A Statement of Work (SOW) describes the work to be carried out, outlines the time-period within which the task must be completed and permits contractors and vendors to offer an in-depth response along with a rational estimate of costs. The objective of SOW is to improve the understanding of the other group as to what is expected of them and what they must include in the final product.
Critical elements of SOW include the following-
- Background- This contains a description of the project and its purpose along with copies of relevant background matter. It also encompasses a summary of the legal authorities or pertinent regulations.
- Objectives- This provides a project overview including its goals and how the finished products will be utilized.
- Scope- This explains the scope of the task the contractor is to carry out.
- Requirements- This offers a detailed description of the exact nature of the work that the contractor is required to do along with specific requirements of the work such as travel, special resources and additional knowledge or skills.
- Criteria of Selection- This identifies standard of satisfactory performance needed from the contractor.
- Deliverables- This describes in detail what the contractor is expected to deliver, the timeframe for delivery including fixed and flexible dates, milestones to be achieved, how much and to whom the delivery is to be made and the documentation type required.
- Government-Furnished Equipment and Information- This identifies the GFE and GFI and requires the contractor to pinpoint any limitations in the work.
- Security- This covers what special security clearances are needed to do the work safely.
- Place of Performance- This clearly states where the work is to be performed, whether at a Government site or at the contractor’s place.
- Period of Performance- This specifies how much time is available, in days, weeks or months, for the contractor to start and complete the project.
A well-written SOW also includes the payment terms i.e. if the payment is to be made in installments or as a lump sum after project completion and if it would be based on invoices. It should also be written in a clear language to avoid ambiguity in interpretation.
What Does the Work Breakdown Structure Accomplish?
A Work Breakdown Structure (WBS) is a tool that is used to identify and illustrate the relationship between the critical elements of a project. Such a chart, tree or structure diagram helps organize the scope of the work, improves the focus on work of those performing the task and aids in better accomplishing the goals of the project by dividing it into smaller, easily understandable and doable portions.
What the WBS accomplishes through its clear-cut structure is greater efficiency in performing and completing the project. Since the WBS puts the scope and objectives of the entire project in perspective to the concerned personnel, it helps to effectively allocate resources, aids optimum scheduling, allows for precise cost estimates, improves procurement and risk management, ensures the delivery of the final product as per time schedules and importantly, assures a high quality of work.
The WBS also achieves higher levels of commitment from the working team and it also makes personnel more responsible as far as finishing jobs on time and on par with required standards is concerned. Also, since the WBS is to be developed by the project manager along with his team members, the exercise improves the understanding and cooperation between those working on the project, clears any ambiguities concerning the work and additionally helps in addressing any critical issues in the project in its early stage itself.