Much like a contract, a scope of work is a foundational document for any independent consultant–client relationship. Use this step-by-step guide to create a Scope of Work document that outlines the essential details of your project with a new client, including key terms and general descriptions.
Before starting a new project, independent workers are often asked to prepare a Scope of Work document for a client that outlines the terms of their project and details items such as expected timelines and payment terms. Much like a contract, a scope of work is a foundational document for any Independent–client relationship. If you’re creating one for the first time, the structure and importance of a Scope of Work, or SOW for short, can be intimidating.
This guide will offer you a step-by-step guide to creating a document that outlines the basic details of your project with a client, including key terms such as payments, revisions, and timelines.
While the terms “Scope of Work” and “Statement of Work” are often used interchangeably, the two terms mean different things.
The scope of work articulates the details of a project including expected tasks, materials and equipment (if appropriate), deliverables, and expected timelines. It sets clear expectations upfront and serves as a guiding post to keep both you and the client on track.
To understand the importance of a detailed SOW, let’s pretend you are hiring a consultant to develop a mobile app. A well detailed Scope of Work defines what the final product should accomplish, then breaks down specifics such as the development platform (Ruby, Python, etc.); the design; user interactions; key features and components; and the overall costs
If the SOW isn’t detailed enough and simply says “consultant to build an app accomplishing X or Y task,” the resulting “gray area” leaves room for the consultant to build a product that doesn’t integrate with a client’s existing systems, fails to match design criteria, or misses key steps in the user flow. Cost could also become a factor if the client demands extra rounds of revisions or makes requests for ongoing maintenance and development not detailed in the initial scope.
The SOW’s main job is to take a client’s vision and break it into concrete details. Precision is key in any SOW, as ambiguity can lead to issues during a project.
Keep in mind that a Scope of Work becomes part of a contractual obligation to a client. This makes it even more important to clearly articulate every detail of the project.
GOAL: ELIMINATE FRUSTRATION
One of the main goals of the SOW is to prevent frustration between consultant and client bysetting clear expectations for deliverables, costs, and timelines. Some clients are notorious for “scope creep,” meaning that they add on new requests and requirements not set forth in the original scope of work.
Scope creep (n.): To add new provisions, tasks, or expected deliverables that are outside an existing scope of work.
Work that falls outside the Scope of Work can lead to frustration for both the consultant and the client. It may strain the business relationship and impede the progress of the original project. But while the SOW should be clear and detailed, it’s wise to not make it too restrictive. Projects rarely go exactly as expected, and building flexibility into the scope allows you to adapt to internal or external changes.
Communication is key
The SOW is a communication tool: Use it to discuss and agree upon objectives and expectations. Develop this document at the very beginning of a client engagement and share it in your initial client meeting to manage expectations and define a project plan. It can also be used as a point of negotiation during the buying phase.
If the client wants to negotiate price, you can adjust the Scope of Work, rather than your fee, to fit a client budget. Of note, adjusting the scope rather than the fee also creates an opportunity to provide a phased-in approach. For example, a consultant can break down a larger SOW into multiple projects that can be implemented over time.
As anyone experienced in the request for proposal (RFP) process knows, an SOW is typically included in the requirements. From the client side, an SOW is used to communicate the goals and expected results of the project and ensure that key issues are not overlooked. Because this document is often requested before a project is awarded, there is some difference between a proposal Scope and a finalized Scope—often the latter is a revision of the documentation provided during the initial proposal.
Also of note: Scopes often vary widely by industry and by client. Some clients, such as government entities and universities, may have very specific requirements for an SOW.
In general, here are the items you should outline in your Scope of Work:
The SOW will be customized based on your engagement, client, and industry.
For example, a technology SOW may be comprehensive, covering equipment, testing, and detailed milestones. On the other hand, a level-of-effort SOW might focus on delivering a set number of hours and not require the level of detail. You might also have a performance-based SOW, where you have flexibility in how you meet the client’s objectives.
Your dedicated business manager at MBO Partners is happy to help review contracts, SOWs and more as part of your engagement. We can offer advice to help limit “scope creep,” negotiate optimal payment terms on your behalf, and more.
Before you can write a great SOW, you need to ensure that you have a clear understanding of the project from your client. Here are some questions to consider:
Your SOW should be error free and easy to read. Additionally, be mindful of any terms that might have legal implications
As in general business writing, refrain from using abbreviations and acronyms. Do not assume that these terms are universally understood or used. If abbreviations or acronyms are necessary, be sure to define them. Also, it’s tempting to use the passive voice. For example, “Writing services shall be provided to Company Y,” rather than “Company X will provide writing services to Company Y.” However, the active voice does a better job of clearly outlining tasks and responsibilities.
Try to be consistent throughout the document. For example, if a scope of work includes public relations, avoid alternating between “PR” and “public relations” and use the same term to describe the same concept throughout the document.
When writing a scope, be direct and specific, clearly describing the services to be performed and the deliverables expected. Never assume that the client will know what is intended—state it in clear language.
A well-crafted Scope of Work lays the foundation for a successful project. It provides the tools to effectively plan and manage a client project, ultimately fostering lasting client relationships. We hope this guide helps you feel better prepared to manage your client projects.
One of the most essential skills for any solopreneur to have is the ability to negotiate business deals. The way in which independent contractors negotiate can make or break their business. If handled correctly, negotiations can solidify relationships with clients, strengthen connections with vendors, and help you to grow your business.
Here’s a list of what to include in your Scope of Work: