Project Management Development & Supervision Contract

SCHEDULING REQUIREMENTS FOR CONTRACTORS

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SCHEDULING REQUIREMENTS FOR CONTRACTORS

GENERAL
The schedules (and schedule documents) described herein are for the following
purposes:

1. To define the contractors baseline plan (including logic and use of man-hours
identified by discipline /Trade) for completing the works.

2. To report actual progress against plan in completion of the works.

3. To evaluate any changes to the contractors baseline plan and subsequent

updated plans.

4. To be used for agreeing the progress payment amounts to be paid to the

contractor.

5. To identify all the intermediate milestones that represents major deliverables by

the contractor.

6. To identify all interfaces with the other contractors.

7. To identify the responsibilities of all parties in the schedule.

In addition, the schedule documents shall serve as a communication tool between

PMO (Project management Office) & the contractor, consultant & contractor and the
contractor & its sub-contractors. The contractor is encouraged to use the schedule to
establish an understanding with all parties of the assumptions regarding the works,
and the various constraints and opportunities that are possible within the plan. As the
works progress, the contractor and the PMO will use the schedule to assess impacts
and to formulate the best methods to complete the works on, or ahead of the
contractual completion dates. The schedule documents will also be used by the field

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Supervising Engineer in the evaluation of the contractors monthly progress payment

requests.

The works shall be scheduled and performed pursuant to the provisions of the
Contract including any specific dates for Contract completion milestones, phase
completion and the like, or other requirements included in the contract agreement.
The contractor is responsible for completion of all aspects of the works in accordance
with the contract agreement.

At anytime throughout the course of the works, the PMO reserves the right to require
additional activities to be added to the schedule to clearly define the contractors plan
and intentions regarding the execution of the works. In each instance, such activities
or changes shall be made by the contractor at no cost or delay to the Employer.

The services provided by the PMO, the existence of schedules, networks or any other
charts or services prepared or performed by the PMO, shall in no way relieve the
contractor of the responsibility for complying with all of the requirements of the
contract agreement works, including, but not limited to, the responsibility for
completing works within the period for completion of the works and the responsibility
of planning, scheduling, and coordinating the works. The contractor is required to
comply with all schedule procedures specified herein and with any reasonable
procedure changes that may be necessary, in the opinion of the PMO, during the
contract agreement duration.

The contractor shall obtain sufficient software licenses of latest commercially available
version of Primavera Project Management Tool for its own use. The Contractor shall
purchase, supply and maintain Two licenses of the latest commercially available
version of Primavera Project Management Tool for the use of the Employer.

1. SCHEDULES & SCHEDULE DOCUMENTS

The following outlines the schedules and schedule documents required to be
submitted by the contractor, with each type. Submittal details for each schedule are
provided in Submittal Requirements.

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1.1 Preliminary Schedule

The preliminary schedule shall be a schedule showing all activities and deliverables
occurring in the initial period of the contract and shall be resource-loaded. This
schedule shall be used for progress monitoring while the Baseline Schedule for the
entire contract is developed. The schedule should fully detail the first 120 days of the
Program and the balance of the works at a summary level.

In general no individual activity should have duration greater than 18 working days,
where the contractor believes an activity need to exceed this limit it should be noted
along with a rationale in the accompanying narrative.

Narrative
A narrative shall accompany the preliminary schedule that describes the key aspects
of the submitted schedules. The narrative shall describe what is to be delivered by the
contractor at each of the agreed interim milestone dates. The preliminary schedule
narrative shall define the primary aspects of the contractors plan for conducting the
works including, but not limited to:

1. The layout and logic used in the schedule.

2. Critical submittals.

3. The critical path.

4. An overall float analysis.

5. Any interface concerns (input by other parties to be identified).

6. Productivity and other assumptions made to determine activity durations

1.2 Critical Path

In addition to preparing the preliminary schedule according to the above requirements,
the schedule shall also be sorted by critical path and presented as such. This is a
time-scaled Gantt chart showing only the current critical path of the works (activities
with total float of less than one day)

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In the event of near critical path work (less than 10 days of float), the PMO may
request the near critical path items also be shown.

1.3 Baseline Schedule

The Baseline Schedule is a detailed schedule that includes a narrative, cost and man-
loading curves developed using the critical path method (CPM). In general no
individual activity should have duration greater than 18 working days, where the
contractor believes an activity need to exceed this limit it should be noted along with a
rationale in the accompanying narrative.

