Change Management: Navigating Shifts Without Losing Control
Mastering Project Controls – Series Part 7 (PC007)
Introduction: Change is Inevitable—Control is Not
In the lifecycle of any capital project, change is not a possibility—it’s a certainty. No matter how thorough the planning, how experienced the team, or how carefully a project is scoped, unforeseen conditions, stakeholder requests, market dynamics, or technical discoveries will eventually shift the trajectory.
Yet, while change is inevitable, losing control is not.
Change management, when embedded into a project's DNA, transforms disruption into managed evolution. When ignored, it becomes the slow undoing of schedule, budget, scope—and credibility. In this article, we explore how leading organizations build robust, scalable change management systems that protect project outcomes and stakeholder trust.
What Is Change Management in Capital Projects?
Change management refers to the structured approach for evaluating, approving, implementing, and documenting deviations from the original project baseline—most commonly related to scope, schedule, cost, or quality.
Common Sources of Change:
Design refinements or errors
Regulatory shifts or permit constraints
Field discoveries or unforeseen conditions
Owner-directed changes
Market pricing volatility
Contractor-driven requests (RFIs, VE proposals, etc.)
A mature change management process doesn't eliminate these changes—but it ensures each one is understood, assessed, validated, tracked, and approved within the right framework and authority.
The Real Cost of Unmanaged Change
Poorly managed change is a silent killer of capital projects. It doesn't always show up in explosive conflicts—it shows up as budget overruns, schedule slippage, scope creep, and disillusioned stakeholders.
Risks of Weak Change Management:
Blurred accountability (“Who approved this?”)
Erosion of trust between project partners
Misalignment with original business case
Budget and contingency misuse
Reduced ability to forecast outcomes
Legal exposure in disputes or claims
The damage isn't just technical—it's organizational. Repeated failures to control change hurt leadership credibility, degrade sponsor confidence, and weaken future funding opportunities.
The Foundation: A Solid Baseline
You can’t control change without a clear reference point.
Change Management Begins with a Baseline:
Scope Baseline: Defines what the project includes—and excludes.
Schedule Baseline: Establishes key dates, durations, and dependencies.
Cost Baseline: Locks in the authorized budget across work packages.
Quality Baseline: Aligns performance expectations and compliance standards.
Each change is assessed in relation to these baselines. Without them, it’s impossible to know whether a change is really a deviation—or just poor documentation.
Five Core Elements of a Project Change Management System
To control change, you need more than instinct. You need a system. The most effective frameworks include:
1. Change Identification
Changes must be captured early, often from:
Field observations
Design evolution
Stakeholder input
Risk mitigation actions
Contractor RFIs or submittals
A log or tracker should be used from the outset, even before formal approval is pursued.
2. Impact Assessment
Each change must be evaluated against:
Cost impact
Schedule implications
Scope alignment
Risk profile
Stakeholder perception
This is not a simple yes/no—it’s a multidimensional review with documented findings.
3. Governance and Approval
Defined workflows clarify:
Who can approve what level of change (e.g., <$10K vs. >$1M)
When sponsor approval is required
How documentation must be submitted and stored
What supporting analysis is necessary (schedule fragnets, cost estimates, etc.)
This hierarchy protects against unauthorized or casual commitments.
4. Implementation and Communication
Once approved, changes must be:
Rolled into project controls (schedule, cost, contracts)
Communicated to all affected parties
Monitored to ensure correct execution
If change isn’t clearly communicated, it won’t be effectively executed.
5. Documentation and Audit Trail
A clean, accessible change history is essential for:
Claims defense
Executive reporting
Lessons learned
Final project closeout and commissioning
Documentation should connect scope revisions to cost logs, contract amendments, and updated schedule paths.
Best Practices in Change Management
To elevate change control beyond the checklist, leading teams embed these habits:
✅ Baseline Freeze Date
Establish an official “baseline freeze” point where major inputs are locked—any changes thereafter trigger the full change process.
✅ Rolling Contingency Strategy
Align contingency with change management by:
Holding scope contingency within project team control
Escalating major changes to owner-held contingency
Releasing unused contingency through formal steps
✅ Weekly Change Review Cadence
Make change management a standing part of project meetings—not a reactive scramble.
✅ Change Control Committees
For large programs, create cross-functional change review boards that include finance, operations, quality, and delivery leaders.
✅ Digital Workflow Tools
Use tools like eBuilder, Procore, Unifier, or SharePoint-integrated forms to track and route change requests in real-time.
Scaling Change Management to Project Size
The intensity of your change control system should match the size, risk, and complexity of the project:
| Project Type | Change Control Approach |
|---|---|
| Small Facility Upgrade | Email log + manager sign-off |
| Mid-Size Renovation | Formal log, impact forms, 2-level approval |
| Complex New Build | Workflow engine, baseline comparison, board review |
| Major Capital Program | Portfolio-level governance, automated dashboards |
Remember: Over-controlling a small job wastes time. Under-controlling a large one invites chaos.
The Owner’s Rep Role in Change Management
As Owner’s Representatives, our job is to:
Establish the process during preconstruction
Enforce discipline during design and delivery
Evaluate changes independently and objectively
Translate impact into business terms (not just technical ones)
Protect value and intent of the original business case
We are the stewards of the owner’s interests—especially when change tests alignment between delivery and vision.
Case Snapshot: Preventing $600K in Uncontrolled Scope
On a recent project, a specialty contractor proposed a change order to change equipment layout—this would reduce their cost and shorten installation by a week. But our due diligence revealed ripple effects:
Fire-rated assembly conflicts ($45K impact)
Conflict with mechanical system layout (redesign and re-review needed)
Production Flow ($3K/day operational risk)
Our change impact log demonstrated a total exposure of $600K+, plus an additional $144,000/year of production cost. With proper controls, the owner opted for a different path—preserving both budget and design intent.
Conclusion: Control Isn't About Saying “No”—It's About Asking the Right Questions
Change is not inherently bad. In fact, well-managed change can unlock value, respond to emerging needs, and optimize designs. But to do so, it must be intentional, not accidental.
A strong change management process enables confident decision-making, protects outcomes, and preserves trust across all project stakeholders.
At Albers Management, we build change management systems that are flexible enough to evolve, yet structured enough to control—because real project leadership means navigating shifts without losing control.
Learn More
This article is part of our ongoing Project Controls Master Series, where we break down the systems that turn good intentions into great results.
🔹 Read PC-006: Risk Management – Anticipating the Unexpected
Next-Level Insights Coming Soon
We’re expanding this short blog into a full-length guide covering strategic forecasting, risk modeling, and cost governance in complex capital projects.
Get Notified When It DropsWant a deeper, behind-the-scenes perspective?
Read the personal blog version by David Gray:
What Are Project Controls? – DavidGrayProjects.com
About the Author
David Gray is a principal at Albers Management and a national expert in capital program delivery. With experience managing over $20B in complex infrastructure and healthcare projects, he leads with strategy, structure, and service.
Outside of Albers, David shares long-form insights and behind-the-scenes lessons at DavidGrayProjects.com, where he writes about project strategy, leadership, and the future of infrastructure.
Visit DavidGrayProjects.com →