Changes in Construction Survey

Changes are a part of the construction process with many underlying causes.

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While we have all heard the average of 10% changes on construction projects, it is interesting to look at an industry study for validation.  

Change Management: Project Changes, state of the industry survey.

This study by HBRC categorized the range of contract changes and the percent of projects within that range. The average is 10% and none of the projects had 0% changes.  

Engaging key contractors to work on the project earlier will lower the amount of changes related to design conflicts while protecting the aesthetics of the design.  

Another interesting part of the study was that 43% of respondents DID NOT have a consistent process for managing changes.  

A rigorous change management process starts at the earliest stages of design development with rigorous weekly reviews.  

During construction, the definition of a change should be broadened beyond what may become a cost issue for the project owner and also managed through a rigorous weekly process such the Last Planner System.  


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.
Underlying Causes of Changes on Projects
Start improving your change management skills by creating some categories of the underlying causes of changes your company experiences.
Change Order Profit Improvement
A 10% improvement in change order pricing for a $50M per year contractor will add $500K to their bottom line. This is not about simply marking up the change more, but rather, including the many costs that are typically missed or undervalued.