Construction Learning Curves

Abstract

Construction learning curves frequently appear in contractor claims and sometimes are the basis for calculating some portion of monetary damages. Therefore, it is incumbent on all parties to understand the proper use of learning curves and the implication of their use. Learning curves originated in the aircraft manufacturing industry and have been applied in the construction industry without much thought as to the factors that lead to true learning and whether any learning actually took place. Based on the writer’s experience, it is suggested that three things need to be present for learning to take place: (1) there should be something sufficiently complex about the operation to facilitate learning; (2) there should be repetition in the units being constructed; and (3) management must create a stable work environment. It is suggested that in most instances, the underlying factors are not present and that true learning does not occur. Most of the time, the appearance of learning is caused by disruptions that occur early in the construction timeframe. Most purported learning curves are plotted using cumulative data rather than unit productivity data. It is shown using an actual project, how cumulative data gives a distorted view of performance. It is suggested that in some instances, a learning curve is a sign of a poorly managed project. As many as 14 learning curves from actual projects, most where there were no contractor claims, are included to illustrate the points made in the paper.