Why P2IC Exists
Current State of Construction
There are many issues which could affect successful delivery of a project, mainly time and cost overruns in construction are very common. The causes of construction overruns have been investigated and the most common causes are:
- Poor or incomplete design and documentation;
- Client scope change during construction;
- Mistakes during construction;
- Delays in decision making or instructions;
- Poor communication;
- Poor planning and scheduling;
- Weather;
- Labour;
- Incorrect material types or quantity;
- Lack of innovation.
As a result of these causes, the construction industry is facing declining productivity. Data published by the United States Bureau of Labor Statistics show that in the last 40 years, while non-farm productivity has increased by over 200%, productivity in the construction industry has actually declined.
This is creating a crisis for the construction industry given the global demand for construction and the typical size of financial commitment and therefore risk involved.