Glossary · finance
Change Order
Also: change-of-scope, CO
A change order is the formal mechanism for modifying a signed contract: scope changes, schedule extensions, price adjustments. Change orders quantify the work in question, price it, and require approval before execution. In events and fabrication, change orders prevent the all-too-common 'the producer asked for this, we did it, now no one wants to pay for it' pattern. Every change order writes to the project budget on approval.