Change Order Management

OBJECTIVE

The Change Order Management function is used to manage change orders and amendments to original contracts. It creates a link between the various modules and updates the following information: budgets in Project Management, customer contracts (Contract Management) and sub-contractor contracts (Subcontract Management).

The Contract Management and Subcontract Management options contain a Change Order tab where the change orders linked to a contract are displayed. Order amendments are used to make changes to purchase orders. Certain information are transmitted to invoicing when transferring the change order (customer order number, entered date, submitted date). Transactions which have a Rejected or Non Billable status are accessible by clicking the Show Rejected / Non Billable Entries icon. It is not possible to transfer change orders that are at one of these statuses. To reopen a change order that has been transferred, click the File menu and select Move to Approved Status.

 

PREREQUISITEs

• Project Management

 

ICONS

Change Order Management Icons

Icon Title Used to Transfer Transfer a change order. It is not allowed to transfer lines without amounts on already transferred orders. NOTES: Check the box Check to confirm a final transfer to perform all of the remaining transfers and close the change order. Check the Invoicing box to add the change order to the billing contract. Check the Orders box to create or update supplier orders. Check the Budget Modifications box to transfer the expense and revenue budgets to the project. Print (CTRL+P) Print the change order form. With the icon’s dropdown menu, it is also possible to print the Report Generator, the List of Change Orders or the Ongoing Change Orders which provides details on change orders related to a project. Word Form Display the Change Order in a Word form. Documents Display documents saved in Document Management for the project linked to this call. Display Only Non-transferred Entries Display non-transferred change orders. Display Only Transferred Entries Display transferred change orders. Show rejected/non-billable entries Display refused/non-billable change orders. Simplified Activity Management Access the Activity Management screen. Contract Access the Contract Management screen. Order Access the Purchase Order Details screen. Material Import Import material from the Material List tab. Configuration Configure maestro* behaviour for the change order management. NOTE: These configurations are saved by user.

 

Summary

• Enter a change order
  • Add item from a kit

 

STEPS 

maestro* > Projects > Change Orders > Change Order > Change Order Management

 

Enter a change order

1. Enter the required information:

Field	Description
Counter	Counter number assigned automatically by maestro* when the record is saved.
Change Order	Number that identifies the change. NOTES: This number is included on reports and in Subcontract Management. It will be impossible to transfer the change notification to invoicing if this field is empty.
Status	Change status in maestro*. Available values. Pending The change order is entered, but the information is not updated in Project Management, Subcontract Management or Progress Billing Contracts. NOTE: Transfers are not allowed in this status. Submitted The change order can be modified. Transferring allows you to update subcontract orders, adjusts the budget in Project Management and it updates progress building contracts. NOTE: When a detail line is transferred, the changes made to the latter cannot be updated on orders unless the status is changed to Approved. Approved Permanent change order for the amounts on detail lines. Only new detail lines can be added once the transfer is completed. Rejected Indicates that a change order is rejected. NOTE: The rejected status is only available if no budget or order transfer has been made. Non Billable Indicates that the change order is not billable, but that some work has been done. NOTES: This status is available when budget or order transfers have been made. If the status of a change order that has been transferred is changed from Submitted to Non Billable, the values in the Proposed Selling Amount and Proposed Admin Amount columns will be subtracted from the budget and its status will be changed to Non-transferred.
Project-#	Project affected by the change order.
Level	Allows the linking of change orders by indicating a Master change order and Sub Change Order. The change order can also be indicated as a Unit and therefore will not be linked to other change orders. NOTE: Printing a master change order automatically implies that all of the sub change orders linked to it will be printed.
Sub-project	Sub-project affected by the change order. NOTES: Only available if the Manage change order with sub-project option is activated in Configuration. The project specified must be a sub-project of the previously entered project.
Description	Description of the change order displayed in the subcontracting contract and the various billing contracts (Contract Management, Progress Billing Contracts or Cost Plus Contract Management). NOTE: This description is also displayed on reports linked to the change order.
Date Entered	Date on which the change order was entered in maestro*. NOTE: The date is displayed automatically when a new change order is saved.
Date Received	Date on which the change request is received.
Change type	Available values. Other Other. Change Notice Change notice sent to be noted in the project. Change Directive Means that the change notice is mandatory and must be processed. NOTE: Available for information purposes only. Maestro* does not process anything in this field. External Cost Only Indicates that the change order only pertains to a sub-contractor or supplier and that it does not entail any changes to the project budgets. Therefore, it must not be billed to the client. Warning! This type of change order cannot be billed nor can it be transferred to the project’s budgets. Internal Indicates that the change order only affects the project budget and will not be billed to the client. However, this type of change order can pertain to a sub-contractor or supplier. Warning! This change order cannot be billed.
Reference	Used to enter reference text related to the change.
Management Type	Used to identify which invoicing method will be used when invoicing the change order. Two values are possible: Contract Invoicing / Progress Billing or Cost Plus Invoicing.
User in Charge	Allows the entry of the user in charge of the change order.

