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Why Project Controls is Important

09 out of 10 projects result in cost overrun

(Ref International Journal of Innovation, Management and Technology, Vol. 8, No. 2, April 2017)

Most construction projects completed in twenty countries over the course of a 70-year period—suffered cost overrun, an average overrun of 28%. The company that can nail the estimate process and keep a project running on budget will therefore have an enormous advantage over the competition.


In three years studied, only 31% of all projects came within 10% of their budget

(Ref: KPMG 2015 Global Construction Project Owner’s Survey) 


In the same study,

  • 75% of projects suffered time over runs, beyond 10% of their original deadlines 

  • 45% of projects’ lack planners and project manager.

  • Only 55% Owners express confidence in their project controls, however, 74% feel investment in controls and governance has reduced costs


Large projects take 20% longer to finish than expected, and are up to 80% over budget

(Ref: Mckinsey report 2016)


The same McKinsey study found that construction productivity has declined in some markets since the 1990s.


Poor communication is the root cause of project failure one third of the time

A PMI study found that poor communication leads to one third of construction project failures. In this study, “failure” meant overrun of cost or timeline (or both). The same study found that communication problems had a negative impact on projects more than half the time. 

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3A Project Consultant

Project Controls Services

  • We at 3A Project Consultant bring in truly global best practices in Project Controls.

  • We specialise in Planning & Scheduling, Cost Control, Claims and Management Reporting and support other client specific Project Management Services.

  • We are Earned Value Management System (EVMS) experts; we train and implement EVMS based Performance Monitoring and Reporting.

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Perth, WA, Australia

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