We recently spoke with James Allen and Finbarr Doyle, founders of Procurement 4 House Builders, about the common procurement mistakes developers make and how to avoid costly delays and budget overruns. James will also be speaking at the Property Developer Show in Bristol on April 30th, sharing more insights into effective procurement strategies.

Why do so many projects go over budget?

It’s a well-known issue in property development, 90% of projects go over budget, either due to unexpected costs or delays. So, what’s causing it?

James: “It comes down to materials, poor scheduling, lack of accuracy in cost planning, and incomplete BOQs.”

Finbarr: “Developers often underestimate the budget or fail to plan a procurement strategy. Typically, delays start rolling out at the delivery stage. As James said, 90% of projects run over and it all comes back to a lack of planning and underestimating risk.”

The takeaway? Plan ahead, be realistic with your budgeting, and have a clear procurement strategy in place.

The biggest mistake developers make when sourcing materials

One of the most common mistakes developers make is prioritising price over quality.

Finbarr: “The cheapest option doesn’t always mean the best. Cheap materials can cause delays, and there’s no value in simply driving down price. You need to understand what you’re buying, when it will arrive, and how it fits into your project. Sourcing purely on price rather than value is a big no-no.”

He compared it to airlines: “There’s a reason Ryanair tickets are cheaper, you only get certain things. It’s the same with materials. You get what you pay for.”

How to spot a bad supplier before it’s too late

Bad suppliers can derail a project, so how do you identify them early?

Finbarr: “You’ve got to know your supply chain. Get to know their objectives and see if they align with yours. Inconsistent lead times, vague pricing, and poor communication are all warning signs.”

Procurement 4 House Builders works to vet suppliers, ensuring they are reliable, consistent, and proactive in meeting project needs.

The one procurement mistake that could cost you thousands

James and Finbarr agree, poor planning and lack of a strong team are the biggest (and most expensive) procurement mistakes.

James: “Not having the right team around you is a huge mistake. You need to know who you can call, who you can rely on, and who will help you find the best solutions.”

Finbarr: “Time and again, developers secure planning, secure investment, and then, when it comes to delivery, they don’t have a comprehensive procurement strategy. Failing to plan for delivery costs thousands.”

The top benefit of having a procurement partner

A strong procurement partner can save developers time, money, and stress.

Finbarr: “A procurement partner allows you to focus on your strengths. Most developers are great at building, but procurement isn’t their strong point. Having an expert ensures better planning, secured pricing, and reliable material availability, huge factors in 2025 and 2026.”

James: “A good procurement partner isn’t just about transactions. It’s about helping you move on to the next project quicker and more efficiently.”

Finbarr: “Ultimately, a procurement partner helps you build more for less.”

Procurement is often overlooked in the development process, but failing to plan can cost thousands. The insights from James and Finbarr highlight how a strategic procurement approach can prevent delays, keep projects on budget, and ensure smooth delivery.

Want to learn more? Join us in Bristol on April 30th to hear from James Allen and other experts at the Property Developer Show.