Scope Gap: Addressing Ambiguous Project Requirements

To turn contract documents into an actual building, every construction project requires stakeholders to complete certain items of work. Ideally, the scope of work outlines those items and clarifies who’s responsible for each of them. But if the general contractor (GC) doesn’t neatly align the scopes of work from various specialty contractors, the project can face a scope gap.

In this article, we'll discuss construction scope gap, its common causes and how to mitigate it.

What is scope gap?

A scope gap means there’s an item of required work that isn’t captured in any contractor’s scope of work — and consequently isn’t assigned to anyone. If that gap isn’t filled, the work doesn’t get done. If the gap is discovered too late — and particularly if it’s a large gap — it can even cause scheduling delays. Plus, having extra work performed might eat into the GC’s profit. 

Ultimately, looking for and addressing scope gaps during the preconstruction phase is a core piece of a GC’s role in a project. As that general contracting firm tackles construction buyout and bid leveling, they need to work to ensure that all items of work get assigned to the appropriate specialty contractor. 

Examples of Scope Gap in Construction

To best understand scope gap, it’s helpful to look at a few real-world examples. 

One serious scope gap came to light when constructing a small regional airport in Springfield, Illinois. 

The airport had a detached guard shack that required electricity. The plan was to run underground electrical out to the shack. Unfortunately, though, the main electrical contractor was under the impression that the sitework contractor was handling that electrical, while the sitework contractor assumed the primary electrical team was the responsible party. Because this scope gap wasn’t discovered until the project was underway, it cost the general contractor roughly $25,000 to correct the issue. 

Another project highlights how seeking out potential scope gaps in the early phases can help a project run smoothly after groundbreak.

When constructing a natatorium for a YMCA, the GC realized that the ambient humidity would require a specialized type of mold-resistant paint. The painting contractors on the project didn’t offer that service. Because the potential scope gap was identified early, though, the GC was able to bring on another subcontractor to handle paint for the pool area. 

Even smaller touchpoints can lead to scope gap issues. Consider the following examples.

• ---

  HVAC equipment generally requires an electrical connection.

  Who is responsible for that final connection: the HVAC contractor or the electrical contractor?

• ---

  Exterior siding often needs caulking.

  Is that the siding contractor’s responsibility, or the exterior painting contractor’s?

  Is the GC bringing on another subcontractor to handle all caulking on the project?

• ---

  HVAC, plumbing, or electrical may have to penetrate through a firewall.

  Who is responsible for fire caulking or alternative seal on that penetration?

  Is it the party that made that penetration, or is there a fire suppression contractor who needs to encompass that in their scope of work? 

• ---

  A project involves installing equipment (e.g., a healthcare facility)

  Who is responsible for connecting that equipment to the required utilities? 

Ultimately, a well-coordinated project looks at every point at which work needs to be handed from one specialty contractor to another — and ensures that those handoffs are seamless and well understood by all involved parties. 

Common Causes of Scope Gap

Any type of construction project can come up against a scope gap. That said, projects with more specialized items of work are more susceptible to this issue. If the type of work is familiar to the GC’s team, they probably have experience aligning scopes of work and looking for potential gaps. But as the work moves into newer types of materials, equipment, or methodologies, the team may lack a firm grasp on what’s required. That increases the odds of a scope gap. 

No matter the complexity of a project or the newness of the type of work, though, gaps in scope of work usually arise from some combination of the following.

Not Understanding the Project Well Enough: If the GC doesn’t thoroughly understand the project, they’ll have a difficult time properly planning for all that it requires. As a result, the scopes of work may not accurately capture the tasks required to complete the project. 

Not Communicating Clearly With Stakeholders: Failing to talk through the project and the scope of work with a specialty contractor creates an opening for gaps. Coordination requires communication, so GCs need to take the time to get completely clear on what their subcontractors will deliver. 

Implications of Scope Gap

Once someone discovers a scope gap, construction projects come up against a handful of issues all at once. The gap often contributes to all of the following:

• Deviations from the planned schedule (i.e., delays)
• Cost overruns
• Reduced quality of work because teams weren’t properly prepared to take on the item of work 
• Added administrative work (e.g., creation of change orders, submittals)
• Relationship damage

That last one might appear to be the least tangible, but it can be most problematic for the GC. If the firm becomes known for scope gaps, high-quality specialty contractors may choose to work with other firms. Even when subcontractors are willing to take on a project with that GC, they may pad their pricing to account for the likelihood of a scope gap issue. 

Scope Mitigation Strategies

To effectively move a project forward while managing subcontractor relationships, general contracting firms should proactively avoid scope gaps. The following can all help.

• Thorough Planning

  Taking the time to fully understand a project — including asking any questions needed to clarify its requirements — plays a huge role in mitigating scope gaps. 

• Clear Communication

  Open lines of communication between the GC and specialty contractors helps information flow where needed to identify and fill in gaps. Simply asking the painting contractor if they provide caulking, for example, can help to eliminate one potential scope gap. Scheduling a call between the GC and specialty contractors to talk through the proposed scope of work may also help to bring other gaps to light. 

• Application of Best Processes

  GC firms benefit from creating processes that align scopes of work. Leveraging existing clarifying mechanisms they have in place — like cost codes or bills of quantities — can help identify everything required on a project. Then, the GC can assign those items of work to specific subcontractors, ensuring nothing gets left without a responsible party. 

• Continuous Improvement

  When scope gap construction issues arise, firms shouldn’t brush them under the rug. These provide teachable moments that can help prevent future gaps. Find some way to document the lessons learned and distribute them among the team. 

Some scope gaps are small and easily managed, but others cost thousands of dollars and create extensive delays. To avoid that unwelcome outcome, general contracting firms should take the time to carefully align subcontractors’ scopes of the work and the handoff between each.

Written by