Research conducted by the Bank of Israel in 2009 found that 82% of transport infrastructure projects in Israel were completed after the scheduled deadline and in 64% of the projects, the cost was higher than the original estimate. The research was updated several years later and it was found that the situation had not improved.
But that trend is changing with closer supervision, new technologies and incentives built into government tenders. Here are four examples of projects that were completed ahead of schedule.
Road 16 - Jerusalem
At the end of August, Road 16, linking the Tel Aviv - Jerusalem highway to the southwestern suburbs of Jerusalem was opened months ahead of schedule. The six kilometer highway includes two long tunnels in each direction, seven bridges and three interchanges that provide a new entrance to Jerusalem. Permitted speed on the highway is 80 kilometers per hour and the cost of the project is NIS 2.5 billion including 20 years maintenance.
Oren Cohen, the CEO of Shapir-Pizzarotti, which built the road, said, "When Netivei Israel - The National Transport Infrastructure Co. published the tender, the estimate was that it would take four years to complete the project. The companies that competed with Shapir-Pizzarotti for the tender petitioned the courts that the 36-months allocated for completing the project was unrealistic but the petition was dismissed. In practice the project was completed in 33 months.
How did it happen?
Cohen explained, "There was a very strong financial incentive to finish ahead of schedule. We are operating and maintaining the road until 2044. Otherwise it would not have happened. The financial model is that from the moment the road is opened to traffic, we receive a fixed payment from Netivei Israel. There is an incentive here to finish on time, but on the other hand there is no room to cut corners because we are the ones who would have to cope with it in the coming years. Therefore, the model is both quality and incentives."
How was it done?
"The practicalities were through design improvements. With the bridges, we based ourselves on more advanced technology, which allowed for fewer columns and made it possible to complete the bridges in less time. Very advanced templates were put up that cost more money. A second improvement is that in some of the exits from the tunnels, we changed the design and instead of splitting, we widened the tunnel, which shortened the job.
"If there wasn't the financial incentive, we would work with standard templates and a conventional method and we wouldn't make an effort to do it faster - if there was no reason to rush, no one would work faster. We spent more money due to the use of more expensive technologies, but we get paid for operating the road, I wouldn't say we saved money."
What are the required conditions?
"Firstly, in my opinion, franchisee projects are less likely to be late, because if they are late it is at the expense of the operator. Financial incentives certainly help to push forward the work. But in the end it is all about people, it doesn't matter if you have the best machines and equipment, in the end you need manpower and there is a shortage of sufficiently skilled engineering personnel."
Lessons learned for future projects
"To make sure that the planning is optimal in terms of the schedules, and that is if there is a mechanism that will incentivize us. To make sure that the newest technology is used, that there is the best engineering manpower."
"To ensure that the planning is optimal in terms of the schedules, and that is if there is a mechanism that will incentivize us. To make sure that the newest technology is used, and that there is the best engineering manpower."
Lahavim Interchange
"The Lahavim Interchange is the gateway to the south," said Racheli Luz, Infrastructures Division Manager and partner at Waxman Govrin Geva (WXG) engineering company which built the project. "It is a national project that opened the barrier causing jams on the road to the south."
Luz recounted that the project was very complex including a pedestrian bridge over the railway tracks, and other public transport around, including other factors that were around the project, such as works by Israel Electric Corp. to install overhead power lines, Israel Railways, and other towns involved in the vicinity of the project.
"Five months before the project completion date, we received another work assignment. The Lehavim Council asked to make another addition to one of the interchange's arms that would allow vehicles access to Road 40. The cost of the addition was another NIS 10 million.
How did you manage to beat the deadline?
"We worked according to the 'what is not measured is not managed' method," said Luz. "We have a system called control and everyone is synchronized to it. When there is a defect, we see it in the system and this optimizes the work with the interfaces because all the professionals in the project see it at the same time.
"Mainly it was about implementing broad risk management for the project that included control and providing an effective solution. In addition, we cooperated and coordinated work with experienced entities that managed projects along the field route and the coordination was also aimed at preventing delays through teamwork and flexibility."
What are the required conditions?