2. Enter the required information in the Detail tab:

1. Main section:

Field	Description
Engineer Number	Engineer reference number assigned to the project.
Architect	Architect reference number assigned to the project.
Other Reference	Text field for entering a reference.
Customer Order	Customer order number.
Notes	Notes about the change. Printed on the List of Change Orders.
Charge the revenues to projects identified in the breakdown	If checked, applies the budget modifications to the projects indicated in the breakdown as opposed to the project or sub-project indicated in the header of the change order.

2. Revenues section:

Field	Description
Date Submitted	Date on which the change was submitted.
Expiry date	Deadline for accepting the change.
Date Approved	Date on which the change was approved.
Order	Specifies the line number that contains the change in Progress Billing Contracts. NOTE: The change order must have been transferred to invoicing prior to this. It must therefore have a status of Submitted or Approved.
Total amount submitted	Total value of the submitted change. NOTE: The Transferred box is checked by default when the change is transferred.
Inclusive Price	Lump sum value of the change for information purposes only. NOTE: The Submitted box can be checked manually to tell maestro* that the lump sum amount has been submitted for approval. Warning! An inclusive price cannot be entered for an External Cost Only or an Internal change order.
Total amount approved	Total value of the approved change. NOTE: The Transferred box is checked by default when the change is transferred.
Description	Displayed in the Detail tab in Contract Management when the change is transferred.
Activity	Revenue activity. Warning! An activity cannot be entered for an External Cost Only or an Internal change order. NOTE: If the Copy the income activity in the grids “Breakdown” and “Material List” option is activated in the configurations, the income activity that has been entered will be copied for each new line of the Breakdown and Material List tabs. It is not possible to have the same activity code more than once in a project or sub-project for type 2 - Cost Plus Invoicing change orders.
Group	Revenue group. NOTE: This field is linked to the Chg Order field of the Contract Management (Contractual Billing): In “Insertion” mode, if a project is selected: Linked to a contract: the value of Chg Order field is copied to Group field. Not linked to a contract: the value of Group field is deleted. In “Edit” mode, if the project is changed for another: Linked to a contract: the value of Chg Order field is copied to Group field. Not linked to a contract: the value of Group field is kept.
Ballpark Amount	Estimated amount that we expect to invoice to the customer, regardless of the amount quoted to the customer. NOTE: For information purposes only. This field is not used for any other purposes. It can appear on the Change Order Report if the column is made visible.

 

If the Post Selling Budgets from Change Orders to Cost Activities and Groups box is checked in the Options tab of Project Management, the changes to the selling budgets will be charged to the activities and groups listed on each line of the breakdown, rather than to the activity and the group indicated in the header of the change order. However, if the Post Selling Budgets from Change Orders to Cost Activities and Groups box is checked, Activity and Group fields will remain editable at any time. Note that this functionality is independent of the Charge the revenues to projects identified in the breakdown configuration. In order for the Options tab to be visible in Project Management, the Allow the entry of budgets without validating the type of groups box must be checked in the General Settings, Projects – General section.

