Too many project partners? We expose the hidden cost

From handovers and delays to unclear accountability, uncover the costs that don't always appear on the project budget.

A group of project managers at a construction site

AI Summary

  • Fragmentation in projects can lead to spiralling costs and delayed timelines.
  • Handover risks arise when projects move between multiple partners.
  • An integrated approach offers clearer accountability and coordination.
  • Hidden project costs often stem from misalignment and delayed decisions.
  • Long-term performance is improved by integrating design, build, and maintenance.

Generated with AI

Your project starts out with a clear budget, a realistic timeline and trusted delivery partners. But fast forward 12 months and that initial outlook no longer reflects reality. Costs have spiralled, timelines have slipped, and you can’t seem to make a straightforward decision without multiple conversations and reviews.

Sound familiar? While every project faces unique challenges, many of the issues that derail delivery can be traced to a common source: fragmentation. Pitfalls that can lead to failings include:

  • Fractured communication
  • Multiple, conflicting stakeholders
  • Underestimation of what’s required

How can you try and prevent these issues from arising?

The answer often lies not in the major project itself, but in how it’s structured. Organisations are increasingly asking whether a more integrated approach could unlock better results.

Why every handover to a partner comes with risk

Your project has been signed off, you’ve commissioned the design and issued it to your build partner. As you wait for the first shovel to break ground, the update arrives: there’s a problem with the design. Your contractor won’t accept the risk. The designer wants additional budget to put it right. You’re going backwards rather than forwards.

The issue is the handover. Every time a project moves between partners, there is an opportunity for information to be lost, misunderstood or challenged. As projects become more complex, communication and coordination between multiple organisations, systems and stakeholders becomes increasingly difficult. When issues emerge, determining who owns the problem can quickly become a project in itself. That’s also when the ‘finger-pointing’ can begin. Questions emerge around scope, ownership and responsibility. The project stalls, costs rise and you’re left navigating how to get back on track.

A more integrated delivery approach can help reduce these risks with:

  • Clearer accountability
  • Stronger coordination
  • Greater continuity across the project lifecycle

This means when challenges do occur, there is greater clarity around who is responsible for resolving them.

The hidden costs that chip away at your project

One of the most critical phases of any project is defining the scope: establishing timelines, identifying stakeholders and determining how decisions will be made. Get these elements wrong and issues can quickly begin to compound.

Fragmented delivery can make this process more challenging. With multiple partners involved in planning, design and delivery, it’s easier for priorities to become misaligned, assumptions to go unchallenged and key stakeholders to be engaged too late. A small misunderstanding can evolve into a redesign, a programme delay or a costly change request.

This is where many of a project’s hidden costs emerge. They rarely show up as line items in a supplier contract. Instead, they’re felt through:

  • Rework
  • Governance delays
  • Programme slippage
  • Time spent getting everyone on the same page

The more fragmented the delivery model, the greater the challenge of maintaining alignment from the outset.

By contrast, a more integrated approach brings together the people responsible for design, delivery and long-term asset performance earlier in the process. This can help identify risks sooner and reduce the likelihood of costly changes.

JCA colleagues in a meeting

Why the build phase is only part of the story

You’ve been handed the keys to your shiny new building. So, what’s next? If it’s been built as it should have been, job done. But if quality issues emerge, systems begin failing or the building isn’t performing, the work doesn’t stop at handover. You’re faced with the challenge of putting things right.

Often, conversations relating to design and build are held separately to those discussing how the asset will be operated and maintained. But in reality, most lifecycle cost occurs after build. When considering how the building will be used, operational requirements should influence the design, and maintenance considerations should influence the spec. Energy performance should also be a key consideration from the outset.

Initially, you just want to get everything up and running. But how much thought has been given to performance, maintenance requirements and energy consumption 10, 20 or even 50 years into the future?

The challenge becomes even greater when responsibility for design, construction and ongoing maintenance sits with different organisations. Decisions can end up being made in isolation. A specification that looks cost-effective during the build phase may turn out to be the opposite. Without a joined-up view, organisations risk optimising for today’s budget rather than tomorrow’s value. That’s why bringing operational, maintenance and delivery expertise together earlier can lead to smarter decisions, better-performing assets and lower cost of ownership over the long term.

What’s gained from a more integrated delivery model

When a single partner takes end-to-end responsibility across the lifecycle of a project, it provides you a single point of accountability. This ownership means that if issues arise, there’s less ambiguity about who’s responsible.

Fewer interfaces mean fewer gaps in which information can be misunderstood or misinterpreted.

Looking ahead, you’re able to make informed decisions. You’ll be working with teams who understand how your building should operate and be maintained, and who are invested in long-term performance.

Ultimately, the goal isn’t fewer suppliers. It’s fewer points of friction through smoother integration, clearer accountability and better alignment across the project lifecycle. Because the most successful projects aren’t judged by the day they’re handed over, but by how effectively they continue to perform years after completion.

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