05 December 2008

Management costs again

Good post from Neil Craig on the cost of Crossrail. It reinforces the point I made last month, that for big or difficult projects, management is the biggest cost. In the private sector there is some pressure to economize on management, though not nearly as much as there should be because the decisions are all made by managers. With public sector funding (and the public-private fairy dust is of zero or negative benefit), there is no pressure.

1 comment:

neil craig said...

I also did a previous post on how Richard Rogers had said on TV that the Millenium Dome cost £46 for the actual building & £670 million inc paper work. I find it shameful that no newspaper thought this something even worth reporting.