Creating a Subcontract Variation for Main Contractors

To create a subcontract variation (SV):

Navigate to the Variations Page
- From the My Contract menu at the top of any project page, select the My Variations link to go to the My Variations tab of the Variations page.
- From the Subcontracts menu at the top of any project page, select the Subcontract Variation link to go to the Subcontract Variations tab of the Variations page. This option is only available if you are a Prime Subcontractor with at least one on-system Sub-Tier Subcontractor.
From the Subcontract Variation tab, select the Add... button.
An Add Subcontract Variation dialogue box displays.
In the dialogue box, choose a contract from the drop-down, and select the Next button.
The dialogue box closes and the Contract Maintenance page displays.
From the Contract Maintenance page, select the Variation button.
A dialogue box displays.
In the dialogue box, enter information in all available fields.
(Optional) If the project uses the Require Variation Compliance project setting, choose a compliance status from the Compliance drop-down.
(Optional) Select the Hidden Variation option to modify the Original Work Breakdown and Contract Sum to Date column in a project's Work Breakdown (WB).
Hidden variations:
- Do not appear in the Net Change by Variation column
- Are not identified as a variation-related value on payment application documents
- Cannot be un-hidden later.
Select the Save Changes button.
The dialogue box closes and the Contract Maintenance page shows the Variations tab.

The table on the page includes:
- A Variation created in Session button with the variation amount.
- A Variation Adjustment column displayed in red.
Optional. Add a new line if the variation includes work not itemised in the contract.
1. Select the Add New Component button.
  A new line appears.
2. Select the Phase Code column for the new line, and then select the Find button.
  A dialog box displays.
3. In the dialog box, select the Owner WB component to link to the subcontract cost code.
  The dialog box closes, and the Phase Code and Description fields automatically display information pulled from the selected Owner WB component. You can change the description.
4. Enter a Subcontract Item.
  When integrating an ERP or accounting package with the TPM application, this number categorises work in your integrated software. The format is dictated by your accounting package.
In the Variation Adjustment column, enter the amount to pay the Subcontractor for each line impacted by the variation.
- SVs that create a new component automatically allocate the new component to Subcontractor WB (as a single line-item).
- SVs that change existing components require a Subcontractor to allocate the variation.
- The total displayed under the Variant Adjustment column must match the total amount of the variation.
Select Save Changes.
- A Status page confirms the contract changes have been saved.
- The application sends an email to Project Managers in the Subcontractor organisation, informing them them that a variation was added.
- A task to allocate the variation displays on the Subcontractor Project Home, Period Home, and Tasks pages.
- If the contract uses the Specified WB setting, you will allocate the subcontract variation in place of the Subcontractor. You will see a project task and receive an email prompting you to allocate funds.
- If the project includes the Contract Value Change conditional requirement, adding a variation may trigger compliance enforcement.
- If you created the variation in error, you can delete it before it is allocated.

Next: Approving and Allocating a Requested Variation to a New Line