Fixed-fee contracts are a blessing and a curse. The following tips may be useful in improving the novice's financial success in completing one.
Time and Money
Think of time and money with fixed fee projects in two ways;
The value of any fixed fee contract is directly related to the number of hours used. Said another way, the hourly rate is inversely proportional to the hours used:
Dollars per elapsed calendar period
Contract value over time remains constant, but income is directly proportional to the amount of work delivered per calendar period. If a deliverable is worth $10:
The remainder of this document will address mechanical and personal issues of fixed-fee project work.
MECHANICAL
Becoming efficient
Often, there are steep learning curves with new projects. That can't be avoided. Your first deliverable may not be as profitable as the second, third, etc. Nonetheless, from the beginning you can create an environment to control efficiency drivers other than content assimilation. The good news is that many of these drivers are mechanical and include;
Usually, the client has a format for each type of deliverable. The client may or may not provide a template. Nobody likes someone else's format. Regardless, to avoid doing something twice, your way and then the project way, do it the project way the first time. If there is no specified project format and the client says to do it however you want, be sure it is in your contract that your way is okay. If there are multiple designers on the project and no standard format, you want that contractual protection for additional fees when the client says to reformat.
FILE MANAGEMENT
Everyone has a personal system of file management. The number of files to handle can be enormous. If you don’t manage files well, consider the model below and customize it to your way of thinking. The important consideration is the time lost when you can’t find the one file you want and need.
File Management Subdirectory Model
C:
....data
........client or project name
............bus (business: invoices, expenses, time tracking)
............comm (written communications)
............des (design: conceptual designs, detailed design documents
............ig (start of development: instructor guide, manual, book, etc)
............pg (participant guide, etc.)
............ja (job aids)
............cs (case study)
............zipin (if you are using zipped files: those you receive)
............zipout (those you send)
(you get the idea)
Subdirectory Model Example in Windows Explorer
If there are no project file naming conventions, at least use your own. The preferred method is to maintain the DOS convention of no more than eight characters plus a file extension. Use seven characters for the name and the last character for a letter or number version:
Use version number with preceding letters
If you have ever received a file from someone not using the DOS standard, you know. When you receive your first file without the eight-character standard you will know.
Why the data subdirectory?
If you put all data files (.doc, .xls, .ppt, etc.) in one directory, using mass backups such as tape drives, zip drives, often means "Turn it on and enter 'Update Data'to update anything that is new or changed in the data subdirectory."
Even when backing up with diskettes, having ALL files (.doc, .xls, .ppt) related to instructor guides in the ig subdirectory limits your search. NEVER save files in the Application Program's default file saving directory. You will go crazy with a big project trying to keep up with it.
Using this method or your own variation will help you know where your files are supposed to be. Because of the large number of files you will create and handle, a good file management system can save minutes in every hour. You can probably measure daily savings in half-hour increments.
ROUTINE FILE SAVING AND DAILY BACK-UPS
Just do it! Loosing work kills your rate, is demoralizing, and oftentimes you just can’t say something the second time as well as the first. Save your active work every ten minutes or so. Back up every file modified each day. Never leave a file open and leave your desk. Thunderstorms, cats, and kids don’t really understand fixed fees
UNDERSTANDING YOUR COMPUTING TECHNOLOGY
Most of your work will be on the computer. It will also pass back and forth through your modem and an ISP (Internet Service Provider). The more you understand about all of this the easier life will be.
Create and arrange desktop icons for easy program opening. Several necessary icons include: Windows Explorer, Winword, Xcel, WinZip, ISP connection.
Double clicking the icon is much more efficient than using: Start, Programs, Word, for example.
WINZIP
WinZip is a great time saver for uploading/downloading the large number of large files often encountered in projects. Files get large,quickly when graphics are inserted.
WinZip is almost intuitive. The trick is to get your default directory set to zipout for creating single or multi-file archives to send. (You can set WinZip to show all zip files for unzipping regardless of file location.)
Get acquainted with both Winzip Wizard and Winzip Classic (Both are part of the same program)
PROOF READ AND USE SPELL CHECK
Don’t waste other people’s time because you didn’t proof read or use spell check. Your e-mail box could be full of unreviewed material.
DON’T POLISH THE POLISH
This is a difficult explanation, given what was just said about proofing. Nonetheless, don't read the first draft seven times looking for missed commas, if you are reasonably sure 15 to 30 percent will be rewritten after review or when your draft is going to be rewritten by someone else.
KEEPING DETAILED CONTENT RECORDS
The final mechanical element is to keep detailed content records. It is a known fact the courses are never exactly the same as course outlines. Thus it is necessary to keep track of what content was:
Personal issues are harder to quantify. Mostly, you need to experiment. As mentioned, the more you deliver, the more you earn. But it is important not to burn out. A deadline and an important weekend activity are about to collide. You have other work to do. You are just tired.