Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

Hi John, could you please post the study or studies that support the statistics you cited above?  Several of those statistics you cite are very dependent on several factors.  For example, the more complex the capital project is, the bigger the percentage of labor hours will be to the overall cost.  I have seen projects where direct labor was closer to 50% of the overall project cost as it was very complex and therefore, labor intensive.  

If there are studies that exist, I would love to see them.  

Thank you.

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

Hi Stephen, thanks for your response to my post. I agree with your comment labor cost can exceed  50% or more in certain situations, I have been involved with perhaps half a dozen Capital Projects were this was the case,, however the vast majority of Capital Projects I have been involved with fall in the 25% to 30% range.

You  asked if I / we could post the backup data supporting this post.  Stephen unfortunately that would be difficult / impossible task (it would be a gigantic file), our 25+ year productivity data is in 3 large filing cabinets (2 of them stored offsite) , however it is a resource we use on a ongoing basis. Stephen, I don't believe you have utilized our cost data (I know you would find it extremely useful, just as the 1,000's of current user do, we have sold more than 20,000 databases over the years to some of the largest Fortune 500 & EPC firms around the world.  FYI over the years we have collected construction productivity data for more than 145 countries (there are approx 200 countries in the world) , myself & some of my staff have worked UK, USA, Norway, France, Germany, Poland, Italy, KSA, Canada, Brazil, South Africa, Chile, India, Japan, etc, etc or been involved with a multitude of Capital Projects in more than 40 countries, we are fortunate at,  Compass International to have more than 35,000 LINKEDIN connections which provides us with a unique, timley & cost effective data collection method. If we want to know what the productivity rate in Nigeria  or Finland Vs the USGC we can contact 3 to 6 Estimators for their opinion.

Prior to my establishment some 25+ years back of my company I was employed as Senior Engineer / Cost Engineering Manager for the 3rd largest Petrochemical company in the world,  myself & my team must have completed 20 + Global Costs data collection trips each year were we visited Engineering firms & EPC companies in 25 countries, gathering latest cost, schedule & productivity data  that was issued to the Companies BOD for consideration on future  CAPEX investment opportunities.

Stephen, I would suggest you look into purchasing our 2024 Global Construction & Front End Yearbooks, they have a wealth of real time data on US (Union & Open Shop / Merit Shop productivity benchmarks & more than 125 overseas countries). Stephen feel free to contact me, I am always available to discuss  productivity & cost issues with other AACE members.

Cheers

John McConville CCP Owner / Compass International

www.compassinternational.net 

(609) 577 4505

John McConville CCP 

(609) 577 4505

www.compassinternational.net

Hi John, could you please post the study or studies that support the statistics you cited above?  Several of those statistics you cite are very dependent on several factors.  For example, the more complex the capital project is, the bigger the percentage of labor hours will be to the overall cost.  I have seen projects where direct labor was closer to 50% of the overall project cost as it was very complex and therefore, labor intensive.  

If there are studies that exist, I would love to see them.  

Thank you.

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

Hi Stephen, thanks for your response to my post. I agree with your comment labor cost can exceed  50% or more in certain situations, I have been involved with perhaps half a dozen Capital Projects were this was the case,, however the vast majority of Capital Projects I have been involved with fall in the 25% to 30% range.

You  asked if I / we could post the backup data supporting this post.  Stephen unfortunately that would be difficult / impossible task (it would be a gigantic file), our 25+ year productivity data is in 3 large filing cabinets (2 of them stored offsite) , however it is a resource we use on a ongoing basis. Stephen, I don't believe you have utilized our cost data (I know you would find it extremely useful, just as the 1,000's of current user do, we have sold more than 20,000 databases over the years to some of the largest Fortune 500 & EPC firms around the world.  FYI over the years we have collected construction productivity data for more than 145 countries (there are approx 200 countries in the world) , myself & some of my staff have worked UK, USA, Norway, France, Germany, Poland, Italy, KSA, Canada, Brazil, South Africa, Chile, India, Japan, etc, etc or been involved with a multitude of Capital Projects in more than 40 countries, we are fortunate at,  Compass International to have more than 35,000 LINKEDIN connections which provides us with a unique, timley & cost effective data collection method. If we want to know what the productivity rate in Nigeria  or Finland Vs the USGC we can contact 3 to 6 Estimators for their opinion.

Prior to my establishment some 25+ years back of my company I was employed as Senior Engineer / Cost Engineering Manager for the 3rd largest Petrochemical company in the world,  myself & my team must have completed 20 + Global Costs data collection trips each year were we visited Engineering firms & EPC companies in 25 countries, gathering latest cost, schedule & productivity data  that was issued to the Companies BOD for consideration on future  CAPEX investment opportunities.

