Poor communication isn’t just frustrating. It’s one of the most expensive problems in business.

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Research shows miscommunication costs US companies $37 billion every year. On project sites, where complexity and coordination are daily challenges, the costs rise even faster. The good news: early intervention can flip those losses into measurable gains.

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Why communication breaks down

A recent study found that 6 in 10 general contractors say they don’t get enough information from subcontractors to properly oversee their projects. On top of that, 8 in 10 have dealt with disputes or delays caused by miscommunication with subcontractors.

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Feedback is often lost in three ways:

• Concerns are raised but not captured.
• Signals are captured but not prioritized.
• Actions are taken but never communicated back.
  
  

Each step creates friction. When repeated across hundreds of people and thousands of tasks, that friction slows progress and drains budgets.

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The cost on projects

Reworks, usually due to poor communication and planning, are what hits projects the hardest. Rework accounts for over 11% of total project costs, with that figure soaring to as much as 30% in the UK. It’s these hidden costs that crush budgets, delay schedules, and put a huge amount of pressure on both contractors and clients.

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Onsite, poor feedback and communication looks like:

• Materials arriving late because an issue wasn’t escalated.
• Trades standing idle while waiting for instructions.
• Crews reworking tasks that could have been flagged earlier.
• Avoidable mistakes being made due to rushing 

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The return on fixing it

Early intervention changes the equation:

• Capturing feedback in real time keeps signals visible before they become crises.
• Acting visibly and quickly prevents rework and accelerates schedules.
• Closing the loop builds trust, which fuels morale and productivity.
  
  

The financial impact is measurable. If poor communication costs $37 billion annually, even a small percentage improvement delivers a major return. On a $10M project, if poor communication currently costs $1.1 million (11% of project cost for reworks), a small 1% improvement across the project can save $11,000. And if you increase that to 5% it's a saving of $55,000.  Compound that across a few areas of your project, like morale, safety, and operations, and that's a significant saving.

From loss to gain

The ROI of early intervention is clear:

• Fewer delays
• Less reworks
• Stronger engagement
• Measurable savings
  
  

Instead of being a hidden drain; feedback, communication, and collaboration become a source of value. Every signal captured early is money, and trust, saved.

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