This Schedule represents the contractors plan for the works from the date of award.
The baseline schedule shall be used to make the first progress schedule. Once the
baseline schedule is accepted by the PMO, it is to be frozen and shall not be revised
without the PMOs consent.

Work Breakdown Structure (WBS)

The contractor shall propose, prior to the submission of the Baseline Schedule a Work
Breakdown Structure (WBS) that integrates with the latest version of Agency WBS.
This WBS shall be provided to contractor, by PMO upon award of construction
contract, additional levels are to be added by contractor to enable a sensible
breakdown into sub areas of work and of responsibility.

Each activity in the Baseline Schedule shall have a WBS encoded to it.

Activity Coding

In addition to and separate from the WBS coding, each activity shall be coded to
show, as a minimum:

The Phase of work (design, procurement, construction, etc.)

The Party responsible for the work (contractor, subcontractor, Resident Engineer,
External Agency etc.)

The physical location of the work (area, level etc.)

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Identification of interface and contractual milestones

The contractor shall submit for approval, prior to the submission of the Baseline
Schedule, the proposed Activity Coding dictionary.

Activity Numbering

The contractor shall propose, prior to the submission of the Baseline Schedule, an
activity numbering scheme that helps identify activities by location and responsibility
(including any sub-contractor). In any event all activity numbers shall commence with
the three characters MFT

Resource and Cost Loading

Each Activity shall be loaded with relevant costs and resources. The contractor shall
submit his proposed resource and cost dictionaries for review and acceptance. PMO
may elect to provide a resource dictionary for use by the contractor; in this case
contractor shall not make modification to the dictionary without consent of PMO.

The quantities and unit rates of items in the Contract shall be used to arrive at
resource and cost loading for activities. Total Cost loaded on the activities shall be
equal to total contract value. The cost loaded to activities for each location / element /
item of work should match the contract price for the same in the Contract.

Client Server
Amana may decide to have the baseline and progress schedules reside on the
agency computer server, to which the contractor shall be granted suitable access. The
Employer, PMO and Supervising Engineer shall have access to view the baseline
schedule. The Employer and the PMO shall be granted access to the schedule for the
purpose of monitoring and creating inter-contract logic links.

Narrative
A narrative shall accompany the baseline schedule that describes the key aspects of
the submitted schedules. The narrative shall define the key aspects of the contractors
plan for conducting the works that includes the following key sections:

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1. The layout and logic used in the schedule.

2. Critical submittals.

3. The critical path.

4. An overall float analysis.

5. Any interface concerns (input by other parties to be identified).

6. Productivity or any other assumptions made to determine activity durations

7. Calendars that have been applied to activities and the rationale for any deviation
from the standard calendar.

Critical Path
In addition to preparing the baseline schedule according to the above requirements,
the schedule shall also be sorted by critical path derived by the baseline schedule and
presented as such. This schedule shall show the critical path derived from the
baseline schedule. This is a time-scaled network logic diagram showing only the
current critical path of the works along with its current progress. In the event of near
critical path work (less than 10 days of float), the PMO may request the near critical
path items also be shown.

Manpower Histogram

A manpower loading histogram shall be developed as part of the baseline schedule.

The histogram shall show overall manpower required for the works and what
disciplines make up the overall manpower

Cost Curve (S-Curve)

A Cost loading curve shall be developed as part of the baseline schedule. The curve
shall show overall contract price, the Contractor may be asked to develop curves for
major elements constituting the contract scope.

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Working Calendar

The working calendar used in scheduling should reflect Fridays and official holidays
as non-working days. The schedule should be based on working hours as defined in
the contract or officially proposed by the contractor and approved by Amana.

1.4 Progress Schedule / Schedule updates

The first update to the approved baseline schedule forms the first progress schedule.
Subsequent progress schedules shall be submitted on a fortnightly or weekly basis
(as directed by the PMO) presenting the update for the previously issued progress
schedule. The progress schedule shall also be used to: confirm the percent complete
requested by the contractor in progress payment applications; analyze delays and
impacts in all time impact analysis (TIA); and, determine whether a recovery schedule
is required from the Contractor.

Narrative

The contractor shall submit a narrative as a part of the progress schedule submission.
These submissions are required to be stand-alone documents and shall not require
their corresponding progress schedules to be attached in order to understand the
narrative. The narrative shall address the following, but not be limited to:

1. Progress in last period.

2. Critical path progress and concerns.

3. Potential delays and TIA.

4. Submittal status (focus on critical submittals and concerns).

5. Manpower loading (by discipline).

6. Revenue to-date.

7. Variances. The contractor shall provide a written narrative to include the cause(s)
of all schedule variance(s) related to a forecasted delay in any contractual
milestone completion or activity dates.