3. Breakdown section:

The values entered in the Qty, Unit Price (U.P.), Selling Amount, Admin Rate and Admin Amount fields in the Proposed section are automatically copied to the Accepted section if the Status of the change order changes to Approved.

 

Field	Description
Description	Description of the detail lines on the change order. NOTES: A default description named Material is displayed on the lines resulting from the compilation of items entered in the Material List tab. This description is displayed in the details of the change order transferred to Subcontractor Contract.
Company	Allows to enter an expense company other than the current company. NOTE: This column only appears in multidimensionnal mode. NOTE: It is impossible to change the expense company on an already transferred line.
Project	Allows the selection of the project number. NOTE: The project can be different from the header, provided that it is a subproject of it.
Activity	Expense activity. NOTE: The activity cannot be modified if the line is the result of a compilation of items from the Material List tab. To modify the activity, return to the Material List tab.
Group	Expense group. NOTE: The group cannot be modified if the line is the result of a compilation of items from the Material List tab. To modify the group, return to the Material List tab.
Estimated amount	Estimated value of the line. NOTES: For information purposes only. The estimated amount cannot be modified if the line is the result of a compilation of items from the Material List tab. To modify the estimated amount, return to the Material List tab.
Document	Used to enter multiple documents per line using Document Management.
New Purchase Order	Creates a new purchase order for the change order if the box is checked. If the box is not checked, maestro* can add the change order to an existing order. If an existing order is selected in the Order column and the New Extension column is completed, maestro* creates a new extension to the order. In this case, the New Purchase Order box must not be checked. NOTES: The Supplier Code and Type columns must be completed if the box is checked. The new purchase order is created based on the type selected and is saved with a Reserved status. Maestro* creates an order for each change order and for each supplier. Maestro* creates a stock order from the catalogue if the breakdown line is from the Material List tab.In this case, the box is checked by default. The user can clear the box if they do not want to create an order for these items.
Order	Used to link the breakdown line to an existing Subcontract, Purchase Order or Stock Order from Catalogue. NOTES: If items are added to a closed order, maestro* creates a new order using the same purchase order number and adds an extension number. Maestro* adds the change to the Subcontract Management, Purchase Order or Stock Order fromCatalogue when transferring.
Extension	Extension of the selected order. NOTE: This field is linked to the previously selected order.
New Extension	Used to create a new Purchase Order or Stock Order from Catalogue based on an existing order. The new order will have the same number, but with the extension number indicated. NOTE: This field is only available if a PurchaseOrder or Stock Order from Catalogue was selected in the Order column.
Line	Reference line number in the linked order. NOTE: This information is updated by maestro* when transferred to orders.
New SCO	Allows to process change order lines on a new subcontract, even if a part of it has already been processed (transferred). NOTES: By default, the box is not checked if: in the Order field, there is no other lines with the same number in the breakdown grid; lines can be found with the same number in the Order field, but SCO Number field is empty. By default, the box is checked if lines are found with the same number in the Order field with a status other than not transferred.
SCO Number	Numbering of the change order for this subcontract. Provided for information purposes. NOTES: This number is assigned automatically by maestro* when the change order is saved for breakdown lines that are linked to a subcontract. This number can be printed on the change order form and on the List of Change Orders (detailed format) if the column is visible.
Order Status	Line status in relation to the order.
Type	Identifies the type of order created. Available values. NOTE: The type displayed by default when the New Purchase Order box is checked is Subcontract Order. According to the user’ security, it is possible to restrict the order types. Stock Order from Catalogue Maestro* displays the Stock Order from Catalogue type if the line is from a compilation in the Material List tab or if a catalogue order is selected in the Order field. Regular Order Maestro* displays the Regular Order type when a regular order is selected in the Order field. Subcontract Order Maestro*displays the Subcontract type if subcontract is selected in the Order field. NOTE: When the New Purchase Order box is checked, the Subcontract Order type allows the line to be considered like an original contract opposed to a change order in the Subcontract Management.
Qty	Quantity related to the cost. NOTES: This field is optional. If used, a unit price must be entered. The quantity cannot be changed for lines resulting from a compilation in the Material List tab. The quantity entered in this field is automatically copied in the Proposed Qty and Accepted Qtycolumns.
Unit of Measure	Measuring unit of the item requested. NOTE: This field is available in forms and will be transferred to the Subcontract Management, if required
U.P.	Unit cost related to the quantity. NOTE: No unit price is displayed if the line is the result of a compilation in the Material List tab.
Amt	Amount to be transferred for the cost. NOTES: You can let maestro* perform the calculation by entering only a quantity and unit price. The amount cannot be modified if the amount is the result of a compilation of items entered in the Material List tab.
