Navigating Change Orders Like a Pro
December 17, 2023by TBI ContractingConstructionProject Management
In the dynamic world of commercial construction, change is a constant companion, and navigating change orders effectively is a skill that sets successful projects apart. This article delves into the intricacies of handling change orders in commercial construction, emphasizing clear communication, fair pricing, and meticulous documentation to ensure seamless project progression.
Constructive Communication
Effective communication is the bedrock of success in commercial construction, where coordination is paramount. Maintaining open and transparent communication channels is essential when confronted with change orders. All project stakeholders, from architects to subcontractors, should be informed promptly about any alterations and their potential impacts on the project.
Picture a scenario where a client decides to expand the floor space of a retail complex midway through construction. Instead of proceeding without informing the construction team, convene a meeting to discuss the modifications and their implications on timelines, resources, and project dynamics.
Establish Clear Project Expectations
In the complex landscape of commercial construction, preventing surprises is vital to project efficiency. Establish a comprehensive project scope by setting clear expectations from the project’s inception. Clearly outline deliverables, timelines, and potential areas for adjustments. With a robust project foundation, change orders become a navigable part of the construction journey rather than an unexpected detour.
In a commercial building project, articulate the scope of work in the initial contract, mentioning potential design modifications. Discuss a comprehensive process for handling such changes to promote smooth collaboration.
Fair Pricing Strategies: Balancing the Equation
Determining fair pricing for additional work in commercial construction projects is a delicate dance. Both clients and contractors must feel that they are getting a fair deal. Prevent surprise billing by implementing a transparent pricing structure from the project’s initiation. In the event of a change order, openly discuss the additional costs involved, fostering a collaborative approach to reach a solution that satisfies all parties.
Imagine you’re a construction manager overseeing the development of an office complex, and the client decides to add extra floors to the building. Instead of presenting an arbitrary quote, transparently break down the costs, such as additional materials, labor, and time, ensuring a justifiable and agreeable pricing structure.
Documentation: A Construction Project’s Best Ally
Documentation is a powerful tool, especially in the commercial construction industry. Keep meticulous records of all discussions, agreements, and changes made throughout the project. This enhances transparency and acts as a safeguard in case of disputes. A well-documented trail serves as a reference point for both parties, minimizing misunderstandings and ensuring accountability.
Suppose changes are requested in the structural design of a commercial facility. Document the alterations, discuss their impact on the project’s timeline and budget, and obtain signatures from all relevant parties to create a solid foundation for future reference.
Adaptability: Thriving Amidst Change
Commercial construction projects are inherently complex, and change orders are part of the landscape. Adopting a flexible mindset allows construction teams to turn challenges into opportunities for improvement. Embrace the chance to refine processes, enhance project outcomes, and foster stronger client relationships. Flexibility positions construction projects to navigate change orders with resilience and efficiency.
As a construction project manager, envision a scenario where a client decides to modify the layout of a hotel lobby. Rather than resisting the change, explore how this adjustment can improve the overall functionality and aesthetics of the space, turning it into a positive evolution.
Final Notes
Mastering change orders in commercial construction projects is not just about risk mitigation; it’s about creating a framework for success in a dynamic industry. By prioritizing clear communication, setting project expectations, implementing fair pricing strategies, meticulous documentation, and embracing adaptability, construction teams can transform the challenges of change orders into opportunities for growth and excellence in the ever-evolving landscape of commercial construction.
Questions about hiring a commercial construction firm? TBI Contracting has helped many companies in the Pittsburgh area, delivering quality projects – on time and budget! Call us to learn more at (412) 896-1455.