You are in the implementation phase of a project and your customer indicates they need a specific change to the project that changes the scope of the deliverables. How would you handle this request and why?

Answer 1

Prepare a "contract change notice" (CCN)n with the customer's new deliverables and scope, and perform an accurate pricing of what it will cost. Get the customer and your own management to accept it in writing before proceeding. Include appropriate overhead etc. fees and a reasonable profit, consistent with the original profit percentage. A new schedule may also have to ne negotiated.

If you don't do this, you will lose money and may subject the compamy to further specification changes and profit erosion. CCN's are good for business. They are a chance to make more money on a noncompetitive basis.

Answer 2

Back in my days in the defense industry, "CCN" also stood for "constructive change notice". The term may have gone out of fashion, but the principle is the same.

See also
http://acronyms.thefreedictionary.com/Contract+Change+Notice