Project Types Guide

Project Types Guide

MONTON supports three distinct project types, each with different billing models, management approaches, and workflow characteristics. Understanding these project types is essential for proper project setup and management.

Project Type Overview

Available Project Types

  • Time & Materials (T&M): Billing based on actual time spent and materials used
  • Manpower (MP): Resource-based billing with dedicated team allocation
  • Turnkey / Fixed (KEY): Fixed-price projects with predetermined deliverables

Choosing the Right Project Type

The project type determines how work is tracked, billed, and managed throughout the project lifecycle. Select the appropriate type based on your client agreement and project structure.

Time & Materials (T&M) Projects

Overview

Time & Materials projects bill clients based on the actual time spent by team members and any materials or expenses incurred during the project.

Characteristics

Billing Model:

  • Hourly billing based on team member rates
  • Direct pass-through of materials and expenses
  • Variable project cost based on actual work performed
  • Detailed time tracking required for accurate billing

Project Management:

  • Flexible scope that can evolve during the project
  • Emphasis on accurate time tracking and reporting
  • Regular client communication about progress and costs
  • Detailed documentation of all work performed

Time Tracking:

  • All team members must log time to the project
  • Time entries should include detailed descriptions of work
  • Regular timesheet approval process
  • Time reports used for client billing

Best Use Cases

Ideal for:

  • Projects with undefined or evolving scope
  • Research and development work
  • Consulting and advisory services
  • Maintenance and support contracts
  • Projects where requirements may change frequently

Client Relationship:

  • Requires high trust between client and service provider
  • Regular reporting on time spent and progress
  • Transparent billing with detailed time breakdowns
  • Flexible engagement that can adapt to changing needs

Management Considerations

Project Setup:

  • Define hourly rates for all team members
  • Establish time tracking procedures
  • Set up regular reporting schedules
  • Create clear work description guidelines

Ongoing Management:

  • Monitor time tracking compliance
  • Review time entries for accuracy and completeness
  • Generate regular time reports for client review
  • Track project progress against estimated hours

Manpower (MP) Projects

Overview

Manpower projects involve dedicating specific team members or resources to a client for a defined period, typically with monthly or periodic billing.

Characteristics

Billing Model:

  • Fixed monthly rates for dedicated resources
  • Billing based on resource allocation rather than specific hours
  • Predictable monthly costs for both client and provider
  • May include minimum commitment periods

Project Management:

  • Focus on resource allocation and availability
  • Team members may work exclusively or primarily for one client
  • Emphasis on maintaining consistent team composition
  • Long-term resource planning and commitment

Resource Management:

  • Dedicated team member assignments
  • Resource utilization tracking
  • Capacity planning for allocated resources
  • Potential for resource scaling up or down

Best Use Cases

Ideal for:

  • Long-term client engagements
  • Dedicated development teams
  • Ongoing support and maintenance
  • Projects requiring consistent team composition
  • Clients who prefer predictable monthly costs

Client Relationship:

  • Partnership-style engagement
  • Dedicated resources feel like extended team
  • Regular communication and collaboration
  • Focus on outcomes rather than hours

Management Considerations

Project Setup:

  • Define dedicated team members and their roles
  • Establish monthly rates and billing cycles
  • Set up resource allocation tracking
  • Create communication and reporting procedures

Ongoing Management:

  • Monitor resource utilization and availability
  • Track team member allocation percentages
  • Manage resource scaling requests
  • Maintain consistent team composition when possible

Turnkey / Fixed (KEY) Projects

Overview

Turnkey or Fixed projects have a predetermined scope, timeline, and price. The client pays a fixed amount for specific deliverables regardless of the actual time spent.

Characteristics

Billing Model:

  • Fixed project price agreed upon in advance
  • Payment typically tied to milestones or deliverables
  • Provider assumes risk for cost overruns
  • Profit margins depend on efficient execution

Project Management:

  • Well-defined scope and deliverables
  • Fixed timeline with specific milestones
  • Emphasis on project efficiency and cost control
  • Change management processes for scope modifications

Scope Management:

  • Detailed project requirements and specifications
  • Clear deliverable definitions and acceptance criteria
  • Formal change request processes
  • Risk management for scope creep

Best Use Cases

Ideal for:

  • Well-defined projects with clear requirements
  • Projects with specific deliverables and deadlines
  • Clients who prefer fixed, predictable costs
  • Competitive bidding situations
  • Projects where scope is unlikely to change

Client Relationship:

  • Formal contract with specific deliverables
  • Milestone-based progress tracking
  • Focus on meeting agreed-upon specifications
  • Clear acceptance criteria and sign-off processes

Management Considerations

Project Setup:

  • Define detailed project scope and deliverables
  • Establish milestone schedule and payment terms
  • Set up change management processes
  • Create risk management and contingency plans

Ongoing Management:

  • Monitor progress against milestones
  • Control scope creep through change management
  • Track actual costs against fixed price
  • Manage resource allocation for profitability

Project Type Comparison

Billing Comparison

Aspect T&M Manpower Turnkey/Fixed
Billing Basis Actual hours worked Monthly resource allocation Fixed project price
Cost Predictability Variable Predictable monthly Fixed total cost
Risk Distribution Client bears cost risk Shared risk Provider bears cost risk
Payment Schedule Monthly based on hours Monthly fixed amount Milestone-based

Management Comparison

Aspect T&M Manpower Turnkey/Fixed
Scope Flexibility High Medium Low
Time Tracking Detailed required General tracking Internal tracking only
Change Management Informal Moderate Formal process
Resource Planning Flexible Dedicated allocation Project-specific

Setting Up Projects by Type

Time & Materials Setup

Required configurations:

  • Enable detailed time tracking
  • Set up hourly rates for all team members
  • Configure time approval workflows
  • Establish reporting schedules

Key settings:

  • Time tracking: Enabled with detailed descriptions
  • Billing: Hourly rate-based
  • Reporting: Regular time reports
  • Approval: Time entry approval required

Manpower Setup

Required configurations:

  • Define dedicated team member allocations
  • Set up monthly billing rates
  • Configure resource utilization tracking
  • Establish allocation percentages

Key settings:

  • Resource allocation: Defined team assignments
  • Billing: Monthly fixed rates
  • Tracking: Resource utilization focus
  • Planning: Long-term resource commitment

Turnkey/Fixed Setup

Required configurations:

  • Define project scope and deliverables
  • Set up milestone schedule
  • Configure change management process
  • Establish fixed pricing structure

Key settings:

  • Scope: Well-defined deliverables
  • Timeline: Milestone-based schedule
  • Billing: Fixed price with milestone payments
  • Management: Formal change control

Best Practices by Project Type

Time & Materials Best Practices

  1. Accurate Time Tracking: Ensure all team members log time accurately and promptly
  2. Detailed Descriptions: Require meaningful work descriptions in time entries
  3. Regular Reporting: Provide clients with regular time and progress reports
  4. Rate Management: Keep hourly rates current and competitive
  5. Scope Communication: Maintain clear communication about evolving scope

Manpower Best Practices

  1. Resource Commitment: Honor dedicated resource commitments to clients
  2. Utilization Tracking: Monitor and optimize resource utilization
  3. Team Stability: Maintain consistent team composition when possible
  4. Capacity Planning: Plan resource capacity for scaling needs
  5. Performance Management: Focus on outcomes and client satisfaction

Turnkey/Fixed Best Practices

  1. Detailed Planning: Invest time in thorough project planning and scoping
  2. Risk Management: Identify and plan for potential project risks
  3. Change Control: Implement formal change management processes
  4. Milestone Management: Track progress against defined milestones
  5. Cost Control: Monitor actual costs against fixed price for profitability

Switching Project Types

When to Consider Changes

Project type changes may be needed when:

  • Client requirements or preferences change
  • Project scope evolves significantly
  • Billing model needs adjustment
  • Resource allocation requirements change

Change Considerations

Important factors:

  • Impact on existing time tracking and billing
  • Client agreement and contract modifications
  • Team member assignments and workflows
  • Reporting and management processes

Change Process

Typical steps:

  1. Evaluate need for project type change
  2. Discuss implications with client and team
  3. Update project configuration and settings
  4. Modify contracts and agreements as needed
  5. Communicate changes to all stakeholders
  6. Update workflows and processes accordingly

Troubleshooting Project Types

Common Issues

Time tracking problems in T&M projects:

  • Ensure all team members understand time tracking requirements
  • Verify time approval workflows are functioning
  • Check that hourly rates are properly configured
  • Confirm time entries include adequate descriptions

Resource allocation issues in MP projects:

  • Verify team member allocations are properly set
  • Check resource utilization tracking is working
  • Ensure billing rates match resource commitments
  • Confirm team members understand their allocation

Scope management problems in Fixed projects:

  • Review project scope definition and clarity
  • Check change management processes are followed
  • Verify milestone definitions and acceptance criteria
  • Ensure all stakeholders understand fixed scope limitations

Getting Help

  • Project Documentation: Review project-specific setup guides
  • Admin Support: Contact organization administrators for configuration help
  • Client Communication: Discuss project type concerns with clients
  • Team Training: Provide training on project type-specific workflows

Next Steps

After understanding project types:

  1. Learn detailed project management
  2. Understand time tracking for different project types
  3. Explore financial management and billing
  4. Master project reporting