How Much Waste?

• Labor averages 50% of the cost @ 30% efficiency = 35% waste
• Materials average 40% of the cost @ 70% efficiency = 12% waste
• Quantity take offs (QTO), blueprints and shipping = 10% of the cost of a project
• Bidding can easily reach 5% of the cost of a project when you tally all of the bidders
• Change orders can equal 10% of the cost of a project
• Suppliers build in a buffer in their pricing to account for undefined scope
• 3-7% is lost in project cost reduction by not maximizing Construction Tax Planning
• 70% of projects are late and over budget.

How Much Harm?

• Buildings create 48% of Green House Gases
• Buildings use 72% of the electricity
• 75% of Green House Gases come from urban centers (40% is direct and 35% to activities that support urban life). Environment and Urbanization Vol. 20, pp 539-549 and Clinton Climate Initiative.
• Commercial and industrial buildings represent 48% of the 40%. Environment and Urbanization Vol. 20, pp 539-549 and Clinton Climate Initiative.
• Municipal facilities represent 14% of the 40%. Environment and Urbanization Vol. 20, pp 539-549 and Clinton Climate Initiative.

1. "Will the Real Owner Stand Up" - owners need to drive change!
2. The UK National Audit Office report Modernising Construction
3. Egan Update-0508
4. Accelerating Change UK 10 Year Update to Egan Report
5. NIST National Construction Goals 1996