Project Management Basics
Managing Variations & Change
Control in the Construction
Industry
Promenade Projects
Workshop Introduction
• What is our job?
▫ to add value
• What is Project Management?
▫ “a temporary group activity designed to produce a
unique product, service or result”
The Contract
• What forms a contract?
▫ offer, acceptance, consideration
• Why is the contract so important?
▫ “produce a unique product, service or result”
• What is in the contract?
▫ what documents form the contract
Project Management Workshops
• First in a series of workshops dealing with
elements of project management and our
developing procedures
▫ Reporting, Project Start Up, Document Control &
Filing, Delay & Disruption, Cost Value
Reconciliation (CVR), Purchasing ……..
• And anything else we want to include
Project Management Basics
Managing Variations & Change
Control in the Construction
Industry
Promenade Projects
What is a variation ?
• Variation means any change (additions or
omissions) to the Works, the timescale in which the
works are completed and the order or way in which
the works are to be completed.
And
• Which is instructed or approved as a variation under
the clause in the contract dealing with Variations to
the contract.
Change Control
Managing change is both an opportunity
and a risk and is key to the successful
delivery of projects
- financial and programme
Acceptance of Variations
Who can issue Instructions?
▫ Only take instructions from the person / company
we are in contract with
▫ Ask yourself “Who pays us?”
Who can receive Instructions?
▫ Project Manager
Acceptance of Variations
How are Instructions issued?
▫ Only take instructions in writing
▫ If an instruction isn’t in writing, write it yourself -
C.V.I’s and confirm it with the person issuing it
Logging Variations
Recording Variations
▫ Keep a record and log all variations
▫ Start and maintain a Variation Log
Why log a change?
▫ A variation log enables accurate production of
Applications / Invoices (stage payments)
Variation Log
Contents
▫ Item # (Co)
▫ Authorisation
▫ Date received
▫ Description (brief)
▫ Value (and % complete, current value)
▫ Effect on Programme
Variation Issues
• Use your judgement
• Assessing the variation
▫ For value and risk to the programme
• Revisions to the programme
• Variations are generally not paid on a time &
material basis, they are paid in accordance
with the contract T&Cs
Actions
• To create and maintain a variation log
• Variation Logs to be updated weekly and
included in company and client weekly
reports
Wrap Up
• Variations are both Risk and Opportunity
• A variation log enables accurate production
of Applications / Invoices (stage payments)
• This process assists us in adding value to
projects, developing opportunities and
minimising risks
Thanks
Thank you and see you next time
Promenade Projects
Project management basics variations and change control

Project management basics variations and change control

  • 1.
    Project Management Basics ManagingVariations & Change Control in the Construction Industry Promenade Projects
  • 2.
    Workshop Introduction • Whatis our job? ▫ to add value • What is Project Management? ▫ “a temporary group activity designed to produce a unique product, service or result”
  • 3.
    The Contract • Whatforms a contract? ▫ offer, acceptance, consideration • Why is the contract so important? ▫ “produce a unique product, service or result” • What is in the contract? ▫ what documents form the contract
  • 4.
    Project Management Workshops •First in a series of workshops dealing with elements of project management and our developing procedures ▫ Reporting, Project Start Up, Document Control & Filing, Delay & Disruption, Cost Value Reconciliation (CVR), Purchasing …….. • And anything else we want to include
  • 5.
    Project Management Basics ManagingVariations & Change Control in the Construction Industry Promenade Projects
  • 6.
    What is avariation ? • Variation means any change (additions or omissions) to the Works, the timescale in which the works are completed and the order or way in which the works are to be completed. And • Which is instructed or approved as a variation under the clause in the contract dealing with Variations to the contract.
  • 7.
    Change Control Managing changeis both an opportunity and a risk and is key to the successful delivery of projects - financial and programme
  • 8.
    Acceptance of Variations Whocan issue Instructions? ▫ Only take instructions from the person / company we are in contract with ▫ Ask yourself “Who pays us?” Who can receive Instructions? ▫ Project Manager
  • 9.
    Acceptance of Variations Howare Instructions issued? ▫ Only take instructions in writing ▫ If an instruction isn’t in writing, write it yourself - C.V.I’s and confirm it with the person issuing it
  • 10.
    Logging Variations Recording Variations ▫Keep a record and log all variations ▫ Start and maintain a Variation Log Why log a change? ▫ A variation log enables accurate production of Applications / Invoices (stage payments)
  • 11.
    Variation Log Contents ▫ Item# (Co) ▫ Authorisation ▫ Date received ▫ Description (brief) ▫ Value (and % complete, current value) ▫ Effect on Programme
  • 12.
    Variation Issues • Useyour judgement • Assessing the variation ▫ For value and risk to the programme • Revisions to the programme • Variations are generally not paid on a time & material basis, they are paid in accordance with the contract T&Cs
  • 13.
    Actions • To createand maintain a variation log • Variation Logs to be updated weekly and included in company and client weekly reports
  • 14.
    Wrap Up • Variationsare both Risk and Opportunity • A variation log enables accurate production of Applications / Invoices (stage payments) • This process assists us in adding value to projects, developing opportunities and minimising risks
  • 15.
    Thanks Thank you andsee you next time Promenade Projects