AI Driven Change Order Detection and Processing in Construction

Introduction

This workflow outlines a comprehensive approach to smart change order detection and processing in construction projects. By leveraging advanced AI-driven tools and methodologies, teams can efficiently manage changes, assess impacts, and streamline approvals, ultimately enhancing project outcomes.

Smart Change Order Detection and Processing Workflow

1. Initial Change Request Identification

The process begins when a change to the original project scope is identified. This may arise from various sources:

• Site inspections revealing unforeseen conditions
• Client requests for modifications
• Design team updates or revisions
• Regulatory changes affecting the project

AI-driven tools can assist in this stage:

• Procore’s Construction IQ: This AI-powered risk analysis tool can automatically flag potential issues in project documents that might lead to change orders, allowing teams to proactively address problems before they escalate.
• PlanGrid BIM: Utilizing AI and machine learning, this tool can analyze 3D models and 2D drawings to identify discrepancies or conflicts that may necessitate changes.

2. Document Capture and Analysis

Once a potential change is identified, relevant documents need to be captured and analyzed:

• Onsite’s AI-powered Document Management System: This tool can automatically categorize and tag incoming documents related to the change request, facilitating faster retrieval and analysis.
• OpenAsset’s DAM software: Leveraging AI, this system can organize and tag visual assets such as project images, which is crucial for documenting site conditions or design changes.

3. Change Impact Assessment

AI can assist in quickly assessing the potential impact of the proposed change:

• Alice Technologies’ construction simulation software: This AI-powered tool can simulate the impact of proposed changes on project schedules and costs, aiding teams in making informed decisions.
• Autodesk Construction IQ: This AI tool can analyze the proposed change against historical project data to predict potential risks and impacts.

4. Change Order Creation and Documentation

Once the change is deemed necessary, a formal change order must be created:

• Houzz Pro’s Change Order Software: This tool streamlines the creation of change orders, enabling teams to quickly generate detailed documentation.
• SmartBarrel’s AI-powered system: This tool can automatically scan site photos for changes in progress, assisting in documenting the need for change orders and tracking their implementation.

5. Approval Workflow

The change order then undergoes an approval process:

• Sitemate’s Change Order Software: This AI-enhanced tool can automate the routing of change orders to the appropriate stakeholders for review and approval, sending real-time notifications to keep the process moving.
• SubBase AI: This tool can automate the invoice reconciliation process, which is crucial when approving change orders that affect project costs.

6. Implementation and Tracking

Once approved, the change order needs to be implemented and tracked:

• Autodesk Construction Cloud: This platform utilizes AI to help track the implementation of change orders, automatically updating project schedules and budgets.
• Cogram’s AI-powered system: This tool can automatically extract and organize data from change order documents, simplifying the tracking of progress and ensuring compliance.

7. Financial Integration and Reporting

Finally, the financial implications of the change order must be integrated into the project’s overall financial reporting:

• Houzz Pro’s Financial Reports: This feature automatically integrates approved change orders into financial reports, providing real-time visibility into the project’s financial status.
• Datagrid’s AI agents: These can automate the process of updating financial systems and generating reports based on implemented change orders.

AI-Driven Improvements to the Workflow

The integration of AI into this workflow brings several key improvements:

1. Proactive Issue Detection: AI tools can identify potential issues before they become formal change orders, allowing for early intervention.
2. Faster Document Processing: AI-powered document management systems can significantly reduce the time required to capture, categorize, and analyze relevant documents.
3. More Accurate Impact Assessment: AI simulations and predictive analytics provide more accurate and comprehensive assessments of potential changes.
4. Streamlined Approval Process: Automated routing and notifications ensure the approval process moves efficiently.
5. Enhanced Tracking and Reporting: AI tools can automate the tracking of change order implementation and seamlessly integrate financial impacts into project reporting.
6. Reduced Human Error: By automating many aspects of the process, AI minimizes the potential for human error in documentation, calculations, and data entry.
7. Improved Decision-Making: AI-powered analytics provide stakeholders with more comprehensive data for making informed decisions about proposed changes.

By leveraging these AI-driven tools and improvements, construction companies can significantly enhance their change order management process, leading to better project outcomes, reduced risks, and improved financial performance.