Warning geeks – I will use my accounting degree for something more than a beer coaster in this post. Warning business folks – I will use my technical jargon and humor to belittle your craft.
No 10-K statements were harmed during the creation of this post
As a software consultant, you are a:
What does all this mean? Your project most likely has been pre-assigned dollars that come out of operating revenue with no actual data on how much with really cost to complete. Huh? Dramatic pause…
Here is the way most projects get allocated money:
Let the dilemma begin. How do we deliver a $1.50 project with $1? Here is where the variable, fixed costs and project triangle come in.
Let’s go back to the roadmap. This contains, where are going (vision), how are going to get there (tasks) and what we want (requirements). The vendors add how much it will cost to deliver on your requirements in the timeframe you are looking for (cost for vendors is people-rate * project-time). This is where the infamous PM Timetable comes into play. Scope, cost, schedule and quality.
Remember however that the cost is already fixed ($1). And the schedule is usually fixed (we gave an estimate of how long so we can come up with an estimate on how much to ask for). So what’s left? Can you select the correct answer?
The CORRECT answer is 1. The most common answer is 4. The result is 2. Ok, Izzy, wrap it up.
Some funny quotes heard on my teams:
As software consultants, we are at a distinct disadvantage from the beginning, you are a variable cost which means that at any time, you’re services may no longer be needed, you must deliver a project for less than what it would normally take, you are not able use your regular circle of trusted Winston Wolfe’s AND you may have to work harder along the way. I love this job!
Dear software people,
There will never be enough time, money or resources to complete your job; deal with it.