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Another factor contributing to low cost is the active involvement of the Client/Beneficiary firm in structuring the prototype. |
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Contrasts
with "Standard Consulting Practices" The prototype study agreement is jointly composed by the Center and the Client/Beneficiary firm. Such a collaborative effort in drafting the agreement has three advantages: (1) it provides a foundation for better meeting the needs of the Client/Beneficiary firm; (2) it removes some of the burden from Center staff and student participants that would result by a unilateral drafting effort; (3) it avoids an orientation of the type that would convert a proposed agreement into a sales document? A jointly drafted agreement also provides a way for the Client/Beneficiary firm to establish the reasonableness of costs for various components of the prototype, and to take part in assessing what these costs should be. To compensate the Center appropriately in cases where a study provides clear benefits, part of the fee to be received by the Center can be made conditional upon achieving such benefits. This insures the Client/Beneficiary company against paying for outcomes of lesser value and places the motivation where it belongs on producing the best results for the Client/Beneficiary firm. By such an arrangement, the Client/Beneficiary firm and the Center are not in a zero-sum game, where the gains of one come at the expense of the other. Instead, the relationship between them is structured so that benefits to the Client/Beneficiary firm become the greatest source of benefits to the Center. The value of such an association from the Center's standpoint is not only monetary, but in establishing a reputation in the business and engineering communities for the quality of its work. |
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