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Dollarizing web development

by ekalaivan
2 replies
Client wants to develop an online gradebook for their school. It's going to cost $x in web dev fee (that I outsource). How to show a ROI so that this investment (plus margins) is justified?
#development #dollarize #dollarizing #web
  • Profile picture of the author Mark Tandan
    Hard to show an ROI on an investment that doesn't technically make money. BUT the result will be a huge time saver.
    I would try and gather information specific to the costs of running (I presume) the current manual method of gradekeeping. How many hours does the average teacher put into it, and how many teachers? Multiply the # of hours in the project by the average hourly rate per teacher (ask for this information or ballpark it based on a salary of $X per year).

    Then forecast how much time the online solution will save. Be realistic. Show them the difference. Present your fee. And of course remind them that this savings will occur ANNUALLY, it's not just one time.
    Get this info right, put it into an organized presentation, and you should have no trouble justifying your fee.
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  • Profile picture of the author dvduval
    I'm not sure that it is your job to guarantee your client is profitable. It is your job to provide quality work, so that he would desire to continue working with you at the price you charging.
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    It is okay to contact me! I have been developing software since 1999, creating many popular products like phpLD.
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