Business Model

Fixed price / Fixed time approach

In this approach the client know that he has to pay a fixed cost for the development of his scope.

This approach is more suitable if

You have a fixed scope which you want a team to work on.

Your requirements are clear and you only require different skills to work on it.

When hiring a resource for smaller work is expensive and you cannot estimate the hours that will be required, for instance, for your project you hire a designer for 200 hours and can only use him for 50 hours of work which is wastage of resources in man-month terms.

If you want to stay away from the hassle of managing project and time lines.

To ensure that the best technical team is doing this project and you still pay the fixed cost.

If you have obtained the order from your client on fixed cost basis.

In this method, we understand the scope from the client in which we have a predefined form which we request client to fill up, this forms gives us the basic idea about clients requirement. Than we chat / call client and get the exact idea and cross talk the doubts / queries about the project. Based on this discussion and scope provided by client, our project management team gets involved in finding out the man-months required. And based on that calculation of scope and man-month we calculate cost of man-months to cover our infrastructure and tax costing.

Once the client agrees on the decided cost. Than it’s our duty to deliver as per the scope within time. Client only has to pay the cost decided regardless of any skills or any number of hours deployed for that project.

What if the scope changes?

As we all know software development has its own characteristics of change in scope, so if you are working with us on the fixed cost pricing model, and your application / client requires changes in the business logic, design or any part, which has been pre approved, then in that case, we don’t let you down.

We will understand the changes that are required and based on that we can give you the fixed cost to do those changes, based on our man hour costing. So you can also justify, and you know what extra you have to pay, still knowing that you will be paying fixed cost for those changes. So you are always aware of your spending and income.

Flexible Man Month Costing

This is the same Concept as the dedicated or fixed cost man month costing. But has its own benefits.

This approach is more suitable if

You want to hire man months for your project.

You require certain skills which are not sufficient to justify entire man month cost.

You want maximum utilization of resources that you hire.

You want to hire a full man month with expertise in specific field yet your project requires some skills from other technologies. For instance you need a PHP or Asp.net developer to execute your project but your project also requires flash and designing work for about 50 hours.

When your project requires on demand multiple skills not enough to justify entire man-month.

In this approach, which is now widely used by our clients, we give you a costing for a man-month which includes a technology specific expert working on your project, yet getting benefits from our other technology specific experts in different technology than he is working on. So in this case you still pay the fixed price for a man-month yet get maximum benefit of multiple skills like asp.net, graphics, SEO [Search engine optimization], Database Expert, Security expert etc.

How it works?

Let's say you have a project which requires 80% of coding to be done by a PHP or ASP.net programmer, so you will want to hire a full time asp.net programmer. But you are also aware that your project will require

Help from Analyst to understand the project and define scope.

Graphic designing expert to deliver you very rich design [which an asp.net developer cannot].

SEO Expert to define the strategies for your developer to work on.

Database expert to ensure that the Database is very much optimized and scalable.

Server security expert to ensure that your application is safe from SQL Injection, Script Injection etc.,

So in this case, you need to hire man-hours from different skills and expertise, which in turn would be very expensive, and you also know that a single developer cannot possess expertise in all above skill.

So to avoid the compromise and to get maximum benefits of the skills, we will offer you a man-month for a fixed price which will include the hours of the experts from all above skills or the once that you require, and that gives a team working for you. So when you start project we will have all the above team included in the discussion and planning.

And while execution they will all jump in when their expertise is required, so your developer has all the required expertise and tools available to work on.

Still you only pay a price for fixed man-month. This is a very unique approach developed by us at Optotelelinks.