Change Management Workflow

For contractors to manage changes effectively, they must understand the entire change management workflow up through the project owner’s approval and payment process.

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Most contractors don’t have a consistent internal process much less a deep understanding of what the process looks like downstream or upstream.

Change Management: Mapping the Process. Identification to Payment.

This lack of knowledge impacts every aspect of change management, including the customer relationship, profitability, and cash flow. Understanding this entire value-stream is really about learning to see.  

The workflow shown is a simple example. This needs to be expanded significantly for your company and modified for each project. Coach your project team members to map this out in more detail with the objectives being:

  1. Shorten time between start of work performed and cash-in.
  2. Improve the customer experience by making the process efficient for them.

For each step know the following:

  • Who is primarily responsible and who is involved?
  • How would you rate your relationship with that person? Will they go out of their way to help you?  
  • What is the estimated timing of how long each step should take? What can shorten it?
  • What specifically is required at each step per the contract, other standards or preferences?
  • What tools are used for each step? 

Change Orders
Change orders are a fact of life in construction. Improve profitability, cash flow and customer satisfaction by effectively managing changes. Build a foundation for success with 12 steps to improve pricing and 11 negotiating strategies for the whole project team....

Related Training
Change Orders
Change orders are a fact of life in construction. Improve profitability, cash flow and customer satisfaction by effectively managing changes. Build a foundation for success with 12 steps to improve pricing and 11 negotiating strategies for the whole project team....

Changes and Cash Flow Improvement
Construction is a cash-intensive business and change orders are often one of the root causes of poor cash flow. A 30-day improvement to change management workflow can generate over $400K in additional cash flow for a $50M contractor.
A Broader Definition of a Change on a Construction Project
The first step for contractors improving their management of changes on a project is simply earlier identification. This requires a better definition of what a change really is.
Appearance and Experience of Management Control
As your career develops and you grow into roles of greater responsibility, one of the biggest challenges is what Jennifer Garvey Berger calls “The paradox of the appearance of increasing control and the experience of decreasing control.”