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Re: Catch-22 Software Cost

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On Dec 10, 2004, at 8:11 AM, Ken Peoples wrote:

If the work is Tekla related, I charge a higher hourly rate to take into account the cost
of the software, maintenance and training.
Presumably, Tekla makes your office more productive, so your office cost for the work is less than it would be without Tekla. Shouldn't you be splitting the cost savings between a fatter bottom line for you and a lower price or faster delivery to the client? That's a loaded question, of course. You hear a lot about the some change in doing things, especially if it's something like an annoying voice mail system or using sweatshop labor, always with a little tag line about passing the savings on to the customer. All bullsh¡t of course, since prices keep going up, but in theory that's what should happen

Productivity is a tough thing for the engineering business to get its arms around. Most of us seem to figure that if we've got some money left over after the bills get paid, we're productive. At least I do. Back when I was working captive, all the bean counters were obsessed with maintaining labor and time records for jobs, but in 40 years I never saw anything useful come from it, probably because each job tended to be unique--just like such-and-such only different. As a result you couldn't compare one year's workload and costs with another's because the tasks and conditions were so different.
Christopher Wright P.E. |"They couldn't hit an elephant at
chrisw(--nospam--at)    | this distance" (last words of Gen.
...................................| John Sedgwick, Spotsylvania 1864)

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