Construction Productivity Loss

A contractor’s productivity on a project can be influenced by many factors, only some of which are within a contractor’s control. These can include estimate errors, labor market forces, labor coordination, site logistics, late design, delivery delays, scope changes, and many other factors. Being able to determine the underlying reasons for the productivity loss is as important as being able to assess the variance in productivity and resulting cost impacts. Spire’s experts have worked on all types of construction projects across a range of industries worldwide. They know what to look for in the project documentation to determine the causes for the productivity variances.

Cost damages resulting from loss of labor and construction productivity can be difficult to identify and quantify. A lack of project control systems or proper documentation can make productivity calculations challenging. Proving construction productivity loss requires expertise and insight into planned and actual performance expectations. Spire can assist clients in evaluating and quantifying productivity or efficiency loss claims.

Our experts have testified on the reasons for the productivity impacts, the resulting productivity loss, and the appropriate pricing for damages. Spire’s independence provides an unbiased evaluation of the productivity losses to help reach an equitable resolution to the claim. Spire has a proven track record in its evaluation of productivity losses, helping clients support or defend against productivity claims in litigation or arbitration.

Our construction productivity experts have in-depth knowledge of productivity tracking and controls, impacts, industry studies, and quantification techniques. There are several recognized methods to calculate loss of productivity in construction. Spire’s experts know how to select the best method based on the circumstances and the data available on a project.

Methods For Measuring Construction Productivity Loss

  • Revenue per Man-hour
  • Total & Modified Total Cost
  • Industry Studies (MCAA, CII, etc.)
  • Measured Mile Analysis
  • Discrete tracking and pricing of events

Spire’s professionals have prepared and analyzed claims, negotiated on behalf of our clients, presented in mediations, and testified in arbitration and in court as expert construction litigation support on matters involving labor efficiency and productivity loss. Our experts have extensive experience with construction productivity tracking.

Spire’s services that may complement your need for construction productivity loss service include:

  • Claims evaluation and quantification
  • Damages analysis, quantification, and evaluation
  • Construction defect evaluation
  • Productivity benchmarking and calculation
  • Standard of care for construction professionals
  • Arbitration and mediation support
  • Construction productivity loss consulting
  • Expert witness testimony

If you have questions about our dispute resolution or productivity loss services, don’t hesitate to contact us. Speak with an expert about your situation and get a free consultation today.