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Mitigating Risk in AEC Project Execution: Perspectives from Principals, Counsel and Insurers

Newforma commissioned Spar Point Research of Danvers, Mass., to survey leading AEC principals, counsel and professional liability insurers on the topic of risk management in architecture, engineering and construction projects. There was a consensus that many of the industry’s current practices, despite being designed to shield architecture and engineering firms from risk exposure, are, in fact, increasing the likelihood of project failure. The participating executives agreed that more frequent and deeper information sharing across the entire project team can improve the team’s clarity of understanding, reduce the likelihood and severity of problems, and increase control over a project's outcome.

Improving AEC Project Execution: Lessons from 11 Industry Leaders

Newforma commissioned an independent research firm to investigate AEC project process issues such as business pressures, project execution constraints, risk sources and paths to improvement. The 11 North American firms interviewed agreed on the problems and risks they face, but were less unanimous in the solutions they’re pursuing. Interviewees generally expected that improving project execution in any material way would require substantial process re-engineering. That expectation didn’t stop them from taking action, however; all had software initiatives in place, underway or in planning.