Project OutSourcing On Fixed Model

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A fixed price model also called a lump sum model is an ideal pricing mechanism For projects with clear scope, Established project management methodologies and a stable set of requirements.

The teams at both, the client and ITMCS have a good grasp of project requirements, have established a conducive working environment, and are aware of each other’s skills and capabilities.

In this model, the requirements are so clear that periodic deliverable at upon agreed timelines could be expected.

Fixed price contracts are most suitable for long term projects and those that have a high value to the outsourcing organization.