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8. Additional activities required for the update.

Critical Path
In addition to preparing the progress schedule according to the above requirements,
the schedule shall also be sorted by critical path derived first by the baseline
schedule, and subsequently, from the current progress schedule. This is a time-scaled
network logic diagram showing only the current critical path of the works along with its
current progress. In the event of near critical path work (less than 10 days of float), the
PM may request the near critical path items also be shown.

Manpower Histogram
The manpower loading curve shall be updated in accordance with the progress
schedule to show the actual manpower deployed compared to the Baseline Schedule.

Cost Curve (S-Curve)

A Cost loading curve(s) shall be updated in accordance with the progress schedule to
show the actual earned value compared to the Baseline Schedule

1.5 Recovery Schedule

In the event that certain conditions exist such that any contractual milestone date is in
jeopardy of being delayed, the contractor shall submit a recovery schedule for the
Amanas approval. The schedule shall be accompanied by a narrative describing
what steps the contractor proposes to recover slippage.

1.6 Extension of Time Schedule

In the event that conditions exist such that the contractor believes there are grounds
for an extension of time, the contractor shall submit as part of his application a
schedule showing how the works have been impacted by delay events. The schedule
to be used to demonstrate entitlement shall be the progressed schedule in place at
the time of the occurrence of the delay event and the method of calculation shall be
Time Impact Analysis (TIA).

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Where entitlement is claimed as a result of a change of scope to the works the

contractor shall produce a schedule Fragnet that demonstrates the impact of the
change.

1.7 Look Ahead Schedule

The contractor shall prepare and submit on first working day of each week a Look
Ahead Schedule showing specific activities scheduled for four weeks period, three
following weeks and one prior week. Review / discussion on the schedule shall be an
agenda item at weekly progress meetings. It is important to note that this schedule is
not to be generated by running a filter on primavera project schedule, it shall have
greater level of detail and reflect actual site conditions and resources availability.

1.8 As-Built Schedule

Upon completion of each Contract, the contractor shall prepare an as-built schedule
from the data gathered during the progress of the project. The as-built Schedule shall
be compared to the Baseline Schedule and the delays must be analysed and justified.
This is part of the project closeouts requirement.

2 SOFTWARE & SCHEDULE FORMAT

2.1 Software
Unless otherwise specified, the preliminary, baseline, and progress schedules shall be
produced utilizing the Windows-based Primavera Project Management Tool. All
submissions shall be in the latest commercially available version of Primavera.

2.2 Critical Path Method (CPM)

The preliminary, baseline, and progress schedules shall employ the critical path
method (CPM) using retained logic for the planning, scheduling and reporting of the
work to be performed under this contract agreement.

2.3 Schedule Components

The preliminary, baseline, and progress schedules shall include, but not be limited to:

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1. All critical, milestone, and completion dates defined in the contract agreement.

2. Dates of contract award, commencement date, overall completion, and completion

of each phase / element.

3. Critical procurement and submittal activities.

4. Others activities that interface with the contractors works, including work by the
Employer and Employers consultants, agencies and other similar activities.

5. All required design reviews.

2.4 Activity Description and Set-up

The description of work by activity and activity coding shall contain the specific type of
work to be done and the physical area of the work to which the activity pertains.
Activity boundaries shall be easily measurable and descriptions shall be clear and
concise. Activity descriptions shall not be prefaced with Begin or Complete. The
beginning and end of each activity shall be readily verifiable and physical progress
shall be quantifiable.

Duration
Activity durations over 18 working days shall be kept to a minimum. Exceptions to this
shall be permitted only if accepted in writing by the PMO. The duration of activities
shall be in work days.

Colour

Activities that constitute the controlling operations or critical path shall be identified by
use of colour (red) and font differences on the activity bar.

Imposed dates (Artificial Constraints)

Imposed completion dates for events other than the milestone dates or completion
dates are generally not permitted. Artificial constraints (imposed start dates) are
generally not permitted except for use in as interface dates with outside agencies and
similar. These interface dates shall have an early start/finish and late start/finish

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range. The Contractor shall submit a list of imposed dates used in the Schedule and
submit it along with all schedule submissions.

Numbering

Activity numbering shall be sequenced to allow inclusion of new activities between

existing activities while still maintaining a similarity of numbering for like activities.
Numbering by area, level, etc., is encouraged to assist in analysis. The numbering
may be alpha-numeric to allow easier identification of areas, etc.