Stephen, I would suggest you look into purchasing our 2024 Global Construction & Front End Yearbooks, they have a wealth of real time data on US (Union & Open Shop / Merit Shop productivity benchmarks & more than 125 overseas countries). Stephen feel free to contact me, I am always available to discuss  productivity & cost issues with other AACE members.

Cheers

John McConville CCP Owner / Compass International

www.compassinternational.net 

(609) 577 4505

John McConville CCP 

(609) 577 4505

www.compassinternational.net

Hi John, could you please post the study or studies that support the statistics you cited above?  Several of those statistics you cite are very dependent on several factors.  For example, the more complex the capital project is, the bigger the percentage of labor hours will be to the overall cost.  I have seen projects where direct labor was closer to 50% of the overall project cost as it was very complex and therefore, labor intensive.  

If there are studies that exist, I would love to see them.  

Thank you.

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com
------------------------------

Hi,

This is an interesting discussion about factors influencing construction labour productivity. While many points have been raised, it seems that the impact of environmental conditions on productivity hasn't been addressed. A study done by Moselhi and Khan from 2012 (Moselhi, O., & Khan, Z. [2012]. Significance ranking of parameters impacting construction labor productivity. Construction Innovation, 12(3), 272–296) shows how significantly weather-related factors affect productivity. According to the study, temperature (22%), humidity (5%), precipitation (7%), and wind speed (10%) collectively impact labour productivity. Additionally, factors such as gang size (7%), labour percent (8%), work type (22%), floor level (16%), and work method (3%) also play critical roles in construction labour productivity. I know this study is a bit old, but it's still relevant.

I'm surprised that none of these environmental factors were mentioned in the initial discussion, which might give the impression that construction projects are viewed as completely weather resilient and unaffected by such conditions. John, was your initial statement perhaps based on non-construction projects?

Thanks.

------------------------------
Moj Kesheh, PSP, FCIArb
Senior Director
Forensic & Litigation Consulting – Construction, Projects & Assets
FTI Consulting
London | United Kingdom
Moj.Kesheh@fticonsulting.com

Original Message:
Sent: 03-17-2024 10:21 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com
------------------------------

Issues that negatively impacts construction labor productivity in 2^nd, 3^rd & in some cases 1st World Countries:

Weather (extreme cold / heat /now / rain /wind)

Worker education limitations, poor / limited reading & writing skills.

Lack of qualified & skilled site supervision.

Long travel distance to site.

Tight working issues & working in existing operating facility.

Overseas freight delivery roadblocks.

Language / communication issues.

Remote sites requiring pioneer camps.

Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

Cultural & religious differences & practices (Middle East).

Worker attitude ready to go home at 3 PM

Construction Equipment (unavailable or broken down))

Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA 1,000 hours V Tajikistan 1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com

Original Message:
Sent: 05-05-2024 01:32 PM
From: Mojtaba Zarei Kesheh
Subject: International Construction Productivity Issues & Challenges:

Hi,

This is an interesting discussion about factors influencing construction labour productivity. While many points have been raised, it seems that the impact of environmental conditions on productivity hasn't been addressed. A study done by Moselhi and Khan from 2012 (Moselhi, O., & Khan, Z. [2012]. Significance ranking of parameters impacting construction labor productivity. Construction Innovation, 12(3), 272–296) shows how significantly weather-related factors affect productivity. According to the study, temperature (22%), humidity (5%), precipitation (7%), and wind speed (10%) collectively impact labour productivity. Additionally, factors such as gang size (7%), labour percent (8%), work type (22%), floor level (16%), and work method (3%) also play critical roles in construction labour productivity. I know this study is a bit old, but it's still relevant.

I'm surprised that none of these environmental factors were mentioned in the initial discussion, which might give the impression that construction projects are viewed as completely weather resilient and unaffected by such conditions. John, was your initial statement perhaps based on non-construction projects?

Thanks.

------------------------------
Moj Kesheh, PSP, FCIArb
Senior Director
Forensic & Litigation Consulting – Construction, Projects & Assets
FTI Consulting
London | United Kingdom
Moj.Kesheh@fticonsulting.com

Original Message:
Sent: 03-17-2024 10:21 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com
------------------------------

Hi John,

Have your estimating study ever considered bureaucracy (Red tape, Conflict, Duplication, Imperialism. Waste) and government corruption in the country you are to execute a project? Some years back, I heard that in third world countries, the local government forbid the use of heavy equipment that will facilitate and accelerate work. Rather, they are forcing contracting* companies to use manual labor to promote employment. That's a mighty challenge! How would you go around that and still be productive. No wonder, the stats you showed point exactly to that problem.

