RE: Costing Proposals

Subject: RE: Costing Proposals
From: "Carey Jennifer (Cry)" <jennifer -dot- carey -at- cdi -dot- cerberus -dot- ch>
To: "TECHWR-L" <techwr-l -at- lists -dot- raycomm -dot- com>
Date: Tue, 11 Dec 2001 14:41:22 +0100

My opinion:

Make a best guess estimate on the hours necessary for actual work. Don't be
Add 15-20 percent in administration.
Add 10 percent for unexpected things going wrong.
Multiply the total number of hours by your rate (don't forget to add tax if

Let him know that this estimate is only for this unit as each one will
naturally vary in complexity and workload. Also, try to establish a way to
get more time so you can do better estimates for future units.

Write a Statement of Work (I would be happy to provide you with a model) for
the unit clarifying timeframe, general work process, dependencies,
assumptions and the change management process. Once you agree on the terms
and it is signed, potential misunderstandings will likely be avoided.

During the process of working on this unit, keep close track of how you
spend your time along the way. You can then use that information to make a
better estimate for the next unit. If you do this with each unit, you'll get
better and better at the estimates along the way.

Good luck!

-----Original Message-----
From: Sue [mailto:skirk -at- iprimus -dot- com -dot- au]
Sent: martedì 11 dicembre 2001 4.53
Subject: Costing Proposals

Hi Everyone

I had a meeting this morning with a prospective employer to write some
course units against the National Competencies Framework(Multimedia
Curriculum). There is a plethora of potential work with this company
both in re-writing from Diploma level down to Certificate levels, to
instructional design and writing of customised courses.

Ok so my dilemma? he threw a Manilla folder of "stuff" at me (the
written material for the unit that applies at Diploma level) and said
give me a proposal on how you would go about rewriting this unit to a
Cert III level and cost it! I have one day to do this. The problem is
not in the re-writing I looked over the material and it can be re-used
and simplified with probably very little additional work (famous last
words) However, how on earth do I cost this? I am used to charging an
hourly rate and bear in mind that this could end up being quite a
lucrative ongoing contract with this Company. I don't want to tie
myself down to a set fee as the various units will vary in complexity
and workload naturally. I'm sure you get the general idea. HELP PLEASE

Thanks in advance



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