I received Open Insights 45 – Contractualities and agreed with Sean’s method for contact negotiation.
- Clarify who will be involved in reviewing deliverables
- Ask the question “Is there anything missing on this contract that you’d like to see?”
- Explain the shift in management with a fixed fee project
I think he missed one important consideration before starting the project he mentioned in his article: Risk Management. Risk Management is all about managing uncertainty through one of four methods:
- Avoidance – Eliminating Risk
- Reduction – Mitigating Risk
- Retention – Accepting Risk
- Transfer – Buy Insurance or Outsourcing Risk
Performing a good Risk Assessment and creating a Risk Management Plan for the portion of the project he was working for would have already enabled him to establish that the risk of a scoping issue existed and provided an out for him. Whether this would have been contractually defining the management of these scoping issues.
technorati tags: risk, riskmanagement, scope, contracting, business
