates for each project in accordance with theconditions of contract. Each payment certificate has two values:a = net value of monetary application from supplier.145