The Hidden Cost of Poor Variation Management
Variations are a normal part of construction.
What separates successful projects from struggling ones is not whether variations occur, but how they are identified, documented, priced, and managed.
Many construction businesses lose significant margin through variation work that is underpriced, poorly documented, or approved too late.
The challenge is that variation-related losses often remain hidden until the project reaches completion.
By then, opportunities to recover costs may no longer exist.
Strong commercial discipline helps ensure that changes are captured accurately and communicated clearly throughout the project lifecycle.
Protecting profitability requires more than delivering quality work.
It requires maintaining visibility over every change that impacts project cost and scope.
For a deeper look into why variations remain one of the largest threats to construction profitability, read:
Most builders do not lose their margin on the estimate. They lose it after the contract is signed, in the space between what was agreed and
In many projects, margin is not lost through major mistakes. It disappears through unmanaged changes.