Um tributo ao simples, ao preto e ao branco

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Why a project at risk is a bad business for the client?

Because it reduces drastically the chance to solve the problem with efficiency and quality. Many clients are attracted by the illusion of not having an investment but having many options to choose from, when the suppliers participate on a risky project.

As long as time is money, companies working at risk do not invest a lot of time in understanding the problem, but they are worried in presenting solutions. Commonly, understanding the problem adequately involves much more time than designing the solution.
Proposals are not consistent and do not convince if they do not have a complete design process.

Basically, in many situations the client has innumerous meetings, analyses proposals and at the end of the project he doesn’t have a satisfying solution, is full of doubts and the deadlines are expired. How much do these meetings, loss of focus, inconsistent proposal evaluations and past due deadlines cost?

If a designer accepts projects at risk regularly and wins one out of two, he would need to work in a wide leeway to reach a break-even point or to have profits. So, the customer looses twice: either he does not have an effective solution or he will have to pay a high price for that.

Why some companies participate on projects at risk?
In the whole world the best design companies don’t participate on risky projects because they follow the Ethical Code for the profession or good sense due to marketing experience.

Publicity agencies and architects work at risk expecting to be widely rewarded with fees paid by the suppliers during the construction. Young designers and less experienced offices, with a low “overhead” (administrative costs) also continue working at projects at risk because they have little to loose, but on the other hand little experience to offer.

In a crisis a good company can be forced to participate on a risky project to take advantages of the team downtime, but certainly will delegate the job to the less prepared team because the best professionals will be investing their time in trustful clients who pay beforehand for the analysis of the portfolio.

Why a project at risk is a bad business for the designer?
If the client is not ready to invest money and hire an office, probably he will not invest his time on preparing an adequate briefing or he will have to share his time among the companies that will participate on the risky project.

Eventually, if the office wins the “opponent”, it is possible that the client will discuss and negotiate values, and as long as the developed project can not be sold to anyone else, the client might establish the price and conditions. In a risky project it is considered that the development of ideas can be priceless, but this is the business of the design market. Not the fees for royalties or graphic designers.

How to hire a design project
A portfolio analysis, a visit to the office and the reputation of the company in the market are the best methods to select an office design.

The client must pay 30 % of the value of the project up front, sign a contract with the design company that will work within the schedule defined in the contract, until the client’s complete satisfaction. We get the best outcomes in design projects when there is an intense corporation between the client and the designer, therefore it’s natural that the quality of the design services gets better within time due to the high comprehension of the client and its market.

Original article: Lumen Design (www.lumendesign.com.br)