| Author |
Message |
Nima
Member
|
# Posted: 19 Sep 2006 18:52
Reply
Often times projects are not closed on time and insufficient follow up is generated because project managers don't have enough incentives to close the project on time or suggest additional items once the main project is completed.
This is what we do:
- We give them 8% of the total project sum if the project is completed on time and the money received. This automatically incentifies them to complete the project on time.
- We give them 10% for all follow up business that is generated. This automatically incentifies them to keep the client happy and enhances your client retention.
|
Carmen
|
# Posted: 26 Oct 2006 00:24
Reply
Although the percentage for follow up projects is higher than for first time projects, first time projects are usually higher in volume and therefore will still be more attractive to project managers.
What is your experience with that?
|
Nima
Member
|
# Posted: 26 Oct 2006 10:19
Reply
Hi Carmen,
thanks very much for your contribution.
You are absolutely right. All things being equal, project managers like to close projects and not have to bother with it after that.
That is precisely the reason why we give them a higher cut for follow up.
In the long run the business risk will be lower the more maintenance work and long term relationships you have, hence your business value will increase. Otherwise we would not have to bother about maintenance work and could just do one project after another.
What is your experience with this?
|
