For the first time, the FIDIC 2017 Red Book introduces warning provisions (sub-clause 8.4), which require each Party to advise the other “in advance of any known or probable future events which may (a) adversely affect the work of the Contractor’s Personnel; (b) adversely affect the performance of the Works when completed; (c) increase the Contract Price; and/or (d) delay the execution of the Works or a Section (if any).” There is no time limit for giving a warning, nor is there any explicit sanction for failing to do so.
This clause is similar to the “Early Warning” clause 16.1 in the NEC3 contract, often referred to as ‘the jewel in the NEC crown’, early warnings are designed to help you deliver the project on time and within budget – undoubtedly the most important KPI’s for any Project Manager! Unlike the FIDIC sub-clause 8.4, the NEC contract contains sanctions for non-compliance with the early warning process.
Using Project Management Information Systems (PMIS) like PMWeb can be used to formalize the process for managing Early Warning Notifications (EWN) or Advance Warning (AW). PMWeb custom form builder will be used to create the EWN form for which it will include the needed fields for the form. Those will include a Description of Early Warning, details if the Early Warning is likely to (a) adversely affect the work of the Contractor’s Personnel; (b) adversely affect the performance of the Works when completed; (c) increase the Contract Price; and/or (d) delay the execution of the Works or a Section (detail the work will be affected), and advise if an Early Warning Meeting is Required. The form will also include a field the name of the project entity to which the EWN is issued.
The attachment tab will be used to attach documents and link PMWeb records like Request for Information and other records that could be relevant to the issued Early Warning Notification. This will provide the recipient better understanding of the reported EWN.
PMWeb meeting minutes module will be used to document all discussions held during the weekly Early Warning Notifications meeting. During this meeting, all reported EWNs that were identified as an “Early Warning Meeting is Required” will be discussed by the project team member. Early Warning Meeting will help all those attending the meeting to cooperate to make and consider proposals to avoid or reduce the impact of EWN, seek solutions and decide how to proceed.
The Early Warning Notifications report will maintain an active register of all submitted EWNs along with their details and status. The report will include visuals to highlight those EWNs that could have an impact on the project.
About the Author
Bassam Samman, PMP, PSP, EVP, GPM is a Senior Project Management Consultant with more than 35-year service record providing project management and control services to over 100 projects with a total value of over US $5 Billion. Those projects included Commercial, Residential, Education and Healthcare Buildings and Infrastructure, Entertainment and Shopping Malls, Oil and Gas Plants and Refineries, and Telecommunication and Information Technology projects. He is thoroughly experienced in complete project management including project management control systems, computerized project control software, claims analysis/prevention, risk analysis/management (contingency planning), design, supervision, training, and business development.
Bassam is a frequent speaker on topics relating to Project Management, Strategic Project Management, and Project Management Personal Skills. Over the past 35 years, he has lectured at more than 350 events and courses at different locations in the Middle East, North Africa, Europe, and South America. He has written more than 250 articles on project management and project management information systems that were featured in international and regional magazines and newspapers. He is a co-founder of the Project Management Institute- Arabian Gulf Chapter (PMI-AGC) and has served on its board of directors for more than 6 years. He is a certified Project Management Professional (PMP) from the Project Management Institute (PMI), a certified Planning and Scheduling Professional (PSP), and Earned Value Professional (EVP) from the American Association of Cost Engineers (AACE) and Green Project Management (GPM).
Bassam holds a Masters in Engineering Administration (Construction Management) with Faculty Commendation, George Washington University, Washington, D.C., USA, Bachelor in Civil Engineering – Kuwait University, Kuwait and has attended many executive management programs at Harvard Business School, Boston, USA and London Business School, London, UK.