SURVEYING THE SECTOR
How contractors can improve change order management
Change order management is a common part of construction projects . If not managed well , they can lead to higher costs and delays . Contractors , in particular , face unique challenges in handling change orders because of their position within the project hierarchy . Subcontractors can significantly improve their change order management by implementing standardised processes , leveraging digital tools and enhancing communication . Experts at Rhumbix tell us more .
The challenge of change orders in construction
A report by the Navigant Construction Forum says change orders can make up 8 % to 14 % of total project costs . They can also cause delays of 10 % to 20 % in project timelines . In many cases , subcontractors struggle with :
• Poor documentation leading to unpaid work
• Slow approval processes that disrupt schedules
• Lack of visibility into cost impacts
• Disputes over scope and pricing
• Training : Educate team members on the standardised procedures to ensure compliance and efficiency .
The Construction Industry Institute ( CII ) emphasises that managing change is essential for a successful project outcome . Uncontrolled changes can lead to interruptions , delays and increased costs .
To improve change order management , we need active strategies and digital tools . These will help ensure that everyone notes , approves and pays for all changes on time .
1 . Standardise the change order process
Establishing a standardised process for managing changes ensures consistency and clarity . Key steps include :
• Clear documentation : Provide detailed descriptions of the change , including scope , cost , and time implications .
• Formal approval procedures : Set defined protocols for submitting and approving change orders to prevent misunderstandings .
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