Friday, June 17, 2022

What Goes into a Good Statement of Work?



Every automation project should be clear about processes, constraints and expectations from the very beginning.

By Parth Koshti

As labor shortages increase in manufacturing, so has the push to automate. Manufacturers typically identify areas for potential upgrades, then communicate their requirements in a statement of work (SOW) document to vendors to calculate the costs and benefits. Often, however, project risks go unidentified in the quoting phase.

The statement of work drives the vendors’ understanding of the project expectations, and thus has a significant impact on the quality of the project that is delivered months, or in some cases years, down  the line. A well-crafted SOW gives vendors a good understanding of system process and constraints from the very beginning and communicates exactly what is expected.

Crafting a Good Statement of Work

Whether the statement is a Word document or a PowerPoint deck—avoid an email-based statement, as it is difficult to update and track information exchange—giving attention to these seven areas will limit risk from the get-go and set the project on track for success.

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