Supplier Code	Supplier code entered in the order for information purposes. NOTE: This field must be completed if the New Purchase Order box is checked.
Supplier Name	Displays the name of the supplier entered on the order for information purposes.
Tax 1	Purchase tax.
Tax 2	Second purchase tax.
Currency Code	Code for the currency used.
Currency Rate	Displays the currency rate used.
Converted Amount	Amount to transfer for the cost price, converted into the chosen currency.
Proposed Qty	Quantity proposed for this line of the change order. NOTE: If this line is from the compilation of the material in the Material List tab and if the Detailed MaterialTransfer option is checked in Configuration, the quantity entered in the Selling Qty field in the Material List tab is displayed automatically in this column. Otherwise, this column will be empty by default, but can be completed manually.
Proposed U.P.	Unit price submitted for the material on the change notification. NOTE: If this line is from the compilation of the material in the Material List tab and if the Detailed MaterialTransfer option is checked in Configuration, the unit selling price entered in the Material List tab is displayed automatically in this column. Otherwise, this column will be empty by default, but can be completed manually.
Proposed Selling Amount	Proposed selling price for the change. NOTE: When transferring, this amount affects the progress billing and/or the selling budget. Warning! A proposed selling amount cannot be entered for an External Cost Only or Internal change order. NOTE: If this line is from the compiling material entered in the Material List tab and if the Transfer Detailed Material option is not checked, maestro* adds the selling amount for each item to ensure only one amount is used.
Proposed Admin Rate	Administration rate to be added to the proposed selling price. NOTE: This field is optional. If it is used, maestro* automatically calculates the Proposed Admin Amount. Warning! A proposed admin rate cannot be entered for an External Cost Only or Internal change order. NOTES: If this line is from the compiled material entered in the Material List tab and if the Transfer Detailed Material option is checked, maestro* displays the administration fee percentage entered in Configuration in the Projects menu (Maintenance submenu), based on the type of each item entered. The rate may be from Contract Management cost plus, if the project used in the change order exists in Contract Management. Warning! If changes are made to the expense group, the Proposed Admin Rate will have to be corrected manually.
Proposed Admin Amount	Amount of administration fees. If the Proposed Admin Rate field has been used, this amount will be automatically calculated. Warning! A proposed admin amount cannot be entered for an External Cost Only or Internal change order.
Proposed Profit Rate	Proposed profit rate, to be added to the proposed selling rate. Thus, administration and profit can be processed separately. NOTE: This field is optional. If it is used, maestro* automatically calculate the Proposed Profit Amount.
Proposed Profit Amount	Proposed profit amount. If the Proposed Profit Rate has been used, this amount is automatically calculated as the sum of the Proposed Selling Amount and the Proposed Admin Amount.
Proposed Total	Sum of the Proposed Selling Amount and Proposed Admin Amount. Calculated automatically by maestro*.
Rejected	Used to indicate that the change has been rejected. Maestro* resets the Proposed Selling Amount and Proposed Admin Amount to zero. NOTE: This field is only available if no transfer has been made.
Qty Accepted	Used to enter the quantity accepted.
U.P. Accepted	Used to enter the unit price accepted for this line on the change notification.
Accepted Selling Amount	Accepted selling amount for the change. NOTE: When transferring, this amount affects the progress billing and/or the selling budget. Warning! An accepted selling amount cannot be entered for an External Cost Only or Internal change order.
Accepted Admin Rate	Administration rate to be added to the accepted selling amount. NOTES: This field is optional. If it is used, maestro* automatically calculates the Accepted Admin Amount. The default rate is the sum of the admin and profit rates entered in the cost plus Contract Management if the project linked to the change order can be found in this option. Warning! An accepted administration rate cannot be entered for an External Cost Only or Internal change order.
Accepted Admin Amount	Amount of administration fees. If the Admin Rate Accepted field has been used, this amount will be automatically calculated. IMPORTANT NOTE: An accepted administration fee cannot be entered for an External Cost Only or Internal change order.
Accepted Profit Rate	Accepted profit rate, to be added to the accepted selling rate. Thus, administration and profit can be processed separately. NOTE: This field is optional. If it is used, maestro* automatically calculate the Accepted Profit Amount.
Accepted Profit Amount	Accepted profit amount. If the Accepted Profit Rate has been used, this amount is automatically calculated as the sum of the Accepted Selling Amount and the Accepted Admin Amount.
Total Accepted	Sum of the Accepted Selling Amount and of the Accepted Admin Amount, calculated automatically by maestro*.
Budgets Status	Specifies whether or not the budget has been transferred.
Do not print	Tells maestro* whether or not the change should be printed during invoicing.
Source	Code for the supplier entered in the Material List tab.
Source Supplier	Name of the source supplier from the Material List tab.
Line Type	Allows you to enter any alphanumeric code on separate lines, if necessary. For example, to print a bold line on the form, you can enter a character such as "B" in this field. NOTE: Simply add a condition on the form so that the lines containing the character “B” are printed in bold.

