Supervision

Hi Ronron

I am assuming that you got an instruction to carry out the variation.

In which case the value will be made in accordance with the rules in the contract which will usually allow a percentage for overheads and profit which normally included supervision and maybe engineering.

What you have to prove is that with this particular variation it needed specialist engineering and supervision that had to be engaged just for that purpose.

Best regards

Mike Testro

Hi,

Is it a cost plus contract? The Engineer and Supervisor were recruited esp. for this purpose?? if they were already involved in the Main Contract work, the client's intention would be that this cost of Engineer and Supervisor was already considered in your salary heads so he will not pay extra. In India, we claim an overhead charge at 10% of cost of work to cover supervision and other establishment charges and taxes. At maximum the component of supervision charges comes to 2% (1%-2% in general) of cost of works (for general civil works). Let us see what others have to say.

if the amount is too small (as i anticipate), i suggest you to.... Dont fight for peanuts.

Regards,

satish

Dear All,

Refresh, Basically during the tender stage we have quoted a lumpsmu amount for the overhead of 12 month.

however the project almost near to 10 months wereby extra work has been created which is involve Supervisor and Engineer

these extra work have quoted to client however it was rejected not to claim this extra work.

Any advise please can we get the compensation for these extra work is it defind in the conditon of contract?

Regards

Hi Ronron,

I will answer your question as I wunderstood.

I assume that the project Duration is 12 months. Project is awarded on a Lumpsum contract Basis. 

You have been instructed to carry out a work which you believe is not in your scope of Work, that required a duration of 10 months. But the activity was carried out in parallel to the Project Work.

If you agree to the above, then:

1) Refer your scope of Work as stipulated in the Contract.

2) Does the work you have carried out becomes incidental to the scope of work agreed??, if yes, then possibly the Client is right.

3) Refer to the Change of Scope Clause or the VAriations Clause in your Contract Agreement.

You may get some clue.

Regards,

satish