The 2025 Industry Report on Cost, Schedule, and Risk

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Estimation in Europe: High
Awareness, Low Integration

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Executive Summary

European estimation teams operate in some of the world’s most regulated and risk-sensitive industries. That awareness has fostered caution but not capability. Confidence remains modest. Integration is limited. AI adoption lags. And while many organizations have access to strong enterprise tools, inconsistent processes and limited training continue to undermine performance.

Despite these challenges, the foundations for progress exist. Many teams are already tracking cost and schedule metrics, and leaders show a clear interest in automation, data integration, and governance. What is missing is execution. European organizations are not moving fast enough to modernize estimation or scale it to meet evolving demands. 

Galorath’s 2025 Industry Report on Cost, Schedule, and Risk uses regional survey data to show where estimation is underperforming, where progress is possible, and what actions matter most. In Europe, for example, estimation maturity is not being held back by a lack of awareness. The real issue is that high standards are not yet supported by the systems, skills, and accountability required to meet them. 

Estimation Performance Snapshot

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are very confident in estimates

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are frequently over budget

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frequently miss timelines

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are fully integrated across departments

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use AI-driven tools & platforms

Confidence Is Mixed, and Caution Is Warranted 

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Europe Leans Conservative While Others Overestimate

European estimation leaders are clear-eyed about their challenges. Only 21% report being very confident in their cost estimates. Meanwhile, 68% say projects exceed budgets at least occasionally, and almost 90% report missed timelines. These results point to ongoing performance gaps, not minor outliers.

Compared to global peers, Europe sits between stronger performers like Canada and weaker ones like Japan and APAC. The UK, which is now tracked separately, shows the lowest confidence in the dataset, with only 7% reporting high confidence.

Takeaway: This caution is not a weakness. It reflects an honest recognition of fragmented systems, weak feedback loops, and inconsistent modeling. European teams should use this awareness to demand better tools, stronger governance, and more rigorous estimation practices. 

Estimation Confidence vs. Outcomes

Confidence

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Very confident

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Somewhat confident

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Not confident

Outcomes

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Frequently over
budget

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Frequently miss
timelines

Integration Is a Critical Weakness

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Enterprise Tools Are Not Enough Without Connection

European organizations often have access to leading platforms like SAP and Power BI. But most of these systems remain disconnected. Only 26% of respondents report full integration. Over 60% operate in partially connected environments, and 10% report no integration at all.

The region falls behind the U.S. and Canada on this front. The UK performs even worse, with the highest reported rate of partial integration among all regions.

Takeaway: Tool access is not the issue. The failure to connect cost, schedule, and project systems is what holds teams back. Without full integration, organizations lose time, transparency, and trust in the numbers.

Automation Is Stalled and Falling Behind

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Interest Is High, but Execution Remains Limited

Many European teams say they want automation, but few have acted on that intent. Nearly 70% automate only 26 to 50 percent of their estimates. Just 10% exceed the 50 percent threshold. AI adoption is even lower, with 63% reporting no AI use at all.

Despite this, most respondents agree on what they need. Over 70% want automated handling of repetitive tasks. More than half say real-time data integration would have immediate value.

Takeaway: The interest is real, but progress is slow. Without faster action, Europe will fall further behind regions that are already scaling automation. The focus now must shift to implementation, starting with high-volume, low-risk areas that can show clear returns.

Use vs. Desired Features 

AI use:

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Top desired features: 

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Repetitive task
automation

0%

Real-time data
integration

Estimation Is Measured, but Rarely Aligned

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Teams Track Deadlines, Not Collaboration

Most European teams measure cost and schedule outcomes, but very few evaluate cross-functional alignment. Only 5% track it as a performance metric, making this one of the weakest alignment rates globally. This mirrors data from the UK and lags far behind the U.S. and Canada.

Without shared metrics across finance, engineering, and delivery, missed estimates cannot be fully understood or addressed. Execution gets blamed, but planning flaws go unexamined. 

Takeaway: Europe needs to modernize how it defines success. Tracking cost and time is essential, but it is not enough. Until teams measure alignment, they will continue to operate without full visibility into what is driving project failure.

What Metrics Are Being Tracked?

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Cost adherence

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Time to completion

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Customer satisfaction

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Organizational alignment

Tools Are Available, but Adoption Is Incomplete

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Training and Structure Are Blocking Progress

Excel is still the most widely used tool across Europe. But many teams also report access to SAP, Power BI, and other platforms. The problem is not availability. It is adoption. More than half of respondents say lack of training is a top barrier to better estimation.

Survey comments reinforce this picture. Respondents describe confusion over which tools to use, frustration with inconsistent onboarding, and a lack of internal standards for how to estimate effectively.

Takeaway: Without training, even the best tools fail. European organizations must stop treating software adoption as a passive outcome. They need to build structured training programs, set expectations, and reinforce standards across teams.

ESG and Regulation Are Strengths, but Execution Lags

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Compliance Pressure Has Not Yet Changed Estimation Behavior

Europe continues to lead in regulation-aware planning. One in three respondents say compliance plays a major role in their estimation processes, and more than half say estimation is essential to maintaining competitiveness. But only 19% say ESG is deeply embedded in their estimation models. The UK shows higher engagement, with one-third calling ESG “extremely important.”

This puts U.K. teams at risk of falling behind on emerging standards and compliance mandates, especially for international programs and partnerships.

Takeaway: European teams understand the importance of regulation, but most have not adapted their workflows to match. Estimation needs to be connected to ESG reporting, audit trails, and traceable cost logic. This shift is not optional for regulated industries. It is necessary to remain credible and competitive.

Estimation Leadership Blueprint for Europe 

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PMO / Program Leaders

Build shared dashboards across finance, engineering, and delivery

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Cost Estimation Leads

Standardize inputs and forecasting methods. Reduce spreadsheet drift

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IT / Data Leaders

Bridge tools between ERP, cost modeling, and project management platforms

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Executives / Sponsors

Link AI, automation, and integration investments to ESG and regulatory performance

This report is part of a deeper look at how cost, schedule, and risk planning are evolving. Access the full 2025 Industry Report on Cost, Schedule, and Risk to see where the biggest gaps and opportunities exist.

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