Report: Change in scope leading cause of claims, disputes

CRUX Insight report

Report: Change in scope leading cause of claims, disputes

Across the 1,602 major capital projects that were investigated globally by expert consultants, the leading cause of claims and disputes was change in scope, according to the latest CRUX Insight report, which was published by HKA, the world’s leading risk mitigation and dispute resolution consultancy.

In the Americas, conflicts over unforeseen physical conditions on-site ranked second.

“This new CRUX Insight report reveals the impacts in additional costs and time claimed for the completion of major capital projects, as well as the underlying causes. Based on first-hand investigations by our expert consultants around the world, it quantifies the huge toll on the global economy, our industry and project stakeholders. Our unique analysis of the multiple reasons for distress on capital projects can help project promoters and the construction and engineering industry better understand where problems on projects can arise, and ultimately help them achieve better project outcomes,” said HKA CEO Renny Borhan.

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