------------------------------
Rufran Frago P. Eng. PMP CCP PMI-RMP
Founder/Business and Project Consultant
PM Solution Pro |RBM&S Inc.
Calgary AB

Original Message:
Sent: 05-06-2024 09:29 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts construction labor productivity in 2^nd, 3^rd & in some cases 1st World Countries:

Weather (extreme cold / heat /now / rain /wind)

Worker education limitations, poor / limited reading & writing skills.

Lack of qualified & skilled site supervision.

Long travel distance to site.

Tight working issues & working in existing operating facility.

Overseas freight delivery roadblocks.

Language / communication issues.

Remote sites requiring pioneer camps.

Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

Cultural & religious differences & practices (Middle East).

Worker attitude ready to go home at 3 PM

Construction Equipment (unavailable or broken down))

Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA 1,000 hours V Tajikistan 1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com

Original Message:
Sent: 05-05-2024 01:32 PM
From: Mojtaba Zarei Kesheh
Subject: International Construction Productivity Issues & Challenges:

Hi,

This is an interesting discussion about factors influencing construction labour productivity. While many points have been raised, it seems that the impact of environmental conditions on productivity hasn't been addressed. A study done by Moselhi and Khan from 2012 (Moselhi, O., & Khan, Z. [2012]. Significance ranking of parameters impacting construction labor productivity. Construction Innovation, 12(3), 272–296) shows how significantly weather-related factors affect productivity. According to the study, temperature (22%), humidity (5%), precipitation (7%), and wind speed (10%) collectively impact labour productivity. Additionally, factors such as gang size (7%), labour percent (8%), work type (22%), floor level (16%), and work method (3%) also play critical roles in construction labour productivity. I know this study is a bit old, but it's still relevant.

I'm surprised that none of these environmental factors were mentioned in the initial discussion, which might give the impression that construction projects are viewed as completely weather resilient and unaffected by such conditions. John, was your initial statement perhaps based on non-construction projects?

Thanks.

------------------------------
Moj Kesheh, PSP, FCIArb
Senior Director
Forensic & Litigation Consulting – Construction, Projects & Assets
FTI Consulting
London | United Kingdom
Moj.Kesheh@fticonsulting.com

Original Message:
Sent: 03-17-2024 10:21 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com
------------------------------

Hi John,

Have your estimating study ever considered bureaucracy (Red tape, Conflict, Duplication, Imperialism. Waste) and government corruption in the country you are to execute a project? Some years back, I heard that in third world countries, the local government forbid the use of heavy equipment that will facilitate and accelerate work. Rather, they are forcing contracting* companies to use manual labor to promote employment. That's a mighty challenge! How would you go around that and still be productive. No wonder, the stats you showed point exactly to that problem.

------------------------------
Rufran Frago P. Eng. PMP CCP PMI-RMP
Founder/Business and Project Consultant
PM Solution Pro |RBM&S Inc.
Calgary AB

Original Message:
Sent: 05-06-2024 09:29 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts construction labor productivity in 2^nd, 3^rd & in some cases 1st World Countries:

Weather (extreme cold / heat /now / rain /wind)

Worker education limitations, poor / limited reading & writing skills.

Lack of qualified & skilled site supervision.

Long travel distance to site.

Tight working issues & working in existing operating facility.

Overseas freight delivery roadblocks.

Language / communication issues.

Remote sites requiring pioneer camps.

Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

Cultural & religious differences & practices (Middle East).

Worker attitude ready to go home at 3 PM

Construction Equipment (unavailable or broken down))

Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA 1,000 hours V Tajikistan 1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com

Original Message:
Sent: 05-05-2024 01:32 PM
From: Mojtaba Zarei Kesheh
Subject: International Construction Productivity Issues & Challenges:

Hi,

This is an interesting discussion about factors influencing construction labour productivity. While many points have been raised, it seems that the impact of environmental conditions on productivity hasn't been addressed. A study done by Moselhi and Khan from 2012 (Moselhi, O., & Khan, Z. [2012]. Significance ranking of parameters impacting construction labor productivity. Construction Innovation, 12(3), 272–296) shows how significantly weather-related factors affect productivity. According to the study, temperature (22%), humidity (5%), precipitation (7%), and wind speed (10%) collectively impact labour productivity. Additionally, factors such as gang size (7%), labour percent (8%), work type (22%), floor level (16%), and work method (3%) also play critical roles in construction labour productivity. I know this study is a bit old, but it's still relevant.

