Colossal Costs Lost To Construction Claims And Disputes

HKA | October 29, 2020

The astonishing toll of overrunning costs and schedules on major engineering and construction projects worldwide is laid bare in an analysis of claims and disputes published today by HKA. CRUX Insight 2020 is the product of investigations into more than 1,100 projects across 88 countries by HKA, the construction and engineering industry's leading specialists in consulting, expert and advisory services. Design conflicts are eclipsing scope change as the main disruptors of major projects. As well as ranking the causes of claims and disputes, HKA's third CRUX Insight report provides a regional analysis with actionable advice to pre-empt these recurring problems – from its expert consultants in the Americas, Asia Pacific, Europe, and the Middle East & Africa. The analysis reveals the eye-watering sums of money and time being lost, as well as the patterns of root causes. Already observing a surge in spurious claims conflated with the impacts of COVID-19, HKA consultants warn that the pandemic will be detrimental for the industry, and potentially lethal for already weakened contractors, without the corrective actions.

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The future of the world is urban. The majority of the world’s population live in cities and the global urban population will continue to grow. Urban growth creates opportunities to enhance social life but they also bring challenges in terms of congestion, air pollution and increased demands for energy, water, and open space.

Spotlight

The future of the world is urban. The majority of the world’s population live in cities and the global urban population will continue to grow. Urban growth creates opportunities to enhance social life but they also bring challenges in terms of congestion, air pollution and increased demands for energy, water, and open space.

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Aruba | January 12, 2022

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