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Scope of Work and Deliverables Agreement

Different Types of SOW Agreement

The terms scope of work and statement of work are sometimes used interchangeably, however, they are not similar. They are, in fact, two very separate things, and understanding how they function will help you enhance your management abilities and influence a successful outcome. The statement of work is a detailed legal document. A section called the scope of work is included in the statement of work. The statement of work includes the scope of work. Let's take a closer look at both agreements, starting with the scope of work.

The scope document defines what a plan includes and excludes. It usually consists of requirements, a description of how the planned goals will be met, and acceptance criteria. The work you’ll complete during the session, as well as the deliverables, timetable, milestones, and reports, will all be defined in this document. If an SOW isn’t required for your plan, it may be used instead. In this blog, we will discuss about the different types of SOW Agreement.

When can Scope of Work Be Helpful?

The scope of the work agreement is the foundation of a well-planned deliverable and can make it run more smoothly. This document can assist your team and stakeholders in determining the needs and identifying potential hazards that could prevent it from being completed successfully and on time.

For example, while drafting the agreement, your team may realize that a job’s scheduled delivery conflicts with another item that is currently in progress. You can then tweak the agreement and make modifications to the timeline.

How to Write?

Proper SOW Agreement will help you discover essential business factors and communicate goals and details to stakeholders.

  • Be as precise as possible: Make sure everyone understands the requirements and expected outcomes by using precise and clear language. Creating a list of measurable deliverables, milestones, and activities ahead of time will help you prevent confusion afterward.
  • Make use of graphics: Visuals, such as a job breakdown structure, help everyone involved process information more easily and quickly. They also enable you and your team to identify hazards such as bottlenecks that could threaten success and timeliness.
  • Stakeholders should be involved in the process: We’ve already indicated that you should obtain legal advice during this procedure. Collaboration with stakeholders on this work can save you time in the long run. This way, you may avoid any future misunderstandings by involving everyone.

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What is a Statement of Work (SoW)?

An SOW document is an agreement between two parties that helps in the alignment of goals. A statement of work (SoW) focuses on your scope of work. This document contains information such as objectives, detailed tasks, cost and timetable, and more.

They’re most commonly used for outside plans and serve as a contract between your company and the customer, buyer, agency, or contractor you hired. When partnering on a plot with an external design firm or working with a contractor on a large-scale construction plan, for example, you may need to create it.

When Can it Be Helpful?

A well-written scope of work (SoW) combined with efficient management techniques will help you complete athe plan successfully. This document helps in the management and documentation of expectations for your team and the party you hired. 

The outcomes will be recorded on this document at the end of the plan to ensure that the final performance meets the SOW. This may have other implications, such as whether your company will be paid in whole, receive bonuses, or face penalties, depending on your contract and the advice of your legal team.

How to Write it?

For better accountability with external partners, you might turn your scope into a statement of work. A complete, precise, and accurate SOW Agreement may bring teams together and ensure that all specifics are covered.

When a SOW is unclear, it might cause conflict between the two parties involved. That’s why it’s critical to have all of the chores and specifics written down.

Below are some strategies to consider when preparing:

  • Break the plan up into phases
  • Write in short and clear sentences
  • Explain the purpose 
  • Define the goal of the plan and how to reach it
  • Define plan milestones and success together
  • Set clear, simple, and measurable boundaries
  • Always run your SoW by your legal team
  • Educate your team and check in regularly.

Your SOW agreement can address the legal side of things. Transfer all key information, tasks, and deadlines into your plan once the Scope of Work vs Statement of Work is finished so you can interact and engage with your team and stakeholders in real-time.

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