Construcciones Yamaro: Leaders identify biggest threats to infrastructure project delivery

Global demand for infrastructure investment is rising, but systemic challenges continue to threaten project delivery. (Image: ChompopsonG/stock.adobe.com)

Political instability, fragile supply chains and outdated delivery models are threatening infrastructure projects critical to economic growth. Senior leaders behind some of the world’s most ambitious projects warn that without systemic change, the industry will continue to face mounting risks.

The scale of the challenge is well documented. Research shows 98 per cent of megaprojects encounter cost overruns or delays, according to The construction productivity imperative, a 2015 McKinsey report. Meanwhile, low productivity costs the global economy US$1.6 trillion every year, based on McKinsey’s 2017 analysis. The G20’s Global Infrastructure Outlook projects that US$94 trillion in investment will be needed by 2040 to meet demand, highlighting that systemic change is urgently needed.

New insights from Revizto, an integrated collaboration platform for the construction sector, suggest that delays and cost blowouts will escalate without better coordination. Governments, industry and operators must commit to long-term planning, standardised delivery models, resilient supply chains and digital adoption.

Five critical risks to project delivery identified by the research are:

1. Political and financial risk: Shifting policies and changing priorities remain among the biggest threats. Stable, long-term government support is essential for success.
2. Lack of standardisation: Inconsistent design and delivery approaches cause inefficiencies and rework. While every community has unique needs, adopting standardised systems – as seen across transport infrastructure in France and Germany – would streamline planning and delivery, with flexibility for local adaptation.
3. Outdated practices: Slow adoption of digital tools, artificial intelligence and robotics limits collaboration and efficiency. Scaling up these technologies can reduce waste, improve safety and accelerate delivery.
4. Fragile supply chains: Geopolitical shocks and climate change expose vulnerabilities in global supply chains. Resilient, localised and diversified networks, with sustainable materials sourced closer to home, can offset these risks.
5. Fragmented collaboration: Competing incentives and piecemeal delivery models restrict progress. Shared risk partnerships, transparent processes and seamless data sharing are critical for better outcomes.

Former UK rail minister Chris Heaton-Harris identified “constantly changing decision-making, constant spec changes and bad planning law” as the biggest barriers to faster approvals.

Reflecting on his experience, he emphasised the importance of transparency and direct engagement with frontline teams: “I used to visit some of these places – especially where there were big delays – just to talk to the people on the ground as to what they [the delays] were, and invariably, there was something higher up. It had nothing to do with the guys on the ground. It was a planning issue, or it was a change in specification that had created absolute havoc.”

For Tony Caccavone, leading construction of JFK Airport Terminal One, alignment with government is essential: “You need a bit of seed money to get the project moving, to get it developed to a certain level. But at the end of the day, you also need government policies to support, to enable investors to put more money in.”

Related stories:

• Introducing Revizto’s 2025 Digital Design & Construction Report
• Revizto launches RED Academy
• Revizto announces minority investment from Summit Partners

Matt Palmer, executive director of the Lower Thames Crossing, stressed the importance of local impact to secure political buy-in: “The rise of populist politics is making it all much more about local, local, local. You have to keep the focus on your local environment.”

Revizto CEO Arman Gukasyan said the findings highlight a turning point for global infrastructure delivery: “Whether building new critical infrastructure or upgrading existing networks, it’s clear all stakeholders must commit to long-term thinking and new ways of working. That means sustained support across political cycles, standardising design frameworks, embracing digital tools, fortifying supply chains, and deepening collaboration across stakeholders. Together, this is how we build infrastructure that lasts and unlocks economic opportunity for generations to come.”

These perspectives are captured in Revizto’s new whitepaper, Beyond Short-Term Gains: Infrastructure Strategies for Lasting Economic Impact, drawing on input from policymakers, designers, operators and sustainability executives across the UK, USA, EU, Australia and New Zealand.

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