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Insights & Learnings

Exploring risk, perception and the power of public sentiment

Public sentiment is a powerful force that can determine the success or failure of infrastructure projects, policies and major developments. Understanding its drivers — and how to respond effectively — is critical for decision-makers navigating today’s complex social landscape.

This section brings together research, case studies and thought leadership on the factors shaping public perception and risk. From the hidden costs of public outrage to the recurring patterns of project opposition, our strategic insight papers examine key findings that help projects anticipate challenges, build trust and ultimately drive better outcomes.

Strategic Insight Paper 1

Managing social risk in the era of infrastructure outrage

Infrastructure projects don’t fail because of poor engineering — they fail due to poor public perception. 

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Community opposition can make or break infrastructure projects, yet traditional risk assessments often overlook social risk — until it’s too late.

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This paper explores the impact of public outrage on infrastructure projects and how decision-makers can take a more proactive approach to mitigate risks before they escalate.

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​Key findings:

  • Outrage is expensive — Australia has spent more than $20 billion on project cancellations and delays due to public opposition.

  • Social risk = financial risk — Projects impacted by public opposition experience greater budget overruns, with as much as 35% of cost blowouts linked to managing opposition.

  • Premature project confirmation increases costs and risk — Projects are locked into rigid scopes and budgets while communities feel blindsided, creating a trust deficit that must be overcome.

  • Traditional risk models fail to capture social risk — Focused on technical and financial risks, these underestimate the costs and impacts of social risk.

  • Outrage is predictable — Patterns of public outrage follow identifiable trends, meaning project teams can anticipate and mitigate backlash before it escalates. 

  • Social risk is measurable — New methodologies, like POPM, can better predict and quantify social risk, allowing direct comparison for fully integrated risk analysis

  • Proactive engagement is a cost-saver — Once public opposition gains traction, it becomes exponentially harder to reverse, with crisis management significantly more expensive than early structured dialogue.​​

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More insights coming soon...

Upcoming papers include:

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  • Losing It: The hidden cost of public outrage in infrastructure

  • Repeat Offenders: The risk factors behind public outrage​​

  • The Perfect Storm: Dissecting the anatomy of public outrage 

Let’s connect 

We’d love to your views on our research and your experiences in the field. What topics do you want to see us address next?

 

Reach out today for a chat or to learn how POPM can help with early identification and management of public outrage, ensuring your project’s success.

Call us on 1300 191 925 

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