Fixed Price Projects - the key points.

There are a few key points to keep in mind regarding Fixed Price Projects:
We are able to offer Fixed Price Project solutions because of the confidence in our own technology competence. A few factors affect the success of any Fixed Price Project.

The first factor is the accuracy, completeness and clarity of the business requirements provided to us. We are experts in eliciting the right requirements so the burden's not entirely on you. But it is important to keep in mind that if any of the three conditions are not met, it becomes very difficult for us to provide a good solution.

The second factor is the stability of the business requirements. If you decide to change the requirements in the middle of the project, we will have to assess the impact on the timing and cost of the project and quote an additional fee to incorporate the change. In many cases, we recommend against changes in requirements while the project is in progress. But there are situations where this is unavoidable. For example, if government regulations change halfway through the project and it is then essential to change the requirements of the project.

The third factor is the timeliness of actions on your behalf. Every project has dependencies on you and the timing and cost of the project is affected if there is a delay in performing your actions.

There are tremendous benefits to Fixed Price projects: The most important of all being that the risk of cost overuns is passed on to us. You can depend on our competence to meet the deadlines and software quality requirements. But more importantly, we have a vested interest in staying on top of these two things and you don't have to worry about keeping us motivated during the project. In Time & Materials projects, the vendor has very little incentive in finishing the project on time and hence the risk is taken entirely by the client.