Necessary evils: Controlling Requests for Information (RFIs) to reduce cost and improve margins

Abstract

Using data collected from 168 projects, researchers calculated that the average cost of processing RFIs on a project in Australia and New Zealand is around AUS$910,000, and AUS$337,400 respectively per project on the average, which could represent a significant erosion of a contractor’s profit margin. But they found considerable variations in RFI management factors, such as the speed with which RFIs are resolved, the number of staff assigned to deal with them, and when the bulk of RFIs occur in the life of a project. The data are presented here. They conclude that proactive management of RFIs could improve productivity and margins.