Research / Missed claims statistics / Client-approved change orders, 67 Australian public infrastructure projects
Client-approved change orders, 67 Australian public infrastructure projects
10.6%of contract value
AustraliaModerate confidenceMoney at stake
10.6% of contract value: Client-approved change orders, 67 Australian public infrastructure projects (Love, Irani, Smith, Regan & Liu, 2017; Australia; moderate confidence).
What it is. 10.6% of original contract value, client-approved change orders.
Sample. 67 completed public infrastructure projects from one contractor, Australia, civil. Mean change orders were about AU$5.1m and made up 11% of work value 2011-2014.
What it is not. SIZE OF THE POT, NOT A LOSS. No study measures how much of it a typical contractor fails to claim. Change orders were linked to HIGHER contractor margins, which is the opposite of a loss.
Where it came from
- Love, Irani, Smith, Regan & Liu (2017), Cost Performance of Public Infrastructure Projects: The Nemesis and Nirvana of Change-Orders · free copyTable 2; accepted manuscript, Change-Orders section · source record