What are the best ways to manage change orders during site construction?

1 Define the scope and budget

Before you start any site construction, you should have a detailed and realistic scope and budget for your project, based on your market research, feasibility analysis, and design specifications. This will help you avoid unnecessary changes and set clear expectations for your contractors, consultants, and stakeholders. You should also include a contingency fund for unforeseen changes and risks, and allocate it wisely throughout the project.

2 Communicate and document

Communication and documentation are key to managing change orders effectively. You should establish a regular and transparent communication channel with your site team, and inform them of any changes or issues as soon as possible. You should also document every change order request, approval, and implementation, using a standardized format and system. This will help you track the progress, impact, and status of each change order, and avoid any confusion or conflict later on.

3 Negotiate and evaluate

When negotiating and evaluating change orders, you should carefully consider their implications for your project schedule, cost, and quality. Factors to consider include the reason and necessity of the change, the scope and extent of the change, the impact and benefit of the change, the alternatives and options for the change, the cost and time of the change, and the risks and liabilities of the change. Moreover, it is important to consult with your site team, consultants, and stakeholders to gain their input and feedback on the change orders.

4 Monitor and control

Once you approve a change order, you should monitor and control its implementation and outcome. You should assign a responsible person or team to oversee the change order, and ensure that it is executed according to the agreed terms and conditions. You should also update your project plan, schedule, and budget accordingly, and report any deviations or issues to your site team and stakeholders. You should also review and evaluate the results of the change order, and learn from the experience for future projects.

5 Train and educate

One of the best ways to manage change orders during site construction is to prevent or reduce them in the first place. You can do this by training and educating your site team, contractors, consultants, and stakeholders on the importance and implications of change orders, and how to avoid or minimize them. You can also provide them with the best practices, tools, and resources for managing change orders effectively, and encourage them to share their knowledge and experience with each other.

By following these best ways to manage change orders during site construction, you can ensure that your project runs smoothly, efficiently, and successfully, and that you deliver the best value and quality to your customers and investors.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?