Activity Riding
Activities that have started and are in progress shall be scheduled on each
submitted schedule. Planned durations for remaining work and planned completions
of remaining work on activities shall be used. Activities shall not ride the data date
line, with scheduled completions being the remaining durations, unless the contractor
actually plans to complete work within the remaining duration. Schedules submitted
with activities riding the data date line will not be accepted.

2.5 Schedule Layout and Sequence of Activities

The schedule layout shall be consistent with the project conditions and milestones set
forth in the contract documents. works required to complete each milestone shall be
easily identifiable in all contractors schedules. In general, it is desired to have the
works needed to meet the contract agreement milestones be detailed activities that
summarize, or roll-up to provide plan and status information reported for the
milestone.

The summarized overall schedule shall allow reporting of physical progress, revenue,
and manpower loading for the entire works.

The schedule layout shall be arranged to allow easy physical progress monitoring of
physical areas. Areas and levels shall summarize (or roll-up) for reporting purposes.
The contractor shall establish the layout that is needed to meet their responsibilities
under the contract agreement. The contractor shall use their selected layout to
coordinate with the contractors submitted progress payment applications such that

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the schedule, physical progress, the progress payment application, and physical
progress can be compared to determine the actual progress payments to be made to
the contractor.

2.6 Manpower Loading

The activities shall be manpower loaded. The summarized manpower in the schedule
shall be the total of all manpower required for all works identified by man-hours and
discipline.

2.7 Schedule Formatting

The formats for schedules (and schedule documents) submitted to the PMO are
described below. The formats described are solely for reporting and analysis use by
the PMO and are not intended to direct the contractor in their own method of
scheduling. The contractor may use any schedule format needed for their own use in
performing their responsibilities under the contract agreement.

Identification

All schedules (and schedule documents) shall be submitted with clear identification of
the PMOs and Contractors job numbers, schedule names, descriptions, plot dates,
data dates, file numbers, issue numbers and the like. All preliminary, baseline,
progress, and summary schedules shall be submitted with the activity description data
listed from left to right as follows: Activity ID, Activity Description, Original Duration,
Total Float, Early Start, Early Finish, and Budgeted Revenue. In addition, progressed
schedules shall show Remaining Duration and Percent Complete.

The early start and finish dates shall display an A after the dates if started (and
finished). The baseline schedule shall also have the late start and late finish dates to
the right of the early finish dates. The PM reserves the right, at no cost, to require the
contractor to add the Late Start and Late Finish dates to the progress and summary
schedules at any time.

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Status

The status bars on all progress schedules shall display the physical progress percent
complete. This same physical percent complete shall also be used in the data field.
The percent complete of activity duration to show progress shall not be used.

Format

The baseline and progress schedules shall be submitted as colour plotted time-scaled
Gantt charts with sufficient calendar and spacing to allow activity description
information and bars to be easily read. For each submitted schedule, a colour plotted
time-scaled Gantt chart of just critical path activities shall be submitted. The fixed
format, as described above, shall be used for all time-scaled logic diagram submittals
throughout the duration of the project.

The preliminary, baseline, progress, and summary schedules shall be submitted in bar
(Gantt) chart format with activity data on the left side and bars on the right side. Logic
shall not be displayed. Activity descriptions shall be displayed in the bar area. The
size shall be ISO A4 or A3 at the PMOs discretion.

The progress schedule shall be submitted in an additional bar (Gantt) chart format
that displays the previous months progress schedule as a target schedule for
comparison use. The previous progress schedule shall use the baseline Schedule as
the target schedule. The target bars shall be of smaller size, of different color, and
below the current schedules bars. The page size shall be ISO A4 or A3 at the PMOs
discretion.

The preliminary, baseline, and progress schedules shall be submitted in a bar (Gantt)
chart format, as described above, but shall contain only critical path activities. In the
event that the contractors schedule has more than 25% of the activities as critical
path or near critical path, the contractor shall submit an additional bar chart schedule
containing both the critical path and near critical path (as previously defined) activities.

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3 SCHEDULE REVISION AND UPDATE

During the course of the works and issuance of the progress schedules, updating to
reflect actual progress shall not be considered revisions to the schedule. Such
updating shall include revisions to activity durations and certain sequences on a semi-
monthly basis. Included in the progress schedule updates shall be activities and
changes that have already been reviewed and approved by the PMO such as the
effect of accepted Employer changes, the agreed duration of delays caused by acts of
God, or other conditions or events which have affected the progress of the works. The
progress schedules, when formally submitted, shall display current progress, as well
as, displaying the forecast or projected works completion.

