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The problem is that regulated “oversight” is no guarantee of cost reductions, either, and may be a significant portion of the cost increases. Incentive alignme

• mschuster91 4y ago
  Proper oversight and project leadership (as in, it goes beyond "call McKinsey and have them send over a couple of seniors") can save costs at many parts of the process: - catch politicians' bullshit before planning (plans that, say, lead directly through a nature reserve) or during construction (e.g. a new politician comes in and wishes some random shit to change just to be able to brag "I did something") and intervene - check bids on tenders if they are actually plausible or if they are so far under a realistic budget that there will be massive problems later on (e.g. the company threatening insolvency to demand re-negotiated higher rates) - check impediments if they are actually legitimate or if they are overblown and resolve them - keep vendors accountable to milestones You can forget about the first two points, which are the most critical, for external consultants.