|October 22, 2013
The AACE International Technical Board recently approved the following Recommended Practices (RPs) which, along with previously published RPs, are now available for complimentary download.
61R-10, Schedule Design – As Applied in Engineering, Procurement, and Construction
RP 61R-10 provides guidelines for the project scheduler to start the planning for developing a baseline schedule and is applicable only as a precursor to the development of the baseline schedule. It is oriented to critical path method (CPM) schedule design. This RP does not address schedule development but instead provides the framework to enable an efficient and accurate facilitation of the schedule development process. All schedule development should be done after this schedule design process is complete since the completion of design is necessary before a good schedule development process can progress effectively.
This RP provides guidelines to assist engineering, procurement, and construction entities planning for schedule development. When used, the term “owner” includes the work performed by their agents such as an architect and/or construction manager. Overall, these participants are responsible for the complete, accurate, and useful design of the schedule in order to guide and facilitate the development of the baseline schedule.
Schedule design is important to development of an effective baseline schedule. Often, schedulers tend to focus on the mechanics of schedule development while ignoring the primary purpose of the schedule, which is to communicate the scope and sequence of activities necessary to complete the project. Decisions such as level of detail, reporting needs, end user needs, etc. need to be considered as part of the schedule development.
An effective schedule will integrate with project specifications, scope of work, contracts, and other project deliverables that have an impact on the completion date. Well designed schedules support cost and schedule forecasts with appropriate level of detail to enable effective project management.
Effective schedules are achieved with sufficient forethought and must be deliberately designed. Schedule design is an essential prerequisite to schedule development, the latter being a technical function which can be performed by a competent scheduler. Schedules need to be planned to ensure the right product delivery to the stakeholders.
Contributing authors to RP 61R-10 are: Christopher W. Carson, CEP DRMP PSP (Author); Patrick M. Kelly, PE PSP (Author); A. Larry Aaron, CCP CEP PSP; Abhimanyu Basu, PE; David H. Doughty, PSP; Rufran C. Frago, CCP; Ricardo Garcia da Roza; Peter W. Griesmeyer; Ambrish Gupta; Kenneth N. Haeger; Dennis Read Hanks, PE CCP DRMP; Victor Marcel; Donald F. McDonald, Jr., PE CCP PSP; John P. Orr, PSP; Hannah E. Schumacher, PSP; H. Lance Stephenson; Ronald M. Winter, PSP
75R-13, Schedule and Cost Reserves within the Framework of ANSI EIA-748
RP 75R-13 describes the definition, purpose, management, and control of schedule and cost reserves on projects being implemented under American National Standards Institute (ANSI) Electronics Industries Alliance (EIA) - 748 Earned Value Management Systems (EVMS) guidelines with a focus on Federal Acquisition Regulation (FAR), required for projects funded by the United States government. This includes contingency, management reserve (MR), schedule margin (SM), undistributed budget (UB), and authorized unpriced work (AUW). Overall use of management reserve for programs and portfolios are not within the scope of this document. This document elaborates and provides additional detail that is consistent with however not included in the ANSI EIA-748 standard. It is intended to provide general guidelines from the owner and contractor perspectives.
This RP starts with contingency as defined in common usage in RP 10S-90 Cost Engineering Terminology. It specifically provides guidance regarding the management and use of management reserve and undistributed budget on projects being executed using earned value management (EVM) techniques consistent with the ANSI EIA-748 standard. This RP defines the non-time-phased components of the contract budget baseline (CBB), and may be used when project management consistent with EVMS tenets is implemented and practiced in a disciplined manner.
In this RP the cost contingencies are mitigated through the use of management reserve and schedule contingencies in schedule margin. Also, undistributed budget is defined as the amount of the budget of the performance measurement baseline that has yet to be allocated either to control accounts or to summary level planning packages.
This RP covers the scope of ANSI EIA-748 Guidelines 14 and 15 entirely and components of ANSI EIA-748 Guidelines 8, 28, 29, 30 and 32 regarding revisions and change control (as listed in the National Defense Industries Association (NDIA) Program Management Systems Committee (PMSC) Earned Value Management Systems Intent Guide).
Contributing authors to RP 75R-13 are: Kimberly A. Hunter, EVP (Author); Ronald L. Clendenon, EVP (Technical Advisor); Robert Loop, EVP PSP (Technical Advisor); Donald F McDonald, Jr., PE CCP PSP; Dan Melamed, CCP EVP (Technical Advisor); Dr. Stephen P. Warhoe, PE CCP CFCC