The Costs of Procrastination in Construction: Insights from BUILDFest

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Victoria Kolt emphasizes the high costs of delaying decisions in construction during her presentation at BUILDFest.

At the inaugural BUILDFest trade show held in Vancouver on September 24, lawyer Victoria Kolt from the Vancouver law firm McLean & Armstrong addressed the construction industry's significant pitfalls associated with procrastination in decision-making. In her talk titled 'We’ll Figure It Out Later: The Most Expensive Words in Construction,' Kolt articulated the potential repercussions of postponing decisions until a later date. She asserted that by choosing not to decide, a construction team is, in fact, making a decision that can lead to more severe complications down the line.
Kolt explained that when construction teams opt for the phrase 'We’ll decide later'—whether it pertains to pricing, managing delays, or addressing changes in project scope—they are inadvertently making a choice. She urged teams to be mindful of the consequences that arise from such choices. "When decisions are deferred, teams often find themselves engaging in what I term 'construction archeology,'" Kolt described. This process entails sifting through records to identify the origins of delays or problems, a task that can become quite complex.
The lawyer drew a parallel to the children's game of telephone, where information can easily become distorted over time. "It's quite challenging to recall a brief conversation from six months ago, especially when trying to ascertain the cause of a delay. When teams return to their documents, they may find themselves piecing together what transpired, akin to archaeological digs," she noted.
Kolt advocated for proactive documentation throughout the project lifecycle, emphasizing that stakeholders need not wait until issues escalate into formal claims. "Understanding that these decisions could become part of the project’s historical record is crucial," she urged. She recommended that teams document discussions and decisions, particularly for those who may not be present when issues arise, ensuring clarity is maintained in the event of future disputes.
While not every issue necessitates a formal claim, Kolt explained that her role as a lawyer often involves reassuring clients that their actions are permissible under contract terms. However, she cautioned that delaying responses could lead to missed deadlines and more significant challenges, complicating the resolution process.
In high-pressure construction environments where immediate decisions are often required, Kolt's presentation laid out a five-point guideline for effectively managing procrastination. She encouraged teams to assess what issues they are addressing today, what remains unresolved, who is responsible for those unresolved matters, when they plan to revisit them, and the potential outcomes of inaction. "The costs of having to reconstruct facts and evidence can escalate quickly, transforming simple documentation tasks into significant problems," Kolt concluded, emphasizing the need for intentional and timely decision-making within construction teams.

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