Lessons Learned & Benchmarking

Section 1

Purpose

Lessons Learned and Benchmarking is the structured process of capturing what went well, what went wrong, and why on a completed project, and translating those insights into actionable improvements for future projects and estimates. For RICS-regulated QS firms, lessons learned are both a professional obligation (RICS Lessons Learned, 1st ed., April 2016) and a commercial imperative — firms that learn systematically from each project produce more accurate estimates, avoid repeated mistakes, and deliver better client outcomes.

Benchmarking is the analytical counterpart to lessons learned: using the project's final cost data — structured in BCIS/SFCA elemental format and compared with BCIS industry data — to assess whether the project's cost performance was typical, above, or below average for its type. Benchmarking identifies whether cost overruns were project-specific (and avoidable) or sector-wide (and foreseeable).

Both activities should be completed while the project is fresh — ideally within 3 months of the Final Account Agreement. Once key project personnel have moved on and institutional memory has faded, the quality of lessons learned diminishes significantly.

Section 2

Key Principles

RICS, Lessons Learned (1st ed., April 2016): identifies the common causes of project failure (lack of clear objectives, poor planning, poor cost management, inadequate procurement, lack of leadership) and provides a structured framework for capturing and applying lessons learned.
RICS Cost Analysis and Benchmarking (2nd ed., August 2024): BCIS elemental format is the standard for cost benchmarking; cost/m² GIFA should be compared against BCIS upper quartile, mean, and lower quartile for the project type; significant variances from the mean require explanation.
RICS Lessons Learned (1st ed., 2016): lessons should be captured under structured headings — design, procurement, programme, cost, contract, team — to ensure consistency across projects and enable aggregation into firm-level lessons.
BCIS submission: RICS Cost Analysis and Benchmarking (2nd ed.) requires firms to submit completed project cost data to BCIS; the benchmarking database is only as accurate as the data contributed to it — non-submission degrades the quality of the whole profession's estimating capability.
Knowledge management: lessons learned documents should be accessible to the whole QS firm, not filed away in an individual project folder; firms should have a knowledge management system that makes project lessons available to those preparing future estimates.

Section 3

Practical Application

Step 1

Facilitate or participate in a structured lessons learned workshop with the full project team within 3 months of Final Account Agreement — include the QS, PM, architect, structural engineer, M&E engineer, and ideally the contractor's QS.

Step 2

Structure the workshop under standard headings: Design (completeness at tender, late changes, coordination); Procurement (route, tender results, contract form); Programme (realism, delay causes); Cost (estimate accuracy, variation drivers, claim value); Contract (form suitability, problematic clauses); Team (performance, communication, collaboration).

Step 3

Record the outputs in a structured Lessons Learned Register — for each issue, record: what happened, why it happened, what the financial/programme impact was, and what should be done differently next time.

Step 4

Prepare the BCIS Cost Analysis: using the agreed Final Account, prepare the elemental cost analysis in SFCA format; calculate cost/m² GIFA for each element; compare to BCIS benchmarks for the project type.

Step 5

Identify benchmarking outliers — elements where the project's cost/m² is significantly above or below the BCIS mean; investigate whether this reflects project-specific factors (specification, complexity, site constraints) or cost management issues.

Step 6

Submit the completed BCIS cost analysis in the standard format; retain a copy in the firm's knowledge base; distribute the Lessons Learned Register to the relevant teams within the firm.

Step 7

Update the firm's standard estimating rates and elemental cost models where the lessons learned indicate that current rates are consistently over- or under-estimating specific elements.

Section 4

Common Mistakes to Avoid

Holding the lessons learned review too late — once project personnel have moved on, the quality of the lessons is severely reduced; the workshop must happen while memories are fresh.
Making the lessons learned a tick-box exercise that is not read or used — if the outputs are not accessible to the firm and not used to improve future estimates, the exercise has no value.
Failing to submit BCIS cost analysis data — this is both a professional obligation and a contribution to the profession's collective knowledge; firms that do not submit are effectively free-riding on data submitted by others.
Benchmarking against the wrong project type — a bespoke office fit-out cannot be benchmarked against a standard new-build office; the QS must select the correct BCIS project category for meaningful comparison.
Lessons learned that blame individuals rather than systems — the most useful lessons identify systemic failures (e.g. design was not complete at tender because the programme did not allow enough time) rather than attributing blame to individuals.

Section 5

APC Competency & Quick Reference

Project Financial Control and Reporting Level 3 — lessons learned, benchmarking, BCIS analysis
Quantity Surveying & Construction Level 3 — BCIS elemental analysis, cost/m² benchmarking

What are the common causes of project failure that should be captured in a lessons learned review?

Per RICS Lessons Learned (1st ed., April 2016): lack of clear business objectives; poor planning and scheduling; inadequate cost management; inappropriate procurement route; lack of leadership; poor collaboration; financial issues (inaccurate estimates, poor cost control). The QS's lessons learned should specifically address estimating accuracy, variation drivers, and claim management under the 'cost' heading.

How should cost benchmarking data be prepared and submitted to BCIS?

Prepare the elemental cost analysis using the SFCA (Standard Form of Cost Analysis) — the same elemental structure as NRM1. Calculate cost/m² GIFA for each element. Record project details (type, location, contract form, GIFA, form of construction). Submit via the BCIS online submission portal. The data contributes to the BCIS benchmark database used by the whole QS profession for future estimates.

What should the QS do if the lessons learned workshop identifies that the QS firm's original estimates were systematically inaccurate?

Record the finding honestly in the Lessons Learned Register — RICS Rules of Conduct require honesty and integrity. Investigate whether the inaccuracy is due to a specific estimating assumption (e.g. wrong preliminary rate, wrong piling approach) and update the firm's standard rates accordingly. Consider whether the QS owes an obligation to advise the client if the inaccuracy contributed to a budget overrun.

Section 6

Completion & Final Account Checklist

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Task

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Lessons learned workshop facilitated within 3 months of Final Account Agreement

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Workshop held under structured headings: design, procurement, programme, cost, contract, team

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Lessons Learned Register prepared and distributed to firm

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BCIS elemental cost analysis prepared in SFCA format

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Cost/m² GIFA benchmarks compared to BCIS data for project type

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Benchmarking outliers investigated and explained

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BCIS cost data submitted via standard format

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Firm's standard estimating rates updated where lessons indicate inaccuracies

Section 7

CPD Learning Outcomes

Facilitate a structured lessons learned workshop using the RICS Lessons Learned (1st ed., April 2016) framework and produce a Lessons Learned Register that captures systemic insights for the firm's future projects.
Prepare a BCIS/SFCA elemental cost analysis, benchmark the project's cost/m² against BCIS data for the project type, and submit the completed data to BCIS in compliance with RICS Cost Analysis and Benchmarking (2nd ed., August 2024).
Apply lessons learned from project benchmarking outliers to update the firm's standard estimating rates and improve the accuracy of future cost plans.

Section 8