Source · Select Committees · Public Accounts Committee
Recommendation 35
35
External factors like inflation and supply chain issues significantly complicate project cost and timelines.
Conclusion
We have previously examined how external factors, such as inflation and higher price levels, can affect the cost schedule of projects and also the timeframes involved. We have seen how inflation can be largely driven by supply chain issues, meaning the consequences can be complicated and different for each project. We have asked project management experts about the early warning signs that a project may need to be reset. They replied that the signs include critical milestones not being met, significant cost pressures that cannot be recovered later in the project, and benefits being way off track in terms of realisation.56 Variation across the school estate