4. Material List section:

This section is used to enter the items you want to order on this change order. When you leave this section, the material entered will be analyzed and grouped by activity, group and supplier (from which they are to be ordered). Lines summarizing the material will be created automatically in the Breakdown section.

You can transfer detailed material lines in the Breakdown section by clicking the Configuration icon and checking the Detailed Material Transfer option. Using this method, each line of the entered materials will be copied to a separate line in the Breakdown tab. The quantities, unit prices and selling amounts will also be copied to the breakdown grid and under the Proposed Qty, Proposed U.P.and Proposed Selling Amount columns.

 

In multidimensional mode, the Material List grid includes a Company column that allows the linking of the item to the corresponding company.

 

Field	Description
Labour Ratio	Allows the selection of a scenario of labour ratio for the items. Ratios are defined in the Catalogue Management option. NOTE: It is necessary to choose a labour ratio to calculate the Installation Cost of items.
Date	Date on which the material is entered. NOTE: This date is for information purposes.
Product Code	Inventory code from Catalogue Management. If the item is a kit, see section Add item from a kit. NOTES: You can enter a code that does not exist in Catalogue Management if preceded by an exclamation mark (!). If a (.) is entered, it tells maestro* that the line is a comment. All prices associated with the item in the catalogue can be viewed by clicking the Unit Price icon.
Description	Description of the item. NOTE: You can select an assembled product by placing the cursor in the Description field and clicking the arrow. The content of the product configured in Define Bill of Materials is displayed automatically.
Long Description	Additional description used to add information to the description of the item. NOTE: This information will be transferred to the Stock Order from Catalogue.
Activity	Determines the activity to which each breakdown line belongs. NOTES: The activity is confirmed when the change order is saved based on the activities available in the selected project. The activity is from the Catalogue Management (Expense Activity field).
Group	Determines the expense group to which each breakdown line belongs. NOTES: The group is confirmed when the order is saved according to the access to the groups defined in Security Management and the groups available in the selected project. The group is from Catalogue Management (Expense Group field).
Supplier Code	Default supplier code from Catalogue Management. NOTES: The supplier code can be changed by selecting another supplier from Supplier Management. The supplier proposed by default is the one identified in Item Type Management, based on the type specified in the catalogue item. If no supplier is identified, the supplier is taken from the table containing 4 suppliers in Catalogue Management.
Unit	Conversion unit. NOTE: The unit varies based on the factor entered in the item in the Catalogue Management option.
Site	Site on which the item is located. NOTES: If a site is specified in Catalogue Management, it is entered by default. Otherwise maestro* uses the one in Configuration. This site will be used by default for the Receipt of Goods.
Location	Location of the item. NOTES: If a location is specified in Catalogue Management, it is entered by default. This site will be used by default for the Receipt of Goods.
Characteristics	Characteristics of the item.
Identification	Identification of the item. NOTE: Identification can be a serial number if the Element Management Method is 3-Serial No or a size if the Element Management Method is 4-Variable Size in Catalogue Management.
Reservation No	Reservation number. NOTE: This number can be manually entered by the user.
Qty	Quantity of requested inventory. NOTE: The quantity entered in this field is automatically copied in the Selling Qty column.
