When a change to the scope of work or the original main contract amount occurs during a construction project, the change management process begins. You can create a PV if your company's Procore Administrator configures the Main Contracts tool with the two (2)- or three (3)-tier variation configuration setting. See What are the different variation tier settings in Project Financials?
Things to Consider
- Required User Permissions:
- Admin' level permissions on the project's Variations tool.
ImportantDo not use the steps below when:
- The Change Events tool is enabled on the projects. Follow these steps instead: Create a Main Potential Variation from a Change Event.
- The Main Contracts tool is configured with the one (1) tier variation configuration setting. Follow these steps instead: Create a Main Contract Variation.
- Admin' level permissions on the project's Variations tool.
- Additional Information:
- After a PV is approved, the next step depends on the Main Contracts tool's variation configuration setting:
- For companies using the ERP Integrations tool: Show/Hide
- Not all ERP integrations support the sync of variations. For those that do, additional requirements, limitations and considerations vary depending on the ERP system your company's account is integrated with. See Things to Know About your ERP Integration for details.
- Its recommended that you configure the Main Contracts tool with the 2-tier variation configuration setting. The 3-tier setting is also supported. See What are the different variation tier settings in Project Financials?
Create a Potential Variation
- Navigate to the project's Main Contracts tool.
- Locate the main contract to work with. Then click its Number link.
- Click the Variations tab.
- Click Create Potential VAR.
- Complete the following fields:
Procore automatically assigns a sequential number to the new PV. You can change this number if you want.
- Date Created
Shows the creation date and time. This value cannot be changed.
Shows the revision number. The first version is zero (0), subsequent revisions are assigned in sequential order. A PV might have several revisions, depending on its reviewer/approver feedback.
- Created By
Shows the Procore user who created the PV. This value cannot be changed.
- Contract Company
Shows the name of the company responsible for performing the work on the contract.
If you have been assigned access permissions to the Main Contracts tool, click this link to open the contract.
Enter a title for the PV in this box.
- Main Contract Variation
Select a Main Contract Variation (MCV) from the list to link it to the PV.
Select the current state of the PV. To learn more, see What are the default statuses for variations in Procore?
- Change Reason
Select the reason for the PV, either Client Request, Design Development, Allowance, Existing Condition, Back Charge or any additional options created for your specific environment by your company's Procore Administrator. See Set Default Change Management Configurations.
- Variation Request
NoteThe Variation Request (VR) setting is only required when the Main Contracts tool is using the 3-Tier variation configuration setting. See What are the different variation tier settings in Project Financials?
- None. A PV can be linked to a VR at a later time.
- Add to Existing. Link the PV to an existing VR.
- Create New. Create a new VR. You also have the option to create a new MCV at the same time.
Mark this tickbox if you only want the potential variation to be visible to users with 'Admin' permissions on the Main Contracts tool.
- Accounting Method
This field inherits the accounting method that was specified in the main contract. See How do I set the accounting method for a contract or funding?
Enter a more detailed description of the reason for the PV.
- Request Received From
Select the Procore user for whom you are submitting the PV.
- Programme Impact
If known, provide an estimate for the additional number of days required to complete work when the PV is approved.
Use this drop-down list to select a location related to the PV. You can select an existing location or Add a Multi-tiered Location to an Item.
Add any other important tools, materials, drawings or documents to uses as a reference for the PV.
- Field Change
Check this box if the PV requires a field change.
- Paid in Full
Check this box to indicate you have received payment for this change.
Select and add any relevant documents.
- Click Create.
Add a Bill of Quantities to a Potential Variation
When there are costs associated with a PV, you must add line items to the BOQ.
- In the PV click the Bill of Quantities tab
- Select the correct Cost Code from the drop-down list.
- Enter a description for the line item.
- Select the appropriate Cost Type. If you're using the Budget tool, the Type will pre-fill to the first type associated with that cost code on the Budget. You should only select a "non-budgeted" line item type if you would like to add a new line on the Budget.
- Click the + button. If the combination of the sub job, cost code and cost type are non-budgeted, a pop-up will appear asking you to confirm you want to add this line item to the budget. If OK is selected, this line item will be added directly to the Budget with a "?" next to the line item. See Add a Partial Budget Line Item.
- The 'Associated Line Item' drop-down list only appears if your company's Procore account is integrated with Sage 300 CRE® and the Main Contracts tool is active on the project.
- When adding line items to the variation's BOQ, you must select an associated line item for each new line item. You may designate one (1) associated line item or use the same associated line item for multiple line items.
- Repeat the steps above to add new line items.
- Click Save.
If the PV also affects a purchase order or subcontract, continue as follows:
- For contracts using the two (2)- or three (3) tier variation configuration settings, click Create CPV. See Create a Commitment Potential Variation (CPV) from a Change Event.
- For contracts using the one (1) tier variation configuration setting, click Create CV. See Create a Commitment Variation from a Main Contract Variation.
To learn how to associate financial markup with line items, see Add Financial Markup to Main Contract Variations.