I'm surprised that none of these environmental factors were mentioned in the initial discussion, which might give the impression that construction projects are viewed as completely weather resilient and unaffected by such conditions. John, was your initial statement perhaps based on non-construction projects?

Thanks.

------------------------------
Moj Kesheh, PSP, FCIArb
Senior Director
Forensic & Litigation Consulting – Construction, Projects & Assets
FTI Consulting
London | United Kingdom
Moj.Kesheh@fticonsulting.com

Original Message:
Sent: 03-17-2024 10:21 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com
------------------------------

Issues that negatively impacts construction labor productivity in 2^nd, 3^rd & in some cases 1st World Countries:

Weather (extreme cold / heat /now / rain /wind)

Worker education limitations, poor / limited reading & writing skills.

Lack of qualified & skilled site supervision.

Long travel distance to site.

Tight working issues & working in existing operating facility.

Overseas freight delivery roadblocks.

Language / communication issues.

Remote sites requiring pioneer camps.

Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

Cultural & religious differences & practices (Middle East).

Worker attitude ready to go home at 3 PM

Construction Equipment (unavailable or broken down))

Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA 1,000 hours V Tajikistan 1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

Hi,

This is an interesting discussion about factors influencing construction labour productivity. While many points have been raised, it seems that the impact of environmental conditions on productivity hasn't been addressed. A study done by Moselhi and Khan from 2012 (Moselhi, O., & Khan, Z. [2012]. Significance ranking of parameters impacting construction labor productivity. Construction Innovation, 12(3), 272–296) shows how significantly weather-related factors affect productivity. According to the study, temperature (22%), humidity (5%), precipitation (7%), and wind speed (10%) collectively impact labour productivity. Additionally, factors such as gang size (7%), labour percent (8%), work type (22%), floor level (16%), and work method (3%) also play critical roles in construction labour productivity. I know this study is a bit old, but it's still relevant.

I'm surprised that none of these environmental factors were mentioned in the initial discussion, which might give the impression that construction projects are viewed as completely weather resilient and unaffected by such conditions. John, was your initial statement perhaps based on non-construction projects?

Thanks.

------------------------------
Moj Kesheh, PSP, FCIArb
Senior Director
Forensic & Litigation Consulting – Construction, Projects & Assets
FTI Consulting
London | United Kingdom
Moj.Kesheh@fticonsulting.com

Original Message:
Sent: 03-17-2024 10:21 AM
From: John G McConville
Subject: International Construction Productivity Issues & Challenges:

Issues that negatively impacts Global construction labor productivity include:

•       Education limitations, resulting in poor reading & writing skills.

•       Lack of qualified & skilled site supervision.

•       Overseas freight delivery roadblocks (Major Equipment sitting on dockside waiting for 6 week for translated import documents / notarized bill of lading).

•       Language issues.

•       Local construction quality issue.

•       Remote sites requiring pioneer camps.

•       Cultural & religious differences.

•        Worker attitude ready to go home at 3 PM

•       Lack of skilled workers in a particular country (welder's electricians, instrument fitters) example need to import 30 Romanian welders in a West African country for 9 months).

•       Construction Equipment (unavailable or broken down))

•       Limited use hand power tools.

Construction labor is a big component of any construction Capital Project, it typically is 25% to 30% of the Capital Projects Total Construction cost.

Serious consequences can result if a miscalculation is made related to estimating / forecasting productivity. 

The following is a sampling of construction for 5 countries versus the USA. The example is related to of construction activity such as a piping system that took 1,000 man-hour to perform in the USA.

1.     USA 1,000 hours V Algeria 1,400 – 1,700 hours

2.     USA 1,000 hours V Egypt 1,600 – 1,900 hours

3.     USA 1,000 hours V Mexico 1,500 – 1,700 hours

4.     USA 1,000 hours V Poland 1,100 – 1,350 hours

5.     USA  1,000 hours V Tajikistan  1,650 – 2.200 hours

Remember 63% or 6 out 10 Capital Projects experience delays / overruns. Errors related to using the wrong construction productivity value is one of the main reasons for this continuing overrun problem that plagues our industry.

John G. McConville CCP

www.compassinternational.net

------------------------------
John McConville CCP
Operations Director
Compass International
Newtown PA
1 (609) 577-4505
mcconvil@rcn.com
------------------------------