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Re: Fixed Price/Scope XP (was RE: [XP] Re: Xp in Game Development )

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  • Dale Emery
    Hi Steven, ... I know some government contractors whose fixed-scope projects succeed (from the contractor s point of view) only if the customer changes the
    Message 1 of 2 , Jul 29, 2003
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      Hi Steven,

      > It is my impression that the vast majority fixed price, fixed
      > scope contracts do not *require* that the customer *cannot*
      > change scope, only that doing so requires a change order
      > accompanied by a renegotiation of terms.

      I know some government contractors whose "fixed-scope" projects
      succeed (from the contractor's point of view) only if the
      customer changes the scope. They low-ball the initial bid, so
      low that they couldn't possibly make money on the given scope.
      They make all their money on scope changes, for which they charge
      dearly. The contractors tell me that this practice is common in
      government contracts, and that the clients are well aware of this
      game.

      Dale

      --
      Dale Emery -- Consultant -- Resistance as a Resource
      Web: http://www.dhemery.com
      Weblog: http://www.dhemery.com/journal (Conversations with Dale)
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