Who can initiate a change order according to management practices?

In project management and contract administration, a change order is a formal request to modify the terms of a contract, which can include changes to the scope of work, deliverables, or timelines. Recognizing that both customers and vendors can have valid reasons to initiate a change order is crucial.

Customers may identify changes needed due to evolving project requirements, budget adjustments, or unforeseen circumstances. Their input is essential for ensuring the project's objectives align with their expectations and strategic goals. On the other hand, vendors may also initiate change orders to address challenges such as resource availability, technical difficulties, or regulatory changes that impact their ability to deliver as originally planned. By allowing both parties to initiate a change order, the process becomes more collaborative, facilitating adjustments that reflect the realities of the project.

This mutual capability to initiate change orders supports effective communication, fosters teamwork, and promotes a sense of shared ownership over the project. This is essential for maintaining a productive relationship throughout the project life cycle, ensuring that all parties are engaged in resolving issues that arise.