There are more and more construction projects every year. Throughout Europe – including Norway. A large part of the projects that have been implemented in recent years concern the transport sphere - reconstruction of roads, highways, tunnels, metro. Every conflict, even between an investor and a construction company, is a trigger for serious financial problems. Conflicts in construction industry cost NOK 2,2 billion per year. The problem is noticeable primarily when we are dealing with a public company and public financing.
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Conflicts in Norwegian construction - each dispute generates losses financial
How do we know about financial losses in the industry? The amount of financial losses in individual projects is estimated on the basis of a special report by the Association of Entrepreneurs in the field of construction. However, experts emphasize that there may be some inaccuracies here. It is worth noting that the analysis only covers the largest contractors involved in these most powerful construction projects. When using the phrase the largest projects here, we mean not only the contribution of tycoons in the construction industry, experienced staff, but also, of course, a gigantic financial contribution. Disputes in the case of the largest projects are larger, but similarly speaking, losses also have a greater range.
Conflicts in Norwegian construction - what do they concern?
It is worth paying attention to the fact that conflicts in construction occur on a very different background. Most often they are understatements, ambiguities between the investor, originator and contractor. Different - often different opinions and points of view of the parties may contribute to delays in the implementation of a given project. The conflict may be related to the location of works, materials used, technology implemented. There is no rule here. Usually, however, with each even the smallest conflict, work is suspended, and thus the completion of construction is extended. The construction company and the investor cannot reach an agreement and another deadline passes.
How can a construction company ease the situation?
Working with people means working with different projects, but also with different personalities. Let's face it, conflicts in Norwegian construction are inevitable. However, you can, to a greater or lesser extent, influence their extent and importance. The key to success is, of course, the conversation. Before each project, the various stages of the work should be discussed from A to Z. In this way, disputes and ambiguities can be avoided. Are you working in the construction industry? Do you implement projects? Always check everything carefully and read contracts. You can then avoid problems.
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