Qty Used	Quantity used for information purposes only.
Supplier Unit	Unit used by the supplier for the chosen item in the catalogue.
U.P.	Unit price of the item.
Disc %	Discount percentage. NOTE: If a percentage is defined in Define Supplier Pricing, it is entered automatically.
Amount	Breakdown line amount.
Selling Qty	Quantity of the item to be invoiced.
Selling UP	Unit selling price of the item. IMPORTANT NOTE: The unit selling price is only displayed if a customer code is linked to the project in Project Management and if a sale price can be determined for the item, using usual methods.
Selling Amount	Selling amount for the item. NOTE: This amount cannot be changed and is the result of the selling quantity multiplied by the unit selling price.
Resource Code	Resource code from Catalogue Management, Miscellaneous tab, Estimation section. NOTE: The resource must be defined in Resource Management of the Estimating menu.
Installation Rate	According to the chosen Labour Ratio, installation time for the item, in hours.
Installation Time	Total installation time for the line, calculated by multiplying the Installation Rate by the Selling Qty.
Resource Selling Rate	Selling unit price of the resource. This price is determined according to the Billing item indicated in the resource.
Installation Cost	Total installation cost for the line, calculated by multiplying the Installation Time by the Resource Selling Rate.
Total Time and Material	Total selling amount. Sum of the Installation Cost and the Selling Amount.
Transferred	Specifies whether the material was transferred in a catalogue order or not. NOTE: This field is provided for information purposes. The user cannot change it.
Breakdown Line	Specifies the breakdown line number on which the change order item was grouped. NOTE: This field is provided for information purposes. The user cannot change it.
Order number	Displays the order number created. NOTE: This field is provided for information purposes. The user cannot change it.
Extension Number	Order extension associated with the line. NOTE: This field is provided for information purposes. The user cannot change it.

3. Enter the required information in the Detailed Description tab: this tab is used to enter a detailed description of the change, which can be printed on the form. You can format the text by changing the style (font, size, alignment, etc.).
4. The Additional Fields tab allows the user to customize the Change Order Management by adding fields. Click on the Configuration button to add fields.
5. The Change Order List tab is used to see the change orders linked to the project.
6. The Issues tab is used to see the instructions linked to issue management.
7. Click Save.

You can print a change order form by clicking the Print icon. It must first be configured in Configuration option. You can keep a copy of the form in Document Management if the configuration information for the Change Order Management form has been entered in the Mailing Configuration option. You can send the change order form by e-mail using the Send to All Recipients function available in the maestro* report viewer.

Add item from a kit

This feature applies to items whose Status corresponds to Kit in the Catalogue Management option.

1. In the Material List tab, enter the kit's product code in the column or click on the icon to select a kit through the Select a record window. The Component Selection window opens.
2. Enter the amount of kits (Quantity) needed in the change order.
3. Check the kit items to include in the change order.
4. Click on Select.
   All chosen kit items will automatically be added to the change order.
5. Save the change order.

 

See also

• Subcontract Management
• Stock Order from Catalogue
• Configuration – Projects
• Contract Management
• List of Change Orders
• Change Order Report
• Progress Billing Contracts
• Mailing Configuration

 

Last modification: November 12, 2024