Change management

Definition: What is change management?

Change management (also known as variation management) refers to the systematic recording, evaluation, and management of changes and deviations during a project compared to the originally established budget or project plan. Particularly in the real estate and construction industries, change management ensures that all modifications are transparently tracked, documented, and approved in order to address cost overruns in a timely manner.

Change Management Explained Simply

At its core, change management encompasses the following processes:

• Pre-registration of changes: Changes are identified and documented at an early stage.
• Review: Assessment of feasibility, impact on the budget, and schedule.
• Budgeting: Financial assessment and integration of the change into the existing budget.
• Approval: Authorization by the relevant stakeholders.
• Settlement of the change: Final financial settlement and integration into Controlling.

Application example: Change management in the construction industry

In a large-scale project such as airport construction, unforeseen events often arise: construction delays, changes in material prices, or revised client requirements. Professional change management ensures that every change is transparently documented, evaluated, and made visible in real time.

Sample workflow in PROBIS:

1. The project manager identifies a necessary change (e.g., additional safety measures).
2. This change is pre-entered in PROBIS and automatically forwarded for review.
3. The department evaluates the change in terms of costs, schedule, and risks.
4. Once the proposal has been approved, the budget is finalized and funding is authorized.
5. The approved amendment will be incorporated into the overall budget and automatically processed through the system.

Digital change management, such as that offered by PROBIS, provides enormous advantages over manual processes thanks to real-time data and automated workflows. It reduces human error and increases efficiency and transparency.

Why is change management important?

In complex construction projects in particular, there is a high risk that the budget and schedule will quickly spiral out of control. Effective change management enables:

• Full transparency: A real-time overview of the status of all changes and their impact.
• Risk mitigation: Early detection of and response to deviations prevents costly rework.
• Clear communication: All stakeholders (investors, banks, project managers) are always on the same page.

Project controllers, construction managers, investors, and banks benefit particularly from structured change management, as they always need a transparent, up-to-date overview of project developments.

Common Challenges Without Change Management

Without professional change management, the following challenges often arise:

• Time-consuming, manual management of changes using Excel.
• Lack of real-time data on budgetary impacts.
• Delayed communication, which makes escalations more likely.

Benefits of PROBIS

PROBIS's cloud-based solution enables intelligent change management with:

• Real-time cash flow planning: Changes are immediately reflected in budgets and forecasts.
• AI-powered developer cost estimation: Fast and accurate financial assessments of all changes.
• Integrated interfaces: Seamless connection to ERP, CRM, and other systems.
• Transparent KPI analysis: Key metrics and project progress are available at any time.

Synonyms and related terms

• Supplementary management
• Change Management
• Change Management
• Project adjustments

Conclusion

Professional change management, as offered by PROBIS, ensures that all project changes are tracked transparently, evaluated quickly, and clearly documented. This allows project managers to maintain control over costs and schedules at all times and to proactively address risks. For project controllers and strategic decision-makers in the real estate and construction industries, it is an indispensable digital solution.