Should the contractor, after the PMOs approval of the baseline schedule and any
progress schedules, desire to change the schedule logic, the contractor shall submit
in writing its requested revisions to the PMO. The request shall include a written
narrative of the reasons for the activity and logic changes, a description of the logic for
rescheduling the work, and the methods of maintaining adherence to critical and
milestone dates.

Additionally, for changes affecting sequences of the works, the contractor shall
provide a time-scaled logic diagram that compares the original sequence of work to
the requested revised sequence of work. The contractor shall submit the requested
revision in a timely manner such that the PMO may review the request submittal the
same time frame and manner as required for other schedule submittals. Upon the
PMOs approval of the request, the contractor shall include the revision in the next
progress schedule submission.

Neither the updating or revision of the contractors progress schedule, nor the
submittal, updating, change or revision of any schedule (or schedule document) for
the PMOs review and approval shall have the effect of amending or modifying, in any
way, the period for completion of the contract agreement works, any completion date,
or agreement milestone dates or of modifying or limiting in any way contractors
obligations under the contract agreement. At a minimum, the contractors progress
schedule logic shall be updated at the end of each major phase of work.

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4 SLIPPAGE & RECOVERY

Should any conditions exist, such that certain activities shown on the contractors
progress schedule fall behind schedule to the extent that any of the mandatory critical
dates or milestone completion dates are at risk of being delayed, the contractor shall
be required, at no cost to the Employer, to prepare and submit to the PMO a
supplementary recovery schedule. The recovery schedule shall be in a form and detail
appropriate to the need, and to explain and display to the PM how the contractor
intends to reschedule those activities to regain compliance with the last previously
approved progress schedule.

After the PM determines that a recovery schedule is required, the Contractor shall
prepare and submit for approval to the PMO, the recovery schedule. The recovery
schedule shall represent the contractors best judgment regarding how the
contractors work shall be re-organized such that the work may return to the accepted
progress schedule. The recovery schedule shall be prepared at a similar level of detail
as the progress schedule and shall be based on the accepted progress schedule.

At least one week prior to the expiration of the recovery schedule, the PMO and
contractor shall meet to determine whether the contractor has regained compliance
with the approved progress schedule. At the direction of the PMO, one of the following
will occur:

1. If, in the opinion of the PMO, the contractor is still behind schedule, the contractor
shall prepare another recovery schedule, at the contractors expense, to take
effect for a maximum of one additional month from the start of the new recovery
schedule.

2. If, in the opinion of the PMO, the contractor has sufficiently regained compliance
with the progress schedule, the use of the progress schedule shall be resumed.

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5 SUBMISSION

5.1 General

The schedules (and schedule documents) shall be formally submitted in a timely

manner as required by this section, the general conditions, and the
supplementary/particular conditions. Failure to submit the schedule and schedule
documents on-time and in an acceptable format, with the required content, may
result in withholding of payments or other remedies.

The contractor shall have seven days to prepare re-submittals. All schedules shall be
submitted in the following manner: four colour paper copies and one electronic copy
on CD Rom of each schedule in Primavera Project Management Tool and Adobe
Acrobat (.pdf) formats, and the narrative in Microsoft Word (.doc) and Adobe Acrobat
(.pdf) formats.

5.2 Preliminary Schedule

The preliminary schedule shall be submitted within 15 days after the date of
Commencement.

5.3 Baseline Schedule

The baseline schedule shall be submitted within 30 days from the date of
Commencement.

5.4 Progress Schedule

For all progress schedule submittals, the contractor shall submit a printed list of all
schedule logic changes along with the reason for each change. This list is an integral
part of the schedule submittal. This list shall be generated from the scheduling
software and be the same logic included on the submitted CD Rom. Additionally, the
progress schedule submission shall contain the updated manpower loading curve.

The progress schedule shall be updated with progress to the cutoff date and be
submitted within three calendar days of the cutoff date.

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6 REVIEW & APPROVAL

6.1 General

All schedule documents shall be formally reviewed as required by the Construction

Supervision team and Planning & Scheduling Section of PMO. A period of fourteen
days shall be allowed for review in case of initial submission review and seven days
for re-submittal reviews.

6.2 Review Comments

An approval code shall be assigned to schedule documents on the transmittal form;
comments shall either be written on transmittal or attached to it and the original
transmittal sheet returned to contractor for his record or action.

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