Change Orders: Our Approach to Construction Adjustments

Change Orders

We all know what changes orders are. They are items that modify your original contract due to amendments to the original scope of work. There are a couple types of change orders that we typically utilize.

• Changes of necessity: these can be generated for a number of reasons but all of them stem from the inability to foresee circumstances outside of our control. Be it water damage, insect infestation or inferior craftsmanship by previous installer, the situation is necessary to correct in order to complete a quality project.
• Changes to design: These are changes to design after the contract is signed or production has begun. These changes can be due to a variety of reasons. Typically this is a change due to a client seeing a design element online, in a hotel or at a friend’s home. Something as simple as a different tile or a more complicated installation like switching from a vanity light and plain mirror to a lighted mirror.
• Changes to schedule: although less common, these can result from events such as delays due to inspections, production challenges with vendors and/or logistical challenges (shipping delays, damaged materials during transit). 

At Deane Home Services, we use a system that works toward minimizing change orders. We work diligently before the project begins to make selections and do as much as possible to eliminate change orders. That being said, change orders can still occur.

Changes of necessity are things such as hidden damage that is not noticeable until the demo work is done. Often the area adjacent to a shower can have water damage hidden in the wall, this can be accompanied by insect damage. Both of these items will require removal and replacement of existing water damage. Missing or damaged framing members can create challenges that need to be addressed. If a wall is being removed, there is some potential for ducting, electrical or plumbing that runs up the wall and would need to be relocated.

Changes to design are items that the client changes after the final contract is signed. These can be a result of a client deciding they don’t like the look of a particular product or, more typically, making changes due to seeing something they like that they would like to change. Ironically, this is often something they saw in a hotel or at someone’s house they visited. Maybe they were skeptical about installing a lighted mirror then they see it in a hotel, and really like the look and flexibility of it and decided they want to switch from a basic mirror and vanity light to a lighted mirror. This is pretty straightforward to accomplish but it requires changes to selection and modifying the wiring to accommodate the new configuration.

Changes to schedule are less common and usually don’t have any cost associated with them but they do affect the finish date for the project. During and shortly after 2020 this was a big challenge. Material shortages and logistical challenges created delays across multiple aspects of projects. The potential for port strikes on the east coast will likely have far reaching effects on the shipping for materials coming from Europe and even cross country shipments from the east coast to west coast. Other less common events are materials arriving damaged or arriving locally then taking a week or more the shipping company to deliver it.

Although we do our best to minimize change orders, there are always a number of potential items that can cause the creation of change orders. The biggest challenge in any project is the potential for unforeseen conditions. The best plan at that point is to generate a create plan that minimizes cost and still meets your design goals.