Thursday, April 9, 2015

Don't Keep Scope Creep Hidden Away in the Basement

Several years ago, my husband and I owned a condominium and lived through a major construction project.  It turns out that the original builders of the condominiums (1970’s) had never properly tied the water drainage lines into the sewer system and the units had been experiencing deterioration and water problems for many years.  As more and more unit owners requested repairs on their basements, the funds from the regular monthly assessment and the association budget and reserves were drained.   The association tried to sue the city for not enforcing building codes,  and also tried to go after the original construction company (which was out of business.) The city claimed it was up to the condominium owners to pay for the work.  After a lot of controversy and legality, the condominium association passed a special assessment onto the unit owners.   Each condominium unit owner’s basement and unit was evaluated for current damage and potential for future damage and every unit owner was assessed a large sum of money for repairs to be done regardless of the condition of their unit.  That’s how condominium ownership works in Ohio.

Anyway, the project finally got underway in 2004 and had a two year timeframe for all necessary repairs to be completed.     The plan was to start with the worst units first, and a map and schedule were provided to all owners so we would know when their unit was slated and when our neighbors units would be repaired.  The first couple units had basements dug out and lines redone and we all started feeling a little better about the whole situation as we started to see progress.   And then the third unit was getting repaired and it was identified during those repairs that the problem was much deeper than anyone expected.  Several basements (including mine) had to be completely removed one brick at a time and rebuilt while supporting frame beams were installed under the condominium.  “New requirements and needs become apparent during a project.” (Portney et al 2008) however scope creep also set in a bit, because basements that were completely rebuilt also had to have new drywall, new ceilings and new electrical fixtures etc.   Things got a little tricky because typically unit owners have responsibility for repairs and maintenance of the inside of their units, however, since those repairs were necessary and caused by the external repairs, they were in fact covered by the project.      So, homeowners whose basements needed minimal repairs wanted to feel like they were getting their monies worth and pressured the association to have a second set of engineers review the properties.  They also felt entitled to get new drywall and new ceilings even though they may have just had one small section of a wall repaired.   The toughest part of all of this was the lack of communication about the changes and new schedules and new game plans.   As homeowners, we would get some information at the monthly meetings and via a monthly newsletter, but given the amount of information, more frequent updates would have been appreciated.   Most information came very informally as homeowners walked their pets and talked to neighbors.   We even would get information from the construction crew at times.   The association had advised us at a meeting that the crew was going to work Saturday and Sundays, however that did not happen.   In talking with the construction crew, they indicated they had a contract which prohibited them from working on Saturdays and Sundays.

In looking back, had I been managing the project, I would have made the change control process very transparent to all of the homeowners and communicated changes to all concerned parties.  I would have stepped up the number of communications “including reports summarizing changes to date and their impacts.” (Portney et al 2008)    The association had a good initial plan but when the unforeseen changes started to occur they did a lot of reacting without any input from the homeowners and very little communication.   Because their change control system was not transparent, I am not sure how much analyzing occurred for requested changes or what requirements (if any) existed to determine if they would make a change.   I think for this type of project, having a change control process that is very transparent – perhaps posted to a website and updated every week would be an improvement.   As change orders are approved, project plans and schedules could be updated to reflect the impact of the change.   That way, questions fielded at the monthly meeting could be more productive.   In short, scope creep can and will happen.  It is information that needs to be communicated to stakeholders and how it is being managed should be in the limelight, not hidden away in the basement.

References

Portny, S. E., Mantel, S. J., Meredith, J. R., Shafer, S. M., Sutton, M. M., & Kramer, B. E. (2008). Project management: Planning, scheduling, and controlling projects. Hoboken, NJ: John Wiley & Sons, Inc.

4 comments:

  1. Dear Karen,
    Your have related a classic example of a scope creep related to the complexity of a project. The project you describe is not only complex in terms of the work to be done but also in terms of the audiences involved:
    “Even small projects can be very complex. In some cases, a project may have multiple stakeholders, each with a differing view of the project result. Managing multiple stakeholders complicates a project” (John, 2006).
    Thus, the project seems to have been double complex, with each kind of complexity being a potential risk factor.
    I do not think that many unit owners realized that some scope creep was inevitable; it is highly likely that most expected the initial project figures to be intact throughout the project, any change to the initial plan was not acceptable to them, was viewed as a sign of incompetence, and bound to breed a lot of resistance. A lot more informative communication and a lot more persuasion were needed to win more support among the unit owners, to make them more cooperative,
    The issue of insufficient communication brings me back to EDUC-6105-2 Organizations, Innovation and Change: “Management is naïve if it thinks anything can be kept a secret, because the organizational grapevine will provide people with speculation and answers. Sometimes they get it right; other times they make it up… . Informed is better than uninformed or misinformed” (McAllaster, 2004, p.322-323).
    Thankn you, Karen, for sharing the experience,
    Marina

    References
    John, C.L., Jr. (2006). Making sense of your project cost estimate. Chermical Engineering, 113(8), 54-58. Retrieved from the ProQuest Database.
    McAllaster, C. M. (2004). The 5 P’s of change: Leading change by effectively utilizing leverage points within an organization. Organizational Dynamics. 33(3), 318-328.

    ReplyDelete
  2. Karen,
    I am thinking about buying a Condo in the near future and your story is making me think twice – or that I should do my homework to find out all of the risks. I like how you wrapped up your post by saying that scope creep can and will happen. And that the information needs to be communicated to stakeholders. Portney et al, (2008) mentioned that “avoiding scope creep is not possible. However, monitoring it, controlling it and thereby reducing some of the pain is possible” (p. 347)
    Reference:
    Portny, S. E., Mantel, S. J., Meredith, J. R., Shafer, S. M., Sutton, M. M., & Kramer, B. E. (2008). Project management: Planning, scheduling, and controlling projects. Hoboken, NJ: John Wiley & Sons, Inc.

    ReplyDelete
  3. Hello Karen,

    Good example of scope creep and I enjoyed your play on words with your title :-)

    I cringed as I began reading paragraph one, knowing that things would get tricky with the project. I feel for you having to go through this situation. I am sure it wasn't easy. A good project manager would have certainly made sure all people were on the same page and things were going smoothly between each person getting their basements dug. It is important to communicate with all people involved, especially in a situation like yours, where all members are in close proximity. As a project manager would you have held a meeting with all those involved to assure everyone was on the same page?

    Jenny

    ReplyDelete
  4. Karen,
    I am seeing a theme in this weeks blogs. With construction or re-construction projects you never really know the scope of the project until you start pulling back the layers. I think that the lack of information provided by the association is unacceptable. For an investment such as property there should always have been full disclosure. Maybe a good solution would have been a micro-site like in Marks example. This way each condominium member could have been updated with full disclosure.

    ReplyDelete