Tag Archives: money

Time + Money + Expertise = Result

While doing business or taking on any project, I always (consciously or unconsciously) refer to a small equation in my mind. It’s what is used as a headline and it basically states that the Result that you desire comes from the amount of time, money and expertise you are able to devote to the project.

These are the 3 major leverage points / inputs available, and if you reduce any one such input, you’ll need to increase the other(s).

So to finish a project quicker, you’ll need to increase the amount of money you spend on it and the expertise e.g. instead of buying stock photography and touching it up, you hire a professional photographer.

So when taking on a project, I like to consider the options available including:
– can I do it in-house or should I hire someone?
– how much would it cost to hire someone?
– do I go with someone cheap who might need more guidance or someone expensive who knows what he wants?
– how flexible is the final result? What’s the minimum acceptable quality?

And thus, from that simple equation, a variety of potential solutions appear quite often.

The value of experience

Sometimes, it’s worth paying for expertise and experience. Having worked in the industry for a while, you gather not only experience but contacts.

Here’s a real world example:

Recently, for the new business, we had to create a new logo. That’s pretty common theme, especially if you’re starting out. Using some contacts we had, we got it done within a week and 4 round of e-mail exchanges. Total cost? US$50 and probably 5 hours.

An acquaintance recently undertook to redo his logo as well. He went direct to an agency which proceeded to put together his new logo for him. Great logo, spot-on correct in 2 tries. Cost? CAD$1,500.

That’s not to say he was cheated – different levels of expertise in the designer / agencies part, different amount of time and dedication and the desired quality of the finished product all play a part. Our logo is good – his is great. Then again, we only wanted / needed a good logo.

At the end of the day, the trade off is something the client needs to decide on – and then inform us. From there, it’s simple enough to judge the correct parties to employ.