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The Cost of Standing Still

The Cost of Standing Still

The Cost of Standing Still

The report was produced by Newground Alliance in collaboration with Brickanta. It draws on data from Statistics Sweden's National Accounts and reviews Swedish, Nordic and international research from sources including Boverket, McKinsey, OECD, RICS and the Swedish Productivity Commission. The full report is available to read and download below.

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Key Insights

SEK 164 billion are lost annually

SEK 164 billion are lost annually

SEK 164 billion are lost annually

That's what Swedish construction leaves on the table in productivity, every year. Since 1980, the cumulative loss exceeds SEK 2,200 billion. More than seven years of the sector's output.

25 years of standing still

25 years of standing still

25 years of standing still

Construction productivity has grown 18 percent since 1980. The broader market economy has more than doubled in the same period. Since the mid-2000s, the construction curve points downward.

14 hours a week on non-productive tasks

14 hours a week on non-productive tasks

14 hours a week on non-productive tasks

Construction professionals spend 35 percent of their time on non-value-adding work: 5.5 hours searching for information, 4.7 hours resolving conflicts, 3.9 hours dealing with mistakes and rework.

85% over budget

85% over budget

85% over budget

Budget overruns are the system's default state.

75% delivered late

75% delivered late

75% delivered late

Three out of four construction projects finish behind schedule.

Shortage of 16 000 new homes per year

Shortage of 16 000 new homes per year

Shortage of 16 000 new homes per year

Sweden needs to build 52,000 homes annually through 2033. The 2026 forecast lands at 36,000. The gap cannot be closed by hiring more, as long as productivity stands still.

The role of AI is support

The role of AI is support

The role of AI is support

Only around six percent of construction tasks can be fully automated. The leverage lies elsewhere: strengthening the judgment of the workforce already in place.