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Hourly Projects and the Cult of Doom

Recently, I was party to a discussion on the topic of hourly contracts in enterprise software services. Here is my take:

Open-ended, hourly projects often balloon in size and scope, precisely because there is little incentive to control costs. In this scenario, the services provider can maximize billable hours, while the customer can fall asleep, allowing this to happen right under his nose.

And the truly weird thing about this nonsensical scenario: it happens all the time.

(Note: packaged, or productized, services is one solution.) 

Posted on Wed, July 18, 2007 at 07:18AM by Registered CommenterMichael Krigsman in | CommentsPost a Comment

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