The hidden cost of underinvesting in experience

A trap where too many companies still fall into

Imagine, Company XYZ launches a transformation project. It could be in IT, operations, strategy, or anything core to the business. Their ambition is clear: modernize, streamline, get future-ready.

They start with good intentions but quickly hit a roadblock: the cost of hiring seasoned external experts. So, they pivot. They rely mostly on internal people who are motivated, but lack deep experience with similar projects. On paper, it saves money. In reality, it sets a trap.

Months later, the project is over budget, behind schedule, and far from expectations. Internal credibility is dented. Frustration is high. What looked like a smart move has become a cautionary tale. The company saved on fees, but paid in time, quality, and morale.

This is not a rare exception. It’s a recurring pattern—across industries, across sectors.

Research shows that 18% of large IT projects exceed their budgets by more than 50%, and among those, the average cost overrun is an astonishing 447% (Flyvbjerg & Gardner, How Big Things Get Done, 2023). These aren’t rare outliers—they’re symptoms of a widespread problem: underestimating complexity and underinvesting in deep expertise. Time and again, companies try to cut corners, only to spend far more in the long run on fixes, delays, and reputational damage.

The Real Cost of Underestimating Expertise

There’s a reason why experienced professionals cost more: they prevent you from learning the hard way. While the inexperienced may get there eventually, seasoned experts help you avoid costly detours, blind spots, and slow decision-making.

Scientific research confirms this pattern. In one example, a study on large projects found that 18% ran more than 50% over budget—and those were, on average, 447% over budget. Yes, 447%! Often, the cause is not bad intentions, but naive optimism and a lack of grounded, hard-won expertise.

The Lesson for Companies

• Don’t confuse cost-cutting with value creation. Saving on expert input often means you’ll spend more later—on fixes, rework, delays, or reputational damage.

• Focus, don’t dilute. Trying to run too many initiatives with too few experienced people spreads your resources thin and dilutes impact.

• Reassess ongoing projects. Stop what’s not delivering and redirect energy to what matters most.

The Reminder for Experienced Professionals

If you’ve spent 20+ years honing your craft, don’t undervalue yourself—or let others do so. AI can mimic processes, but it can’t replace lived experience and judgment.

• Know your value. Talk to peers and clients to calibrate how your expertise translates to impact.

• Connect to business results. Do you help increase revenue, reduce costs, mitigate risk? Frame your work around outcomes.

• Keep learning. Experience is valuable only if it stays relevant. Stay sharp, stay current.

And above all: don’t be arrogant, but don’t be invisible either. Let your expertise speak through your actions, your questions, and your results.

In Closing: Be Bold Where It Matters

Deep expertise may seem expensive when you look at it superficially. But what’s truly expensive is mediocrity: stalled projects, missed targets, disillusioned teams. What's truly expensive is opportunity lost!

Companies: invest where it really matters. Don’t let short-term savings ruin long-term success.

Experts: show up, speak up, and keep growing. Your experience is a multiplier—if you use it with humility and clarity.

The difference between mediocre and great often comes down to who’s at the table when key decisions are made. Make sure it’s someone who’s been there before.

Paul P.J. Donkers is a global business coach and consultant. He and his partners work with leadership teams to unlock growth and value.

Find out more at www.tencompany.org or www.ikigaicoachinginstitute.com.

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