Acceleration of Project Schedule for Targeting Early Revenue Streams

"Time is of the essence" and "Time is money" These are powerful and true statements during a project life cycle and have far-reaching implications on the success and failure of the project Time and progress management is crucial to the project success. Project delays may increase the cost to an unacceptable level and may render the project as economically unfeasible. On the other hand, if the project is completed on time or earlier than as planned, it may generate economic benefits greater than what had been envisioned To take advantage of the financial opportunities and to improve the cash flow as well as Return On Investment (POI), project schedule can be accelerated to complete the project earlier than planned Project schedule acceleration can be achieved by using analytical tools, such as "Schedule Optimization", "Schedule Reduction", "Schedule Compression" or a combination of any of these concepts along with the "Planning for start up". Schedule optimization does not entail any extra cost, however, other acceleration methods, such as Schedule Reduction and Schedule Compression, may require extra expenditures from the owner. Based on the forecasted early start of the revenue stream, the extra expenditure could become a worthwhile venture with a very high rate of return To accelerate the schedule, all aspects of the project should be reviewed with acceleration costs calculated. All risks and opportunities should be evaluated and taken into consideration to determine if the acceleration is feasible and advisable and will provide definite financial advantages Sometimes schedule acceleration may be desired to prevent the company from paying liquidated damages. This is especially true when the project is not expected to complete on the contractual completion date and when the cost of acceleration is less than the liquidated damages that may accrue against the company.