"There are external factors that can delay the work, for example the police, because it is difficult to get permits to work at night, tree huggers who do not allow trees to be cut down even when there is a license and the works are generally in a cultivated areas. But in general there are not too many barriers, the main problem that delays projects is poor management methods.
"I think that time is a valuable resource. Shortening the working time also saves money because the traffic jams cost the public and the state money and also the manpower that remains in the field costs money."
Lessons learned for future projects
"Most of all, it is necessary to ensure the full agreement of the authorities and localities affected by the establishment of the project, to resolve objections by all parties in order to prevent conflicts during the implementation phase. Also, ensure ongoing work coordination with infrastructure bodies that carry out work in the area."
Road 60 (Gush Etzion) and Road 77 in the north
Solel Boneh CEO Asaf Inbar said, "Road 60 is a complex project including a 270-meter tunnel, and a 350-meter bridge, doubling the southern entrance of Jerusalem and connecting Gush Etzion. The project was designed by the client Moriah, except for the construction details of the bridge set according to the 'BUILD AND DESIGN - BD' method, meaning that the tender contains an original design by the client and the contractor is required to change the engineering nature of the project (or the part determined) according to their experience and professionalism. The tunnel was challenging because it could not be done using the explosion method and we changed the work method according to the existing possibilities.
"Road 77 is a road that connects Tel Kashish to Road 6, also using the BD method, which involved 12 months of planning and licensing out of the 39 months allocated by the tender.
"On Route 77, we completed all the work in 37 months. It was a complex project with five bridges. It was built in accordance with the green infrastructure standard and was the first project built according to this standard, and received, among other things, the Engineers Union award."
How was it done?
"The first thing is the ability of the contractor to plan the project according to their experience and professionalism," says Inbar, emphasizing that one of the most difficult problems in projects is getting stuck with the overheads - the set of resources available to the contractor to finish the work on time. "Every month of extension means a lot of costs for the contractor. That's why the ability to plan the project according to our ability at a professional level is significant.
"Solel Boneh has the ability to allocate the necessary resources to meet the project's schedules. If the planning is done effectively, we control all the resources because it comes from all the company's units, including the concrete and the planning."
Inbar noted that there was no financial incentive to finish ahead of time.
Lessons learned for future projects
"From the early planning stage to the planning and construction approval stage, there was full cooperation between the contractor, the client, which is Netivei Israel, and the development company, and this benefitted the project - all the factors came together to enable the project to the fulfil its goals. The projects that we are planning are projects in which the challenges are not as big as projects where we get a finished design and during implementation challenges arise. As I mentioned - there were 12 months of planning on this project before starting work on the ground."
Jerusalem-Tel Aviv fast rail link tunnels
This project involved a pair of parallel tunnels about 3.5 km long each, and connecting tunnels about 350 meters long and unusual engineering challenges. The underground excavation of the tunnels was executed by using a TBM SHIELDEPB tunneling machine. The excavation of the 350 meter long connection tunnels was done using conventional methods. The project will be carried out for Israel Railways by Minrav Infrastructures with the Russian company Moscow Metrostroy.
Minrav Infrastructures CEO Adi Sahar said, "This was the first time that a TBM SHIELDEPB tunneling machine was used in Israel. Engineers from Minrav and Metrostroy received, assembled and operated all the equipment in a fully professional way, while strictly adhering to the schedule and even managed to advance the implementation period stipulated in the contract with Israel Railways.
How did this happen?
"We put together a prefabricated, mechanized and computerized plant inside the construction site that was especially brought over from France, and it had high output, which saved us time. The use of a TBM machine that was assembled on site also helped to save time. The machine was both innovative for the time and more efficient than other methods and it saved on schedules - the machine required 24/7 operation and in fact employees worked in shifts and slept over at the project site"
Sahar adds that a "handsome bonus" was received from Israel Railways for meeting deadlines.
Lessons learned for future projects
"I suggest not to be afraid to use new technologies from leading manufacturers. Perhaps their initial cost is higher, but if you know how to work continually and without malfunctions, you save a lot of time and money. We consulted with experts from abroad regarding this machine."
Published by Globes, Israel business news - en.globes.co.il - on September 29, 2022.
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