“Disputes in today's major construction programs often result in very heavy costs.”
Today's major construction programmes are fast paced, complex and involve a multitude of supplier parties, so there are numerous points at which a dispute can occur. Many of these disputes are resolved out of the public eye but do often result in heavy costs and time overruns.
Our research indicates the scale of this problem and highlights the need for better contract administration, more robust documentation and a proactive approach to risk management to help mitigate against the most common causes of dispute
As a result of an increasing active construction market, we are seeing the number of joint ventures increase as employers seek to divest risk across major program and blend specialist skills in the supply chain into one contract.
This is clearly not an easy undertaking and is leading to an increase in the number of disputes, highlighting the need for some very careful focus around the selection, set up and management of the relationship