Major Projects & Programs Common Challenges and Solutions

Major projects often face several key challenges that can jeopardize schedules and budgets. We highlight three of the most common issues and how to address them.

With a projected boom in major projects across Western Canada, RAM is ready to support owners in delivering safe, sustainable, and successful projects.
As a Project Delivery firm, we understand the challenges major projects face. Utilizing lessons learned from past projects, RAM has a team of industry experts who leverage modern approaches to foster collaboration and innovation.
Navigating the complexities of major projects requires a clear understanding of the challenges that can arise. From planning to execution, these issues can impact timelines, budgets, and outcomes if not addressed effectively.

Misaligned Delivery Models

Choosing the wrong project delivery model or contract structure can undermine collaboration and change behaviors based on incorrect incentives or penalties. A misaligned contract model between the owner, engineers, contractors, and suppliers often leads to confusion and conflict. For example, if responsibilities and risks are not clearly allocated, parties may work at cross purposes or critical tasks may fall through the gaps. This misalignment can derail teamwork and drive-up risks.

Solution: Select a delivery model and contract strategy that fits the project’s specific needs, and ensure all parties understand their roles. Engaging experienced partners early can help in structuring the project agreements correctly.
By aligning the contract model with the project complexity and the owner’s capabilities (e.g., deciding whether a single contractor will take full responsibility, or the owner will retain more control), you improve collaboration and reduce risk.
In major projects, common delivery approaches include selecting an EPC or EPCM contract and deciding between a Construction Manager (CM) or a General Contractor (GC) for execution.

Regulatory Approvals and Permitting Delays

Navigating regulatory approvals and permits is a major hurdle for large projects. Project planning often underestimates the time and effort needed to obtain all necessary permits and meet regulatory requirements.
This oversight can lead to underestimated CAPEX (capital expenditures) and significant schedule delays when approvals take longer than expected.

Solution: Proactively integrate permitting into the project planning and development. Assign a dedicated project management team for regulatory oversight and use tools (such as a compliance tracker) to monitor permit requirements and timelines.
Early and continuous engagement with regulators and Authorities Having Jurisdiction (AHJ’s) helps ensure no requirements slip through the cracks, preventing last-minute surprises that could stall the project.

Weak Project Execution Strategy

Even with approvals in hand, a weak execution strategy can derail a project. Poor communication, unclear roles, scope overlaps, and missing deliverables contribute to cost overruns and schedule slippage. If the project team isn’t aligned on a clear roadmap, the execution phase may suffer from confusion and rework.

Solution: Develop a robust execution plan to ensure Owner contigency for cost and schedule at the project’s outset. Start with a detailed Work Breakdown Structure (WBS) to map out all tasks, responsibilities, and milestones. This serves as a clear roadmap for everyone involved.
Align all teams—from engineering and procurement to construction—around this plan from the start. Regular coordination meetings and a well-defined communication plan can further strengthen execution, ensuring everyone knows their roles and deliverables at each stage.

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