Main Challenges Faced by Procurement Directors in Delivering Large Infrastructure Projects

11 December 2022

Procurement directors face a range of challenges when delivering large infrastructure projects, and the specific challenges will vary depending on the nature of the project, the location, and other factors. Some of the top recurring challenges from our global research for procurement directors when delivering large infrastructure projects include the following:

  • Identifying and securing reliable suppliers: One of the key challenges for procurement directors is identifying and securing reliable suppliers for the materials and services needed for the project. This can be particularly difficult for large infrastructure projects, which often require specialized materials and services.
  • Managing complex supply chains: Another common challenge is managing the complex supply chains that are often associated with large infrastructure projects. Procurement directors must coordinate the delivery of materials and services from multiple suppliers and ensure that they are delivered on time and within budget.
  • Controlling project costs: Cost control is a critical challenge for procurement directors, as large infrastructure projects can have complex budgets and timelines. Procurement directors must work closely with project managers and other stakeholders to identify and address potential cost overruns.
  • Ensuring compliance with regulations: Infrastructure projects are subject to a range of regulatory requirements, including environmental regulations and building codes. Procurement directors must ensure that the project’s suppliers are compliant with these requirements and that the project itself is in compliance.
  • Mitigating risk: Risk management is another key challenge for procurement directors. They must identify and assess potential risks to the project and develop strategies to mitigate those risks, such as securing insurance or implementing contingency plans.

Overall, the top recurring challenges for procurement directors when delivering large infrastructure projects include identifying and securing reliable suppliers, managing complex supply chains, controlling project costs, ensuring compliance with regulations, and mitigating risk.

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