Beyond,Repair,The,fixed-price, computer Beyond Repair: The fixed-price model


----------------------------------------------------------Permission is granted for the below article to forward,reprint, distribute, use for ezine, newsletter, website,offer as free bonus or part of a product for sale as longas no changes a Gone are those times when the companies and the organisations didn't need a hi-tech system to handle them. Owing to the considerable increase in the business sector and thus, an enormous increase in the complexity of the organisational struc


Fixed pricing is designed to function with the absolute minimum amount of human attention. The more the company does not work for the client, the higher the profit. This creates an adversarial system where the caretakers fight to do as little work as possible no matter how much they are being paid.Fixed pricing encourages wastage. Since a fixed price contractor has an hourly rate in mind - say $120/hr - then when they quote $12,000 per month, that really means that they intend to spend no more than 100 hours per month on your account. But if near the end of the month they have only done 20 hours, for example, then what happens to the other 80 hours? Nothing. You would have received inferior services for an astronomical hourly rate and have no recourse to approach the contractor and ask that they put in a little TLC.Fixed pricing encourages increased risk. This one has a little math behind it: If a problem can be corrected in 1 hour but has a 10% chance of reoccurring in 2 months, or can be corrected in 5 hours and will never happen again, the fixed price contractor will always pick the 1 hour solution. Why? Imagine that they have 10 different clients with the same problem. They can spend 50 hours fixing it the right way for everyone, or spend 10 hours fixing them all the wrong way knowing that only 1 in the 10 (10%) will have a problem in 2 months (incurring another 1 hour then). Therefore, the total time saved by doing it the wrong way is 39 hours. A huge savings to the contractor.Now imagine if that problem has downtime or data loss associated to it. This will never factor into their profitability equation.Fixed pricing can be deceptive as far as measure of quality. Take database administration, for example, since that's what I know best. The measure of the DBA job in a fixed price model is to ensure that the database is up. Performance improvement or dealing with performance decline is not even in the contract. Also missing is any diagnosis of complex performance or network issues which may involve more than one piece of the architecture puzzle.As soon as the fixed price DBA determines that "it is not the DB", the client is on their own trying to correct an issue where a DBA could be invaluable in diagnosis and building a plan for corrective action.Fixed pricing estimates are high. They are high on a per hour basis and on an hours spent basis. This is because fixed-price contractors have to back their estimate for a year. You are paying for the risk that they have estimated another account improperly and need to make it up on yours. You are also paying for the risk that you may develop chronic problems—and so they charge for that in advance whether it happens or not.Once the year is out, the best case scenario is that you have managed to be a "problem account" for them and have actually received some bang for your buck. Now that they know what kind of hours it takes to manage your account, you will receive a new estimate that will be calculated as follows: (yearly hours)*(markup for risk)*(200/hr)/12=(monthly rate). You will most likely not be told this formula but I guarantee that it exists. You can never beat it. You will always pay premium rates, even if you make it through the first year fighting for attention.Fixed pricing never goes down, and it usually goes substantially up after the first year. Whatever the price is, the fixed price contractor always has an hourly rate in mind, like $200/hour. Ask. If you have already hired a fixed rate contractor, ask for a monthly report of how many hours they spend on you. Ask. You will most likely be denied since the hourly rate can be astronomical if they have successfully avoided doing work, but definitely ask.And what happens if your technical needs are much greater than anticipated? At the end of the year, your fixed rate will be increased based on your hourly usage in the previous year so that you are back at their target profitability level (which they will still not share with you). Since you can never know how many hours they are really spending, you will never know what you are buying.No matter how good it might seem at the outset, fixed pricing never adds up. You can never truly get the best deal—and you may be putting valuable data at risk. Because with a fixed-price model, if it ain't broke, they won't fix it.

Beyond,Repair,The,fixed-price,

computer

Equipment Rental Software – Features And Cost

Equipment rental management software is an essential thing these days for any equipment rental company.A well-developed equipment rental software provides you with a variety of features that can really help you maintain and organise your cus ...

computer

5 Big Reasons Why I Migrated From Angularjs To React

I have 5 main reasons for my angularjs to react migration. No, it's not a comparison on which is better. A comparison between apples and oranges would make no point. React is a library, and angular is a framework. Both can do stuff in their ...

computer

How to troubleshoot McAfee error 2318?

Security software means McAfee! For many computer users, McAfee antivirus is the only choice for security software as it provides all the features and tools which are necessary for device and data protection. This robust antivirus merely sho ...

computer

Manage Multiple Counter With AlignBooks Point of Sale

Fulfilling your businesss needs which can grow your firm is our aim. AlignBooks is better known for providing a strong pillar to newly started or midway businesss. Those companies who dont want to fall back with irregularity manage the inven ...

computer

How to Autoplay Embedded YouTube Videos

Source: How to Autoplay Embedded YouTube VideosEmbedding a video or audio enables the users to share their videos with any of their preferred sites or any social networking platforms. They can do so by copying the embedded link of the parti ...

computer

3 Major Mistakes to Avoid in Retail Business

Truth be told, nearly half of the retail businesses survive longer than four years and which can be something to ponder for a newbie before stepping into the industry. However, this being said, it is also true that you can excel in the indus ...

computer

Start Your Own Computer Repair Business

1. Know your street value. In the early 90's, running a PC repair business centered around selling parts and products, with service on the side. Today, it's about selling hours. If you run a business, you need to consider the X3 rule. That m ...

computer

How Establishments Show Up in Restaurant Searches

The revolutionary rise of technology has made things easy-peasy for consumers in the restaurant industry. Unlike the old days, the availability of innumerable platforms has made it possible for diners to choose from various searching options ...

computer

GuildWars 2 :

The last expansion pack for Guild Wars 2 was Path of Fire, which was released in 2017 and brings you a new enemy-Balthazar, the evil god of war. Although this doesn't sound like another expansion pack currently in production, some fans ma ...

computer

Customer Support at the time of COVID-19 Pandemic

COVID-19 is the worst crisis of our time as we observe social distancing protocols being imposed all around the world. While these measures are a step in effectively managing the COVID-19 pandemic, Hospitality and Retail businesses are confr ...

computer

How to Choose a Contract Management Solution (CLM)?

Contract life cycle management (CLM) systems can simplify and automate contract creation, negotiation, execution and storage. They are an intelligent alternative to the tedious hand tools formerly used for these tasks, which lacked visibili ...

computer

Contacting Google Live Person to Resolve Your Issues

Users are fond of all the Google supported products and look forward to the best services. Also, Google as a whole has never disappointed its users and helped them at every point with its commendable services. Also, being a customer-oriente ...

computer

how to uninstall discord

How to Uninstall Discord in Windows 10? has supported open source technologies, our tool is secure and safe to use. To uninstall a discord from your windows, you'll use this method which is given below.USING THIRD PARTY TOOLS1. Firstly, you ...