According to our analysis, companies are struggling to deliver capital projects on schedule, for a few reasons. For one, executives rely on a few select people with experience in capital delivery. Also, it’s difficult to predict and understand the performance of projects and portfolios as a whole. This often leads to cost and schedule overruns that frequently exceed 50 percent of original estimates.
![Most capital projects experience significant time and cost overruns.](/~/media/mckinsey/featured%20insights/charting%20the%20path%20to%20the%20next%20normal/2022/sept/gifs/pub-capitalexpenditure-v1-ex2-rj-shrunk-timed.gif)
To read the article, see “How capital expenditure management can drive performance,” June 29, 2022.