An assessment of the approved variation orders in DPWH-implemented projects

Date of Publication

2017

Document Type

Master's Thesis

Degree Name

Master of Engineering major in Civil Engineering

College

Gokongwei College of Engineering

Department/Unit

Civil Engineering

Thesis Adviser

Ronaldo S. Gallardo

Defense Panel Member

Jason Maximo C. Ongpeng
Cheryl Lyne C. Roxas
Joseph Berlin P. Juanzon
Lessandro Estelito O. Garciano
Jonathan R. Dungca

Abstract/Summary

A variation order is a change, often in construction, that modifies all or part of an existing order. It may include alterations to design, alteration to quantity, modification in sequencing of work, quality alterations and working condition alterations. Variation orders affect not only the cost of the project, and may affect completion dates as well. While most private companies have their own provisions on how to process and grant variation orders, evaluating variation orders for government projects is mainly guided by the Revised IRR of R.A. 9184 and a number of DPWH Department Orders to secure the precise implementation of the provisions.

The aim of the study is to identify the factors causing variation orders and the number of approved variation orders and the amount of variance between Original and Revised Contract Amount. The practicum involves the consolidation of reports submitted by DPWH Implementing Offices covering CY 2016 infrastructure projects as of December 25, 2016, thru the Claims Review Division which functions primarily to evaluate and process requests of variation orders. Project Management Offices, Regional and District Engineering Offices are requested to submit quarterly the status report of projects with variation order

Based on the consolidated reports, there are 874 projects with approved variation orders amounting to ₱1,290,550,000.00. Through the study, it was identified that the most common reason of variation orders is due to approved as-staked plan with a total of 625 projects and an average amount of ₱ 922,876,144.16. Most projects with approved variation orders have variances of their revised contract amount from the original contract amount between (+) 5% to (+) 10%. It is highly recommended that the management shall create guidelines and review the existing policies to establish validation of projects with variation orders.

Abstract Format

html

Language

English

Format

Electronic

Accession Number

CDTG007065

Shelf Location

Archives, The Learning Commons, 12F Henry Sy Sr. Hall

Physical Description

1 computer disc ; 4 3/4 in.

Keywords

Public works--Philippines; Construction projects--Philippines

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