1. Faculty of Postgraduate Studies and Scientific Research German University in Cairo Modeling to Reduce Variation Order in Construction Projects in Egypt Omar Magdy Hassan Fadl Supervised by Dr. Ayman H. Nassar 29th July 2017

2. Content Introduction Methodology Data Collection and Analysis Results
VORS Model
Conclusion

3. Introduction Research Problem Statement
Variation order is a common phenomena among construction projects and leads to :
Failure of achieving quality and requirements of the project within the planned time and budget.
Affect negatively on the project life cycle.
Results in claim between parties due to extra time and cost.

4. Introduction Research Objectives
To develop a model to help in reducing variation order in construction projects in Egypt through:
Determine and analyze the main factors that derive time delay and cost overrun.
Find and evaluate solutions and alternatives to limit the effect of variation.

5. Introduction What is Variation Order ? Time Delay
The variation order in construction projects is usually linked to the performance of time and cost.
Time Delay
Accepted delay with compensation
Accepted delay without compensation
Non-accepted delay
Cost Overrun
Variable/Fixed Cost
Direct/Indirect Cost

6. Methodology

7. Data Collection and Analysis
Survey General Information
The questionnaire was divided into 3 sections.
100 questionnaires were collected
68% Males, 32% Females
85% Engineers, 15% Non-engineers
55% Contractor Companies, 18% consultant companies, 16% Owner Companies, 11% Others.

8. Data Collection and Analysis
Methods of Analyzing Data
Descartes Equation
SPSS Software
Mean
Median
Standard deviation

9. Results

10. Owner’s Factors Factor Weight (%) Mean Owner's financial problems 70.4
3.8261
Late in taking decisions
69.2
Change of scope 69
3.75
Change in specifications by the owner
64.8
3.5217
Inadequate project objectives
63.8
3.4674
Interference of employer
59.6
3.2391
Replacement of materials or procedures
Obstinate nature of owner
58.8
3.1957
Poor communication and coordination by owner and other parties
58.2
3.163
Unrealistic contract duration
53.8
2.9239

11. Consultant’s Factors Factor Weight (%) Mean
Delays in approving shop drawings
68.4
3.7174
Delays in producing design documents. 68
3.6957
Errors and omissions in design
67.4
3.663
Conflicts among contract documents
Change in design by the consultant
67.2
3.6522
Inadequate design
Change in specification by the consultant
64.6
3.5109
Inadequate working drawing details
Quality assurance/control.
64.4
3.5
Delay in performing inspection and testing by consultant
64.2
3.4891
Poor knowledge of available materials and equipment
61.6
3.3478
Un-use of advanced engineering design software
58.4
3.1739
Design complexity
55.8
3.0326

12. Contractor’s Factors Factor Weight (%) Mean
Rework due to errors during construction
71.6
3.8913
Difficulties in financing project by contractor
71.4
3.8804
Poor site management and supervision
69.6
3.7826
Unavailability of skills
65.8
3.5761
Poor workmanship
64.6
3.5109
Shortage of material 64
3.4783
Delay in site mobilization due to unfamiliarity with local conditions
63.8
3.4674
Frequent change of sub-contractors because of their inefficient work 63
3.4239
Unqualified workforce
62.4
3.3913
Shortage of labors
60.8
3.3043
Differing site conditions
Unavailability of equipment
60.2
3.2717
High cost of skilled labor
57.4
3.1196
Complex design and technology
55.8
3.0326

13. VORS Model
Point of Comparison
Website Model
Software Model
Independency
YES NO
Availability
Integrity
Be Updated Easily
What is VORS ?
VORS stands for Variation Order Reducing by Solutions.
URL link

14. How to Use the VORS ?
First Step:

15. How to Use the VORS ?
Second Step:

16. How to Use the VORS ?
Third Step:

17. How to Use the VORS ?
Fourth Step:

18. How to Use the VORS ?
Fifth Step:

19. Case Study Companies who used VORS:
The model was accurate in determining the top factors deriving time and cost variation.
Easily accessible and user friendly.
If widely adopted, it will have a huge impact on construction projects and will reduce conflicts between involved parties.

20. Conclusion The Top Three Factors and Solutions:
Owner’s financial problems
Should have a good budget planner and cost control department
Delays in approving shop drawings
Should be carefully observed and managed to limit time delays, and additional cost.
Rework due to errors during construction
A correction action should be made as if crashing of project schedule

21. Recommendations For Future Studies
Improve the VORS model through collecting more data to generalize and validate VORS solutions
More research on specific type of construction projects in different regions to allow VORS to support guidelines and solutions for each type of projects, such as: Highways, Dams and Hospitals.
Adopt VORS on a wide scale to be used as reference for solving claims and disputes between different parties.

22. Thank You Any Question ?