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Delta Consulting’s canal dreams

From settling Panama Canal bridge delay disputes to exploiting digital tech for resolutions, North American firm Delta Consulting Group has earned a reputation as a global expert. By Nicky Roger.

Delta panama canal
A bridge across the Panama Canal was the focus of a contract dispute resolved by Delta Consulting Group (Image: Garcia Dennis)

Delta Consulting Group – provider of project advisory, investigations, risk mitigation and dispute resolution services to clients around the world – was engaged by the Panama Canal Authority to evaluate a $300m (£225m) claim from the engineering, procurement and construction (EPC) contractor for the construction of a bridge over the canal.

The project consisted of a cable-stayed bridge with two towers and four piers, an east approach viaduct with 19 piers and a west approach viaduct with 16 piers. The total project value was $400m (£300m). The original contract duration was 3.5 years but the project incurred over three years of delay. The authority granted time extensions totalling about one year. The contractor submitted a delay claim for an additional two years.

Delta evaluated the delay analyses and prepared a rebuttal based on the project schedules, contract, contract modifications and project records. It performed an independent delay analysis to determine the source, magnitude, cause and responsibility for the critical path delays, as well as a cost and damages analysis.

The dispute was heard by an ICC arbitration tribunal. “In arbitration, our staff addressed the claimed damages, including direct cost claims, delay and disruption damages, thickening of staff, added risk, and loss of productivity,” says Toronto-based director Duan van der Merwe.

Over the three-year project, 33 people from the firm worked on the engagement, and four Delta experts testified on the matter. “Our work on the Panama Canal has helped us cement our reputation as a global expert and a service leader in Latin America,” says van der Merwe.

Middle market specialist

Delta says it can take on cases like the Panama Canal delay thanks to its well-defined professional focus when it comes to specialisation.

“Rather than being a ‘jack-of-all-trades’, we have assembled a team of talented professionals who specialise in an array of complementary services,” says
van de Merwe. “This includes scheduling and project planning, forensic scheduling or delay analysis, contractual/commercial, quantity surveying/quantification of damages and finally project risk assessments that complement our project advisory, forensics, investigation and disputes services.”

Delta has a number of competitive differentiators. “In a sea of large, consolidated firms and small sole proprietorships, Delta is leading the development of a middle market that allows us to adapt quickly, innovate, attract exceptional talent and capitalise on growth opportunities,” says van de Merwe.

“This market position also gives us the resources to ensure senior-level oversight of every engagement, ensuring that our exacting standards are followed to the benefit of our clients. As in construction, quality control is a critical part of our advisory work.

Delta evaluated a $300m delay claim for the Panama Canal bridge (Image: David Stanley)

“Delta has established rigorous processes and procedures around peer review, including the development of a Quality Control Committee that will review and evaluate expert reports, case studies and whitepapers. This type of continuous improvement influences everything we do.”

Chartered company status

Another differentiator is its CIOB chartered company status. Van der Merwe – already an MCIOB – knew this would bring advantages. “When we learned that there were no North American companies chartered under CIOB, we were excited to try to be the first to break that barrier. It would demonstrate to the global market our strong capabilities and the quality of our work. It is a rigorous but worthwhile process.

“For our clients, it’s confirmation that we can be trusted to do the right thing on their behalf. It also means that when you and your competitors offer similar services, being a CIOB chartered company can be the difference between winning and losing the work.

“But it’s more than a competitive advantage, it’s more than just a marketing tool. It’s a reflection of our shared values and our commitment to the construction industry. For our employees, it means access to the resources that come with being a CIOB chartered company.”

Digital native

Keen to keep competitive, Delta is an enthusiastic user of digital tech. “One of the more interesting innovations we’ve seen recently is the integration of digital twin technology where you are able to combine a BIM model with real-time site progress using a 360° camera during walkthroughs to capture a complete view of site progress at
any given time,” says van der Merwe.

He explains: “This not only gives you a time machine of how the work progressed over time but also gives you an as-built view of how things were routed or constructed before enclosing them with finishes. From a project management perspective, it also allows you to highlight onsite issues remotely to efficiently resolve issues without waiting on physical or in-person site visits.

“It also pairs with construction project management software solutions to raise and resolve requests for information and changes without the need to bring everyone to site. It enables resolution of issues in real time greatly improving efficiency.”

CIOB company membership: For more information on becoming a CIOB company member, please visit: www.ciob.org/company-membership.

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