Construction — Why Construction's Planning-Execution Gap Is The Industry's Most Expensive Self-Inflicted Wound

Construction · 2026-03-21

OPENING This week's construction news reveals a sobering truth about our industry's persistent challenges: we're still treating symptoms rather than causes when it comes to project delivery. The pattern emerging from major project announcements to executive reshuffles points to an industry that knows it needs to change but hasn't fully committed to the hard work of transformation.

The discussion around late-stage cost overruns particularly strikes a nerve because it hits at the heart of construction's credibility crisis. Too often, we're seeing projects spiral out of control not because of unexpected site conditions or material price spikes, but due to fundamentally flawed planning processes. When major institutions like Texas A&M commit to significant construction projects, as we saw this week with Skanska's latest win, the pressure to deliver on budget becomes even more acute. The higher education sector, with its public scrutiny and taxpayer funding, simply cannot afford the kind of budget overruns that have become almost expected in our industry.

This planning-execution disconnect is evident even in how we approach infrastructure development. The news that U.S. urban rail transit construction is lagging behind population growth isn't just about funding constraints – it's about our industry's struggle to deliver complex projects predictably enough to make them politically and financially viable. When cities opt for bus rapid transit over rail systems, they're often making this choice not just for cost reasons, but because they've lost confidence in the construction industry's ability to deliver major rail projects without significant cost and schedule overruns.

The leadership changes announced at Barton Malow this week suggest that forward-thinking contractors are recognizing this challenge. By restructuring executive responsibilities with a focus on innovation, companies are acknowledging that traditional project delivery methods aren't cutting it anymore. But organizational changes alone won't fix what is fundamentally a systemic industry problem.

WHAT TO WATCH Keep an eye on how major contractors approach the pre-construction phase of newly awarded projects in the coming months. The industry's response to the planning-execution gap will separate the next generation of construction leaders from those who continue to struggle with budget overruns. Smart construction professionals should be looking for signs that owners are finally ready to invest more time and resources in upfront planning – even if it means longer pre-construction phases. The real measure of progress won't be in how we handle problems during execution, but in how we prevent them from occurring in the first place.