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Outsourcing Contracts in Agile: Challenges and Solutions

by Anabik Datta

Long-term, fixed-bid contracting is a challenge in the agile world. The objective of this article is to review these challenges and derive a possible solution for contracting between outsourcing companies and client companies for agile projects.

Why Government IT Procurement is Broken

by Andy Jordan

Government procurement for major technology projects often goes wrong—and it’s really not surprising because the entire process is broken. What is it about these initiatives that causes more difficulties than other types of projects?

Common Pitfalls to Avoid During the Contracting Process

by Vivek Gondi

The success of a project depends on the processes that are followed, the people who execute them and the contractual terms and conditions. This subject is all the more relevant to companies who take up work with little background and experience. Understanding some of the common pitfalls that should be avoided by sellers is essential.

Infrastructure Improvements: Guidance on How to Be Successful

by Ronald Smith

Software infrastructure such as databases and core applications must be available 24/7 to support the business. As these infrastructure elements age, you should start planning when they will be updated or replaced. Take a look into three main areas of achieving this—making decisions, design success and selecting vendors.

Dealing with Claims in Construction

by Manavasi Ramesh

Claims arise in a project mainly due to lack of clarity in scope and specifications, ambiguities in contract clauses, interface scope with other projects, site conditions and time constraints. Here we discuss various scenarios and issues that can arise during project execution—along with possible solutions to address the issue of claims management in construction projects.

Topic Teasers Vol. 85: Figuring COST, Not Cost

by Barbee Davis, MA, PHR, PMP, PMI-ACP, PMI-PBA

Question: We are in financial trouble. Even though my team carefully researches costs for new hardware and software with multiple vendors, somehow as time goes on the expenditures on each implementation always costs up to three or four times what we budgeted. Is it us?
A. You are being “taken” by sales people from your hardware vendors who are behaving like used car salesmen. They quote you a low price to get your management’s approval, but when it comes time to actually install you have to add on many necessary extras you really need that they never revealed.
B. It is probably you and your team if you are only figuring initial hardware costs in your project budget. The total cost of any new installation should be calculated both in immediate costs and in long-term costs over the life of the equipment, including non-tangible expenses. Only then can vendor offerings be fairly compared and evaluated.
C. Management should not expect project teams to be pricing hardware. This should be done exclusively by someone from the purchasing department. Your only role is to install whatever arrives on the dock. In this way, if the costs go up you and your team escape the blame.
D. Since recent costs for information technology (IT) items have quadrupled over the life of the equipment, you should multiply any future vendor contract pricing by four and alert accounting how much cash to have on hand in the immediate future. Always pick the lowest bid, as in today’s market all hardware is basically the same.
Pick your answer then Test Your Knowledge!

Outsourcing: Too Good to Be True?

by Andy Jordan

Outsourcing vendors make lots of promises around the cost savings and productivity improvements they can deliver. Are the benefits really that good?

Top Reasons to Outsource

by Kenneth Darter, PMP

There are many reasons and benefits from outsourcing work. Here are some of the top reasons for looking outside of your organization for expertise and assistance in executing projects.

Outsourcing PM: You Get What You Pay For, so Only Pay for What You Get

by Mark Mullaly, Ph.D., PMP

Project management becomes so much more complicated when contracts get involved. If nothing else, it seems to cause so many more project managers (or people who call themselves project managers) to pop out of the woodwork. This should be a good thing, but it can also be an unhelpful complication.

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